Rush Street Interactive, Inc. · NYSE:RSI
Rush Street Interactive — dMY Technology Group — SPAC Merger (October 2020)
39 slides from Rush Street Interactive's SPAC merger presentation, Oct 15, 2020
Slide 1: Rush Street Interactive Investor Presentation, October 2020
Exhibit 99.2 RUSH R A C T October 2020
Slide 2: Disclaimer
Disclaimer This investor presentation (the “presentation”) is for informational purposes only and does not constitute an offer to sell, a solicitation of an offer to buy, or a recommendation to purchase any equity, debtor other financial instruments of dMY Technology Group, Inc. (“dMY”) or Rush Stre
Slide 3: Disclaimer (cont'd)
Disclaimer (cont’d) Industry and Market Data In this presentation, dMY and RSI rely on and refer to information and statistics regarding market participants in the sectors in which RSI competes and other industry data. dMY and RSI obtained this information and statistics from third-party sources, in
Slide 4: RSI Management Team
Rush Street Interactive (“RSI”) Management Team NEIL BLUHM Chairman & Co-Founder Co-founder of Rush Street Gaming and RSI Prominent long track record of developing world-class real estate and casinos Co-founded Walton Street Capital and JMB Realty, two real estate firms Co-Chairman of successful REI
Slide 5: RSI Company Snapshot
RSI Company Snapshot Founded in 2012 Launched first online casino in NJ in Sep. 2016 Currently operating in NJ, PA, IN, IL, NY, CO, MI, IA and Colombia Developed a proprietary technology stack offering online casino and sports betting Current team of 151 employees with a highly experienced managemen
Slide 6: RSI Recent Highlights
1. RSI management estimate 2. Eilers & Krejcik Gaming 3. Illinois Gaming Board 4. Pennsylvania Gaming Control Board. Combined, Rivers Philadelphia and Rivers Pittsburgh had more taxable online gaming revenue than any other license holder RSI Recent Highlights Performance Preliminary Q3 2020 Revenue
Slide 7: Transaction Overview
1. Represents the exact amount of cash held in trust prior to Closing and any redemption by dMY shareholders, excluding any interest earned on funds 2. Assumes no redemption of DMYT public shares 3. Represents the proceeds from the PIPE as of the consummation of the Business Combination 4. Includes
Slide 8: RSI Investment Highlights
1. Based on estimates per Eilers and Krejcik for NJ, PA, DE, and WV online casino markets for three months ended August 31, 2020 RSI Investment Highlights #1 in US online casino market (June – August 2020)1 Accelerated growth profile and what we believe to be a pandemic-resistant business model Stro
Slide 9: 2018A–2021E Financial Performance
Note: 2018 and 2019 figures per Company audited financial statements. 2020 and 2021 estimates per RSI management. 1. RSI defines Adjusted EBITDA as net income (loss) before interest expense, income taxes, depreciation and amortization, share-based compensation, adjustments for certain one-time or no
Slide 10: Comparable Company Benchmarking
1. As per Capital IQ and Bloomberg at October 9, 2020 for comparable companies 2. Defined as TEV / 2021E Revenue divided by ’19-24E Revenue CAGR 3. Cash Flow refers to 2020E EBITDA 4. DraftKings since transaction announcement (December 23, 2019), GAN since IPO (May 4, 2020), and GNOG since transacti
Slide 11: Business Model
1. Only considers online operations and includes states where contracts have been agreed or are currently being negotiated 2. RSI recognizes all revenue and most expenses from PA and IL online operations on its income statement 3. Business to Government Business Model B2C B2B2C Operating Model Provi
Slide 12: #1 in US Online Casino Market (June-August 2020)
#1 in US Online Casino Market (June-August 2020)
Slide 13: The #1 Online Casino Company in the US
Source: Eilers and Krejcik Gaming, Pennsylvania Gaming Control Board, New Jersey Division of Gaming Enforcement 1. Based on estimates per Eilers and Krejcik for NJ, PA, DE, and WV online casino markets for three months ended August 31, 2020 2. Eilers & Krejcik estimates do not tie to GAAP revenue 3.
