evolution gaming - as real as it gets · •full games suite –roulette, black-jack, baccarat...
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Evolution Gaming
Interim Report January –March 2017
2017-04-20
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Highlights in the quarter
• Revenue growth +60% to 39,7 MEUR (24,8)• EBITDA increase +65% to 17,0 MEUR (10,3)• EBITDA-margin 43% (42%)• EBIT increase +69% to 14,0 MEUR (8,3)
• High demand for live casino• Agreement with Codere as exclusive provider of live casino in Mexico • New agreements with mybet, Matchbook och White Hat Gaming
After end of period:• Agreement with BCLC – entering Canada
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Evolution enters Canada with BCLC– First studio outside of Europe
• Agreement to provide Live Casino games and services for BCLC (British Columbia Lottery Corporation)
• Full games suite – Roulette, Black-Jack, Baccarat
• Minimum10 tables at launch planned in the end of 2017.
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Dream Catcher
• Innovation leadership
• First live non-table game
• All platforms
• Go-live during Q2
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Strong growth in Q1
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Bet spots
0
500 000 000
1 000 000 000
1 500 000 000
2 000 000 000
2 500 000 000
15Q4 16Q1 16Q2 16Q3 16Q4 17Q1
Be
t sp
ots
Bet spots
YoY growth+69%
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Limited increase in staff QoQ
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Full Time Equivalents (FTE)
1 0601 130
1 2341 338
1 525
1 769
2 027
2 394 2 426
0
500
1 000
1 500
2 000
2 500
3 000
15Q1 15Q2 15Q3 15Q4 16Q1 16Q2 16Q3 16Q4 17Q1
FT
E
FTE, end of period
YoY: +59%QoQ: 1%
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Financial development
7
15,618,1
19,8
22,824,8
27,129,2
34,3
39,7
6,27,7 7,8
9,310,3 10,6 10,8
13,0
17,0
39%
42%
40%41% 42%
39%37%
38%
43%
15Q1 15Q2 15Q3 15Q4 16Q1 16Q2 16Q3 16Q4 17Q1
Revenues EBITDA EBITDA, %
EUR million
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P/L detail
8
Group Jan-Mar Jan-Mar Jan-Dec Apr 2016 -
(EUR thousands) 2017 2016 2016 Mar 2017
Revenues 39 688 24 731 115 046 130 003
Other revenues 0 63 415 352
Total operating revenues 39 688 24 794 115 461 130 355
Personnel expenses -16 368 -11 003 -53 218 -58 583
Depreciation, amortisation and impairments -3 072 -2 027 -9 760 -10 806
Other operating expenses -6 293 -3 497 -17 619 -20 415
Total operating expenses -25 733 -16 527 -80 597 -89 803
Operating profit 13 955 8 267 34 864 40 552
Financial items -86 -17 -234 -302
Profit before tax 13 869 8 250 34 630 40 249
Tax on profit for the period -1 127 -611 -2 890 -3 406
Profit for the period 12 742 7 640 31 740 36 843
Average number of shares after dilution 36 244 190 35 970 377 36 178 211 36 244 190
Earnings per share after dilution (EUR) 0,35 0,21 0,88 1,02
Operating margin 35,2% 33,3% 30,2% 31,1%
Effective tax rate 8,1% 7,4% 8,3% 8,5%
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Cash flow and financial resources
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Note: Operating cash flow defined as EBITDA – Change in NWC – Capex
Capital expenditure Operating cash flow Balance sheet summary
EUR million 31/3/2017 31/3/2016
Total non-current assets 40,722 32,882
Current assets 35,555 23,794
Cash and cash equivalents 34,119 19,922
Total current assets 69,674 43,716
Total assets 110,396 76,598
Total equity 76,639 51,363
Total long-term liabilities 7,893 8,634
Total current liabilities 25,863 16,602
Total equity and liabilities 110,396 76,598
EUR m
12,4%11,1%
19,5%18,4%
15,9%16,9%17,4%
14,3%
10,0%
0
2
4
6
8
10
15
Q1
15
Q2
15
Q3
15
Q4
16
Q1
16
Q2
16
Q3
16
Q4
17
Q1
MEU
R
IntangiblesTangibles (excl building)% of revenue
0%
20%
40%
60%
80%
100%
120%
0,0
2,0
4,0
6,0
8,0
10,0
12,0
15
Q1
15
Q2
15
Q3
15
Q4
16
Q1
16
Q2
16
Q3
16
Q4
17
Q1
MEU
R
Op. Cash flow Cash conversion
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Look ahead…
• Continued growth
• Dream Catcher - Live
• Transfer to Nasdaq main list
• Construction of third major EU studio
• Continue to take market-shares and to increase gap to our competiors!
10
Re
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nu
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gro
wth
Pro
fita
bili
tyD
ivid
en
d
po
licy
• To grow faster than the total European live casino market
• To maintain a sustainable EBITDA margin of at least 35 per cent
• To distribute a dividend of at least 50 per cent of net profit each year
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Q&A
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