William Hill reports 57% revenue drop

William Hill PLC said Friday that it is withdrawing all future guidance due to uncertainty around coronavirus-related restrictions, as revenue plunged in recent weeks due to the absence of live sporting events.

The U.K. betting company said it is planning for a staged opening of its U.K. retail estate in the second half of 2020 and is carefully monitoring developments across the U.S. in the nine states where it has retail operations.

William Hill said total net revenue fell 57% in the period from March 11 to April 28, following a 5% decline in the period to March 10.

The company said covenants on a revolving credit facility have been waived for 2020 and reset for 2021. William Hill said its cash burn has been reduced to 15 million pounds ($18.3 million) a month, and that it has access to liquidity in excess of GBP700 million.

“We have preserved liquidity and amended the terms of our net debt covenant, leading to significant, balance sheet headroom. This will enable us to continue to invest for growth, most notably in the U.S., as plans there to roll out sports betting continue apace,” Chief Executive Ulrik Bengtsson said.

Adria Calatayud

Source:marketwatch.com