DGAP-News: Tipp24 SE: strategy and operations on course in first quarter (english)
May 14, 2013 12:01 PM
Tipp24 SE: strategy and operations on course in first quarter
DGAP-News: Tipp24 SE / Key word(s): Quarter Results
Tipp24 SE: strategy and operations on course in first quarter
14.05.2013 / 10:01
---------------------------------------------------------------------
Report on the first three months of 2013
- Revenue EUR 37.4 million - adjusted revenue EUR 32.3 million
- EBIT EUR 12.0 million - adjusted EBIT EUR 9.3 million
- Guidance for 2013 confirmed
- Key steps for international alignment implemented
(Hamburg, 14 May 2013) Tipp24 SE continued its positive business
development in the first quarter of 2013. Generated almost entirely abroad,
revenue grew year on year by 5.5 percent to EUR 37.4 (prior year: EUR 35.4)
million. At EUR 12.0 million, earnings before interest and taxes (EBIT)
fell just short of the prior-year figure. The EBIT margin reached 32.2
percent, compared to 34.0 percent in the previous year. Consolidated net
profit increased by 3.2 percent to EUR 9.0 (8.7) million. Earnings per
share improved from EUR 1.08 to EUR 1.13. Adjusted for statistic deviations
from the expected level of payouts, revenue rose by 1.1 percent to EUR 32.3
(32.0) million, while EBIT fell by 11.9 percent to EUR 9.3 (10.5) million.
There was a particularly strong effect from increased hedging costs caused
by large jackpots and a necessary restructuring of the hedging profile.
Andreas Keil, CFO of Tipp24 SE, states: 'Tipp24 got off to a good start in
the new year. We were able to raise revenue and maintain our EBIT at a high
level. This was due especially to positive special items resulting from
payouts in our secondary lottery business. We expect additional costs
during the course of the year from the establishment and expansion of our
international business.'
Conditions established for international development options
In the first months of the current fiscal year, Tipp24 SE laid important
foundations for the planned relocation of its registered office to London.
In mid April 2013, the company's Executive Board and Supervisory Board
decided to present a proposal on the relocation for shareholders of Tipp24
SE to vote on at the Annual General Meeting scheduled for 28 June 2013.
Tipp24 SE not only intends to maintain its legal form after the relocation
but also its listing in the Prime Standard segment of the Frankfurt Stock
Exchange.
Dr Hans Cornehl, CEO of Tipp24 SE, states: 'The conditions for our
strategic international development are significantly better in the UK than
in any other European company. As we also see clear signs for a
deregulation of the lottery market in North America, we plan to tap this
market more efficiently from our base in London as a partner of the state
lottery companies. We shall make targeted use of our leading technological
and marketing expertise. Moreover, we are currently in the process of
expanding our position on the UK market together with our partner
Geonomics. We are convinced that our shareholders will also view the
planned relocation positively as it is the logical consequence of our
strategic realignment.'
On the one hand, Tipp24 SE plans to acquire its own gaming licences while
on the other hand driving the establishment of a new international business
division dedicated to providing Internet services to lottery companies.
Tipp24 SE already took a first step towards implementing this strategy with
the acquisition of a shareholding in the UK-based Geonomics Global Games
Limited in December 2012.
In mid April, the company also expanded its financial scope by means of a
successful and heavily oversubscribed private placement of 400,000 new
shares. The company received gross issue proceeds of EUR 16 million from
the capital increase. Tipp24 SE intends to use the net proceeds from this
capital increase above all to finance projects associated with the
company's internationalisation strategy as well as for medium-term funding
to fulfil its tasks as the Group's holding company.
The strengthening of the company's management level was also continued over
the past few months: after expanding the Executive Board with the new Chief
Financial Officer Andreas Keil on 1 February 2013, Dr Helmut Becker will
begin his activities as Chief Marketing Officer as of 1 June 2013.
Guidance for 2013 confirmed
After consideration of price increases, Tipp24 SE continues to expect
consolidated revenues of EUR 130 to 140 million and EBIT of EUR 20 to 30
million for the current fiscal year. Tipp24 SE thus confirms its guidance
for the current fiscal year as published on 28 March 2013. This forecast
takes account of costs for further necessary adjustments to hedging
structures in the secondary lottery business and additional costs for the
preparation of new business fields totalling EUR 15 million, which will be
mostly incurred in the coming quarters. The stated ranges for revenue and
EBIT also take account of statistical fluctuations in payouts for the
secondary lottery business.
The complete quarterly report is published on the website of Tipp24 SE in
the Investor Relations section: www.tipp24.de
Quarter comparison: Q1 2013/2012
^
in EUR Q1 / Q1 / Change Q1 / 2013 adjusted Q1 / 2012 Change
thsd. 2013 2012 in % adjusted in %
Revenue 37,373 35,437 5.5 32,328 31,985 1.1
EBIT 12,045 12,048 0.0 9,272 10,528 -11.9
Net
profit 9,003 8,726 3.2 - - -
°
About Tipp24 SE: Tipp24 SE was founded in September 1999 and holds equity
interests in a number of companies in Spain and the UK, which enable
participation in lottery-based games via the Internet, especially via the
websites www.ventura24.es, www.mylotto24.co.uk, www.tipp24.com and
www.geosweep.com. From its foundation to the end of 2008, Tipp24 SE
brokered tickets worth over 1.5 billion euros to the state lottery
companies - in the latter years over 330 million euros annually. Following
its successful IPO in 2005 (Prime Standard), the company was admitted to
the SDAX index in June 2009. In July 2012, German online brokerage
activities were successfully spun off from Tipp24 SE in the form of the
company Lotto24 AG, which is listed separately on the stock exchange. With
the acquisition of a stake in the UK-based company Geonomics Global Games
Limited in December 2012, Tipp24 SE laid the foundation for the expansion
of its international business.
Press contact:
Tipp24 SE
Isabelle Prchlik
Media and Public Relations Manager
Tel.: +49 (0)40 32 55 33 661
E-mail: presse@tipp24.de
Internet: www.tipp24.de/press/
End of Corporate News
---------------------------------------------------------------------
14.05.2013 Dissemination of a Corporate News, transmitted by DGAP - a
company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
DGAP's Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de
---------------------------------------------------------------------
Language: English
Company: Tipp24 SE
Straßenbahnring 11
20251 Hamburg
Germany
Phone: Tel.: +49 (0)40 325533-142
Fax: +49 (0)40 325533-5600
E-mail: ir@tipp24.de
Internet: www.tipp24-se.de
ISIN: DE0007847147
WKN: 784714
Indices: SDAX
Listed: Regulierter Markt in Frankfurt (Prime Standard);
Freiverkehr in Berlin, Düsseldorf, Hamburg, München,
Stuttgart
End of News DGAP News-Service
---------------------------------------------------------------------
210901 14.05.2013
Weitere Informationen: www.dpa-AFX.de