mybet issues profit warning as platform costs grow

Frankfurt Xetra listed bookmaker mybet Holdings SE, has issued a profit warning to the market stating that it expects to post a higher operating loss for its 2015 financial performance.

Issuing a brief statement the operator detailed that it had broadened its EBIT forecast of -€500,000 to a negative single € million loss for 2015.

The bookmaker led by new CEO Zeno Ossko has stated that it has been impacted by higher costs driven by the migration to its new technology platform which has recorded a non-recurring write-off of €5.2 million (£3.7 million) on its books.

The operator has been further impacted by government cash/credit controls enforced in the key market of Greece.

The struggling operator had posted -€238,000 losses for its H1 2015 interim results, at the time mybet governance stated that the company had implemented structural changes to help its future growth strategy.

In 2015 the operator has reported a 10% decline in active players for H1 2015, combined with a decline in operating margins of -2.3%. mybet stated that during the opening six month of 2015, its sports betting product had been impacted by unfavourable sporting results.

Throughout 2015, mybet governance had stated that it will proceed with undertaking operational changes that will aid the company’s long term future. In his 2015 interim statement CEO Zeno Ossko stated that the changes were part of the operator new “Product and Customer First” strategy.