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15 Jun 2009 07:00
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15Ā June 2009
Webis Holdings plcĀ ("the Company")
Trading Update
The board of Webis Holdings plc, the global on-line gaming group, is pleased to provide the following trading update in relation to the Company's performance for the financial year endedĀ 31 May 2009.
The Company hasĀ generatedĀ strong year-on-yearĀ growthĀ in trading,Ā bothĀ withinĀ its sportsbook operation,Ā betinternet.comĀ ("betinternet")Ā and its pari-mutuel business, European Wagering Services ("EWS").Ā The board is particularly encouraged that thisĀ growth, which is attributed to the Company's ability to adapt and innovate inĀ a fast-movingĀ industry,Ā has been achievedĀ despite theĀ challenging economic environment.Ā WeĀ believeĀ thatĀ the CompanyĀ is well-placed toĀ continue toĀ increaseĀ itsĀ marketĀ shareĀ in the coming months.Ā
Growth in EWS'Ā businessĀ has been achieved despite aĀ generalĀ backdrop ofĀ fallingĀ revenues across the pari-mutuel industry in theĀ United States. Encouragingly, EWS has generated an increase in player numbersĀ through itsĀ link2bet.comĀ website as the customer-focused enhancements introduced have begun toĀ have aĀ positiveĀ effect. EWS' B2B business has remained resilient, although ourĀ call-centre business has shown some volatility in throughput.Ā The board remains optimistic that the ongoing investment in the website will provide a strong platform for growth during the forthcoming financial year.
betinternet hasĀ generatedĀ a sustainedĀ increaseĀ inĀ revenuesĀ across all of itsĀ businessĀ streams, andĀ especiallyĀ fromĀ its fixed-odds sports betting channel,Ā duringĀ the second half of the year.Ā This upliftĀ has beenĀ driven byĀ both theĀ Company'sĀ continuedĀ investmentĀ in targeted marketing andĀ theĀ launchĀ of aĀ newĀ affiliates'Ā programĀ in NovemberĀ 2008.Ā The introduction of new content, including the upgradedĀ 'In-Running'Ā footballĀ product,Ā hasĀ also beenĀ aĀ strong driverĀ of revenue growthĀ for the business.Ā However, the overall sportsbook gross margin remains lower than the boardĀ isĀ targetingĀ andĀ the fixed-odds marginĀ inĀ particularĀ wasĀ impacted by some unfavourable results in the last weeks of the European football season.Ā Following the implementation ofĀ our targeted marketingĀ program,Ā ourĀ UKĀ business now accounts for a higher proportion of sportsbook revenues than previously, althoughĀ totalĀ revenuesĀ areĀ still largely dominated byĀ business from theĀ Far East.Ā Demand forĀ betinternet'sĀ onlineĀ casinos and gamesĀ remainsĀ resilientĀ and still accountsĀ for approximately two-thirds of the sportsbook'sĀ totalĀ revenue.
The CompanyĀ expects to release itsĀ preliminaryĀ resultsĀ announcementĀ for the year endedĀ 31 May 2009Ā duringĀ SeptemberĀ 2009.
For further information:
|
Webis Holdings plc Garry Knowles, Managing Director |
Telephone: 01624 698141 |
|
Evolution Securities Limited Joanne Lake/Peter Steel |
Telephone: 0113 243 1619 |
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