Gentoo Media Inc · OMXSTO:G2M
Gentoo Media — Gaming Innovation Group — Q1 2021 Earnings Presentation
27 slides from Gentoo Media's earnings presentation, May 5, 2021
Slide 1: Interim Report Q1 2021
Gaming Innovation Group Inc. fe) Interim Report 05 May 2021 GiG
Slide 2: Today's Presenters
Q1 2021 Interim Report Today’s Presenters Richard Brown Tore Formo CEO Group CFO 2
Slide 3: iGaming solutions based on innovative technology
Q1 2021 Interim Report iGaming solutions based on innovative technology GiG focusing strategy on ambition to become global Tier 1 B2B provider. Our strategy is centered on two customer focused business areas, supported by our group ambition for top performance and operational excellence Platform S
Slide 4: GiG in brief
GiG in brief Mission “To drive sustainable growth and profitability of our partners through product innovation, scalable technology and quality of service.” Dual-listed on Oslo Børs and at Nasdaq Stockholm 430 Employees Over 25 primary countries targeted by Media assets 10 Global Platform Licenses
Slide 5: Head figures development
Q1 2021 Interim Report Head figures development Revenues (MEUR EBITDA MEUR Revenues Revenues norm. EBITDA 64% Y/Y 44% Y/Y 674% Y/Y 6% Q/Q 9% Q/Q 11% Q/Q 5
Slide 6: Key takeaways Q1 2021
Q1 2021 Interim Report Key takeaways Q1 2021 ● Continued positive development with significant YoY growth, both revenues and EBITDA ● Signed two new agreements for platform provision in the quarter, and one more in first weeks of Q2 ● Two new brands went live on the platform in Q1, including regul
Slide 7: EBIT performance
Q1 2021 Interim Report EBIT performance EBIT & Adjusted EBIT MEUR ● EBIT result of €1.3m - a €6.0m improvement YoY ● In accordance with IFRS best practice, re-evaluation of useful life of domains acquired ● Majority of assets performing better than at time of acquisition, therefore in those case
Slide 8: Strategic Update - Q1
Q1 2021 Interim Report Strategic Update - Q1 8
Slide 9: New contracts signed & markets entered
Q3 Q1 2020 2021 Interim Report New contracts signed & markets entered Mill of Magic / Grupo Slots HoT CasinoWin TipWin Slotbox Admirāļu PlayStar German facing European Le Grand SuperSeven Casumo brand Argentina BetGenius L. America Hungary Germany Ireland Klubs US operator online casino Skopje Q3
Slide 10: Client integration timeline
Q3 Q1 2020 2021 Interim Report Client integration timeline SaaS revenue (ex. GiG/Betsson brands) Brands onboarded in: 2017 • SaaS contracts generate long term and sustainable revenue source 2018 • Ramp period from contract signing to launch, followed by operator 2019 revenue growth 2020 • Go live
Slide 11: Media - securing future revenues
Q1 2021 Interim Report Media - securing future revenues ● All-time-high in First Time Depositors (FTDs) in Q1 2021, up 56% YoY and 31% QoQ ● 95% on perpetual revenue share agreements where GiG will earn revenue over the players’ lifetime ● Effective balance of long term recurring revenue and upfro
Slide 12: Business Update
Q1 2021 Interim Report Business Update 12
Slide 13: Platform Services
Q1 2021 Interim Report Platform Services Normalised revenue & EBITDA MEUR Platform Services Revenue normalised EBITDA ● Normalised revenues for Platform Services were €5.2m (3.8 in Q1 2021, a 36% increase YoY ● Platform Services had positive EBITDA for the quarter, ended at €0.3m (-1.6, a 120%
Slide 14: Platform Services
Q1 2021 Interim Report Platform Services Brands on the platform SaaS Platform Services White-label Dev. ● Overall the focused SaaS business continues to deliver completed positive growth mechanisms, and indicate exciting year Integration ahead as onboarding program continues to roll out pipeline ●
