Online gaming firm Tipp24 anticipates a strong year ahead based on current results and its re-entry into the German market via subsidiary Tipp24 Deutschland GmbH (in future Lotto24 AG).
Key Performance Indicators:
– Increase in consolidated revenue of 5.7 percent to Euro 35.4 million (Q1/2011: Euro 33.5 million).
– Earnings before interest and taxes (EBIT) improved by 3.5 percent to Euro 12.0 million (Q1/2011: Euro 11.6 million)
– Consolidated net profit rose by 15.5 percent to Euro 8.7 million (Q1/2011: Euro 7.6 million)
– EBIT margin reached 34.0 percent, compared to 34.7 percent in the same period last year
– Abroad segment again made the strongest contribution to business with revenue of Euro 35.9 million (Q1/2011: Euro 34.1 million)
– Revenue in the German segment totalled Euro 0.1 million (Q1/2011: Euro 0.2 million) in the first three months.
The company will spin-off Lotto24 AG and form an independent listed company as it considers any legal connection between the two companies may jeopordise further permit application processes in other German states. Lotto24 AG will concentrate solely on brokering state lotteries in Germany.
Following Lotto24 AG’s spin-off, Tipp24 will focus on the expansion of its foreign business with emphasis on the development of a new division that will provide internet services for lottery companies.