ebet finally into profit!!!

EBET LIMITED


SOLID CASH POSITIVE QUARTER

Leading gaming technology company, eBet Limited
("eBet"), today released its 31 March 2003 Appendix 4C quarterly cashflow statement (copy attached).

The Company reported Receipts from Customers of $3,373,000, a significant increase over the prior quarter, whilst Staff Costs, Advertising & Marketing and Other Working Capital remained relatively steady, resulting in positive Net Operating Cashflow of $549,000.

The Company said that solid sales by its gaming ystems division had fuelled the leap in cashflow. It said that the combination of its existing range of technologies with those of recently acquired Turbo
Bonus has created one of the world's most comprehensive gaming systems product line ups, which was enabling it to win significant upgrade sales as well as new customers in competitive bid situations.

Managing director, Keith Cullen, said that the Company was now gaining real traction with gaming systems sales momentum building each month. He said that demand was strong and increasing for the Company's products, in particular its card-based cashless gaming
solution, EPS, which had now being integrated with Turbo's technology. This provided an ideal upgrade path for the more than 200 NSW gaming venues with Turbo Bonus systems said Mr Cullen.

He added that the Company was pleased that it had been able to continue to contain overheads through a cost reduction program since acquiring Turbo. He said that the Company was carefully managing its growth and the roll out of new installations and major upgrades to ensure that it maintained the highest possible levels of customer service and satisfaction.

Mr Cullen concluded that, "Our online division, including our US operations, is also performing well, and importantly, the Company's ACT-based sports and race betting operation is now making a consistent contribution to revenue, since the appointment of
Melbourne firm SMC to manage the operations of that business."

The Company said that it invested a total of $189,000 in Intellectual Property and Physical Non-current Assets during the quarter. It said that this expenditure was primarily related to the integration of its gaming systems technology with that of recently acquired Turbo Bonus. After this expenditure Total Operating and Investing Cashflow was positive $360,000.

The Company also re-paid debt totaling $114,000, resulting in a Net Increase in Cash Held of $246,000.


SUMMARY OF EBET 31 MARCH 2003 APPENDIX 4C

Operating Activities
Receipts from Customers $3,373,000
Staff Costs $1,314,000
Advertising & Marketing $83,000
Other Working Capital $1,445,000

Net Operating Cashflow $549,000

Investing Activities
Intellectual Property $185,000
Physical Non-current Assets $4,000
Net Investing Cashflow $(189,000)

Total Operating & Investing $360,000
Cashflow

Financing Activities
Repayment of Borrowings $(114)

Net Increase in Cash Held $246,000

Cash at End of Quarter $1,712,000

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