Rush Street Interactive, Inc. · NYSE:RSI
Rush Street Interactive — FY2020 Earnings Presentation
26 slides from Rush Street Interactive's earnings presentation, Mar 10, 2021
Slide 1: Investor Presentation March 2021
Investor Presentation March 2021
Slide 2: Disclaimer
Disclaimer Forward-Looking Statements This presentation contains “forward-looking statements” within the meaning of The Private Securities Litigation Reform Act of 1995. Forward-looking statements include, without limitation, statements regarding the estimated future financial performance and financ
Slide 3: Disclaimer (cont'd)
Disclaimer (cont’d) Use of Projections This presentation contains financial forecasts. RSI’s independent auditors have not studied, reviewed, compiled or performed any procedures with respect to the projections for the purpose of their inclusion in this presentation, and accordingly, neither of them
Slide 4: Highlights
Highlights 1 Grew revenue 337% in 2020 and 260% in the 4th quarter 2 Second largest online casino operator as measured by GGR for the full year 20201 3 Increased 2021 revenue guidance by 37% at the midpoint from $420 to $460 million 4 MAUs grew 165% in 2020 and 116% in the 4th quarter2 5 ARPMAU of $
Slide 5: The State of Play
The State of Play Today NJ IA PA CO IN 1 IL NY1 VA MI Combined Market Size2 ~$9.5bn Future LATAM: Online Casino & Online Sports Betting Colombia Online Sports Betting RSI Market Access Secured Online Casino Estimated U.S. Market Size2 Authorized Sports Betting, Not yet operational RSI live ~$35bn 5
Slide 6: Online Casino - Well-Rounded Demographics and Stronger Economics than Sports Betting
Online Casino - Well-Rounded Demographics and Stronger Economics than Sports Betting…1 Average Time Spent Demographics Better Monetization Online casino customers are split approximately The average online sports betting and Online casino customers spend 2.0x more equally between male and female but
Slide 7: Online Casino Revenue Proving 3x Larger Than Online Sports Betting
Online Casino Revenue Proving 3x Larger Than Online Sports Betting Pennsylvania Full Year 2020 Composition of Online Revenue 23.3% Online casino generated more revenue than online sports betting in PA and NJ during 2020 Casino1 Sports Betting 76.7% We believe the catalysts for the expansion of onlin
Slide 8: Efficient Operating Model
RUSH N T E R A C T Efficient Operating Model SUGAR HOUSE PLAYSUGARHOUSE CoM BETRIVERS.COM SPORTSBOOK | CASIN
Slide 9: Strong US Growth
Strong US Growth RSI has consistently grown its user base while simultaneously growing revenue per user • RSI’s focus on constantly improving the quality of the customer experience has resulted in growth in ARPMAU Three Months Twelve months • MAUs grew 165% in 2020 and 116% in the 4th quarter year-o
Slide 10: Returns Drive Marketing
Returns Drive Marketing Approach to Marketing Select Partnerships in Key Markets • Local, building consumer trust through well-known brands, Local Targeted Multi-Channel personalities, and businesses • Targeted, emphasis on the quality of a partner’s database, audience and reach factoring in likelih
Slide 11: Strong Return on Marketing Spend
Strong Return on Marketing Spend On average, all RSI cohorts since Jan-17 Promotional Credits as a % of Online Slot Machine Gross Revenue have paid back in their 6th month Pennsylvania, FY 2020 33.4% 18.7% RSI New Jersey LTV / CAC, by period 7.4x Rest of Market Promotional Credits as a % of Online S
Slide 12: Strategic Social Casino Offering
Strategic Social Casino Offering Soon-To-Be-Regulated • Same platform as RMG platform, offering an authentic online casino Live States States experience • Social casino players are converted to RMG at very low CACs Social Casino Registrations • Consistent revenue growth with FY 2020 ARPDAU of $1.36
Slide 13: Leading iGaming Product
Leading iGaming Product Leading iCasino Product Proprietary RSI Leading Online Sportsbook Product Platform Full suite of game offerings Premier in-game offering and live event streaming Engaging design & unique features drive customer Social Casino Recently developed our sports betting UI / UX reten
