Slide 1: Pollard Banknote Limited
POLLARD banknote /imited
Slide 2: 2025 Annual General Meeting
POLLARD banknote limited 2025 ANNUAL GENERAL MEETING
Slide 3: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS Certain statements in this presentation may constitute “forward-looking” statements which involve known and unknown risks, uncertainties and other factors which may cause actual results, performance or achievements to be materially different from any future results, perfor
Slide 4: Today's Agenda
Today’s Agenda 1. Financial Highlights 2. 2024 Business Updates 3. 2024 Annual Results POLLARD BANKNOTE LIMITED | 2025 ANNUAL GENERAL MEETING
Slide 5: Financial Highlights
Financial Highlights ($ Millions) 2016 2017 2018 2019 2020 2021 2022 2023 2024 COMBINED $246.4 $286.0 $332.6 $400.3 $426.9 $499.2 $538.8 $600.6 $665.9 SALES(1) SALES $246.4 $285.7 $331.9 $397.8 $414.1 $459.0 $483.7 $520.4 $557.1 ADJUSTED $29.7 $44.0 $48.8 $60.2 $80.6 $84.0 $80.5 $91.3 $114.5 EBITDA(
Slide 6: Financial Highlights
Financial Highlights • Ongoing resilient demand for all retail printed products and growing demand for digital solutions – including both ilottery and eTabs. • A majority of our instant ticket contracts have been repriced to offset Covid input cost increases. Impact of negotiated higher average sell
Slide 7: Outstanding Games. Retail Excellence. Digital Innovation.
Outstanding Games. Retail Excellence. Digital Innovation. POLLARD | banknote limited
Slide 8: Worldwide Instant Sales
Worldwide Instant Sales $124.0$122.2 $118.8 $113.7 $102.4 $94.2 $87.6 $89.1 $80.8 $78.8 $79.3 $80.5 $76.0 $71.3 $65.0 $61.9 $63.5 $58.3 $48.5 $41.3 $38.9 $34.8 $30.3 $28.2 $27.5 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 20
Slide 9: Instant Tickets – Margin Recovery
Instant Tickets – Margin Recovery • Strategy to reprice our instant ticket contracts continues to be successful. • Gross margins have improved during 2024. • A majority of our contracts have now been repriced. • By the end of 2024 all of the contracts that have been repriced are now live and are pos
Slide 10: Retail Excellence
Retail Excellence POLLARD BANKNOTE LIMITED | 2025 ANNUAL GENERAL MEETING
Slide 11: POLLARD BANKNOTE LIMITED 2025 ANNUAL GENERAL MEETING
POLLARD BANKNOTE LIMITED | 2025 ANNUAL GENERAL MEETING
Slide 12: POLLARD BANKNOTE LIMITED 2025 ANNUAL GENERAL MEETING
POLLARD BANKNOTE LIMITED | 2025 ANNUAL GENERAL MEETING
Slide 13: The fastest full iLottery implementation in the U.S.
The fastest full iLottery implementation in the U.S. POLLARD BANKNOTE LIMITED | 2025 ANNUAL GENERAL MEETING
Slide 14: POLLARD BANKNOTE LIMITED 2025 ANNUAL GENERAL MEETING
POLLARD BANKNOTE LIMITED | 2025 ANNUAL GENERAL MEETING
Slide 15: POLLARD BANKNOTE LIMITED 2025 ANNUAL GENERAL MEETING
POLLARD BANKNOTE LIMITED | 2025 ANNUAL GENERAL MEETING
Slide 16: Pollard Charitable Gaming Group Sales Trend 2016-2024
Pollard Charitable Gaming Group Sales Trend 2016-2024 ($CDN) $140,000,000 $120,000,000 $100,000,000 $80,000,000 $60,000,000 $40,000,000 $20,000,000 2016 2017 2018 2019 2020 (Covid) 2021 2022 2023 2024
Slide 17: U.S. Gross Wager Market Share
