British bookmaker Evoke said today that last year's revenue would come in below market expectations and refrained from providing any 2026 outlook as the company weighs a potential sale, leaving investors in the dark and sending shares down as much as 12%.
The William Hill UK and 888 owner announced plans for a strategic review in December, including a potential sale, and withdrew its medium-term targets after the UK budget raised taxes on the gambling sector.
"We have moved quickly and decisively to execute on our mitigation plans including the closure of retail stores that are no longer sustainable as well as broader cost savings," CEO Per Widerstrom said, adding that an updated strategic plan will be shared in due course.
Shares in the company have lost more than a third of their value since Finance Minister Rachel Reeves raised remote gaming duty and online sports betting taxes in the November budget.
"We continue to regard this (strategic review) decision as logical given the debt stack but the eventual outcome to the strategic review remains uncertain," Berenberg analyst Jack Cummings said in a note.
The company estimated revenue of about £1.79 billion for the year ended December 31, up 2% from a year earlier. Analysts, on average, were expecting revenue of £1.84 billion, according to a company-compiled consensus.
Evoke said it would present its full year results in "due course", without disclosing a date.
Evoke reported fourth-quarter revenue down 3%, as expected by analysts, as the betting firm grappled with tough betting revenue comparatives from 2024 when UK sports results were more favourable to operators rather than punters.
The debt-laden betting company forecast its adjusted core profit to be in line with market expectations, between £355-360m for the year ended December 31.
