Final Results

betinternet.com PLC
5 November 2001


                           PRELIMINARY RESULTS FOR
                          12 MONTHS TO 31st MAY 2001


CHAIRMAN'S STATEMENT


It gives me pleasure to report on betinternet.com's preliminary results for
the year ended 31 May 2001.


Euro Off-Track

The year to 31 May 2001 has been one of great advances for your company, the
most significant of which has been the establishment of Euro Off-Track, our 50
/50 partnership with The Greyhound Channel Inc. of America. Under this joint
venture, which is based at our premises in the Isle of Man, we have
established a Totalisator wagering hub which allows both betinternet.com
clients and B2B partners to participate in global totalisator pools. The hub,
which is the largest pari-mutuel 'Super Hub' in the world, is a state of the
art Amtote Spectrum Totalisator System, approved and regulated by the Isle of
Man Government. It can support multi-community, multi currency transactions
and process nearly 29 million such transactions per hour.

Euro Off-Track has recently been appointed by The Racing Network International
(TRNi) as one of its strategic European totalisator transmission hubs. As
TRNi's hub, Euro Off-Track will transmit wagering data directly into the
totalisator systems at the Thoroughbred tracks licenced by TRNi. Commencement
of the service began on 26 October this year with advance wagering on the
Breeder's Cup at Belmont in New York, the richest horse-racing event in the
world. Euro Off-Track has also been appointed as the exclusive International
hub for the American Greyhound Broadcast Association which includes premiere
US greyhound tracks such as Derby Lane, Hollywood, Flagler, Jacksonville and
Palm Beach as well as the exclusive off-track hub for the Irish Greyhound
Board tracks, Shelbourne Park and Harolds Cross in Dublin.

Besides offering wagering direct through our own individual customer accounts
Euro Off-Track also enables us to provide other bookmakers and licencees with
a gateway to the US and Irish totalisator pools, enabling them to participate
direct into host tracks whilst maintaining their own customer confidentiality
and consequently providing betinternet.com with a risk free revenue stream.
The Euro Off-Track system is not restricted to greyhound and horse race
totalisators. Pari-mutuel wagering offers the gambler the opportunity of
lottery style bets with enormous jackpots and testing is underway to deliver a
full suite of totalisator based sports wagers, including a pool based on the
Soccer World Cup 2002. We believe that the future of sports wagering in a
global environment is through multi-sport pari-mutuel wagering, as it enables
gamblers on a global basis to access events and pools which they would
otherwise not be able to do and is one of the few forms of gambling which
guarantees a profit to the operator.



Fixed Odds Betting

Turning to our traditional fixed odds betting activities, we are continuing to
target sports content channels on the Internet and gambling communities, with
a focus on Far Eastern football orientated content provider sites. Betting on
soccer now represents over 70 per cent of the company's business with around
130 countries screening English Premiership football live to their audiences.
The company's fastest growing area in terms of its client base is the Far
East. Although the profitability of the betting industry generally was
adversely affected by the results of the Euro 2000 Soccer Tournament in which,
totally against expectations and precedent, the four favourite countries all
reached the semi-final stage, the tournament was an important factor in
increasing the exposure of the betinternet.com brand in the global market and
the Directors believe that our brand and market penetration will assist us in
delivering a competitive advantage for the 2002 World Cup, co-hosted in Japan
and Korea.



Other Developments

betinternet.com has become one of the first major on-line sports wagering and
pari-mutuel operators to implement a fully automated ecommerce multi-currency
facility for its customers. This has become possible through the integration
of the company's software systems and the grant of full Merchant Status by
Barclays Merchant Services UK and became operational in September 2001.
Coupled with our 'Risk Guardian' security screening system which will greatly
enhance our credit referencing and risk management procedures, we are able to
offer our clients a fully automated, entirely secure, on-line deposit facility
with a turn round time of less than six seconds.

On the Isle of Man, Tynwald, the Island's parliament, has approved the issue
of a further nine on-line gambling  licences. betinternet.com has applied for
one of these licences and we are already in preliminary discussions with
potential joint venture partners with a view to its exploitation if it is
granted.



