888 Online Casino Year Profits Up

Internet gaming group 888 posted a 16% increase in year pretax profit and said it was confident of the outlook for 2006.

Profit before tax was $50.2 million (£28.7 million in 2005, compared to $43.1 million in 2004, it said.

"Trading is in line with management's expectations, and we remain confident in the outlook for the rest of the year," said Chief Executive John Anderson.

Casino players increased 28% to 4.1 million, while poker players more than doubled to 1.5 million.

888 diversified away from the United States, reducing the US share of revenues to 55% from 58% in 2004. The share increased to 20 from 15%.

"To rely on one country too much is not good, and without reducing volumes, I'd like to get the percentage we're taking from the US down to 20-30% as soon as we can," Anderson said.

He said he was still looking to buy a sports betting operation and had one particular acquisition in mind, although the two companies had not held any talks.

Group gaming revenues were up 52% in 2005 to $271 million.

Shares in 888 closed at 179-1/2 pence on Wednesday, valuing the group at slightly more than £600 million.