DGAP-News

mybet Holding SE: operating turnaround successfully launched in 2014 financial year - Seite 3

operational core skills. The Management Board believes implementing the
necessary product innovations and platform optimisations will be decisively
influence how successful the turnaround is in the current year 2015. Sven
Ivo Brinck: "The turnaround at mybet is still continuing. The focus for
2015 is emphatically on the product and the brand. According to the maxim
of Product and Customer First, we are pursuing three specific goals: a
clear brand promise, a perfect product, and excellent customer service -
not just in the betting shop and on the fixed web, but also on your mobile
phone."

The Management Board foresees two possible scenarios for the 2015 financial
year. In a basic scenario, it expects revenue of between EUR 70 and 75
million. Chief Financial Officer Markus Peuler elaborates: "Essential
investment in products and systems, persisting regulatory and legal
barriers to capitalising on further opportunities for growth as well as
negative exceptional effects from the introduction of value-added tax for
casino and poker games will all influence mybet's revenue and earnings. We
therefore expect balanced earnings before interest and taxes as the basic
scenario, assuming a steady development in revenue. It should be taken into
account that the new rules on sales tax throughout the EU will impose a tax
burden - of which we were as yet unaware in 2014 - of just under EUR 2
million on a number of our products from 2015. Without this additional
burden the planned result would be around EUR 2 million higher.
Unfortunately the introduction of sales tax eats up the entire earnings
growth."

In an alternative scenario, the Management Board is examining additional
investment in technology and products. According to Markus Peuler, this
would have the following effects on the forecast: "If, after our
examinations, we decide in favour of technologically extending the sports
betting product range, the upper end of our revenue forecast of EUR 75
million could be achieved or, in the best case, just exceeded. However the
additional outlay required would mean our best-case EBIT would then
probably come in at EUR -0.5 million. This scenario envisages that the
investment spending will pay healthy dividends from the 2016 financial year
and might consequently produce overproportional rises in income.

The full 2014 Annual Report with the audited Consolidated Financial