Technology

betinternet.com's technology continues to prove to be exceptionally reliable.
Our investment in security measures has meant that, despite ever increasing
threats of intrusion and virus attack, we have remained fully protected in
both of these key areas. Our systems have demonstrated their ability to 'grow'
with, and meet the needs of, the business with in excess of 1,000,000 page
impressions per day. We believe that the company  will continue to benefit
from its location in the Isle of Man which has one of the most advanced
telecommunications infrastructures in the world.



Financial Results

For the year under review turnover rose by £36,841,497 to £48,536,839, an
increase over the previous year of 315 per cent. Pre-tax losses of £2,320,224
compared with £1,035,616 last year reflect our continuing commitment to
substantial investment in technological infrastructure and marketing. As a
result, the company sustained a loss for the year of 2.96p per share (2000 -
3.01p per share). The Directors do not recommend the payment of a dividend.



Corporate Affairs

In May of this year your Directors announced that they had received approaches
which they were reviewing which may or may not lead to offers for the share
capital of the company and, in the meantime, were continuing to review various
strategic options available to them for the development of the company, which
included remaining independent. We have now finalised our review of approaches
received and have decided not to pursue talks with any party. We intend,
instead, to raise up to £3,000,000 (before expenses) through a subscription
for 29,000,000 new Ordinary Shares by Burnbrae Limited, Mr. M. Child and
members of my family at a price of 10p per share together with a placing of up
to a further 1,000,000 new Ordinary Shares at the same price.

Under the terms of the subscription agreement, members of my family (or
companies nominated by them) will subscribe for an aggregate of 2,500,000 new
Ordinary Shares, the proceeds of which will be utilised in the repayment of a
loan in the sum of £250,000 made to the company on 6 July 2001. The Directors
consider, having consulted Insinger English Trust, that the terms of this
subscription are fair and reasonable insofar as the shareholders of
betinternet.com are concerned.

It is also proposed that the company will issue to all existing shareholders
and to subscribers and placees under the above arrangements warrants to
subscribe for Ordinary Shares in the company at a subscription price of 12p
per share on the basis of 1 new Ordinary Share for every 4 Ordinary Shares
held as at the record date, which is expected to be the date following the
Extraordinary General Meeting referred to below. All the warrants will have a
life of three years from the date of issue, shall be exercisable at any time
and their terms shall be adjusted in respect of any subsequent rights issues
or capitalisation issues. Application will be made for the warrants to be
admitted to trading on AIM.



Extraordinary General Meeting

A circular, giving further details of the arrangements described above will be
posted to all shareholders as soon as possible The circular will also contain
a Notice convening an Extraordinary General Meeting at which resolutions will
be proposed to give effect to these arrangements. The Auditors' Report on the
financial statements for the year ended 31 May 2001 will draw attention to the
going concern implications of a failure to approve these arrangements.

Proposed Board Changes

It is proposed that, following the Extraordinary General Meeting and subject
to the passing of the resolutions proposed at the meeting, Mr. Mark Child
(aged 39) will be appointed as a Non-Executive Director. Mr Child is a
director of Regent Pacific Corporate Finance Limited and iRegent Corporate
Finance Limited. There is no information to be disclosed in relation to Mr
Child which falls to be disclosed under paragraph (f)(iii)-(viii) of Schedule
2 to the AIM Rules.

Conclusion

The past year has been one of great encouragement with major strategic
advances through the development of Euro Off-Track and the company's
operational systems as well as a strong increase in turnover from
betinternet.com's traditional business. The growth in the number of our
clients in the 20-30 age group is in line with your Board's strategy as is the
increasing proportion of transactions being carried out via the Internet. Of
our fixed odds turnover, two thirds is now conducted in this way, as opposed
to one third a year ago. The changing profile of our clients, the increase in
multiple or 'exotic' wagers, the reduction in average stakes and the increase
in Internet turnover will all increase gross profit margins. These factors,
coupled in particular with Euro Off-Track's development of totalisator
wagering with its ability to produce substantial risk-free revenues, represent
significant steps in the Board's drive to develop betinternet.com into a
thriving, profitable business.

Your Directors look to the future, both in the short and the long term, with
great confidence.