Slide 14: Online Casino Outperforms Online Sports Betting
Source: New Jersey Division of Gaming Enforcement, Pennsylvania Gaming Control Board, RSI management estimates 1. Online Casino includes slots and tables games excluding poker Online Casino Outperforms Online Sports Betting Pennsylvania August 2020 Marketwide Online Revenue Split1 Online casino gene
Slide 15: RSI Outperforms Even More in Online Slot Machine Revenue
Source: Pennsylvania Gaming Control Board, RSI management estimates 1. Online Casino includes slots and tables games excluding poker RSI Outperforms Even More in Online Slot Machine Revenue Pennsylvania August 2020 Marketwide Online Casino Revenue Split1 Online casinos are performing much like the l
Slide 16: Clear US iGaming Leader
Clear US iGaming Leader US Online Casino Market Share1 16.3% 11.5% 6.6% Brand Focus #1 in casino plus strong sports offering1 Sports focused with cross-sell to casino Casino focused Combined Population of Live Online Gaming Markets US: 50m people Global: 99m people2 US: 57m people US: 9m people Inte
Slide 17: Large & Rapidly Expanding Addressable Market
Large & Rapidly Expanding Addressable Market
Slide 18: Large US Online Opportunity for RSI
Source: Eilers & Krejcik, RSI Internal Estimates 1. Excludes markets run by lotteries or monopoly markets or where remote sign-ups are not permitted 2. RSI launched online sports wagering in Iowa on October 2020, however, online sports wagering cannot be accessed via state-wide remote registrations
Slide 19: A First Mover in Key US & LATAM Gaming Markets
Source: Pennsylvania Gaming Control Board, New York State Gaming Commission, and RSI Management estimates Note: MS = Market Share; market share data based on taxable revenue as of 2Q 2020 unless stated 1. As of August 2020 2. Pre-COVID, as of January 2020 A First Mover in Key US & LATAM Gaming Marke
Slide 20: Proprietary Tech Platform
RUSH R A C T Proprietary Tech Platform
Slide 21: Proprietary iGaming Platform
Proprietary iGaming Platform Provides flexibility, rapid feature creation / integration Offers marketing and promotional tools Feature rich User Experience 3rd Party iGaming Platform Online Front End Business Intelligence Marketing Customer Service Casino Social Sports Casino and Sportsbook Content
Slide 22: Leading Sportsbook Product
Leading Sportsbook Product Proprietary jackpot parlay feature Recently upgraded our sports betting UI / UX New iOS App being rolled out as of September 2020 Premier in-game offering and live event streaming
Slide 23: Strategic Social Casino Offering
Source: RSI Management estimates Note: FTD = First Time Depositor 1. L6M Average 2. Eilers & Krejcik 3. Refers to states that are soon to legalize online sports betting and / or online casino Strategic Social Casino Offering Social Casino Registrations Live States Soon-To-Be-Regulated States3 Build
Slide 24: Efficient Business Model
RUSH R A C T Efficient Business Model SUGAR HOUSE PLAYSUGARHOUSE.COM
Slide 25: Online Casino: Well-Rounded Demographics and Stronger Economics
Source: RSI Management estimates Online Casino - Well-Rounded Demographics and Stronger Economics than Sports Betting… Better Monetization Average Time Spent Demographics Online Sports Betting Online Casino Sports Betting Casino RSI ARPU, Q1 2020 RSI monthly minutes per active user, Q1 2020 RSI gend
Slide 26: RSI's Marketing Engine
RSI’s Marketing Engine Local, building consumer trust through well-known brands, personalities, and businesses in local markets Targeted, putting an emphasis on the quality of a partner’s database, audience and reach factoring in likelihood of customer conversion and retention Multi-channel, optimiz
