Bragg Gaming Group Inc. · TSX:BRAG
Bragg Gaming — Q1 2022 Earnings Presentation
23 slides from Bragg Gaming's earnings presentation, May 2022
Slide 1: First Quarter 2022 Results Presentation
First Quarter 2022 Results Presentation May 2022 1
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation contains certain "forward-looking information" and "forward-looking statements" (collectively, "forward-looking statements") which are based upon Bragg Gaming Group Inc.'s (the "Bragg") current internal expectations, estimates, projections, assumptions an
Slide 3: Table of Contents
Table of Contents • Quarterly Highlights • Strategy Focus: Content Production • M&A, Licensing & New Markets 1Q22 • Financials & Guidance • Outlook & Conclusion 3
Slide 4: Quarterly Highlights
Quarterly Highlights G6)
Slide 5: Highlights: First Quarter 2022
Highlights: First Quarter 2022 Strong growth driven by ongoing content and platform expansion and new market strategy First Quarter Strong Financial Performance • 1Q22 revenue rises 36.4% to EUR 19.4m (EUR 14.2m in 1Q21) • 1Q22 Adjusted EBITDA rises 26.2% to EUR 3.0m (EUR 2.3m in 1Q21) • Gross profi
Slide 6: Strategy Focus: Content Production
Strategy Focus: Content Production 6
Slide 7: Benefit Of Proprietary and Exclusive Content Expansion
Benefit Of Proprietary and Exclusive Content Expansion Bragg continues to invest in its in-house gaming content and to integrate new exclusive content providers Expansion of proprietary content expected to drive gross profit and EBTIDA margins ‣ For proprietary content from our in-house studios, we
Slide 8: Proprietary Studios Update
Proprietary Studios Update ONLINE ONLINE LAND-BASED • 5 games to be released via partnership with Pragmatic Play in FY22 • 1 game released with IGT in 2Q22 with 4 additional games in development • Successful partnership established last year with a total of 7 games • Last 3 games released with IGT a
Slide 9: Game Release Roadmap: Proprietary & Exclusive Content
Game Release Roadmap1: Proprietary & Exclusive Content Europe & RoW North America2 49 49 39 39 22 22 0 10 0% 20% 45% 56% 2020 2021 2022 2020 2021 2022 Wild Streak Gaming Atomic Slot Lab Oryx Gaming Partner Studios Atomic Slot Lab Oryx Gaming Spin Games Partner Studios EXPANSION OF PROPRIETARY CONTEN
Slide 10: M&A, Licensing & New Markets
M&A, Licensing & New Markets 10
Slide 11: Spin Games Update
Spin Games Update Acquisition announced May 2021; expected to close 2Q22, subject to final regulatory approval Spin Overview Quick Facts2 Established U.S. B2B online casino RGS1 and 5 Licensed Jurisdictions NJ, PA, MI, CT & BC 35+ Proprietary games content aggregation service provider built on propr
Slide 12: Licensing and New Markets
Licensing and New Markets Bragg Continues to Roll Out Its Content and Technology in New Regulated Markets in Europe, North America and Globally New Licenses and New Market Entries • Ontario, Canada: Gaming-related Supplier license obtained from the AGCO1 in March, in preparation for market launch in
Slide 13: Roadmap of Expanding Market Opportunity
Roadmap of Expanding Market Opportunity Bragg’s addressable market continues to expand rapidly as online gaming companies grow aggressively and land-based gaming companies look to migrate online Bragg expects to enter North America in 3Q22 • United States: $5.8 billion market1 RoW • Canada: $1.6 bil
Slide 14: Financials & Guidance
Financials & Guidance 14
Slide 15: 1Q22 Financial Results
1Q22 Financial Results 1Q22 Financial Highlights1 Historical Financial Overview Customers3 Wagering2 (EUR,b) ‣ Revenue increased by 36.4% to EUR 19.4m 143 146 4.2 133 3.8 3.8 ‣ Wagering2 generated by customers up by 0.8% to EUR 3.8b and up 125 3.3 3.4 3.2 114 3.0 3.1 23% from 4Q21. 101 90 ‣ Gross pr
Slide 16: Underlying Business Performance Accelerated During 1Q22
Underlying Business Performance Accelerated During 1Q22 1Q22 Revenue Mix Highlights Bragg Quarterly Revenue Split Including Germany (EUR,m) ‣ Strong momentum of new business revenue launched in FY21 & 1Q22 (up by 58.5% from 4Q21) was driven by new 58.5% market launches, especially the New Bus. Growt
Slide 17: 1Q22 Gross Profit Expansion - Operational Model
1Q22 Gross Profit Expansion - Operational Model 1Q22 Gross Profit Highlights Revenue and Gross Profit Margins ‣ Gross profit margins in growth trajectory since 2Q20 and scaling up in line with the 25.0 60.0% changes of the product mix. 1Q22 is up 120 bps from 4Q21. ‣ PAM, managed services and propri
Slide 18: Growth Complemented by Substantial Margin Expansion
Growth Complemented by Substantial Margin Expansion AEBITDA Margin AEBITDA Margin AEBITDA Margin Proprietary 11.9% 15.3% 25.0% Content Prop. Aggregation Content Proprietary PAM Content Aggregation Aggregation FY20 1Q22 PAM Target Profile Profile Profile PAM Exclusive Gross Profit Margin Exclusive Gr
Slide 19: 1Q22 EBITDA Reconciliation
1Q22 EBITDA Reconciliation Reconciliation Operating Loss (Income) to Adj. EBITDA Three Months Ended March 31, (1) Depreciation and amortization: an increase in EUR 000 2022 2021 intangibles amortization as part of the Wild Steak Operating loss (228) (499) acquisition in June 2021. Depreciation and a
Slide 20: Working Capital and Balance Sheet
Working Capital and Balance Sheet Balance Sheet and Net Working Capital Cash Flow and Financial Resources As at March 31, As at December 31, Three Months Ended March 31, EUR 000 2022 2021 EUR 000 2022 2021 Cash and cash equivalents 18,412 16,006 Operating activities 3,803 2,930 Trade and other recei
Slide 21: Outlook & Conclusion
Outlook & Conclusion 21
Slide 22: Outlook & Conclusion
Outlook & Conclusion 1 Continued strong revenue growth driven by underlying recurring business & new markets 2 Successful launch of new proprietary content studio & expanding exclusive games roadmap 3 Total Addressable Market projected to grow to USD 21.5b by the end of the year 4 Increasing gross p
Slide 23: Thank you
@ BRAGG Thank you