William Hill Shares Dive 11 On Profit Alert

From Pyra Wiki
Jump to navigation Jump to search


William Hill shares dive 11% on earnings alert


(Close): William Hill shares shut down more than 11% after the bookie warned on revenues.


It stated online trading had actually been hit by tougher regulation and "the worst Cheltenham leads to current history".


It now expects full-year operating earnings to be in between ₤ 260m and ₤ 280m, below ₤ 291.4 m in 2015. As a result, the FTSE 250 company saw its shares drop nearly 40p to 331p.
bit.ly

However, the benchmark FTSE 100 ended flat, up 6.4 points at 6199.1.
bet9ja.com

Top riser on the FTSE 100 was B&Q owner Kingfisher. Its shares completed up 6% in spite of reporting a 20% drop in full-year profits to ₤ 512m.
bet9ja.com

However, when restructuring expenses were removed out, underlying revenues were a better-than-expected ₤ 686m.
bet9ja.com

William Hill said there were two main aspects behind the weaker-than-expected efficiency from its online organization.
bet9ja.com

It stated it had seen "a velocity in the number of time-outs and automatic self-exclusions over recent weeks", steps which allow punters to halt gambling with a bookie.
bit.ly

William Hill stated that while the trend was "still developing, we approximate that, must these patterns persist around present levels, the consequent lower revenues will decrease online's profits by ₤ 20-25m in 2016".


Secondly, its revenue margins were lower than anticipated due to the fact that of European football results and recently's Cheltenham horseracing festival, where bookies were hit by big a variety of favourites winning races.
bet9ja.com

William Hill stated that in spite of its online issues, the wider group continued "to trade well" and was in line with expectations.
bet9ja.com

The company likewise said it was in "sophisticated conversations" to buy Openbet, a video gaming software company.


Sterling weak
bit.ly

Elsewhere on the London market, shares in Sports Direct were having another bad day, down an even more 5.6% after dropping about 10% on Tuesday.
bet9ja.com

Earlier the yohaig code seller had issued a statement stating that it expected full-year hidden earnings to be "at or around the bottom" of a previously approximated range. The statement was issued following that founder Mike Ashley made to the Times paper on Tuesday.


On the currency markets, the pound remained weak after having fallen sharply on Tuesday in the wake of the terror attacks in Brussels, which were seen as increasing the probability of the UK ballot to leave the EU.


On Wednesday, sterling fell practically 1% versus the dollar to $1.4087. Against the euro, it lost 0.4% to EUR1.2623.