FY 2013 Guidance

Apr 29, 2013

Jumbo Builds Infrastructure for International Expansion

  • Higher projected TTV $102 - $106 million and steady revenue of $24 - $25 million.
  • On a reported basis after international expansion expenses and various abnormalities, projected EBITDA $5.3 - $6.1 million and projected NPAT $2.2 - $2.8 million.
  • On a like-for-like basis, projected EBITDA $11.0 - $11.8 million and projected steady NPAT $6.2 - $6.8 million.
  • Total cash at end of financial year projected $14 - $15 million (net of customer funds).
  • Mexico scheduled to go live in July 2013.
  • Germany progressing towards go live in October 2013.
  • Full year dividend to be maintained at least at current 3 cents per share rate (1.5c interim dividend paid in March 2013).

Leading interactive lottery business, Jumbo Interactive (ASX: JIN), is pleased to update shareholders on guidance for FY 2013 as the Company builds the infrastructure required for expansion into new multi billion dollar international markets.

On a like-for-like basis, the guidance for the current financial year includes steady revenue and profit from Jumbo’s core operations, from a projected increase to $102 - $106 million in total transaction value (TTV, the actual value of sales).

Annual dividend is forecast to be at least at the current 3 cents per share paid in FY 2012. A 1.5 cents per share interim dividend has already been paid for the current financial year.

The latest market guidance also includes details of expansion and abnormal costs and their expected effect on Jumbo’s EBITDA and after-tax profit in FY 2013 as the Company continues preparations for next year’s launches into new markets and builds the required infrastructure to support them.

“2013 is the year when Jumbo transforms from a domestic business into an international operation with significant activities across three continents”, said Mr Mike Veverka, CEO and founder of Jumbo Interactive Limited. “In 2014, Jumbo will begin earning revenue in Mexico and Germany as well as Australia and we are making the right progress in building the required infrastructure to support these businesses for the benefit of the Company and its shareholders over the long term”, he said. “With over $14 million in net cash and a strong balance sheet, Jumbo is able to comfortably steer these projects into profitability”, he said.