keeps getting better

Should move above $2 soon

IAS - ASX Company Announcement
$gen0 THIS IS A PRIORITY ITEM
23 January 2003
Part 1/1
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IASBET LIMITED
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HOMEX - Melbourne
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Commitments Test Entity - Second Quarter Report

MEDIA RELEASE

IASBET ANNOUNCES SUBSTANTIAL IMPROVEMENT TO CASH RESERVES

Leading wagering Company IASbet Limited (IAS), today announced a
continuing improvement to its cash reserves to $21.3 Million, up from
$17.8 Million reported for the previous quarter. (Representing an
increase of 19%.)

In releasing the Company's 4C Quarterly Cash Report the Chairman of
IASbet Limited Mark Read said "this result represents a continuing
and positive grwth in IAS' business and reflects a strong control on
the liquidity of the Company".

"As I have already indicated in a previous announcement to the ASX,
the company is on track to report record results for the first six
months of FY03" Mr Read added.

The Company is expected to lodge its half yearly 4B report in early
February.

For further information contact:

Roger Smeed
CHIEF EXECUTIVE
IASbet Limited
03 9948 9948 Office
0407 080 090 Mobile

APPENDIX 4C
QUARTERLY REPORT FOR ENTITIES
ON BASIS OF COMMITMENTS

Name of entity
IASbet Limited

ABN Quarter ended ("current quarter")
32 066 967 502 31/12/2002

CONSOLIDATED TATEMENT OF CASH FLOWS

Cash flows related to Current Year to date
operating activities Quarter (6 months)
AUD'000 AUD'000

1.1 Receipts from customers 116,655 202,733
1.2 Payments for
(a) staff costs (1,946) (4,320)
(b) advertising & marketing (650) (996)
(c) research & development - -
(d) leased assets (146) (223)
(e) other working capital - -
1.3 Dividends received - -
1.4 Interst and other items of
a similar nature received 145 265
1.5 Interest and other costs of
finance paid (24) (25)
1.6 Income taxes paid (3,448) (3,448)
1.7 Other (provide details if material)
Payments to customers (100,551) (179,631)
Other payments (2,650) (4,233)

1.8 Net Operating Cash Flows 7,385 10,122

Cash flows related to investing activities
1.9 Payment for acquisition of:
(a) businesses (item 5) - -
(b) equity investments - -
(c) intelectual property - -
(d) physical non-current assets (1,111) (1,606)
(e) other non-current assets - -
1.10 Proceeds from disposal of:
(a) businesses - -
(b) equity investments - -
(c) intellectual property - -
(d) physical non-current assets 10 10
(e) other non-current assets - -
1.11 Loans to other entities - -
1.12 Loans repaid by other entities - -
1.13 Other (provide details if material) - -

Net investing cash flows (1,101) (1,596)

1.14 Total operating and
investing cash flows 6,284 8,526

Cash flows related to financing activities
1.15 Proceeds from issues of
shares, options, etc. 45 129
1.16 Proceeds from sale of
forfeited shares - -
1.17 Proceeds from borrowings - -
1.18 Repayment of borrowings - -
1.19 Dividends paid (2,865) (2,865)
1.20 Other (provide details if material) - -

Net financing cash flows (2,820) (2,736)

Net increase (decrease) in cash held 3,464 5,790

1.21 Cash at beginning of quarter/
year to date 17,838 15,512

1.22 Exchange rate adjustments to item 1.20 - -

1.23 Cash at end of quarter 21,302 21,302

PAYMENTS TO DIRECTORS OF THE ENTITY AND ASSOCIATES OF THE DIRECTORS
PAYMENTS TO RELATED ENTITIES AND ASSOCIATES OF THE RELATED ENTITIES

Current Quarter
AUD'000

1.24 Aggregate amount of payments to
the parties included in item 1.2 390

1.25Aggregate amount of loans to the
parties included in item 1.11 -

1.26 Explanation necessary for an understanding
of the transactions

-

NON-CASH FINANCING AND INVESTING ACTIVITIES

2.1 Details of financing and investing transactions which have had a
material effect on consolidated assets and liabilities but did
not involve cash flows

-

2.2 Details of outlays made by other entities to establish or
increase their share in businesses in which the reporting entity
has an interest

-

FINANCING FACILITIES AVAILABLE
Add notes as necessary for an understanding of the position.
(See AASB 1026 paragraph 12.2)

Amount Amount
available used
AUD'000 AUD'000

3.1 Loan facilities - -
3.2 Credit standby arrangements - -


RECONCILIATION OF CASH

Reconciliation of cash at the end Current Previous
of the quarter (as shown in the quarter quarter
consolidated statement of cash flows) AUD'000 AUD'000
to the related items in the accounts
is as follows.

4.1 Cash on hand and at bank 8,790 10,307
4.2 Deposits at call 12,512 7,531
4.3 Bank overdraf - -
4.4 Other (provide details) - -

Total: cash at end of quarter (item 1.22) 21,302 17,838