Webis Holdings plc, the global on-line gaming group, today announces its interim results for the period ended 28 November 2010.
HIGHLIGHTS:
· | Profit for the period of £162,000 (2009: loss of £58,000)
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· | Group turnover of £55.6 million (2009: £56.4 million)
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· | betinternet sportsbook turnover of £36.2 million (2009: £38.0 million)
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· | European Wagering Services’ turnover of £19.4 million (2009: £18.4 million)
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· | Gross profit increased by 11% to £1.62 million (2009: £1.46 million); gross margin increased by 0.33% to 2.92% (2009: 2.59%)
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· | Increase in EBITDA to £301,000 (2009: £87,000)
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· | European Wagering Services obtains North Dakota Pari-mutuel hub operating licence
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· | betinternet upgrades games including the addition of CTXM ‘real-time’ casino
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Commenting on the results, Denham Eke, Chairman of Webis Holdings plc, said:
"I am pleased to report that the Group generated a net profit during the first six months of the financial year. Our betinternet.com sportsbook recorded a pre-tax profit following a successful World Cup tournament last summer, where the results were generally favourable for bookmakers. During the early part of the football season, the division’s gross margin was also more stable than the prior year. European Wagering Services ("EWS"), our pari-mutuel operation, generated an overall increase in turnover during the period. However, the division’s higher margin business was affected by the withdrawal of payment processing services for part of the period. EWS broke even at net profit level as a result.
Overall conditions in the markets served by the Group remain challenging. The board believes, however, that EWS is now well positioned for growth in the US market following the division’s acquisition of a US licence. Whilst the benefits of our growth strategy for EWS may not become apparent until the new financial year, the board is of the view that it is important to invest in this part of the Group for the future benefit of shareholders. As previously announced, the board is reviewing it strategy for betinternet and this process is continuing. The board will provide a further update to shareholders as appropriate."
ENDS