Evolution Gaming Interim report January-March 2019

25 April 2019

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CEO, Martin Carlesund

CFO, Jacob Kaplan

Highlights

In the quarter:• Revenue growth +54% to 79,3 MEUR (51,6)

• EBITDA increase +64% to 35,9 MEUR (22,0)

• EBITDA margin 45,3% (42,6%)

• EBIT increase +69% to 30,2 MEUR (17,8)

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• Leverage from 2018 investments• Initiated roll-out of new games from ICE• Live with DraftKings, lotoquebec.com,

Svenska Spel and ATG

Continued strong increase in activity across network

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Bet spots

0

1 000 000 000

2 000 000 000

3 000 000 000

4 000 000 000

5 000 000 000

6 000 000 000

16Q1 16Q2 16Q3 16Q4 17Q1 17Q2 17Q3 17Q4 18Q1 18Q2 18Q3 18Q4 19Q1

Be

t sp

ots

Bet spots

YoY growth+64%

Increase in staff

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Full Time Equivalents (FTE)

1 525

1 769

2 027

2 394 2 4262 539

2 740

3 0853 243

3 600

3 970

4 319

4 671

0

500

1 000

1 500

2 000

2 500

3 000

3 500

4 000

4 500

5 000

16Q1 16Q2 16Q3 16Q4 17Q1 17Q2 17Q3 17Q4 18Q1 18Q2 18Q3 18Q4 19Q1

FT

E

FTE, end of period

YoY growth+44%

2019 is the year of innovation

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• MONOPOLY Live

• Deal or No Deal Live

• Lightning Dice

• Super Sic Bo

• First Person DC and Lightning Roulette

• Side Bet City

• Free Bet Blackjack

• 2 Hand Casino Hold’Em

• Infinite Blackjack

Breaking new ground with Game Shows

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• A new level of Live entertainment

• Appeals to new and broader group of end users

• Record-start for MONOPOLY Live

Geographic breakdown

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Based on GGR

• Live Casino as a top performer in regulated markets

Group Q1/19 Q4/18 Q3/18 Q2/18 Q1/18

Nordics 9% 9% 9% 9% 9%

United Kingdom 13% 14% 14% 16% 17%

Rest of Europe 49% 51% 49% 50% 52%

Rest of World 29% 26% 28% 25% 22%

Total 100% 100% 100% 100% 100%

Regulated markets 34% 30% 29% 31% 33%

Financial development

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EUR million

24,8 27,1 29,234,3

39,742,3

45,750,7 51,6

59,364,3

70,2

79,3

10,3 10,6 10,8 13,017,0 19,2

21,8 22,6 22,026,2 28,0

31,635,9

42%39%

37% 38%

43%

45%48%

45%43%

44% 44%45% 45%

16Q1 16Q2 16Q3 16Q4 17Q1 17Q2 17Q3 17Q4 18Q1 18Q2 18Q3 18Q4 19Q1

Revenue EBITDA EBITDA, %

P/L detail

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Jan-Mar Jan-Mar Apr 2018- Jan-Dec

(EUR thousands) 2019 2018 Mar 2019 2018

Revenues 79 287 51 571 273 066 245 350

Other revenues 10 23 55 68

Total operating revenues 79 297 51 594 273 121 245 418

Personnel expenses -29 035 -20 851 -105 858 -97 674

Depreciation, amortisation and impairments -5 729 -4 117 -19 809 -18 197

Other operating expenses -14 344 -8 783 -45 624 -40 063

Total operating expenses -49 108 -33 751 -171 291 -155 934

Operating profit 30 189 17 842 101 830 89 484

Financial items -45 -43 -160 -158

Profit before tax 30 144 17 799 101 670 89 326

Tax on profit for the period -1 568 -1 278 -6 156 -5 866

Profit for the period 28 576 16 521 95 514 83 460

Average number of shares after dilution 36 713 052 36 337 046 36 619 051 36 525 049

Earnings per share after dilution (EUR) 0,78 0,45 2,61 2,29

Cash flow and financial resources

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Note: Op. cash flow defined as EBITDA – Change in NWC – Investing activities

Capital expenditure Operating cash flow Balance sheet summaryEUR m

14%

12%12% 12%

14%15%

13% 14%

12%

0

2

4

6

8

10

12

17

Q1

17

Q2

17

Q3

17

Q4

18

Q1

18

Q2

18

Q3

18

Q4

19

Q1

MEU

R

TangiblesIntangibles% of revenue, rolling 12 month

0%

10%

20%

30%

40%

50%

60%

70%

80%

0

5

10

15

20

25

30

17

Q1

17

Q2

17

Q3

17

Q4

18

Q1

18

Q2

18

Q3

18

Q4

19

Q1

MEU

R

Op. Cash flow Cash conversion

EUR million 2019-03-31 2018-12-31

Total non-current assets 96 754 62 095

Current assets 93 611 93 611

Cash and cash equivalents

103 754 84 951

Total current assets 194 537 178 562

Total assets 291 291 240 657

Total equity 190 937 162 270

Total long-term liabilities 18 132 5 619

Total current liabilities 82 222 72 768

Total equity and liabilities 291 291 240 657

Note: Excluding acquisition of Ezugi 19Q1

Look ahead…

• Majority of new games still to be launched

• Continue to invest based on customer demand

• Continue to take market-shares and to increase gap to our competitors

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Q&A

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