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HIGHEST QUARTERLY REVENUE IN HISTORY FOR JAXX SE
Growth driven by the sports betting area.
German gambling developer and supplier, JAXX SE formerly JAXXAG announced its highest quarterly revenue results in the history of the company.
The company posted a consolidated revenue of Euro 41 million in Q4/2010 (Q4/2009: Euro 37.3 million) an increase of 10 percent. The increase is attributed to a rise in sports betting, an area the company has been focusing on since its restructuring last year.
In the fourth quarter EBIT amounted to Euro -1.5 million (Q4/2009: Euro 0.3 million) which the firms says is influenced by weak performance in the Spanish market and a significant increase in the marketing budget for the expansion of the sports betting business.
A company spokesman said: "This is part of the JAXX Group's new strategy. It is generally expected that the sports betting market in Germany is about to undergo comprehensive liberalisation. JAXX is now preparing for this process with the myBet brand and strengthening its market position.
“JAXX expects that over the next few months the federal state governments will prepare new legislation, to take effect from 2012, that will permit the licensing of private sports betting in Germany. In September 2010 the ECJ had prepared the way for liberalisation in Germany through its high-profile ruling. Through the myBet brand, JAXX aims to establish its position among the top three sports betting providers."
Provisional figures for the fiscal year 2010 show that the JAXX Group increased revenue by 17 percent to Euro 134 million (2009: Euro 114.5 million).
To finance its further growth, JAXX SE intends to implement a capital increase by way of a rights issue exclusively for shareholders and intends using the proceeds to acquire around 80,000 new active customers in 2011, open some 400 new myBet betting shops and further develop the myBet brand.
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