Half-Year Report
Feb 21, 2012
ASX RELEASE - Tuesday, 21 February 2012
- 6TH CONSECUTIVE RECORD DECEMBER HALF YEAR RESULT
- REVENUE UP 32% TO $48 MILLION
- EBITDA UP 56% TO $5.2 MILLION
- NET PROFIT BEFORE TAX UP 46% TO $5.1 MILLION
- NET PROFIT AFTER TAX UP 7% TO $3.5 MILLION
- 1.0c FULLY FRANKED INTERIM DIVIDEND
Leading interactive lottery business, Jumbo Interactive (ASX: JIN), is pleased to announce its sixth consecutive record half-year results to December 2011, driven by the continued growth of Internet lotteries, technical innovations and the advent of social media making an impact on growth. The results are summarised below.
1Includes a once off benefit ($1.0 million) from the sale of a subsidiary business.
|
HY Dec 2011 $ millions |
HY Dec 2010 $ millions |
Change % |
|
| Revenue |
48 |
36 |
32% increase |
| EBITDA |
5.2 |
3.3 |
56% increase |
| Profit before tax |
5.1 |
3.5 |
46% increase |
| Profit after tax |
3.5 |
3.3*1 |
7% increase |
“Social media has helped drive Jumbo to record sales and profit”, said Mr Mike Veverka, Founder and CEO of Jumbo Interactive Limited. “New promotions and marketing tools were developed for Facebook resulting in more social interaction and ultimately greater participation on OzLotteries.com”, he said. Figure 1 – Promotions on the OzLotteries.com Facebook page. Strong Balance Sheet Net assets increased 33% to $13.4 million over the 6 months to December 2011. Cash at bank increased 35% to $15.9 million over the same period and cash net of customer funds is $10.4 million. This puts the Company into a strong position for its expansion plans into international lottery markets, particular in the USA.
Fully franked interim dividend
Proposed interim fully franked ordinary dividend of 1.0 cent (one cent) per share with a record date of 16 March 2012 and payment date of 30 March 2012.
The Dividend Reinvestment Plan (“DRP”) will operate for the proposed interim fully franked dividend as follows:
- DRP election date: Up to 16 March 2012, for those shareholders who have not already registered for the DRP or who are changing their previous instructions to participate under the DRP
- Record date: 16 March 2012
- Payment date: 30 March 2012
- Discount rate: 10% of the share price based on the weighted average market price on the first day on which the shares are quoted ex dividend and the following four business days (refer to the DRP for full details)
- DRP shares will rank equally with all other ordinary fully paid shares in the Company from the issue date 30 March 2012.
“With over 11 years experience growing lottery sales in Australia via the Internet and proven in-house technology, Jumbo is well placed to work with state lotteries and expand into the US$56 billion lottery market”, he said. Jumbo is a major sponsor of SMART-Tech, a US lottery industry summit being held in New York from 19 to 21 March 2012.
SA Lotteries Agreement On 29 December 2011, Jumbo announced the signing of a 5 year agreement with SA Lotteries to provide a supply of popular Australian games for the Company’s flagship website, www.ozlotteries.com. The agreement also contains provisions for marketing assistance from SA Lotteries via a link from www.salotteries.com.au to www.ozlotteries.com to make access to this online option simple for customers. “Jumbo is pleased to be working with SA Lotteries as an additional lottery supplier to our successful website www.ozlotteries.com”, said Mr Mike Veverka. The website is scheduled to go live in April 2012. About Jumbo Interactive The Company reported record full year results for FY2011 including revenue $76 million and Net Profit After Tax $4.8 million. A fully franked 1.0c dividend was paid for that year. OzLotteries.com plays an important role in the Australian lottery industry with over $17 million in additional State Government revenue raised from sales in 2011 and $15 million in 2010.
Jumbo has signed Internet-based lottery agreements with the Tatts Group, NSW Lotteries Corporation (now owned by the Tatts Group) and recently with SA Lotteries. Jumbo has proven its ability to open up new lottery markets with its innovative technology and Internet marketing initiatives that have brought lotteries to new demographics via the Internet. For further information: Mike Veverka CEO and Executive Director Ph: 07 3831 3705