Tipp24 AG: Sales and earnings in Germany collapse - Growth abroad

Tipp24 AG / Quarter Results

Release of an Ad hoc announcement according to § 15 WpHG, transmitted by DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.

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Due to the considerable legal restrictions imposed by the German State Treaty on Gaming and the resulting significant cost of winding up the company's core business in Germany, EBIT from German operations was well down on the previous year at EUR -3,077 thousand (prior year: EUR 3,158 thousand). Thanks to the much stronger focus placed on expanding international business, however, EBIT for the 'Abroad' segment was well above the prior-year figure at EUR 17,912 thousand (prior year: EUR -576 thousand). As a result, consolidated EBIT of Tipp24 AG and its investments grew from EUR 2,687 thousand last year to EUR 14,635 thousand in the first three months of fiscal 2009. The EBIT margin rose by 34.5 percentage points to 58.1 percent. Consolidated net profit for the period increased from EUR 1,876 thousand to EUR 11,869 thousand. Revenues rose by 121.7 percent to EUR 25,209 thousand (prior year: EUR 11,373 thousand).
There is still considerable legal uncertainty in the company's previous core market, Germany. At the same time, planning certainty in the Abroad segment is comparatively low as yet especially for the new business activities. It is therefore impossible to make a reliable forecast for revenues and earnings at this moment in time. The company expects to be able to make a reliable forecast again in the medium term once the legal situation has been settled as far as possible and more experience has been gained outside Germany.
28.05.2009  Financial News transmitted by DGAP

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Language:     English
Issuer:       Tipp24 AG
              Straßenbahnring 11-13
              20251 Hamburg
              Deutschland
Phone:        +49 (0)40 325533-0
Fax:          +49 (0)40 325533-77
E-mail:       office@tipp24.de
Internet:     www.tipp24-ag.de
ISIN:         DE0007847147
WKN:          784714
Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin, Düsseldorf, Hamburg, München, Stuttgart  
End of News DGAP News-Service  

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