Tipp24 SE: Further success for Tipp24 SE in third quarter

Nov 6, 2013 9:07 AM

Tipp24 SE / Key word(s): Quarter Results

06.11.2013 / 09:07


Press release

Report on the first nine months of 2013

Further success for Tipp24 SE in third quarter - relocation to London
progressing as planned

  - Revenue of EUR 104.4 million - adjusted EUR 97.9 million - at
    prior-year level

  - EBIT of EUR 26.2 million - adjusted EUR 24.3 million 

  - Guidance confirmed

(Hamburg, 6 November 2013) Tipp24 SE continued its successful development
in the third quarter of 2013. Consolidated revenue of EUR 104.4 million in
the first nine months was on a par with the previous year (EUR 105.1)
million. The adjusted figure amounted to EUR 97.9 million, compared to EUR
95.8 million in the previous year. Although consolidated EBIT fell to EUR
26.2 million, after EUR 47.5 million in the previous year, adjusted EBIT
reached EUR 24.3 (25.4) million with an EBIT margin of 24.8 percent,
compared to 26.5 percent in the previous year.

The adjustment results from the statistic deviation from the expected level
of payouts, as well as the special item from the spin-off of Lotto24 AG in

At EUR 18.4 million, consolidated net profit was below the prior-year
figure of EUR 36.6 million. Earnings per share from continued operations
amounted to EUR 2.24 (EUR 4.47) in the reporting period.

Relocation of Tipp24 SE in January 2014

Dr. Hans Cornehl, CEO of Tipp24 SE, states: 'We continued to drive our
activities in connection with the strategic realignment of Tipp24 SE in the
third quarter: the relocation of our company's registered office to London
is progressing as planned and is now expected to be completed in January

Joint venture with Geonomics in London

After already acquiring a stake in the UK-based Geonomics Global Games
Limited in December 2012, Tipp24 founded a joint venture with Geonomics on
1 October to jointly market their 'GeoLotto' products to end-users in the
UK. Tipp24 holds a 50 percent stake in GeoLotto Limited, based in London.
The product design and marketing of the offering are currently being
optimized - Tipp24 expects a contribution to revenues as of 2014. GeoLotto
Limited is carried at equity in the balance sheet as a joint venture.

Tipp24 SE confirms guidance

After consideration of price increases, Tipp24 SE still expects to achieve
revenues of EUR 130 to 140 million and EBIT of EUR 20 to 30 million in its
fiscal year 2013. This forecast takes account of costs for necessary
adjustments to hedging structures in the company's secondary lottery
business and additional, mostly non-recurring, costs for the preparation of
new business fields totalling EUR 11 million. Moreover, Tipp24 SE expects
to pay a non-recurring fee levied by the UK tax authorities (Stamp Duty
Reserve Tax) in connection with the transfer of Tipp24 shares. It is
expected to be around EUR 4 million and will be recognized in the fourth
quarter as an other operating expense.
The stated ranges for revenue and EBIT also take account of statistical
fluctuations in payouts for the secondary lottery business.

Quarter comparison: Q. III 2013/2012

in EUR   Q3 /   Q3 /   Change in   Q3 / 2013    Q3 / 2012    Change in
thsd.    2013   2012   percent     adjusted     adjusted     percent
Revenue  27,947 36,896    -24.3     32,192       32,766        -1.8
EBIT      4,750  8,951    -46.9      8,683        6,681       +30.0
profit    2,994  6,590    -54.6        -            -           -

Nine-month comparison: 2013/2012

in EUR   9M /    9M /    Change in   9M / 2013  9M / 2012  Change in
thsd.    2013    2012    percent     adjusted   adjusted   percent
Revenue  104,371 105,091   -0.7       97,929      95,824    +2.2
EBIT      26,191  47,477  -44.8       24,292      43,523   -44.2
profit    18,392  36,625  -49.8         -           -         -

(Possible rounding differences due to presentation in EUR thousand) 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 current day, Tipp24 has generated stakes of 2.5 billion euros and thus contributed over 650 million euros in taxes and duties. 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 Andrea Fratini Head of Media and Public Relations Tel.: +49 (0)40 32 55 33 660 E-mail: presse@tipp24.de Internet: www.tipp24.de/press/ End of Corporate News --------------------------------------------------------------------- 06.11.2013 Dissemination of a Corporate News, transmitted by DGAP - a company of EQS Group 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 --------------------------------------------------------------------- 238154 06.11.2013