Ainsworth Game Technology Limited · ASX:AGI
Ainsworth Game Technology — FY2015 Earnings Presentation
32 slides from Ainsworth Game Technology's earnings presentation, Aug 18, 2015
Slide 1: FY15 Annual Results Announcement
For personal use only FY15 Annual Results Announcement Ainsworth Game Technology Limited
Slide 2: Disclaimer
Disclaimer For personal use only IMPORTANT NOTICE This presentation has been prepared by Ainsworth Game Technology Limited ACN 068 516 665 (AGT) in good faith.No express or implied warranty is given as to the accuracy or completeness of the information in this document or the accompanying presentati
Slide 3: Agenda
For personal use only 1.Results Highlights 2.Consolidated Results 3.Segment Results - Australia 4.Segment Results – Americas 5.Segment Results – Rest of the World 6.Gaming Products 7.Regulatory Update 8.Online 9.Outlook and Questions 3 3
Slide 4: Historical Financial Performance
A stronger, diversified and more profitable Ainsworth is emerging Historical Financial Performance For personal use only Domestic Revenue International Revenue Normalised Profit/(Loss) After Tax (PAT) 300 244.1 240.6 250 100.8 147.6 198.1 200 73.7 150.6 $A millions 150 47.5 143.3 98.0 124.4 100 69.3
Slide 5: Key Highlights
Key Highlights For personal use only • FY15 net profit after tax increased by 14% versus pcp to $70.4m. Includes $17.9m of foreign currency gains (after tax). NPAT was $52.5m excluding forex gains. • EPS increased to 22 cents per share versus 19 cents per share in FY14, +16%. EPS was 16.4 cents per
Slide 6: Key Highlights
Key Highlights • Further improvement in quality of earnings driven by greater recurring revenues For personal use only from machines on participation and machines under service in NSW. At year end FY15, 2,627 machines within the Americas on participation, rental and/or lease, + 32% versus pcp. NSW f
Slide 7: Agenda
For personal use only 1.Results Highlights 2.Consolidated Results 3.Segment Results - Australia 4.Segment Results – Americas 5.Segment Results – Rest of the World 6.Gaming Products 7.Regulatory Update 8.Online 9.Outlook and Questions 7 7
Slide 8: Profit & Loss Summary
Profit & Loss Summary 12 months 12 months • Strong international sales growth For personal use only A$m ended ended Change (%) Change (%) (+46% v pcp) effectively offset 30-Jun-2015 30-Jun-2014 temporary fall in weak domestic Domestic revenue 93.0 143.3 ▼ (35%) International revenue 147.6 100.8 ▲ 46
Slide 9: Net Profit Bridge
Net Profit Bridge 100,000 For personal use only 90,000 80,000 166 70,000 12,201 60,000 7,499 1,227 49 98 3,014 24,732 3,522 A$ '000's 6,055 50,000 40,000 70,353 61,570 30,000 20,000 10,000 0 NPAT FY14 Machine Participation Service Other Cogs Overheads Tax D&A Forex Net Interest NPAT FY15 Sales Sales
Slide 10: Balance Sheet
Balance Sheet 12 months 12 months • Continuing strong balance sheet For personal use only A$m ended ended Change (%) 30-Jun-2015 30-Jun-2014 with $41.3m of cash to fund Cash 26.1 20.9 25% innovation, growth and Term deposits 15.2 51.0 (70%) international expansion. Receivables 110.3 93.7 18% Other C
Slide 11: Cashflow Statement
Cashflow Statement For personal use only 12 months 12 months A$m ended ended Change 30-Jun-2015 30-Jun-2014 • Fall in Net Cash from Operations to $20.2m reflects temporary Net Cash from Operating 20.2 57.6 (37.4) Activities increase in working capital and Interest received 3.4 2.6 0.8 extended payme
Slide 12: Agenda
For personal use only 1.Results Highlights 2.Consolidated Results 3.Segment Results - Australia 4.Segment Results – Americas 5.Segment Results – Rest of the World 6.Gaming Products 7.Regulatory Update 8.Online 9.Outlook and Questions 12 12
Slide 13: Segment Results - Australia
Segment Results - Australia Challenging market conditions and For personal use only competitive environment: • Decline in business activity, 12 months 12 months changes in customer purchasing Change A$m ended ended Change (%) (%) 30-Jun-2015 30-Jun-2014 patterns, some pricing pressure Revenue 93.0 1
Slide 14: Agenda
For personal use only 1.Results Highlights 2.Consolidated Results 3.Segment Results - Australia 4.Segment Results – Americas 5.Segment Results – Rest of the World 6.Gaming Products 7.Regulatory Update 8.Online 9.Outlook and Questions 14 14
Slide 15: Segment Results – Americas
Segment Results – Americas For personal use only North America – strong growth in North America sales, share and participation: A$m 30-Jun-15 30-Jun-14 Change (%) Change (%) • Good contributions from new Revenue 82.7 58.5 ▲ 41% jurisdictions– Wyoming, Segment Profit 38.1 25.8 ▲ 48% Mississippi, Ariz
Slide 16: Overall Performance
For personal use only Overall Performance • All regions show overall performance above house average. • The strongest performance is in the Mid-West with an average Theoretical Win index of 1.7. • This Report covers 111 game titles. o 78 of these or 70% are performing at an average index of 1 or abo
Slide 17: Overall Performance by Brand
Overall Performance by Brand 500 18 1.6 1.6 4so e e > Ls 16 T M ee 14 tH A 400 @ e 1.4 13 14 ¢ o ; 2 c 350 @ las 1.2042 44 fe) H ee a 12 i eee 1.12/11) 406 300 - Ni e e@ e 10 46 w @ ‘ 1 E 250 08 N 200 c 06 06 | © 150 e oN u 04 D N 100 = + . J i = a _ , a iad | ~ LILA 4 —} oo Wheels of Reels High Den
Slide 18: North America WPD by Territory
NORTH AMERICA WPD BY TERRITORY (LATEST REPORTED DATA) y DEAL NSWORTH 5_I_ as 18 EXPERIENCE COUN U9
Slide 19: Segment Results – Americas (Latin America)
Segment Results – Americas For personal use only Strong product acceptance and Latin America growth from jurisdictions 12 months 12 months Change A$m ended ended Change (%) across the region: 30-Jun-2015 30-Jun-2014 (%) • 39% increase in units sold. Revenue 50.3 31.9 ▲ 58% • Mexico is largest market
Slide 20: For personal use only
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Slide 21: For personal use only
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Slide 22: Agenda
For personal use only 1.Results Highlights 2.Consolidated Results 3.Segment Results - Australia 4.Segment Results – Americas 5.Segment Results – Rest of the World 6.Gaming Products 7.Regulatory Update 8.Online 9.Outlook and Questions 22 22
Slide 23: Segment Results – Rest of the World
Segment Results – Rest of the World For personal use only Strong sales growth (+38%) with A$m 12 months ended 12 months ended Change (%) Change (%) good contribution from Asia 30-Jun-2015 30-Jun-2014 (+115%) driven by Philippines: Revenue 14.6 10.4 ▲ 39% Segment Profit 8.5 6.1 ▲ 39% Segment Profit (
Slide 24: Agenda
FY14 Annual Results Announcement For personal use only 1. Results Highlights 2. Consolidated Results 3. Segment Results - Australia 4. Segment Results – Americas 5. Segment Results – Rest of the World 6. Gaming Products 7. Regulatory Update 8. Online 9. Outlook and Questions 24 24
Slide 25: Gaming Products
For personal use only 25 Gaming Products 25
Slide 26: Product Review
Product Review Australia • Multi-denominational game marketing was introduced into New South Wales and Queensland across a For personal use only number of established brands. • Through out the year a greater focus on game design innovation and resourcing was a key initiative. • Number of new game co
Slide 27: Agenda
For personal use only 1. Results Highlights 2. Consolidated Results 3. Segment Results - Australia 4. Segment Results – Americas 5. Segment Results – Rest of the World 6. Gaming Products 7. Regulatory Update 8. Online 9. Outlook and Questions 27 27
Slide 28: Regulatory Update
FY14 Annual Results Announcement Regulatory Update Continuing strategy to deliver new jurisdictions based on detailed market assessment of For personal use only commercial opportunities. From 1 July 2014 to current, the AGT group has secured the following new gaming licenses: Kansas (temporary) Sask
Slide 29: Agenda
For personal use only 1.Results Highlights 2.Consolidated Results 3.Segment Results - Australia 4.Segment Results – Americas 5.Segment Results – Rest of the World 6.Gaming Products 7.Regulatory Update 8.Online 9.Outlook and Questions 29 29
Slide 30: Online
FY14 Annual Results Announcement Online For personal use only Real Money Gaming: • Alderney Licence approved, initial games and Game Connect™ RGS also approved. • Supply contracts completed with Playtech PLC and 2 more contracts are in the final stages of negotiation. • Other opportunities in regula
Slide 31: Agenda
For personal use only 1.Results Highlights 2.Consolidated Results 3.Segment Results - Australia 4.Segment Results – Americas 5.Segment Results – Rest of the World 6.Gaming Products 7.Regulatory Update 8.Online 9.Outlook and Questions 31 31
Slide 32: Outlook
FY14 Annual Results Announcement Outlook • Strong growth in international sales and profitability validates the strategy to build a For personal use only diversified gaming and technology Group with domestic and offshore operations. • Momentum in international operations continuing in Q1 FY16. • New
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