Aussie online group on course for double digit net pro

22.02.2008

The Alexandria-based online gambling group Centrebet has reported a A$5.9 million net profit for the first half of the year, and predicts growth of up to 10 to 15 percent, with full-year profits in the range of A$13 to A$13.6 million, it announced this week.

The company is ahead of schedule in its plans to launch a new sportsbetting operation branded SportsOdds in a strategic alliance with Fairfax Digital that opens the way for well directed marketing and promotion as well as access to a range of high volume
sports websites.

Total wagering turnover rose 5.7 percent to A$406 million despite the Equine Influenza outbreak, with a win
rate of 5.6 percent in the period under review. Strong trading in January and February has resulted in a YTD
win rate of 6.0 percent.

Overall gaming revenues increased sharply by 49 percent off the back of a 76 percent rise in the Centrebet's Orbis-powered online casino product and a 9 percent rise in the Poker product, powered by Microgaming. This has stemmed from improved marketing initiatives, including the cross selling of products to Centrebet’s wagering customer base and the acquisition of gaming
only customers.

“Wagering trading remains robust and points to a strong second half, consistent with the trend of the previous
two years,” commented Chairman Graham Kelly.

“Casino growth has been supported by regular releases, the promotion of new games and the launch of ‘Flash’
casino games, which can now be conveniently accessed by customers through the sports wallet” he added.

Managing Director Con Kafataris said, “Our active clients grew by 17 percent to 59 057 in the first six
months, with the Affiliate Program accounting for 29 percent of all new customers.”

Kafataris said he was excited about the prospects of the company’s new SportOdds wagering website.
This breakthrough initiative provides SportOdds the ability to advertise initially in the NSW Market, ahead of
national expansion subject to regulatory approval.

“The alliance with Fairfax Digital and the first use of the white label capabilities of our OpenBet wagering IT
platform demonstrates Centrebet’s ability to deliver on its objective of working with third parties to build its
wagering and related services business,” he added.

Kafataris said the mobile phone wagering service on sport and racing was on target to broaden its operational footprint this year through activation of Blackberry and Windows-based phones, development of a WAP betting application and the introduction of European language versions.