bwin Interactive Entertainment AG - Q4 and Financial Year 2010bwin Interactive Entertainment AG - Q4 and Financial Year 2010

    VIENNA, March 23, 2011 /PRNewswire/ --

    EUR million           Q4 2010  Q4 2009   % YoY   2010    2009    % YoY

    Gross gaming revenues  130.8    132.9    -1.6%  514.5   446.6    15.2%
    Net gaming revenues    103.1    109.8    -6.1%  408.0   373.0     9.4%
    Total revenues         115.0    125.4    -8.3%  457.2   433.8     5.4%
    EBITDA (adjusted*)      20.9     34.3   -39.0%   72.0   102.2   -29.5%
    EBIT                     2.7     21.2   -87.3%   11.7    51.2   -77.2%
    Result after tax         5.2     19.3   -73.0%   13.9    46.3   -69.9%

Development of business in Q4 2010 defined by forthcoming merger

- bwin established as one of the leading poker providers in France and a top three player in Italy ahead of further product expansion in 2011

- Preparations for forthcoming regulation in a number of European markets resulted in one-off expenditure for consulting and system development

- Continuing increase in turnover and customer volume in sports betting segment

- Gross gaming revenues slightly down year-on-year due to lower sports betting margin and intense competition in poker, but significant increase versus Q3 2010

- EBITDA impacted by IT-related expenditure in preparation for merger with PartyGaming and forthcoming regulation in Europe

- Reorganisation by product segments in preparation for the merger with PartyGaming successfully completed

- Conclusion of merger scheduled for 31 March 2011

Current development of business above expectations coupled with reduction of costs

- Average daily gross gaming revenues (1 January - 17 March 2011) up 10.5% compared to Q4 2010 and up 6.2% compared to Q1 2010 to EUR 1.57 million

- Average daily net gaming revenues (1 January - 28 February 2011) up 5.2% compared to Q4 2010 to EUR 1.18 million

- Expenses for services received (e.g. external software writing and maintenance, consulting) for January and February 2011 down by approximately 15% compared to the monthly average of Q4 2010

Q4 2010 (pro forma consolidated)

- Gross gaming revenues of EUR 130.8 million (Q4 2009: EUR 132.9 million)

- Record sports betting turnover of EUR 917.0 million (Q4 2009: EUR 786.4 million)

- Sports betting margin of 7.1% (Q4 2009: 8.5%)

- Net gaming revenues of EUR 103.1 million (Q4 2009: EUR 109.8 million)

- Active customers: 1,213,000 active and 305,000 new active real-money customers (minus 2.5% and plus 2.4% respectively)

- EBITDA (adjusted*) of EUR 20.9 million (Q4 2009: EUR 34.3 million)

- Result after tax of EUR 5.2 million (Q4 2009: EUR 19.3 million)

Financial year 2010 (pro forma consolidated, including bwin e.K.)

- Gross gaming revenues up 15.2% to EUR 514.6 million (2009: EUR 446.6 million)

- Net gaming revenues up 9.4% to EUR 408.0 million (2009: EUR 373.0 million)

- Active customers: 2,606,000 active and 1,283,000 new active real-money customers (plus 9.0% and plus 16.4% respectively)

- EBITDA (adjusted*) of EUR 72.0 million (2009: EUR 102.2 million)

- Result after tax of EUR 13.9 million (2009: EUR 46.3 million)

* Excluding non-cash expenses in connection with share-based payment (IFRS 2) and one-off effects in connection with proposed merger.

The complete report on the results of the fourth quarter 2010 can be found online on the bwin investor relations website at http://www.bwin.org, where it can also be downloaded in pdf format.

    Further Information:

    Investors:

    Konrad Sveceny, Investor Relations
    bwinInteractive Entertainment AG
    Borsegasse 11, 1010 Vienna, Austria
    Tel.: +43(0)50-858-20017
    E-mail: [email protected]
    http://www.bwin.org


    Press:

    Matthias Winkler
    bwinInteractive Entertainment AG
    Borsegasse 11, 1010 Vienna, Austria
    Tel.: +43(0)50-858-20067
    E-mail: [email protected]
    http://www.bwin.org

SOURCE bwin Interactive Entertainment AG