ZEAL Network SE: ZEAL achieved strong earnings growth in the first nine months driven by a robust underlying performance
Nov 13, 2015 7:15 AM
DGAP-News: ZEAL Network SE / Key word(s): 9-month figures Press release ZEAL achieved strong earnings growth in the first nine months driven by a robust underlying performance - Total operating performance: Hedging income and high jackpot months offset majority of impact from high prize pay-outs - EBIT up 85.8% to EUR 20.7 million - Growth of earnings per share to EUR 0.97 per share - Dividend pay-out expected to be at least EUR 2.80 for 2016 - ZEAL reiterates its guidance from 2 September 2015 (London, 13 November 2015) ZEAL Group performed solidly in the first nine months of 2015 and the growth strategy is progressing in line with plan. Throughout the period the Group has expanded its product portfolio in the Business-to-Consumer segment and continues to make headway towards its strategic goals in the Business-to-Business/Business-to Government segment. Dr. Helmut Becker, Chief Executive Officer: "ZEAL has achieved a robust profit increase in the first nine months of 2015, despite exceptionally high prize pay-outs. We are also gaining traction with new gaming product initiatives launched earlier this year that are driving an increased revenue per customer." During the period, the Group's underlying business performance remained strong. ZEAL delivered EBIT growth of 85.8% resulting from a reduction in operating expenses, income from hedging instruments and the benefit of exceptionally high jackpots that drove higher than average player involvement in July and September. This in turn mitigated the adverse EBIT impact of exceptionally high prize pay-outs in May and September. Correspondingly consolidated net profit for the period rose significantly to EUR 8.2 million from EUR 1.1 million in the previous year and EPS rose from EUR 0.12 in 2014 to EUR 0.97 in the current period. As a result of the high prize pay-outs, consolidated revenue decreased to EUR 51.9 million (prior year: EUR 105.4 million) in the first nine months, whilst total operating performance was down by EUR 17.0 million to EUR 91.9 million. The Group uses total operating performance as a measure for top-line guidance in order to include income from hedging instruments. In the period total operating performance benefitted from hedging instruments income of EUR 38.3 million. In line with its dividend policy, ZEAL paid out its third interim dividend of EUR 0.70 per share at the end of September. ZEAL anticipates the final quarterly dividend payment of EUR 0.70 in December 2015 completing total dividends of EUR 2.80 per share in the current year. The Group intends to continue quarterly payments of at least that amount in 2016 and future years. Outlook for 2015 The strategic outlook of the Group remains unchanged with attractive growth opportunities in the company's target markets. The Group remains well positioned to capitalise on opportunities arising from changes to regulatory conditions and relatively low internet penetration of the lottery industry. Selected Financials:
*** About ZEAL Network SE: 2015-11-13 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement. The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de |
Language: | English | |
Company: | ZEAL Network SE | |
5 th 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 | |
End of News | DGAP News Service |
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