Lotto24 AG: Strong third quarter 2014 with 84 thousand new customers, guidance confirmed

Lotto24 AG  / Key word(s): Preliminary Results

14.10.2014 07:32

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Ad hoc announcement acc. to Sec. 15 WpHG

Lotto24 AG: Strong third quarter 2014 with 84 thousand new customers,
guidance confirmed

(Hamburg, 14 October 2014) According to preliminary figures, Lotto24 AG
achieved billings of EUR 20.7 million (prior year: EUR 9.0 million) and
revenues of around EUR 1.9 million (prior year: EUR 0.8 million) in the
third quarter of 2014. After the first nine months, billings and revenues
thus amounted to EUR 57.5 million (prior year: EUR 16.3 million) and EUR
5.3 million (prior year: EUR 1.4 million), respectively. Gross margin for
the first nine months amounted to 9.2% (prior year: 8.9%), thanks to an
encouraging 9.3% (prior year: 8.7%) in the third quarter of 2014.
Lotto24 AG succeeded in attracting its largest ever number of new
registrations in a single quarter with 84 thousand newly registered
customers in this period (prior year: 70 thousand), according to
preliminary calculations. Adjusted for seasonal and jackpot-dependent
fluctuations, Lotto24 is fully in line with its expectations for new
customers in 2014 having reached 219 thousand in the first nine months of
2014 and having thus increased total registered customers to 456 thousand
as of 30 September 2014.
Cost per lead (CPL) of EUR 43.55 in the third quarter was also down on the
two preceding quarters (EUR 47.30 and EUR 44.64 in the first and second
quarters, respectively) despite the continued absence of major jackpots:
with just two »Lotto 6aus49« jackpots marginally above the EUR
10-million-mark, and thus an exceptionally high number of small jackpots
under EUR 10 million, the German lottery market was again modest in the
third quarter of 2014 - despite the boost from a EuroJackpot win of EUR 60
million in September.
Providing the regulatory conditions remain unchanged, Lotto24 AG expects a
strong year-on-year increase - of up to three times the prior-year figure -
in billings and revenues for fiscal year 2014, depending on the jackpot
situation. Gross margin is likely to be similar to that of the previous
year. As revenues are still comparatively low and marketing expenditure has
been increased strongly, losses are expected to be higher than in 2013 with
regard to both EBIT and net profit. Moreover, the company expects to add at
least 300 thousand new customer registrations in 2014 - also depending on
the jackpot situation.
The complete quarterly financial report as of 30 September 2014 will be
published on 12 November 2014.

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Language:     English
Company:      Lotto24 AG
              Straßenbahnring 11
              20251 Hamburg
Phone:        +49 (0)40 8 222 39 0
Fax:          +49 (0)40 8 222 39 70
ISIN:         DE000LTT0243
WKN:          LTT024
Listed:       Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
              in Berlin, Düsseldorf, Hamburg, München, Stuttgart
End of Announcement                             DGAP News-Service