68% NEW CANADIAN U.S. GROSS WAGER MARKET SHARE Source: Eilers & Krejcik Gaming U.S. Lottery Tracker Q4 2024 POLLARD BANKNOTE LIMITED | 2025 ANNUAL GENERAL MEETING
Slide 18: 2024 NPi iLottery Results
2024 NPi iLottery Results 2019 2020 2021 2022 2023 2024 Revenue - Pollard Share Michigan iLottery $16.4 $33.5 $26.7 $26.5 $28.0 $25.6 NeoPollard JV $2.5 $12.6 $40.1 $55.1 $80.3 $108.8 Combined Revenue(1) $18.9 $46.1 $66.8 $81.6 $108.3 $134.4 Income before Profit Share & Income Taxes – Pollard Share
Slide 19: 2024 Annual Results
2024 ANNUAL RESULTS POLLARD banknote limited
Slide 20: 2024 Highlights
2024 Highlights ($M) 2019 2020 2021 2022 2023 2024 (1) Combined sales $400.3 $426.9 $499.2 $538.8 $600.6 $665.9 Sales $397.8 $414.3 $459.0 $483.7 $520.4 $557.1 Gross Margin $91.1 $91.0 $90.7 $83.4 $86.6 $104.7 SG + A $56.5 $54.9 $64.4 $67.3 $79.3 $87.3 NPi JV Income (Loss) ($3.9) $1.6 $12.3 $23.7 $3
Slide 21: Fiscal Combined Sales
Fiscal Combined Sales (1) ($M) $700 $666 Foreign Exchange Rate Adjusted $601 $600 $552 $527 $500 $420$431 $400 $355 $306 $300 $260 $221 $230 $209 $209$196$218 $192$196$189$205 $192 $200 $176 $170 $162 $130 $113 $100 $0 Annual sales adjusted to 2024 average rate of $1.36 CDN per USD (1) See Non-GAA
Slide 22: Fiscal 2024 Combined Sales
Fiscal 2024 Combined Sales (1) (1) See Non-GAAP measures for explanation POLLARD BANKNOTE LIMITED | 2025 ANNUAL GENERAL MEETING
Slide 23: Adjusted EBITDA
Adjusted EBITDA (1) ($M) $114.5 $120.0 $100.0 $91.3 $80.6 $84.0 $80.5 $80.0 $60.2 $60.0 $48.4 $44.0 $40.0 $29.7 $25.8 $26.8 $20.2 $21.8 $17.3 $17.8 $20.0 $0.0 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 *Adjusted EBITDA prior to 2019 not including impact of IFRS 16 (1)
Slide 24: 2024 Adjusted EBITDA
2024 Adjusted EBITDA (1) ($M) $130.0 $125.0 $10.3 $120.0 $0.4 $114.5 $115.0 $20.6 ($8.1) $110.0 $105.0 $100.0 $95.0 $91.3 $90.0 $85.0 2023 Higher net Gross Margins Higher JV Higher SG+A Impact of Foreign 2024 in Instant Tickets and iLottery Margin Expenditures Exchange and Other Charitable Gaming (1
Slide 25: Strong Cashflow
Strong Cashflow ($M) 2019 2020 2021 2022 2023 2024 Cash Flow before CAPEX & W/C $47.8 $72.5 $59.9 $69.6 $55.0 $72.2 Change in Working Capital ($22.5) ($11.0) $9.2 ($15.4) $9.7 $1.7 Net Cash Flow before CAPEX $25.3 $61.5 $69.1 $54.2 $64.7 $73.9 (subtotal) CAPEX ($25.8) ($18.9) ($34.8) ($33.2) ($38.1)
Slide 26: Thank you for your time and your attention today.
Thank you for your time and your attention today. FOR MORE INFORMATION CONTACT: Doug Pollard John Pollard Co-Chief Executive Officer Co-Chief Executive Officer Telephone: (204) 474-2323 Telephone: (204) 474-2323 E-mail: dpollard@pbl.ca E-mail: jpollard@pbl.ca Rob Rose Chief Financial Officer Telepho
Slide 27: Appendix
APPENDIX POLLARD banknote limited
Slide 28: Adjusted EBITDA Reconciliation
Adjusted EBITDA Reconciliation (1) 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Net income $1.8 $3.1 $6.5 $5.4 $8.7 $7.5 $12.3 $16.8 $14.9 $22.0 $33.3 $19.7 $19.3 $31.4 $35.2 Adjustments: Amortization & depreciation $8.6 $8.4 $7.8 $8.6 $7.9 $8.4 $10.6 $13.1 $18.0 $27.1