Slide 14: iGaming Platform and Market Position
iGaming Platform and Market Position RSI’s proprietary iGaming platform has allowed it to establish a market leading position via its speed to market and proven platform iGaming Platform Leading Market Position RSI first to launch online gaming RSI provides a customer facing platform and support ser
Slide 15: Financial Overview
RUSH N T E R A C T Financial Overview SUGAR HOUSE PLAYSUGARHOUSE COM BETRIVERS.COM SPORTSBOOK
Slide 16: Going Public Provided Capital Expected to Accelerate Growth Plans
Going Public Provided Capital Expected to Accelerate Growth Plans RSI Key Growth Drivers Launch New Markets Product Development (Domestic and International) Scaling Operations and Marketing Budget Tuck-In Acquisitions 16
Slide 17: Recent Performance
Recent Performance RSI Consolidated Revenue, Q2 2019 – Q4 2020 Year Over Year Growth Rate Revenue (Q4 2019 to Q4 2020) 260% $100 RSI has generated record levels of revenue every quarter since Q2 20191 $78 $65 Online casino excelled in 2020 and is expected to continue to be a strong performer into 20
Slide 18: Statements of Operations
Statements of Operations Amounts in USD $000’s For the three months ended December 31, For the years ended December 31, 2020 2019 2020 2019 Revenue $100,048 $27,819 $278,500 $63,667 Operating costs and expenses Costs of revenue 72,099 16,637 190,873 32,893 Advertising and promotions 23,096 8,653 56,
Slide 19: Statements of Comprehensive Loss
Statements of Comprehensive Loss Amounts in USD $000’s For the three months ended December 31, For the years ended December 31, 2020 2019 2020 2019 Net loss $(48,784) $(15,090) $(138,811) $(22,450) Other comprehensive income (loss) Foreign currency translation adjustment 968 (176) 524 10 Comprehensi
Slide 20: Appendix
RUSH N T E R A C T Appendix SUGAR HOUSE PLAYSUGARHOUSE COM BETRIVERS.COM SPORTSBOOK
Slide 21: Rush Street Interactive ("RSI") Management Team
Rush Street Interactive (“RSI”) Management Team NEIL BLUHM GREG CARLIN RICHARD SCHWARTZ KYLE SAUERS EINAR ROOSILEHT MATTIAS STETZ Chairman & Co-Founder CEO & Co-Founder President & Co-Founder CFO CIO COO Previous Experience • Co-founder of Rush Street • Co-founder of Rush Street • A leader and innov
Slide 22: Non-GAAP Financial Measures
Non-GAAP Financial Measures This presentation includes certain non-GAAP financial measures, including Adjusted EBITDA and Adjusted Operating Costs and Expenses, each of which is defined below. Adjusted EBITDA means net income (loss) before interest expense, income taxes, depreciation and amortizatio
Slide 23: Non-GAAP measures: Adjusted EBITDA
Non-GAAP measures: Adjusted EBITDA For the year ended December 31, Amounts in USD $000’s 1H 2020 Q3 2020 Q4 2020 1H 2019 Q3 2019 Q4 2019 2020 2019 Net loss $(63,533) $(26,494) $(48,784) $(5,568) $(1,792) $(15,090) $(138,811) $(22,450) (+) Depreciation and amortization 916 452 714 479 320 340 2,082 1
Slide 24: Non-GAAP measures: Adjusted Operating Costs and Expenses
Non-GAAP measures: Adjusted Operating Costs and Expenses For the year ended December 31, Amounts in USD $000’s 1H 2020 Q3 2020 Q4 2020 1H 2019 Q3 2019 Q4 2019 2020 2019 GAAP Operating Costs and Expenses Costs of revenue $71,667 $47,107 $72,099 $9,945 $6,311 $16,637 $190,873 $32,893 Advertising and p
Slide 25: Capitalization
Capitalization Fully Diluted Class Type of Outstanding Equity as of December 31, 2020 A Common Stock Class V Common Stock 160,000,000 Class A Common Stock 44,792,517 Public Warrants(1) 11,500,000 Private Placement and Working Capital Warrants(2) 6,675,000 Total Outstanding, Actual and Fully Diluted(
Slide 26: Key Metrics and Other Information
Key Metrics and Other Information This presentation includes certain key metrics and other information, including Average Revenue Per Daily Active User, Average Revenue Per Monthly Active User, Customer Acquisition Costs, First-Time Depositor, Gross Gaming Revenue, Lifetime Value and Monthly Active
Rush Street Interactive — FY2020 Earnings Presentation on 6ix