DGAP-News
Tipp24 SE: Report on the first nine months of 2014
DGAP-News: Tipp24 SE / Key word(s): Quarter Results
Tipp24 SE: Report on the first nine months of 2014
13.11.2014 / 07:59
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Tipp24 SE shows stable revenue trend in the first nine months
- Revenues of EUR 105.4 million - adjusted on prior-year level
- EBIT of EUR 11.1 million - adjusted EUR 8.9 million
- Planned name change to ZEAL Network SE reflects the company's wider
strategic focus
(London, 13 November 2014) Tipp24 SE reported a stable revenue development
in the first nine months of the current fiscal year while the company
continued to significantly invest in new business fields. The company
slightly increased its consolidated revenues in the reporting period to EUR
105.4 million (prior year: EUR 104.4 million). Consolidated EBIT decreased
considerably to EUR 11.1 million year-on-year (prior year: EUR 26.2
million). This was mainly induced by increased personnel and other
operating expenses in the context of building up new business fields,
higher marketing expenses and increased hedging costs as well as consulting
fees for the renewal of the hedging structure.
Compared with the prior-year period, the EBIT margin declined from 24.8
percent to 9.1 percent. Tipp24 however remains confident that the higher
expenses in the current year will not lead to a permanent increase of the
cost base.
Adjusted for random statistical effects, consolidated revenues reached EUR
98.0 million and thus matched the prior year's level (EUR 97.9 million).
The similarly adjusted EBIT amounted to EUR 8.9 million (prior year: EUR
24.3 million).
As a result of the lower operating result and a higher tax rate,
consolidated net profit in the first nine months amounted to EUR 1.1
million, well below the previous year's level (EUR 18.4 million). Earnings
per share amounted to EUR 0.12 (prior year: EUR 2.24).
Dr. Hans Cornehl, Chief Executive Officer of Tipp24 SE: "After the first
three quarters, revenues and earnings are in line with our revised forecast
in early August. We are making good progress with the establishment of new
businesses. At the end of September for instance, we started GeoLotto, an
innovative geographical based online lotto game in the United Kingdom."
After the relocation of the Tipp24 headquarters to London at the beginning
of the year, the company is taking the next step in its development by
renaming the company ZEAL Network SE. The planned name change reflects the
company's wider strategic focus which has expanded over the past few years
beyond the original consumer-facing business. If shareholders accept the
proposal at the Extraordinary General Meeting in London on 19 November 2014