Sportech PLC interim management report 2008

FINANICAL HIGHLIGHTS
  • Adjusted profit before tax* from continuing operations increased by 50% to £7.8m (2007: £5.2m)

  • Adjusted earnings per share from continuing operations of 5.5p (2007: 6.1p, adjusted following share consolidation)

  • Net debt reduced by £3.2m to £83.3m (31 December 2007: £86.5m)

  • Gross win revenues increased by £8.1m (28%) to £36.6m

OPERATIONAL HIGHLIGHTS
  • Integration of Vernons is ahead of schedule and the business
    is trading well, delivering operational and financial synergies
    which have exceeded management’s initial forecasts

  • Global marketing and distribution agreement signed with
    888 Holdings Plc (“888”) to promote Sportech’s football pools
    business and other e-Gaming businesses to the UK and worldwide
    customer base of both companies

  • Launch of The New Football Pools brand with full-scale relaunch
    of the football pools business on schedule for the new football
    season this month

  • New and enhanced products being launched, including
    Premier 10, Footy 15, online Spot the Ball, private leagues
    and a community based, online football predictor website

  • Technology and distribution partnerships with Scientific Games
    and Orbis are delivering significant benefits and the upgrade and
    integration of the technology suite is on schedule to be initially
    introduced in August

  • Appointment of Will Muirhead as Managing Director of
    footballpools.com

  • Media and online deals with the Daily Mirror, FootyMad,
    FourFourTwo and enhancements to Paypoint contract to
    significantly extend the potential customer numbers through new
    distribution channels. Further media deals are expected shortly

       *Adjusted profit before tax is profit before taxation, amortisation of
         acquired intangibles, exceptional costs and other non-cash finance costs