Bet-at-home.com AG: significant increase in revenue and earnings in the first half year 2017

Consolidated results for the first half year 2017 (1 January to 30 June 2017):

• Gross betting and gaming revenue up 17.5% to EUR 76.8 million
• EBITDA of EUR 17.4 million in H1 2017 - thereof EUR 12.4 million in Q2 2017
• Current liquid assets and securities of EUR 77.8 million
• Guidance for full year 2017 confirmed

Dusseldorf, 31. July 2017. In the first half of 2017, the listed online sports betting and gaming provider continued its successful development and could clearly outperform the dynamic growth of the previous reporting periods once again in the second quarter of 2017.
 
Significant increase in gross betting and gaming revenue:
In the first half of 2017, gross betting and gaming revenue amounted to EUR 76.8 million, 17.5% up on the comparable period in the previous year (H1 2016: EUR 65.4 million). The gross betting and gaming revenue of EUR 39.6 million in Q2 2017 constitutes the highest quarterly result in the history of the bet-at-home.com AG Group. The betting and gaming volume of the bet-at-home.com AG Group totalled 1,688.6 million in the first half of 2017 (H1 2016: EUR 1,369.6 million), representing 23.3% year on year growth.
 
In the first half of 2017, the betting fees and gambling levies increased to EUR 10.1 million corresponding with the increase in gross betting and gaming revenue (H1 2016: EUR 8.0 million). The VAT regulations for electronic service providers in the European Union resulted in an expense of EUR 5.2 million in the first six months of the financial year 2017 (H1 2016: EUR 4.3 million).
 
The net betting and gaming revenue therefore increased by 15.9% to EUR 61.5 million (H1 2016: EUR 53.1 million).
 
Strong earnings development by continuing investments in the bet-at-home.com brand:
Having a value of EUR 17.4 million in the first half of 2017, the EBITDA nearly doubled compared to the prior-year equivalent figure (H1 2016: EUR 9.0 million). The EBITDA in Q2 2017 amounted to EUR 12.4 million, hence reaching a new record level on a quarterly basis in the company's history. In the first six months of the 2017 financial year, EBIT amounted to EUR 16.7 million, thus EUR 8.2 million up year-on-year (H1 2016: EUR 8.5 million), representing an increase of 97.2%.
 
By investing the large amount of cash and cash equivalents and issuing short-term loans at arm's length terms and conditions to the majority shareholder of bet-at-home.com AG, the Group's financial result amounted to EUR 0.5 million in the first half of 2017. The decrease in comparison to the previous year's reporting period (H1 2016: EUR 1.1 million) is a consequence of the gradual repayment of loans granted. In the first half of 2017, earnings before taxes (EBT) therefore amounted to EUR 17.2 million (H1 2016: EUR 9.6 million).
 
Strengthening of the popularity of the brand and development of the customer base:
Due to the absence of major football events in the fiscal year 2017, total marketing costs therefore amounted to EUR 24.2 million in the first half of the year, as planned, thus EUR 2.4 million lower year-on-year (H1 2016: EUR 26.6 million). Despite a decline in marketing expenses the gross betting and gaming revenue increased by 17.5% compared to the reference value from half year 2016 and could even exceed the already strong revenues during this reporting period which was particularly affected by the European Football Championship 2016. This underlines once again the sustainable success of the customer acquisition and retention measures. As at 30 June 2017, the bet-at-home.com AG Group had more than 4.7 million registered customers (30.06.2016: 4.5 million).
 
In the first half of 2017 other operating expenses amounted to EUR 11.4 million (H1 2016: EUR 9.5 million). This increase resulted from higher gross betting and gaming revenues compared to the previous reporting period.
 
Stable asset and capital structure: 
Taking account of an equity-reducing dividend payout of EUR 52.6 million, implying EUR 7.50 per share, consolidated equity amounted to a total of EUR 68.2 million as of 30 June 2017 (31 December 2016: EUR 109.6 million), equivalent to a 71.8% consolidated equity ratio (31 December 2016: 75.4%).
 
The bet-at-home.com AG Group also held liquid assets and current securities in the amount of EUR 77.8 million as of 30 June 2017 (31 December 2016: EUR 91.8 million). In the course of Q2 2017, the outstanding amount of EUR 21.0 million of the current loan to the main shareholder was repaid completely.
 
Outlook:
The Management Board still expects gross betting and gaming revenue increasing to EUR 144 million in the 2017 fiscal year. Furthermore, the Management Board assumes EBITDA to reach a level between EUR 34 million and EUR 38 million in 2017.
 
About bet-at-home.com:
The bet-at-home.com AG Group is active in the domain of online gaming and online sports betting. With more than 4.7 million registered customers throughout the world, the company (which is listed on the Frankfurt stock exchange) represents, together with its subsidiaries, one of Europe's most successful gambling providers. The varied options offered on www.bet-at-home.com include sports betting, poker, casino, games and virtual sports. bet-at-home.com has companies in Germany, Austria, Malta and Gibraltar. The successful development of the company can be attributed to its 296 employees as at 30 June 2017. The Group holds various licences via its Maltese companies for online sports betting and gaming. The licences allow the company to organise and market online sports betting and online casinos. Since 2009, bet-at-home.com AG has been a part of the Betclic Everest SAS Group, which is a leading French Group in the domain of online gaming and sports betting.