Evoke plc shocked markets Tuesday by slashing its 2025 profit outlook and refusing to give 2026 guidance while a strategic review that could end in a full sale hangs over the company. Shares in the William Hill and 888 owner plunged as much as 12% in London trading, wiping out hundreds of millions in market value in hours.
The British gambling giant now expects full-year 2025 revenue of about £1.79 billion, up just 2% from 2024 but well below the £1.84 billion analysts had penciled in. Adjusted EBITDA will land between £355 million and £360 million, a solid 14% jump year-on-year yet short of the £362 million-plus the company itself promised just months ago.
What Triggered the Sudden Drop
Investors ran for the exits after Evoke blamed tougher-than-expected trading in the fourth quarter. Revenue slid 3% to roughly £464 million in the final three months of 2025.
The company pointed to brutal sports-book margins. Last year, big punter wins on football and horse racing hammered bookies across the industry. This year, results swung the other way, handing customers hefty payouts and squeezing operator profits. Evoke called it a “normalized” sporting calendar, but the damage was already done.
The bigger cloud remains the looming rise in UK gambling taxes and ongoing regulatory pressure that continues to eat into margins across the sector.
Strategic Review Keeps Everyone Guessing
Evoke launched a formal strategic review last year and now says it is “considering all options,” including a potential sale of the entire company or individual brands.
Chief executive Per Widerström, who took the helm in late 2023, has spent the past two years trying to turn around the business after the £2.2 billion purchase of William Hill’s non-US assets from Caesars Entertainment. The deal loaded the balance sheet with debt just as Britain tightened gambling rules and affordability checks kicked in.
No one knows if a white knight buyer will step up or whether Evoke will break itself up to maximize value. That uncertainty froze investors Tuesday.
How the Numbers Stack Up
| Metric | 2025 Guidance/Actual | 2024 Actual | Analyst Expectation | Change YoY |
|---|---|---|---|---|
| Revenue | £1.79 billion | £1.75 billion | £1.84 billion | +2% |
| Q4 Revenue | £464 million | £478 million | N/A | -3% |
| Adjusted EBITDA | £355-360 million | £312 million | >£362 million | +14% |
The EBITDA miss, though small in percentage terms, signals that cost cuts and efficiency drives are not keeping pace with regulatory headwinds.
Broader Pain Across UK Gambling Stocks
Evoke is not alone. Entain, Flutter, and Rank Group have all warned on profits in recent months as the industry digests higher taxes, stricter advertising rules, and new stake limits on online slots.
Britain’s remote gaming duty stays at 21% for now, but operators already pay a new statutory levy to fund research and treatment, and many fear further hikes in future budgets. Add in the cost of safer-gambling tools and affordability checks, and profit pools are shrinking fast.
For Evoke, the William Hill retail estate, once seen as a crown jewel, has become a drag as footfall shifts online and shop closures accelerate.
What Happens Next for Investors and Punters
Until the strategic review concludes, probably sometime in the first half of 2026, Evoke shares look likely to stay volatile. Some analysts believe a break-up could unlock value, with the US joint venture with Sports Illustrated and the core online brands potentially worth more apart than together.
Others worry that without a quick sale, Evoke will keep burning cash on debt interest and regulatory compliance while competitors with cleaner balance sheets pull ahead.
One thing is clear: the glory days of sky-high margins in British online gambling are over. Companies like Evoke now face a tougher, more expensive world where every pound won from customers costs more to win and keep.
The sharp sell-off Tuesday shows investors have little patience left for surprises. After years of promises, they want action, and they want it fast.
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