Aristocrat Leisure Limited · ASX:ALL
Aristocrat Leisure — Investor Presentation (November 2024)
37 slides from Aristocrat Leisure's investor presentation, Nov 13, 2024
Slide 1: Full-Year 2024 Results Investor Presentation
Full-Year 2024 Results Investor Presentation 13 November 2024 Bringing joy to life through the power of play
Slide 2: FY24 Results highlights
FY24 Results highlights Outstanding Revenue Segment Profit Group Result $6.6bn +5% $3.1bn +12% Effective execution of Continued portfolio strength Gaming Operations strategy, cost optimisation & & execution drives outperforms, with operating buy-backs drove +20% EPS Aristocrat Gaming leverage across
Slide 3: Strategy
Strategy Ss we > ~~ 7) > O
Slide 4: Group growth strategy
Group growth strategy Pixel United strategic review update Plarium o Aristocrat has entered into a binding agreement for the sale of Plarium to Modern Times Group, an international, mobile-first gaming group o Important milestone as we focus on regulated gaming strength in core land-based gaming, re
Slide 5: Proven growth strategy
Proven growth strategy Aristocrat is a global entertainment and gaming content creation leader, powered by technology Delivering superior, long-term profit growth Investing & Innovating Growing & Distributing Differentiating Enablers • Create the world’s greatest gaming • Market share growth whereve
Slide 6: Track record of strong financial performance
Track record of strong financial performance Consistent growth underpinned by operational breadth Revenue (A$bn) Revenue diversification1 (A$bn) +5% YoY 65% 75% +8% CAGR 6.6 3.5 3.6 6.3 2.8 5.6 2.2 4.7 2.6 1.7 4.4 4.1 2.6 2.7 2.6 2.4 2.5 1.8 FY19 FY20 FY21 FY22 FY23 FY24 FY19 FY20 FY21 FY22 FY23 FY2
Slide 7: Sustainability strategy & progress
Sustainability strategy & progress Our ambition: We seek to uphold high standards of governance and responsibility, to positively impact our people, customers and communities Good Governance & Empowering Operational People & Responsible Business Safer Play Sustainability & Climate Community Regulati
Slide 8: Investment proposition
Investment proposition Established and trusted industry leader with proven ability to deliver sustainable, long-term profit growth Large & Growing Markets TAM US$287bn1 TAM US$81bn2 TAM US$118bn1 Defensive Growth Cyclical Growth High Growth Content & Creativity World-class content that resonates acr
Slide 9: Group Results & Financial Summary
Group Results & Financial Summary
Slide 10: Group results summary
Group results summary Revenue growth driven by Aristocrat Gaming, with operating leverage supporting profit performance A$ million 2024 2023 Change % Normalised results o Revenue up 5% Operating revenue 6,603.6 6,295.7 4.9 o Revenue growth driven by exceptional performance in North America EBITDA
Slide 11: Profit reconciliation
Profit reconciliation Outstanding profit growth across the portfolio driven by positive mix, operating leverage and cost optimisation NPATA BRIDGE (A$m) 1 NPATA FY23 1,326.6 Aristocrat Gaming 114.7 Pixel United 74.3 Aristocrat Interactive 55.7 Corporate Costs & Other (7.2) Group D&D Expenses (18.7)
Slide 12: Cash flow
Cash flow Strong cash generation; Operating cash flow of $1.8 billion A$ million 2024 2023 Change % EBITDA 2,469.1 2,083.4 18.5 o Small decrease in operating cash flow reflecting increased taxes paid, Change in net working capital (68.6) (75.5) 9.1 partly offset by continued strong business performa
Slide 13: Capital allocation framework, balance sheet and liquidity
Capital allocation framework, balance sheet and liquidity Capital allocation framework supports Aristocrat’s long-term growth strategy and maximises shareholder returns o Free cash flow funds growth investment (organic and inorganic) o Cash returns to shareholders via: Investment drives future growt
Slide 14: Fully funding strategic organic growth
Fully funding strategic organic growth Ongoing high levels of investment to support growth, with discipline across D&D and UA to optimise returns Total spend as a % of revenue YoY Total spend as a % of revenue sequential HoH 34% 31% 29% 31% 29% 29% 29% 29% 32% 30% 28% Investment Spend (A$m) Investme
Slide 15: Design & Development (D&D) investment
Design & Development (D&D) investment Industry-leading D&D investment maintained, with disciplined approach supporting a return to 11-12% over medium-term D&D as a % of revenue 11.4% 12.5% 12.1% 13.9% 13.0% 12.7% D&D spend (A$m) 448 425 423 67 50 372 77 354 313 36 42 28 174 171 140 141 145 133 177 1
Slide 16: Operational Performance
Operational Performance —*¢
Slide 17: Aristocrat Gaming
Aristocrat Gaming Growth driven by exceptional share gains in Gaming Operations and operational leverage o Revenue growth of ~5% driven by expansion of Gaming Operations Summary Profit or Loss 2024 2023 Change % footprint, supported by depth and strength of the portfolio Aristocrat Gaming o Margin e
Slide 18: Pixel United
Pixel United Momentum and share gains in Social Casino with strong margin improvement through cost optimisation Summary Profit or Loss 2024 2023 Change % o Revenue 1% lower, with bookings broadly flat. Social Casino achieved over US$1 billion in bookings for the first time in FY24, representing 58%
