QXL reports Q4 revenues up 50% to £9.19m, Full year GMV up 57% to £727 million

[mandy]

QXL ricardo plc – Fourth Quarter and Full Year results 16 May 2007
Strong Quarter Completes Transformational Year

QXL ricardo plc (“QXL” or the “Group”, QXL.L) today announces results for the fourth quarter and full year ended 31 March 2007. These results include the contribution of the acquired Eastern European businesses since 10 August 2006. Year-on-year comparisons for revenue and trading profit are given below for both actual and pro forma performance as though the acquired Eastern European businesses had been consolidated for the full years ended 31 March 2006 and 2007.

Full year financial highlights
• Revenue increased:
• Actual: 222% to £36.43m (FY 05/06: £11.31m)
• Pro forma: 53% to £45.81m (FY 05/06: £29.86m)
• Trading profit increased:
• Actual: 1,139% to £11.65m (FY 05/06: £940,000)
• Pro forma: 67% to £15.41m (FY 05/06: £9.24m)
• Profit before tax increased 375% to £9.75m (FY 05/06: £2.05m)
• Net profit increased 258% to £6.81m (FY 05/06: £1.90m)
• Basic and diluted earnings per share of 17.2p and 14.6p respectively (FY 05/06: 5.4p and 5.0p
respectively)
• Cash balance at 31 March 2007: £18.77m (31 March 2006: £3.27m)

Fourth quarter financial highlights
• Revenue increased to £13.77m
• Actual: Up 314% (Q4 05/06: £3.32m)
• Pro forma: Up 50% (Q4 05/06: £9.19m)
• Trading profit increased to £4.70m
• Actual: Up 869% (Q4 05/06: £485,000)
• Pro forma: 55% (Q4 05/06: £3.03m)

Full year operational highlights
• Resolved ownership of QXL Poland and related Eastern European businesses
• Gross merchandise volume (GMV) exceeded £727 million on a pro forma basis for the year (up 57%
compared to 2006)
• Appointment of Simon Duffy as Chairman and, since year end, Christian Unger as CEO
• Acquisition of Ceneo SA, Poland’s leading price comparison site
• Migration of Western European businesses onto single platform

Commenting on the results, Christian Unger, Chief Executive Officer, said:
“This was a transformational year for the company. We achieved record profits, resolved the ownership of
our Polish business and further strengthened our board with key appointments.
“Revenue for the year increased 53% to £45.81 million on a pro forma basis and actual profit before tax
increased by 375% to £9.75 million as a result of strong trading across the Group, especially in Eastern
Europe. We have commenced major branding and advertising campaigns in Western Europe to increase
our brand awareness in these markets and invigorate longer-term growth in this region.
“Following on from our successful classified sites in Poland and the recently launched classified service in
Switzerland, we will continue to enhance our trading platforms to meet our members’ trading preferences
and seek to leverage our Polish price comparison business. We will also look to build up further our
position in Eastern Europe with expansion into selected countries during the course of the year.

full Q4 and full year earnings announcement: http://www.qxl.co.uk/contents/uk/qxlmedi...ter_FY.pdf
Full annual report 2007:
http://www.qxl.co.uk/contents/uk/qxlmedi...t_2007.pdf