At today’s Annual General Meeting of betinternet, the Chairman, Mr Denham Eke, made the following statement regarding the Company’s current trading position:
‘Shareholders will be aware following the recent publication of our Report and Accounts that the Company has now moved into profitability. This has been achieved through the continued growth in its pari-mutuel business, European Wagering Services (‘EWS’) and by the introduction of additional gaming content for its sportsbook website, betinternet.com.
I am pleased to report that the new sportsbook website has been very well received by our customers and the number of wagering opportunities has increased tremendously. In addition to the download casino from Real Time Gaming, we have now introduced a fully embedded flash casino to complement our live dealer casino and games suite. As we add more gaming products to our website, we expect that betinternet will continue to become a more attractive gaming and entertainment portal, where customers can select their preferred wagering opportunities.
EWS has continued to show strong revenues into the new financial year and is actively co-operating with existing and potential B2B clients in relation to technology services for wagering through our Isle of Man totalisator hub into racecourse pools. In addition, the Thoroughbred Racing Protective Bureau has recently sent out its audit report for our business to a number of racetracks in the United States. This report in effect, encompasses the due diligence that many tracks require to allow third parties to bet into their racecourse pools. As a result of this report, it is hoped that we can obtain further contracts with racecourses enabling additional content for our customers to wager on.
The board’s view is that the recent passing of the Unlawful Internet Gambling Enforcement Bill in the United States will have little impact on betinternet’s current business, as detailed in our statement to the market on 2 October. We will, however, continue to seek clarification on the Bill in relation to pari-mutuel betting, which is legalised by the Interstate Horseracing Act of 1978.
I am extremely pleased also to announce that Global Coresports Limited, in which betinternet. has a 17.3% stake, has last week launched its first product, coreFootball, a dynamic football management game using artificial intelligence. The board is confident that the game will be well received and that it will take skill-based gaming to a new level. The website can be found at www.corefootball.com.
The company anticipates announcing its interim results for the 26 weeks to 26th November 2006 in February 2007.
The board is pleased that the current management team have added a renewed focus on the key elements of the business and have demonstrated that we have the correct strategies in place to ensure a full year profit.’