Lottomatica Group S.p.a. · MIL:LTMC
Lottomatica — H1 2003 Earnings Presentation
20 slides from Lottomatica's earnings presentation, Sep 10, 2003
Slide 1: Lottomatica - 2003 First half results
Lottomatica - Presentation Rome, September 10th, 2003 half results 2003 - First half results 1
Slide 2: Disclaimer
Disclaimer THESE SLIDES HAVE BEEN PREPARED BY THE COMPANY SOLELY FOR THE USE AT ANALYST PRESENTATION. THE INFORMATION CONTAINED HEREIN HAS NOT BEEN INDEPENDENTLY VERIFIED. NONE OF THE COMPANY OR REPRESENTATIVES SHALL HAVE ANY LIABILITY WHATSOEVER IN NEGLIGENCE OR OTHERWISE FOR ANY LOSS HOWSOEVER ARI
Slide 3: Agenda
Agenda 1. First Half 2003: Main events 2. First Half 2003: Results 3. Subsequent events 3
Slide 4: Highlights June 2003
Highlights June 2003 400 320,9 300 264,5 200 200 114,7 104,6 100 100 0 0 Actual Actual Actual Actual 30.06.03 30.06.02 30.06.03 30.06.02 REVENUES EBITDA - All data are in € m unless otherwise mentioned - 1H 2002 pro-forma financial statements include the impact of the merger as of 1.1.2002 - TWIN, L
Slide 5: Highlights June 2003 vs. June 2002
Highlights June 2003 vs. June 2002 ! LOTTO: " Volumes wagered 3,4 vs. € 4,1 bln (- 15 % vs. 2002) " “core player wager” close to volumes of 2002 " Volumes wagered from “late numbers” decreased: - € 525 m vs. 2002 " Revenues: - € 40 m vs. previous year ! SERVICES: " Revenues 17,2 vs. 11,3 +52% growth
Slide 6: Lotto wagers - June ytd
Lotto wagers - June ytd €/m 2003 2003 2002 2002 Volumes Volumes wagered wagered (June (June ytd) ytd) 3.425 4.056 Of Of which: which: “core “core players" players" 2.768 2.873 “late “late numbers” numbers” 657 1.183** (*) Include € 881 m volumes wagerd of the period Jan-Mar 2002, on 14 of Genova 6
Slide 7: Services
Services ON-LINE ! ON-LINE PHONE RECHARGING - 39,6 m recharges sold vs. 9,1 m in 1H 2002 - Decreasing average size of the recharges due to the introduction of smaller size recharges (€ 17,6 vs. € 30,2 1H 2002) - revenues: € 7,9 m vs. € 3,2 m - Pos: 21.133 vs. 17.243 in 1H 2002 ! CAR ROAD TAX - 10,1
Slide 8: Bingo Italy
Bingo Italy ! First Half Operating highlights: - 10 bingo halls opened. Halls not yet at break-even being relaunched - Food and beverage already provided in 6 halls, starting in the others - Restructuring and cost cutting program under way ! Splitting between Lottomatica and CIRSA in Bingo Italy com
Slide 9: Operating expenses 1H 2003 vs. 1H 2002
Operating expenses 1 H 2003 vs. 1 H 2002 206,3* 19,9 8,7 177,7 16,8 Procurement contracts renegotiation: 5,4 5,4 2,7 maintenance 160,9* 2,7 logistics 2,7 2,7 Operational efficiencies (migration to IP protocol) 8,7 8,7 Lower paper costs: 3,7 – 2002 inventory build up 0,9 - decreased volumes Lotto/Tri
Slide 10: Agenda
Agenda 1. First Half 2003: Main events 2. First Half 2003: Results 3. Subsequent events 10
Slide 11: Operating revenues vs. consolidated
Operating revenues vs. consolidated 30 June 2003 30 June 2002 Managerial Managerial Statutory Statutory Managerial Managerial Statutory Statutory Accounts Accounts Accounts Accounts Accounts Accounts Accounts Accounts Lotto Lotto 221,1 221,1 221,1 221,1 261,4 261,4 261,4 261,4 Services Services 17,2
Slide 12: EBITDA
EBITDA 30.06.2003 30.06.2003 30.06.2002** 30.06.2002** Lotto Lotto 89,8 89,8 111,0 111,0 Services Services 7,5 7,5 6,3 6,3 Bingo* Bingo* 4,1 4,1 1,0 1,0 Other Other 3,2 3,2 (3,6) (3,6) Total EBITDA 104,6 114,7 All data are in € m unless otherwise mentioned (*) In 1H 03 Bingo Italy only include Bingo
Slide 13: EBIT
EBIT 30.06.2003 30.06.2003 30.06.2002** 30.06.2002** Lotto Lotto 64,1 64,1 71,7 71,7 Services Services 6,9 6,9 5,9 5,9 Bingo* Bingo* 1,1 1,1 (1,3) (1,3) Other Other (26,0) (26,0) (50,1) (50,1) Total EBIT 46,1 26,3 All data are in € m unless otherwise mentioned (*) In 1H 03 Bingo Italy includes Bingo
Slide 14: Consolidated Income Statement
Consolidated Income Statement 30.06.2003 30.06.2003 30.06.2002 30.06.2002** Revenues Revenues from from sales sales and and services services 484,3 439,0 Other Other revenus revenus 1,8 12,1 Total Total revenues revenues 486,1 451,1 Operating Operating costs costs 381,5 336,4 EBITDA EBITDA 104,6 114
Slide 15: Consolidated Cash Flow Statement
Consolidated Cash Flow Statement 30.06.03 30.06.03 Initial Initial NFP NFP (45,2) Cash Cash Flow Flow from from operations operations 83,9 Capex Capex and and Investments Investments (42,1) Dividends Dividends (292,3) Other Other 12,0 End End of of period period NFP NFP (283,5) 15
Slide 16: Consolidated Balance Sheet
Consolidated Balance Sheet 30.06.2003 30.06.2003 30.06.2002 30.06.2002 Intangible assets 563,9 615,0 Tangible assets 142,6 135,1 Financial assets 5,2 3,8 Total fixed assets 711,8 753,9 Trade receivables 39,3 46,6 Other assets 219,0 218,9 Trade payables 170,6 162,9 Other current liabilities 115,7 125
Slide 17: Agenda
Agenda 1. First Half 2003: Main events 2. First Half 2003: Results 3. Subsequent events 17
Slide 18: Lotto wagers in July and August
Lotto wagers in July and August €/m JULY AUGUST 2003 2002 2003 2002 Core players 434 515 449 487 Late numbers 218 47 101 90 TOTAL 652 562 550 577 REVENUES 41,8 35,9 35,2 31,8 Lotto volumes wagered in July and August were up 6% 18
Slide 19: Totobit
Totobit TOTOBIT: ! On August 1st, 2003 a contract for the acquisition of 100% of Totobit Software e Sistemi S.p.A. was signed. The acquisition price is € 39 million. ! In 2002 Totobit gross consolidated revenues exceeded € 67 million (including € 59 of face value of on-line phone recharging), Ebitda
Slide 20: Coni Sports Games
Coni Sports Games Volumes wagerd on the CONI games during the month of August 8.200 8.000 • POS applications : 8.222 24,2% • POS granted : 7.342 • Operating outlets : 5.100 6.000 4.884 • Pending outlets : 2.242 4.000 20,2% 14,7% Total volumes wagerd 2.507 2.441 Lottomatica 2.000 1.187 1° concorso wi