Entain Plc · LSE:ENT
Entain — GVC Holdings — Investor Presentation (June 2017)
17 slides from Entain's investor presentation, June 2017
Slide 1: Strong Brands, Technology & Talent
Click to edit Strong Brands, Technology & Talent June 2017
Slide 2: Disclaimer
Disclaimer Click to edit NOT FOR PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART IN, INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF THAT JURISDICTION. This presentation has been prepared by GVC Holdings PLC (“GVC”). This presentation
Slide 3: Overview – GVC Today
Overview – GVC Today Click to edit • €4.6bn sports wagering • €0.9bn NGR Financial* • €206m Clean EBITDA • 17 territories with over 2% NGR • 2,800 FTEs Corporate • 15 offices across four continents • 19 licences • Highly scalable and robust platform • Proprietary sportsbook, casino and poker Technol
Slide 4: Strategy
Strategy Click to edit Vision Delivery • To build further scale and international diversification • Organic - Largest market just 25% of group NGR - Return marketing investment to normalised levels - 17 countries contribute 2% or more to NGR - Product & service development - Grow regulated and marke
Slide 5: GVC product suite
GVC Clickproduct to edit suite Integrated Owned Product Suite • Based on bwin’s leading sports risk platform adjusted to each market • Real-time data driven by leading sports data feeds, video streaming and GVC quants SPORTS • Improved trading tools leveraged by GVC quants tuning prices and risk per
Slide 6: GVC product and technology summary
GVC Clickproduct to edit and technology summary GVC Product and Technology Platform • Proprietary technology stack supporting complete product suite and player management system • Unique capability to execute strategic and operational actions quickly and with full-flexibility • Sound product roadmap
Slide 7: Performance update
Click to edit Performance update
Slide 8: FY 2016 Key Highlights
FY 2016 Click Key Highlights to edit • Pro forma* NGR +9% to €894.6m • Pro forma* NGR - constant currency +12% • Pro forma* Clean EBITDA# +26% to €205.7m • Pro forma* Clean EBITDA# margin % 23% vs 20% • Adjusted PBT^ (statutory) +102% to €93.8m • Net debt €131.5m (0.6x Pro forma Clean EBITDA) 14.9c
Slide 9: Q2 2017 KPIs and Current Trading
2017 Q2edit Click to KPIs and Current Trading CC Highlights Per day in €000's Q2-2017 Q2-2016 Change Change 91 days 91 days • Q2 17 Group daily NGR +10% (12%) vs pro Sports brands forma Q1 16 Sports wagers 12,113 12,394 (2%) (0%) • H1 2017 NGR €484.8m up 10% vs H1 Sports margin 10.1% 9.9% 2016 pro f
Slide 10: FY 2016 Divisional Overview – Sports Brands
FY 2016 Click Divisional Overview – Sports Brands to edit Constant Pro forma in €m0 2016 2015 Change currency • Sports margin 9.6% vs 8.6% prior year Sports wagers 4,488.3 4,312.6 4% 7% • Positive sports results + improved risk management at bwin Sports margin % 9.6% 8.6% • Exited low margin turnove
Slide 11: Sports Brands – Progress
Sports Click toBrands edit – Progress Challenge What we’ve done Impact • Improved trading tools • bwin margin +2ppts • Updated algorithms Poor risk management • Significant increase in number of • Enhanced feeds events and availability • Curtailed low margin turnover • Introduced new 3rd party conte
Slide 12: FY 2016 Divisional Overview – Games Brands
FY 2016 Click Divisional Overview – Games Brands to edit Constant Pro forma in €m 2016 2015 Change currency • Improving performance, H2 NGR +4% in constant currency Sports wagers 65.2 77.1 (15%) (14%) • Contribution margin in H2 45% vs 43% Sports margin % 7.7% 5.0% in H1 Sports NGR 4.3 3.2 32% 35% •
Slide 13: Games Brands – Progress
Games Click to Brands edit – Progress Challenge What we’ve done Impact • Replaced management partypoker in terminal • Refocused on core markets • Underlying NGR +14% decline • Improved product & service • FTDs value +55% • Increased investment • Restructured operations • partycasino FTDs value +84%
Slide 14: Technology – Progress
Technology Click to edit – Progress Challenge What we’ve done Impact • Enhanced security & business • 30% improvement in player continuity response time Stability and scalability • Reduced architectural complexity • >99.95% platform stability • Strengthened management and • >70% reduction in critica
Slide 15: Future developments
Futuretodevelopments Click edit • Significant enhancements to player journey • Increased data feeds and quality Sports Brands • Major UX upgrade • Increased investment in marketing • Continued improvement of number of events and availability • Significant pipeline of supplier deals • New live dealer
Slide 16: GVC Today – Brands, Technology & Talent
GVC ClickToday to edit– Brands, Technology & Talent Technology – a unique and powerful platform with substantial upside from further optimisation Brands – highly valuable portfolio of global gaming brands being reinvigorated Talent – one of the most experienced and successful teams in the industry 1
Slide 17: July 2017
Click to edit July 2017