888holdings has published its 2020 financials, showing tremendous revenue growth. The poker sector was a noticeably rising revenue stream, backed by the launch of the company’s new platform, Poker 8.
888holdings recognises the influence of COVID-19 on the 2020 revenue figures. Nonetheless, the success of 888poker is attributed to the rollout of the Poker 8 client, the best poker app company released so far. The new software was a necessary and significant upgrade for the overall poker experience.
“In terms of entertainment, most of the time in poker is actually spent on the poker table itself. So, we made this [the] focus and added fun and interactive items,” stated Itai Pazner, CEO of 888holdings.
The 57% growth in the poker part of the business is quite prominent. After several years of decline, this sector seems to be finally getting back on its feet. It was the third-highest vertical for 888 in 2020, coming right after casino and sports. Even though it didn’t bring the most profit to the company, poker is still the business model’s central point.
Casinos and casino games have been the most significant earners for 888, with 72.1% of the total earnings for 2020. Sports betting was the second-highest earner with 15%, followed by poker with 7.7% and bingo with 5.2%.
Casino games raked in a total of $600 million – a 60% increase. Sports betting had an understandably weaker year due to the pandemic, with year-over-year growth of 35.7% and $100 million profit.
The rising US poker market is one of the reasons for the success of 888poker. 888 has partnered with the World Series of Poker (WSOP) and Caesars Interactive Entertainment. The New Jersey operators were responsible for more than $16 million of online poker revenue in 2020.
New Jersey was profitable even without the launch of the Poker 8 client, which should go live there by Q2 2021. The poker sector’s further growth is expected by that time as well, as the company’s operations will extend to Pennsylvania and Michigan.
“We are excited about the prospects of our US B2B business, having signed a multiyear extension to the flagship world series of poker agreement that will be rolled out to further states in 2021,” stated 888holdings’ CFO, Yariv Dafna.