Fortuna Entertainment Group NV

Transcription

1 Fortuna Entertainment Group NV 9M 211 Financial Results Analysts & Investors Presentation November 3, 211

2 Agenda 1. Introduction 2. 9M 211 Financial Performance 3. 9M 211 Sport Betting Results 4. 9M 211 Lottery Results 5. Outlook & Strategy 211/ 212 i. On-line in Poland ii. Tipsport deal iii. Outlook 2

3 Presentation Team MICHAL VEPŘEK CFO VLADAN CRHA Marketing & IR Director 3

4 Financial Performance in the First 9 Months of 211 4

5 Financial Highlights 9M 211 Financial Highlights Operational Highlights Growing core markets 9M 211 Amounts Staked up by o 9.3% yoy to EUR 31.7 MM 9M 211 total Gross Win up by 6.7 % yoy to EUR 7.9 MM 9M 211 EBITDA EUR 14.2 MM, down by 17.3% yoy EBITDA sports betting EUR 18.3 MM, up 6.4% yoy On-line sports betting retains its momentum 9M 211 Gross Win on-line sports betting up by 37% yoy to EUR 2.9MM Lottery in line with plan 9M 211 total Amounts Staked from lottery EUR 4.4 mm (of which scratch tickets EUR 2.1 MM and numerical games Loto EUR 2.3 MM) Amounts Staked scratch tickets growing 73.4% qoq 9M 211 Gross Win from lottery EUR 2 MM 9M 211 EBITDA lottery (EUR 4.1MM) Lottery business in the Czech Republic Successful sale of scratch tickets estimated 5% market share, series I almost 2 MM tickets sold out in less than 6 months Fortuna Loto gained 14% market share since its launch on July 18 New daily game introduced from Nov 1 Polish on-line on its door-step Decision from the Polish Ministry of Finance anticipated More than 12, users already pre-registered in Poland in one month Ready to launch immediately Tipsports PL Decision from the Polish Ministry of Finance anticipated Due diligence process completed Fortuna taking over managerial control over Tipsport s operations in Poland Source: Calculated based on FEG consolidated unaudited financial results for 9M 211 and Company information FX rates used for translation: average ČNB 5

6 EUR mil. EUR mil. EUR mil. EUR mil. 9M 211 Solid Growth Amounts Staked Q3 Amounts Staked 9M ,7 84,5 89 3Q 21 3Q 211 SB: 5.3% Lottery: n/a Total: 9.7% ,4 297,2 276,1 9M 21 9M 211 SB: 7.6% Lottery: n/a Total: 9.3% Sports Betting Lottery Sports Betting Lottery Gross Win Q3 Gross Win 9M ,1,5 16,3 15,2 4,8 6,3 Q3 21 Q3 211 Online: 31.3% Retail: (6.8%) Lottery: n/a Total: 9.2% yoy SB Online SB Retail Lottery ST Lottery Num games ,1,9 51, ,3 2,9 9M 21 9M 211 SB Online SB Retail Lottery ST Lottery Num Games Online: 37% Retail: (6.2%) Lottery: n/a Total: 6.7% yoy Source: Calculated based on FEG consolidated unaudited financial results for 9M 211 and Company information FX rates used for translation: average ČNB 6

7 EUR mil. EUR mil. EUR mil. 9M 211 Profitability on Budget Revenues 9M Revenues Q ,4 9M 21 9M SB: 4.3% Lottery: n/a Total: 7.7% ,6 19 1,6 Q3 21 Q3 211 SB: 1.8% Lottery: n/a Total: 1.3% Revenues SB Revenues Lottery Revenues SB Revenues Lottery EBITDA 9M ,2 18,3-4,1 SB: 6.4% Lottery: n/a Total: (17.3%) Solid revenues generation in sports betting EBITDA increase as a results of focus on operating costs control EBITDA lottery fully on budget -5 9M 21 9M EBITDA SB EBITDA lottery Source: Calculated based on FEG consolidated unaudited financial results for 9M 211 and Company information FX rates used for translation average ČNB 7

