Record Revenues for Casinos Austria and the Austrian Lotteries Group
16.04.2012 - Casinos Austria
Outstanding earnings performance on the Austrian market - first signs of improvement at Casinos Austria International
Casinos Austria and the Austrian Lotteries Group ended the 2011 business year with new record revenues. The group generated consolidated revenues of € 3.47 billion. This growth was supported primarily by the business on the domestic market in Austrian, and here, in turn, by the growth in gaming revenues in the twelve Austrian casinos (up 4.5 percent to € 270 million) and Austrian Lotteries (up 9.7 percent to € 2.899 billion). Casinos Austria International also posted an increase in revenues of 5.8 percent to € 230.6 million.
The performance was reflected in the earnings, which were considerably improved in nearly every field of business. At € 45.2 million, the operating result for Austrian Lotteries was the highest in the history of the company. Net profit was € 50.04 million (2010: € 29.06 million). The relaunch of the lottery game "6 of 45" (including a guaranteed prize of € 1 million in a row of six) in fall 2010 and introduction of a second weekly drawing for the EuroMillion in May 2011 were responsible for this.
2011 also went very well in the twelve Austrian casinos. Operating profit was increased nearly tenfold to € 18.9 million as a result of the programme to restructure and increase efficiency. After several loss-making years, in 2011 the company managed return to the profit zone with an operating profit of € 1.9 million. The net profit of Casinos Austria AG was € 5.63 million (2010: € 5.61 million).
At the end of 2011 585,500 registered users on the gaming platform win2day operated together by Casinos Austria and Austrian Lotteries meant an increase of 14 percent on the year, confirming win2day's position as the first location for online gaming.
WINWIN generated revenues of € 396.4 million last year. The marginal decrease of 0.87 percent compared to 2010 is attributed to the fact that only eleven outlets were in operation in the first quarter (Zwettl was closed at the turn of the year, Krems only opened at the end of March 2011).
The subsidiaries tipp3 and Ural Loto as well as the gastronomy and event business in the twelve Austrian casinos generated considerable growth, so that at € 3.47 billion consolidated revenues were 8.9 percent above the value in 2010. It is also satisfying that the Russian lottery subsidiary was able to operate at a profit only three years after its founding.
All in all, the generally satisfactory performance is also reflected in the ten percent increase in taxes on the year. The group paid a total of € 561 million to the Federal Ministry of Finance, thus to the Austrian state - this is equivalent to a tax payment of € 1.5 million per day and is multiple times the amount all of the Austrian competitors in the gaming industry pay together.
Management around Director General Dr. Karl Stoss was extremely satisfied with the business year: "With the extraordinarily good figures in the domestic business, the performance in 2011 is impressive documentation of the incredible strength and competence in this group of companies and their employees. And at CAI we were also able to carry out effective restructuring measures, which were already reflected in the final months of the year and will bring a considerable improvement in the earnings situation in the next few years".
Due to a series of non-recurring effects in the scope of the restructuring measures and value adjustments - particularly concerning the investment in Greece - the loss for Casinos Austria International Holding was € 54.35 million. Thanks to the satisfactory business at home the consolidated result could be kept at a profit, however, at € 634,000.
Further information, business reports for Casinos Austria and Austrian Lotteries as well as photographic material is available for downloading under the following links: