William Hill has reported a 57% fall in revenues during the seven weeks to 28 April, as the coronavirus lockdown forced the closure of its betting shops. The bookmaker said online betting revenues also dropped by a fifth in the same period, with each month of shop closures costing the company up to £15m.
The company is preparing for a staged reopening of its 2,000 UK shops in the second half of the year, factoring in a total profit impact of up to £110m for three months of closures. William Hill also plans to 'power up' its UK and US businesses quickly as live sport resumes and physical distancing measures allow.
Chief executive Ulrik Bengtsson said: 'We remain focused on player safety employing ever more customer protection. We are taking care of our teams, securing as many employment opportunities as possible and we are ready to power up the business as soon as Covid-19 restrictions permit.'
The company is encouraged by the return of football, which accounts for about half of its online UK sports business, with the German Bundesliga resuming this weekend. Horse racing, representing about a third of online UK sports business, has restarted in France and is expected to resume in the UK next month.
William Hill has agreed a waiver on debt covenant tests for this year and more relaxed terms for 2021. It has suspended dividends, cut marketing spend, cancelled pay rises and bonuses, and furloughed staff. The company said it increased responsible gambling messages sixfold and did not target vulnerable customers during lockdown.