V E Caldwell                              5th November 2001
Chairman & Managing Director



CONSOLIDATED PROFIT AND LOSS ACCOUNT
Year Ended 31 May 2001

                                                     2001             2000
                                                        £                £
Group turnover
Betting stakes received                        48,536,839       11,695,342


Cost of sales
Winnings paid and bets laid off              (47,194,317)     (11,285,097)
Betting duty paid                               (146,430)         (35,294)


Gross profit                                    1,196,092          374,951
Administration expenses                       (3,486,480)      (1,428,546)


Operating loss                                (2,290,388)      (1,053,595)


Group operating loss
Share of operating loss in                              
   - joint ventures                              (8,169)                -


Total operating loss including share
of joint ventures and associates             (2,298,557)      (1,053,595)
  Interest receivable and similar income          71,507           27,303
  Interest payable and similar charges          (93,174)          (9,324)

Loss on ordinary activities before taxation
and retained loss for the year               (2,320,224)      (1,035,616)


Basic Loss Per Share (pence)                      (2.96)           (3.01)


Diluted Loss Per Share (pence)                    (2.91)           (2.85)


The directors consider that all results derive from continuing operations for
both the current and prior year.  A statement of total recognised gains and
losses is not required as there were no recognised gains and losses other than
the loss for the current year. This was also the case for the prior year.


CONSOLIDATED BALANCE SHEET
31 May 2001
                                                    2001              2000
                                                       £                 £
FIXED ASSETS
Intangible assets                                377,739           257,028
Tangible assets                                  226,692           318,987
Investments in joint ventures
   - Share of gross assets                       131,943                 -
   - Share of gross liabilities                (130,943)                 -


Investments in associates                        116,802                 -

                                                 722,233           576,015


CURRENT ASSETS
Debtors                                          833,880           203,806
Cash at bank and in hand                         947,013         3,421,795

                                               1,780,893         3,625,601

CREDITORS
amounts falling due within one year          (1,761,573)       (1,142,534)


NET CURRENT ASSETS                                19,320         2,483,067


TOTAL ASSETS                                     741,553         3,059,082


CAPITAL AND RESERVES
Called up share capital                          783,296           781,841
Share premium                                  3,617,779         3,616,539
Profit and loss account                      (3,659,522)       (1,339,298)


EQUITY SHAREHOLDERS' FUNDS                       741,553         3,059,082



CONSOLIDATED CASH FLOW STATEMENT
Year ended 31 May 2001
                                                    2001              2000
                                                       £                 £

Net cash outflow from operating activities   (2,071,012)         (267,471)

Returns on investments and servicing 
of finance                                      (21,667)            17,979

Capital expenditure and financial investment   (278,176)          (629,682)

Cash outflow before use of liquid
resources and financing                      (2,370,885)          (879,174)

Financing                                          2,695          4,148,380


(Decrease)/increase in cash in the year      (2,368,160)          3,269,206



NOTES

Year ended 31 May 2001

1. OPERATING LOSS

Operating loss is stated after charging:            2001               2000
                                                       £                  £

Depreciation on tangible fixed assets            121,691             49,531
Amortisation of intangible assets                126,528             40,538
Auditors' remuneration -  audit fees              41,125             37,050
                       -  other services          38,775             85,775
Directors' remuneration                          273,729             58,750
Operating lease rentals -                         57,276             17,232
other than plant and machinery


2. TAX ON LOSS ON ORDINARY ACTIVITIES

No provision for tax is required for either the current year, or the previous
period, due to the level of losses incurred.


3. LOSS PER SHARE

The basic earnings per share are calculated by dividing the losses
attributable to ordinary shareholders by the weighted average number of
ordinary shares during the period.

Calculation of earnings per share is based on losses of £2,320,224 (2000 : 
£1,035,616 loss) and the weighted average number of ordinary shares being the
equivalent of 78,298,098 (2000 : 34,403,724 ordinary 1p shares).

For diluted earnings per share, the weighted average number of ordinary shares
in issue is adjusted to assume conversion of all diluted potential ordinary
shares. These represent share options granted to employees where the exercise
price is less than the average market price of the Company's shares during the
year.

Calculation of diluted earnings per share is based on losses of £2,320,224
(2000 : £1,035,616 loss) and the weighted average number of ordinary shares
being the equivalent of 79,734,225 (2000 : 36,383,858 ordinary 1p shares).




Contacts;

betinternet.com plc - Mark McGuinness - 01624 629699

Hill & Knowlton - John Moriarty - 020 7973 4413