Jumbo Interactive Prepared for Competition in the NSW Online Lottery Market
Jun 1, 2011
ASX RELEASE – Wednesday, 1 June 2011
The Company – which operates the successful web site www.ozlotteries.com that retails popular lotteries around Australia - said today competition in New South Wales is expected to increase in the new financial year with the possibility of a new site being launched in that state by The Tatts Group. This would create a competitive market similar to the Victorian market where Jumbo’s popular www.ozlotteries.com site and Tatts have competed for over five years. “We have experience in a competitive market with our www.ozlotteries.com business in Victoria, so we will be prepared should another online lotteries site be introduced in NSW,” Jumbo Interactive CEO, Mr Mike Veverka, said today.
Jumbo Interactive said its www.ozlotteries.com site has seen strong growth in recent years with sales reaching $66 million in FY 2010 and is on track to reach $75 million in FY 2011. The Company also announces the resignation of Ms Bonita Boezeman AO as non- executive director, effective 31 May 2011. The board wishes to thank her for her contribution to the Company’s growth over the past year.
About Jumbo Interactive Jumbo Interactive is on track to achieve net profit after tax in the range $4.0 to $4.4 million from Revenue in the range $75 to $80 million in FY 2011. A fully franked 0.5c interim dividend was paid May 2011. In 2000, the Company sold its first lottery ticket on the Internet. In 2005, it made the leap into national lotteries with the acquisition of TMS Global Services Pty Ltd and subsequently developed the successful OzLotteries.com website that is the backbone of the business today.
Thousands of Australians each day play their lucky numbers in their favourite lottery games using this safe, secure and innovative website based on technology that has been in constant development for over 10 years. Just as travel, accommodation and car sales have made successful transitions to the Internet, lotteries are also going through an online transition and customers are finding the benefits offered by www.ozlotteries.com to be a very convenient way to purchase their regular lottery tickets. Lottery sales have grown from strength to strength rising from $25 million in 2008 to $42 million in 2009 and $66 million in 2010. This is driven by continuous website improvements in addition to various marketing initiatives that have opened up new Internet markets for lotteries. OzLotteries.com plays an important role in the Australian lottery industry with over $15 million in additional State Government revenue raised from sales in 2010. For further information: Mike Veverka CEO and Executive Director Ph: 07 3831 3705 Web: www.jumbointeractive.com