Slide 15: Media Services
Q1 2021 Interim Report Media Services Revenue & EBITDA MEUR Revenue Media Services EBITDA ● Media Services continued its positive development in Q1 with an all-time-high in quarterly revenues. Revenues were €10m (8.2, a 23% increase YoY and 12% QoQ ● Paid media continues to see QoQ improvements
Slide 16: Sports Betting Services
Q1 2021 Interim Report Sports Betting Services Revenue & EBITDA MEUR Revenue EBITDA Sports Betting Services ● Slightly Lower than normal margins influenced a drop in revenue vs Q4 ● EBITDA ended at €0.4m (-1.7, a €1.3m improvement YoY ● Now that the business has the appropriate cost base, and
Slide 17: Events after the quarter & summary
Q1 2021 Interim Report Events after the quarter & summary 17
Slide 18: Update after the quarter
Q1 2021 Interim Report Update after the quarter ● Signed a new long term customer onto the platform for regulated EU markets ● Additional brand live in first weeks, with two additional launches anticipated shortly ● Sales pipeline remains strong ● Media delivered another monthly ATH in FTD’s in Ap
Slide 19: GiG's Long-term Financial targets
Q1 2021 Interim Report GiG’s Long-term Financial targets Growth Profitability Leverage To deliver annual double digit To achieve an EBITDA margin Cash generated from the organic revenue growth in excess of 40% by 2025 business will be used to lower leverage ratio while pursuing growth opportunitie
Slide 20: Summary
Q1 2021 Interim Report Summary ● GiG again delivered significant year-over-year growth in both revenue and EBITDA ● Strong EBIT improvement YoY resulted in positive EBIT of 1.3m ● A leading product and growing Platform business with an exciting onboarding program securing future growth in a multit
Slide 21: Q&A
Q1 2021 Interim Report Q&A 21
Slide 22: Appendix
Q1 2021 Interim Report Appendix 22
Slide 23: Largest shareholders: 31 March 2021
Q1 2021 Interim Report Largest shareholders: 31 March 2021 GAMING INNOVATION GROUP INC. 1 7 603 559 8.4 % Optimus Invest Limited 2 6 613 518 7.3 % Myrlid AS 3 4 919 596 5.5 % Swedbank Robur Ny Teknik 4 4 896 125 5.4 % True Value Limited 5 4 500 000 5.0 % Jesper Ribacka 6 2 637 302 2.9 % Hans Mikae
Slide 24: Income Statement
Q1 2021 Interim Report Income Statement EUR 1 000 Unaudited) B2C included as discontinued operations Q1 2021 Q1 2021 2020 Revenues 18 305 11 162 63 027 Cost of sales 825 425 2 967 Gross profit 17 480 10 737 60 060 Marketing expenses 4 690 1 676 14 937 Other operating expenses 8 234 8 472 34 381 T
Slide 25: Balance Sheet
Q1 2021 Interim Report Balance Sheet EUR 1 000 (unaudited) B2C included as discontinued operations 31 Mar 2021 31 Mar 2020 31 Dec 2020 Assets Goodwill 16 285 15 115 16 287 Intangibles assets 32 884 38 920 33 012 Deposits and other non-current assets 15 594 19 953 16 637 Total non-current assets 64
Slide 26: Cash Flow
Q1 2021 Interim Report Cash Flow In EUR 1 000 B2C included as discontinued operations Q1 2021 Q1 2020 2020 Cash flow from operating activities 115 8 059 17 700 Cash flow used by investing activities 2 079 3 007 14 613 Cash flow from financing activities 3 862 3 156 25 178 Translation (loss)/
Slide 27: Legal Disclaimer
Legal Disclaimer Gaming Innovation Group Inc. gives forecasts. Certain statements in this report presentation are forward-looking and the actual outcome may be materially different. In addition to the factors discussed, other factors could have an impact on actual outcomes. Such factors include deve
Gaming Innovation Group — Q1 2021 Earnings Presentation on 6ix