ZEAL Network SE: Adjustment of forecast due to winnings payout

ZEAL Network SE / Key word(s): Change in Forecast
17.05.2016 20:24

Dissemination of an Ad hoc announcement according to § 15 WpHG, transmitted by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

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In a secondary lottery held by MyLotto24 Limited, a fully consolidated minority shareholding of ZEAL Network SE, a player has won a prize of approximately EUR 37 million.

The majority of the prize is covered by a special insurance held by MyLotto24, which is independent of the ILS hedging structure of high jackpot pay-outs. Consequently, the pay-out will not affect the self- retention of the ILS hedging structure. However, the pay-out of the non- covered part will impact Total Operating Performance and consolidated EBIT in the current fiscal year 2016 by approximately EUR 17 million.
While statistical fluctuations are inherent to the secondary lottery business model, MyLotto24 Limited has had prize pay-outs above the statistical average in the current year to date. ZEAL has therefore adjusted its Total Operating Performance and EBIT guidance for the current fiscal year 2016. Taking into account the favorable development and performance of the business in the first months of the year and assuming a normal course of business in the remaining year (i.e. absence of very large jackpots, winnings payouts around the statistical average), ZEAL reduces its Total Operating Performance guidance for 2016 from EUR 140-150 million to EUR 125-135 million and its EBIT guidance from EUR 40-50 million to EUR 25-35 million.


17.05.2016 The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
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Language:     English
Company:      ZEAL Network SE
              5th Floor One New Change 
              EC4M 9AF London
              United Kingdom
Phone:        +44 (0)20 3739-7000
Fax:          +44 (0)20 3739-7099
E-mail:       office@zeal-network.co.uk
Internet:     www.zeal-network.co.uk
ISIN:         GB00BHD66J44
WKN:          TPP024  
Indices:      SDAX
Listed: Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Munich,               Stuttgart
 
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