Munich, 21 November 2007. CTS EVENTIM AG, listed on the SDAX exchange (ISIN DE0005470306), achieved continued success and growth in the first nine months of 2007.
The Group generated EUR 281.5 million in revenues (Q1-3/2006: EUR 258.0 million, up 9.1%), an EBIT of EUR 32.1 million (Q1-3/2006: EUR 34.0 million, down 5.4%) and an EBITDA of EUR 37.4 million (Q1-3/2006: EUR 38.6 million, down 3.3%). As expected, earnings came in lower year-on-year due to the one-off nature of the 2006 World Cup project. Nevertheless, the Management Board is satisfied with business development; given that in the first nine months of the current business year 2007 the Group EBIT almost reached previous year’s level. As at 30 September 2007, earnings per share had reached EUR 0.64 for the year to date (Q1-3/2006: EUR 0.71). The cash flow for the reporting period was EUR 26.5 million (Q1-3/2006: EUR 26.2 million). The Management Board reiterates its forecast that total earnings in 2007 will be a further improvement compared to 2006. The fourth quarter is traditionally the strongest in the Ticketing segment.
Ticketing: revenues increased by 36.2% and EBIT by 62.2% (after adjustment for World Cup)
The substantial increase in revenues and earnings achieved by the Ticketing segment – after adjusting for the effects of the 2006 World Cup project – was mainly attributable to highly profitable ticket sales via the Internet. With revenues at EUR 54.9 million before consolidation of segments (Q13/2006: EUR 40.3 million, up 36.2%), the EBIT figure for the segment was substantially improved by 62.2%, from EUR 7.9 million in Q1-3/2006 to EUR 12.8 million. The EBIT margin rose from 19.5% to 23.2%. EBITDA, at EUR 16.8 million, was up 42.6% from EUR 11.8 million in Q1-3/2006. In 2006, business operations in the Ticketing segment were mainly characterised by the 2006 World Cup project. As expected, this contribution to revenues and earnings has not been repeated in 2007. After including the revenues and earnings specific to the 2006 World Cup project, the Ticketing segment generated revenues of EUR 54.9 million in the period to 30 September 2007 (Q1-3/2006: EUR 73.3 million, down 25.1%), an EBIT of EUR 12.8 million (Q1-3/2006: EUR 20.4 million, down 37.6%) and an EBITDA of EUR 16.8 million (Q1-3/2006: EUR 24.8 million, down 32.0%). Internet sales rose in volume to more than 4.3 million tickets sold (Q1-3/2006: 3.1 million). This equates to volume growth of around 40% in Internet ticketing during the first nine months of 2007. The websites of the CTS Group, especially the online portals at www.eventim.de and www.getgo.de, logged a total of 111 million visitors over the first three quarters 2007. EBIT figures were adversely affected in the period under review by expenses in respect of newly consolidated foreign subsidiaries (e.g. integration expenses) amounting to approximately EUR 1.3 million.
Live Entertainment: 23.0% revenue growth and 43.2% higher EBIT
In the Live Entertainment segment, the first nine months of 2007 were characterised by superb business growth, a high frequency of events and a series of successful tours, festivals and events. The segment generated EUR 230.0 million in revenues (Q1-3/2006: EUR 187.1 million, up 23.0%), an EBIT of EUR 19.4 million (Q1-3/2006: EUR 13.5 million, up 43.2%) and an EBITDA of EUR 20.5 million (Q1-3/2006: EUR 13.9 million, up 48.1%).
The Management Board is satisfied with the Group’s progress in the current business year. For the year as a whole, the company expects earnings to top the 2006 figure. The focus now is on further expansion of Internet ticketing, on successfully establishing the Fansale resale platform and on expanding internationally by making additional acquisitions. Following acquisitions in Switzerland and Russia, CTS EVENTIM AG also entered the Italian market by acquiring an interest in the country’s market leader, TicketOne, in May 2007.
The full interim report will be available on the Internet at www.eventim.de in both German and English,
in an online version and in download form, as from 21 November 2007.