TIDMLNG 
 
RNS Number : 5946V 
Leisure & Gaming plc 
14 July 2009 
 

14 July 2009 
 
 
Leisure & Gaming plc 
 
 
Unaudited results for the second quarter ended 30 June 2009 
 
 
Leisure & Gaming plc ("L&G" or "the Group"), the online betting and gaming 
group, today announces its unaudited second quarter results to 30 June. 
 
 
Financial highlights for Quarter 2 
  *  Amounts wagered EUR38.5m (2008: EUR28.4m). 
  *  Net win EUR5.2m (2008: EUR5.2m). 
  *  Net win margin 13.5% (2008: 18.3%). 
  *  Gross profit EUR1.2m (2008: EUR1.3m). 
  *  Overheads EUR1.0m (2008: EUR0.9m). 
  *  EBITDA EUR0.2m (2008: EUR0.4m). 
 
 
 
Key business performance indicators for Quarter 2 
  *  Continued success of poker in Italy. 
  *  Continued growth in Greek online business. 
  *  Disappointing sports margins. 
 
 
 
Richard Creed, CEO of Leisure & Gaming plc said: 
 
 
"Sports margins for the quarter were disappointing because of predictable 
results in the last few weeks of the season, however, the overall volume of 
business increased significantly in the quarter over the previous year, 
reflecting the growth of poker in Italy and business activity in both Cyprus and 
Greek markets. 
 
 
The continued growth of poker is encouraging and the recent approval of 
SuperEnalotto games by the Italian regulators further demonstrates their 
commitment to regulate more products. 
 
 
The capital reorganisation was approved by the Companies Court on 24 June 2009 
and became effective on 2 July 2009." 
 
 
 
 
For further information, please contact: 
 
Richard Creed, Leisure & Gaming plc 
Tel: 020 8545 2190 
 
 
William Vandyk, Blue Oar Securities 
Tel: 020 7448 4400 
  FINANCIAL RESULTS 
 
 
Second quarter ended 30 June 2009 
 
 
In total, the amounts wagered on all our products for the three months to 30 
June 2009 was EUR38.5m (2008: EUR28.4m), earning net win of EUR5.2m (2008: EUR5.2m) at a 
net win margin of 13.5% (2008: 18.3%). 
 
 
Amounts wagered on sports betting were EUR16.8m (2008: EUR18.0m) generating a net 
win of EUR3.0m (2008: EUR4.8m) at a net win percentage of 17.9% (2008: 26.7%). In 
2008, the European championships contributed EUR2.5m of bets which generated EUR0.6m 
of net win and no equivalent event took place in 2009. Additionally, predictable 
results in the final weeks of the season resulted in low margins. 
 
 
Amounts played on casino products were EUR8.9m in plays (2008: EUR9.8m) generating 
net win of EUR0.2m (2008: EUR0.3m). The launch of casino products for the online 
Greek market has enhanced this business and countered the closure of the 
Acropolis online casino. Online casino products are still not permitted in 
Italy. 
 
 
Amounts played on lotto and skill games were EUR0.8m (2008: EUR0.6m) generating net 
win of EUR0.1m (2008: EUR0.1m). 
 
 
In the quarter, the tournament fees generated EUR12.0m with gross rake earned of 
EUR1.9m. Poker activity levels have continued at the same levels after the end of 
the soccer season. 
 
 
Current trading and outlook 
 
 
The third quarter is quieter as the soccer season only begins with Cup matches 
in mid August and leagues start at the end of August. 
 
 
Poker activity levels have remained constant; however, we anticipate a drop in 
early August as the holiday season takes place. 
 
 
The summer activities have focused on ensuring the opportunities arising from 
the Palermo sponsorship deal are maximized and the Board has accelerated the 
development of betting software alternatives. 
 
 
Capital reorganisation 
 
 
Following the agreement of the capital reorganisation by shareholders at the 
Annual General Meeting on 1 June 2009, the claim was approved by the Companies 
Court on 24 June 2009 and the Court Order lodged with Companies House on 2 July 
2009 when the reorganisation became effective. 
 
 
Investigation of employee benefit trust 
 
 
An independent investigation of the employee benefit trust has been arranged and 
will commence within the next 14 days. 
 
 
US legal position 
 
 
The Board has commenced discussions with the US Department of Justice with 
regard to a possible resolution of the historical issues associated with the 
Group's former US facing business. 
 
 
Tax charge in 2008 
 
 
The Board commissioned a review of the Italian tax situation which arose in 2008 
and as a result of this, the liability has reduced by EUR0.1m, with further steps 
being taken to mitigate the tax liability. 
 
This information is provided by RNS 
            The company news service from the London Stock Exchange 
   END 
 
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