Monday August 17,2015 : ZEAL NETWORK TRIPLES EBIT IN LATEST RESULTS
Future looks bright, says CEO
ZEAL Network (formerly Tipp24) has tripled EBIT in the first half of 2015 but said revenue was impacted by a single high jackpot payout of Euro 47.9 million.
According to ZEAL, the implementation of the UK POC tax regime has had a positive impact allowing it to capitalise on a significant decrease in operating expenses mainly driven by a decrease in the gaming duty due to HM Treasury.
Other key performance highlights for HY1/2015 include:
– EBIT increased from Euro 6.0 million to Euro 18.5 million.
– Net profit of Euro 12.7 million (HY1/2014: Euro 1.5 million).
– A decline in consolidated revenue from Euro 68.2 million to Euro 25.7 million, reflecting the high prize pay-out. “The negative revenue effect was partly offset by a payment receivable from the hedging structure amounting to EUR 38.3 million”.
– Second interim dividend of Euro 0.70 was paid out at the end of June.
“We have delivered strong earnings growth in the first half of the year and are on track to achieving our full-year targets,” said Dr Helmut Becker, designated Chief Executive Officer of ZEAL. “The company is well-positioned for further success while we continue to execute on our growth initiatives".
ZEAL expects a full year operating performance in the range of Euro 135 to 145 million and consolidated EBIT between Euro 35 and 45 million.
In related news, Dr Helmut Becker will officially assume the role of chief executive officer on September 1, 2015 while Susan Standiford was appointed as chief technology officer.