8 Sports Betting Results in the First 9 Months of 211 8

9 EUR mil. EUR mil. EUR mil. 9M 211 Growth Driven by On-line SB Amounts Staked 9M SB Gross Win 9M % 297,2 276,1 9M 21 9M 211 Amounts Staked ,2 48, 15,3 2,9 9M 21 9M 211 GW Online GW Retail Online: 37.% Retail: (6.2%) Total: 3.7% SB EBITDA 9M % 17,2 18,3 9M 21 9M 211 EBITDA SB EBITDA increase as a results of focus on operating costs control in the sports betting segment On-line betting retains its strong momentum, supported by network of land shops Although on-line substitution is strong, GW margin declined only little Source: Calculated based on FEG consolidated unaudited financial results for 9M 211 and Company information FX rates used for translation average ČNB 9

10 EUR mil. EUR mil. Sport Betting by Countries Amounts Staked 9M Gross Win 9M ,4 159,6 87,6 97,9 41,8 36,9,3 2,9 9M 21 9M 211 CR SB SK Poland Malta ,7 31,6 21,2 23,1 14,6 14,1,3,1 9M 21 9M 211 CR SB SK Poland Malta Amounts Staked in % Gross Win in % 9M 21 Malta,1% Malta 1,% 9M 211 9M 21 Malta,% 9M 211 Malta,2% SK 31,7% Poland 15,1% CR SB 53,% SK 32,9% Poland 12,4% CR SB 53,7% Poland 22,% SK 31,9% CR SB 46,1% Poland 2,5% SK 33,5% CR SB 45,8% Source: Calculated based on FEG consolidated unaudited financial results for 9M211 and Company information FX rates used for translation average ČNB 1

11 Lottery Results in the First 9 Months of

12 EUR mil. EUR mil. EUR thous. 9M 211 Lottery in line with Plan Lottery Amounts Staked Lottery Gross Win 2,5 2 1,5 1,5 2,1 Scratch Tickets 9M 211 2,3 Numerical Games Scratch Tickets 9M Numerical Games Lottery EBITDA M 211-4,1 Scratch tickets sales app. 1 thousand pieces a week, series I sold out in 6 months (1.5 million tickets) Lottery EBITDA in line with the plan, full year outlook EUR 5-6 million negative should be delivered EBITDA Lottery Source: Calculated based on FEG consolidated unaudited financial results for 9M211 and Company information FX rates used for translation average ČNB 12

13 CZK thous. CZK thous. Lottery Update Amounts Staked Gross Win Sales instant scratch tickets per POS are 4.5 times higher than those of SAZKA Current market share of Fortuna lottery app.14% Market share of scratch tickets app. 5% New daily game Golden 11 introduced from Nov 1 13

14 In CZK thous. Lottery Update Mobile Top Ups Sales No. of POS Total no. of POS over 1,2 (lottery and mobile top ups combined) Target up to 3, POS by the end of next year in the Czech Republic Mobile top ups available with all three mobile operators in the Czech Republic 14

15 Lottery Update 15

16 Outlook & Strategy 211/

17 Strategy Overview Lottery business in the Czech Republic Lottery business launched Gained 14% market share to-date Aim to have 3% market share in 3 years Scratch tickets extremely successful Focus on on-line betting/ Poland Leveraging its heritage brand and retail network to develop leading position in online New law amendment in Poland approved and application for local licence submitted to MinFin Tipsport PL acquisition Approval of MinFin expected Due diligence completed Potential to increase market share in Poland to approximately 1/3 Organic growth to grow market share Continuous improvement of retail network CRM Partnerships 17

18 On-line betting in Poland Amendment to the law approved and it should be implemented before the year end 211 Application for the local licence submitted to the Ministry of Finance and decision anticipated soon Already over 12, users subscribed for Fortuna on-line services in Poland in one month Fortuna is ready to launch the online betting immediately once the permission is received 18

19 Tipsport PL takeover Update: Due diligence completed Request for the Approval of the Polish Ministry of Finance submitted, a decision of the Ministry anticipated Fortuna took over managerial control of Tipsport PL Signing of transaction and final price determination subject to revision of PoS network Up to 1 shops could be taken over 19

20 Outlook Further development of existing products and markets Sports Betting: Growing Amounts Staked on-line in all countries Getting ready for major sport events in 212: UEFA EURO 212, Olympic Games Poland: targeting EUR 1 million of Amounts Staked via on-line in the first year Czech Republic: broadening on-line product portfolio Lottery: Targeting up to 3, distribution points by year-end Establishment of full product portfolio: scratch tickets, weekly and daily games, keno New scratch tickets to be checked and validated on-line 2

21 IR Contacts IR Contacts Vladan Crha Marketing & IR Director Klára Klímová IR Consultant 21