The board of Webis Holdings plc (“the Company”), the global on-line gaming group, is pleased to announce that the Company’s trading for the first six months of its financial year was in line with expectations, with a profit being achieved at an operational level.
Within the last six weeks, the Company has seen a return to previous levels of turnover and revenue within its pari-mutuel business, European Wagering Services, and we now anticipate good levels of growth in the remainder of the financial year. We have now established multiple solutions for both deposit and withdrawals and these solutions are meeting the expectations of our global customer base.
The sportsbook business has benefited from the software release that was introduced in October, which included enhancements to our horse racing product. In addition, the opportunity to include Asian Handicaps in multiple bets has been well received by our customers and this has led to a significant increase in the overall turnover on higher margin multiple bets.
All of our sportsbook prices are now being actively marketed through one of the main odds-comparison websites and we plan further promotional activity related to our horse racing product in the new calendar year.
The revenue from the casino and fixed-odds games products continues to grow and accounted for 60% of the sportsbook’s total revenue in the period.
The Company’s overheads have also been further reduced by approximately 5% as we continue to add more efficient processes in all areas of operation, without any impact on our customers’ experience. We expect these reductions to continue in the second half of the financial year.
In relation to the Company’s investment in Global Coresports, the board has been reviewing this situation closely and is now of the view that, in the absence of further funding, Global Coresports has insufficient funds to continue to trade. Accordingly, our investment has been fully written down which will result in an exceptional charge of £314,000 in our interim results for the period to 25 November 2007.
Both the sportsbook and pari-mutuel businesses are operating at full strength and the board anticipates a stronger second half performance.
The board is also pleased to announce that it has secured an additional £425,000 of funding from its majority shareholder, Burnbrae Ltd, subject to approval by the relevant regulatory authorities. These funds will be used for working capital, further website development and marketing.