Evoke Reports 3% Revenue Growth for FY2024
Evoke posted its first annual revenue increase in three years, signaling a potential turnaround. Group revenue for FY2024 rose 3% to £1.75 billion, while adjusted EBITDA climbed 4% to £312.5 million, bolstered by a strong second half and a focus on operational efficiency.
Strong Performance in H2 Lifts Full-Year Margins
The second half of FY2024 marked a turning point for Evoke. Adjusted EBITDA jumped 71% compared to H1, reaching £197 million, with the H2 margin climbing to 22.1%. This pushed the full-year margin to 17.8%, as the group began to reap the benefits of its transformation strategy.
A cost optimisation programme delivered £30 million in savings over the year, with half of that achieved in H2. These efficiencies, combined with more effective marketing and improved customer segmentation, contributed to a 6% rise in ARPU.
Online Growth Offsets Retail Decline
Online operations led the group’s return to growth, particularly in core markets such as the UK, Italy, Spain, Denmark, and Romania. UK & Ireland online revenue grew 5% year-on-year and 10% in H2, supported by favorable sports outcomes in the final quarter. International online revenue rose 10% on a constant currency basis, with key non-UK markets up 25%.
Together, the group’s core markets now represent around 90% of total revenue. Meanwhile, retail revenue declined 5% year-on-year, although Evoke completed a nationwide gaming cabinet upgrade in early 2025.
Transformation Costs Drive Reported Losses
Despite operational improvements, Evoke reported a post-tax loss of £191.4 million, compared to £65.2 million in 2023. The loss was driven primarily by £79.3 million in exceptional costs, including the exit from its US B2C operations and broader transformation-related expenses.
Higher finance charges and a shift from a tax credit in 2023 to a tax charge in 2024 also impacted the bottom line. Reported EBITDA fell 9% to £230.6 million, and adjusted EPS dropped to a loss of 6.4p. However, adjusted metrics continue to reflect improvements in the underlying business.
Strategic Shifts Support Long-Term Focus
The rebrand from 888 to Evoke in May 2024 represented a broader repositioning of the business. CEO Per Widerström pointed to a renewed focus on core markets, improved products, and automation as key to building sustainable competitive advantages.
Among the strategic highlights was the sale of Evoke’s US B2C assets to Hard Rock Digital and the acquisition of Romanian operator Winner.ro, solidifying Romania’s status as a core market. The group also introduced an enhanced Bet Builder and new racing features for William Hill, while Mr Green’s repositioning in Denmark contributed to 24% revenue growth there.
FY2025 Guidance Points to Margin Growth and Deleveraging
Evoke expects FY2025 revenue to rise between 5% and 9%, with adjusted EBITDA margins of at least 20%. Q1 growth is projected to be in the low single digits, affected by regulatory changes and leap year dynamics. However, adjusted EBITDA is forecast to increase by £18 million to £28 million compared to Q1 2024.
The group is targeting additional cost savings of £15 million to £25 million in 2025, aiming to offset higher labor costs tied to changes in National Insurance and the UK Living Wage.
Leverage declined from 6.7x to 5.7x in H2 2024, and the company plans to reduce it further below 5.0x by year-end and ultimately to less than 3.5x by 2027.