Slide 19: User Acquisition (UA) Investment at Pixel United
User Acquisition (UA) Investment at Pixel United UA optimisation efforts and product investments are driving improved returns UA as a % of Pixel United revenue 27.5% 24.7% 26.9% 22.1% 22.2% 20.9% o Improved returns across evergreen titles without top-line impact, reflecting: UA spend (US$m) • struct
Slide 20: Scalable global presence in attractive adjacent businesses
Scalable global presence in attractive adjacent businesses iLottery Content Platforms Best in class Creation, distribution & Systems infrastructure iLottery solutions aggregation of content supporting high value segments Wins in FY24: Wins in FY24: Wins in FY24: Six new customer contracts & two cust
Slide 21: Aristocrat Interactive
Aristocrat Interactive Strong result with the inclusion of NeoGames; encouraging start as Interactive accelerates Summary Profit or Loss 2024 2023 Change % o Revenue up 85%, driven by organic growth in Platforms 5 and Aristocrat Interactive continued scaling of iGaming across North America and Europ
Slide 22: Outlook
CF Vp wir hte BP) Outlook
Slide 23: Outlook
Outlook Aristocrat expects to deliver NPATA growth over the full year to 30 September 2025, on a constant currency basis, reflecting: Continued strong market share, revenue and profit growth from Aristocrat Gaming Disciplined execution in Pixel United with a focus on market share and investment effi
Slide 24: Q&A
Q&A
Slide 25: Appendices
Appendices
Slide 26: FY25 modelling inputs
FY25 modelling inputs Operating items: • D&D investment expected to be in the range of 12-13% of revenue, returning to 11- 12% over the medium-term • Pixel United UA spend expected to be in the range of 21-24% of revenue, reflecting a targeted approach to spending across our portfolio Non-operating
Slide 27: Group results summary
Group results summary Group Performance Reconciliation of statutory profit to NPATA Reported Constant Reported Currency Currency Currency A$ million 2024 2023 Statutory profit as reported in the financial statements 1,303.4 1,454.1 A$ million 2024 2023 Variance % Variance % Amortisation of acquired
Slide 28: Aristocrat Gaming
Aristocrat Gaming Gaming (A$m) North America (US$m) Rest of World (A$m) Summary of Performance 2024 2023 2024 2023 2024 2023 Revenue 3,628.6 3,461.5 1,918.2 1,807.3 731.6 744.9 EBITDA 2,275.5 2,049.3 1,289.2 1,156.5 330.6 311.7 Depreciation and Amortisation (253.9) (185.4) (158.6) (115.2) (14.3) (12
Slide 29: Pixel United
Pixel United Pixel United (US$m) Pixel United (US$m) Summary of Performance 2024 2023 Bookings 2024 2023 Bookings 1,745.1 1,748.0 Bookings by Genre Revenue 1,745.5 1,764.0 Social Casino 1,008.2 970.3 EBITDA 655.6 592.2 RPG, Strategy and Action 552.2 562.2 Depreciation and Amortisation (21.6) (24.6)
Slide 30: Aristocrat Interactive
Aristocrat Interactive Interactive (US$m) Interactive (US$m) Summary of Performance 2024 2023 Summary of Performance 2024 2023 1 Reported Revenue 223.9 121.0 Revenue Total Revenue (incl. share of NPI JV revenue) 258.8 121.0 iLottery 22.3 - EBITDA 71.5 21.2 Content 48.7 9.8 Depreciation and Amortisat
Slide 31: Aristocrat Gaming - Overview
Aristocrat Gaming - Overview A leader in North America Gaming Operations with market-leading FPD; Strong diversified game portfolio A$3.6bn 4.8% A$2.0bn 8.5% 55.7% 1.9 pts FY24 Revenue FY24 Profit FY24 Margin Largest footprint in North America Gaming Operations 71,131 US$55.41 #1 performing game sup
Slide 32: Pixel United - Overview
Pixel United - Overview Global publisher with strong & diversified portfolio; Exposed to attractive segments and market-leading share in Social Slots; Targeted investment in Live Ops, features, content and UA to drive long-term, profitable growth US$1.7bn 1.0% US$0.6bn 11.7% 36.3% 4.1 pts FY24 Reven
Slide 33: Aristocrat Interactive - Overview
Aristocrat Interactive - Overview Content and technology solutions provider for online RMG and land-based casino systems; Strong momentum across all areas of the business, with the integration of NeoGames progressing well US$259m 113.9% US$70m 239.3% 27.0% 10.0 pts FY24 Total Revenue1 FY24 Profit1 F
Slide 34: Glossary of terms
Glossary of terms Gaming Mobile Gaming Established, regulated markets outside traditional markets where Aristocrat Average bookings per Daily Active User. Total bookings in each period, divided by Adjacencies ABPDAU competes to take share by bringing innovation in games and technology the number of
Slide 35: Glossary of terms
Glossary of terms Online Real Money Gaming Financial & Other Amortisation of Amortisation of acquired intangibles arises from acquisitions of controlled Aristocrat Interactive Aristocrat’s online RMG business acquired intangibles entities and joint ventures Business-to-Business. That is, business ac
Slide 36: Disclaimer
Disclaimer This document and any oral presentation subsequent forecasts, will not vary significantly Disclosures in this document, the accompanying accompanying it has been prepared in good faith, from such forecasts, forward looking statements presentation or any Other Materials are not however, no
Slide 37: ARSTOCR
ARSTOCR ‘inging joy to life through the pow
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