Slide 27: Strong Return on Marketing Spend
Source: RSI Management estimates, all cohorts (a cohort represents all players that signed up in a particular month) since Jan-17 Note: LTV = Lifetime Value (Cohort total cumulative GGR); CAC = Customer Acquisition Cost 1. Cumulative GGR over period / advertising spend 2. GNOG June 2020 Investor Pre
Slide 28: Rational Approach to the Use of Incentives
Source: Pennsylvania Gaming Control Board; RSI management estimates Strong Market Share with Rational Approach to the Use of Incentives Promotional Credits as a % of Online Slot Machine Gross Revenue Pennsylvania, August 2020 RSI had #1 PA slot taxable revenue market share in August 2020 while bonus
Slide 29: Financial Highlights
RUSH R A C T Financial Highlights SUGAR HOUSE PLAYSUGARHOUSE.COM
Slide 30: Recent Performance
Source: RSI Management estimates 1. See Disclaimer – Cautionary Statement Regarding Preliminary Results 2. Record for RSI Recent Performance Online casino has excelled during the first 3 quarters of 2020 and is expected to continue to be a strong performer for the remainder of 2020 and beyond Revenu
Slide 31: Potential US Online Revenue Opportunity
1. Based on Eilers & Krejcik assuming all states have online casino / sports betting and internal RSI forecasts 2. RSI Internal Forecast % market share in all legalized US states 3. RSI Internal Forecast % of US states with legalized Online Casino and Online Sports Betting Potential US Online Sports
Slide 32: Long-term Financial Objectives
Source: RSI Management estimates Note: Based on US market assumptions on previous slide and other assumptions for market entry outside of the US 1. Assumes a steady state weighted average EBITDA margin range of 24.5% – 27.5% based on the ratio of B2C & B2B2C revenue Long-term Financial Objectives RS
Slide 33: Going Public Expected to Provide Capital for Growth Plan
Going Public Expected to Provide Capital That Can Accelerate RSI’s Growth Plan RSI Key Growth Drivers Supported by Transaction Proceeds Launch New Markets (Domestic and International) Product Development Tuck-In Acquisitions Scaling Operations and Marketing Budget
Slide 34: dMY Overview
RUSH R A C T dMY Overview SUGAR HOUSE PLAYSUGARHOUSE.COM
Slide 35: dMY Management Team
dMY Management Team Harry You dMY Chairman Director of Broadcom Former President, CFO and Co-Founder of GTY, largest tech SPAC at time of IPO Former EVP, Office of Chairman of EMC Former CEO of Bearing Point Former CFO of Oracle and Accenture Niccolo De Masi dMY CEO Mobile pioneer – Software & Hardw
Slide 36: Complementary Expertise Will Provide Accelerated Growth
Complementary Expertise Will Provide Accelerated Growth & Greater Opportunity for RSI Focus Area Timeline Expertise Unified internal tech platform delivering faster iteration cycles at lower cost Now Market access advantages over competitors Now Secure & compliant tech stack – vetted domestically &
Slide 37: Appendix
RUSH R A C T Appendix SUGAR HOUSE PLAYSUGARHOUSE.COM
Slide 38: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures Rush Street Interactive, LP ($’000s) Actual 12 Months Ended December 2018 Actual 12 Months Ended December 2019 EBITDA Reconciliation Comprehensive Loss $ (10,867) $ (30,984) (+) Depreciation & Amortization $ 898 $ 1,139 (+) Interest, Net $ 42 $ 123 (+) Deemed Divi
Slide 39: Glossary of Terms
Glossary of Terms Term Definition GGR Gross Gaming Revenue; Gross dollar value of cash bets less payouts NGR Net gaming revenue; GGR less promotional bets less gaming taxes and duties ARPU Average revenue per user; Monthly GGR / Monthly Active Players ARPDAU Average revenue per daily active user; So