German online sports operator upgrades forecast
The German online sports betting operator Mybet has posted improved numbers for the first nine months of the year, boosted by the company's third quarter, which achieved a 6 percent rise in revenues compared to the corresponding period last year.
Mybet reported the following nine-month highlights:
* Revenue of around Euro 52 million up 12.4 percent year-on-year;
* EBIT (before interest and taxes) of Euro 214,000 – ahead of target and an improvement of Euro 4.2 million on 2013;
* Revenue guidance for 2014 confirmed, full-year EBIT forecast increased;
* Net profit/loss for the nine month period – Euro 94,000;
* EBITDA recovered from a loss of Euro 1.5 million in 2013 to a positive Euro 1.8 million this year;
* Since the start of the year Mybet has taken a wide range of measures designed to improve performance and establish sustained profitability. The revenue growth and improved operating result (EBIT) in the period under review reflect its initial success in this respect, Management reports;
* Consolidated revenue was 6.1 percent up on the previous year at Euro 52.3 million;
* Loss making operations in Spain under the Digidis brand were sold in the third quarter;
Sven Ivo Brinck, CEO of Mybet Holding SE, said the company had been able to increase its revenue as planned.
"This performance and the structural improvements show that Mybet is on the right track," he said, adding that based on the better than anticipated nine month operating result and non-recurring effects from the sale of Italian subsidiary Mybet Italia SRL, the company expects full-year EBIT to come in higher than forecast at between Euro 500,000 and Euro 650,000 – an improvement on the break-even expectations earlier.
He said that revenue expectations remain unchanged at between Euro 70 million and Euro 75 million.
Brinck reported that the Sports Betting and Horse Betting verticals compensated for the decline in the online casino and poker operations and the firm's exit from the lottery business.
Sports Betting revenue in the first nine months reached Euro 30.1 million, 23.3 percent up on the previous year. Growth in the sports betting shops and the FIFA World Cup boosted business.
However, in the Casino and Poker vertical, revenue fell by 6.2 percent to Euro 16.4 million. The prior-year figure included revenue from European markets that are now regulated and in which Mybet ceased to operate in mid-2013.
Horse Betting revenues grew by 32.1 percent to Euro 5 million, thanks mainly to strong growth in online business lay behind this development.
C4U-Malta Ltd., revenues declined, falling from Euro 831,000 to Euro 769,000.
At the end of the third quarter of 2014 the company had cash and cash equivalents amounting to Euro
9 million, up one million Euros on the amount recorded on December 31, 2013.
Giving his opinion on future prospects, Brinck said that the Hesse Ministry of the Interior and Sports has licensed Mybet for German sports betting operations, and the company intends to capitalise on this advantage.
Online Casino News Courtesy of Infopowa