Trading Update

23 July 2012

32Red Plc

("32Red" or "the Company")

Trading Update 

32Red Plc, the award-winning online betting and gaming operator, is pleased to provide an update on trading for the six months ended 30 June 2012. 

First Half 2012 Summary 

The Company is delighted to report record revenues with total Gross Win up 50% to £16.5m (2011: £11.0m) in the first six months of 2012. This excellent performance represents a sixth successive 6 month period of record revenues.

Casino Performance

Overall performance reflects the continued excellent trading at the Company's flagship operation, the 32Red Casino:-

·; Gross Win (revenue) £14.5m, up 52% on 2011

·; Active casino customers* of 31,722 up 81% on H1 11

·; Casino player yield £457* (H1 11: £543)

·; New Casino players 18,724*, up 93% on H1 11 

·; Casino cost per acquisition*: £166 (H1 11: £173)

Current Trading and Outlook for the Full Year

Gross Win for the twenty days to 20 July is up 28% on the corresponding period in 2011. The strong H1 trading performance and current trading is likely to see the Company deliver revenues that are ahead of current market expectations for 2012. The Company continues to invest in marketing and confirms that profits remain in line with management expectations.

Commenting on the performance, Ed Ware, CEO of 32Red, said:

"The continued growth in revenues, particularly in light of strong comparatives, is testament to the strong new player recruitment resulting from more investment in our main market, the UK. We aim to continue in this regard as well as taking our first measured steps in entering the Italian market. We look forward to launching 32Red.it during the second half of the year and welcome the recent decision by the Italian authorities to commence the procedures to approve online slots games from December 2012 onwards.

"While we recognise the potential for economic and regulatory uncertainty across Europe, we look forward to further progress during the second half of 2012.''

The Group will announce its full interim results on Wednesday, 5 September 2012.

* In previous periods, the Company had reported the number of players by defining a player as a customer who had placed a 'real money bet' during the period. In January 2012, the Company introduced a more relevant definition for a player as a customer who has played for real money but has also made a deposit during the period. This definition is used in today's trading statement. For reference, under the old definition the number of new players in H1 2012 totalled 60,861 (H1 2011: 13,901) and the number of active players who placed a real money bet in H1 2012 totalled 73,909 (H1 2011: 21,745).

Enquiries: