Inspired Entertainment, Inc. · NASDAQ:INSE
Inspired Entertainment — Investor Presentation (May 2022)
22 slides from Inspired Entertainment's investor presentation, May 10, 2022
Slide 1: Investor Presentation May 2022
. a INVESTOR PRESENTATION (NSPIRED May 2022 ESSENTIAL ENTERTAINMENT
Slide 2: Safe Harbor / Non-GAAP Financial Disclosures
Safe Harbor / Non-GAAP Financial Disclosures Forward-Looking Statements This presentation includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1996, These forward-looking staterentsinclude, but are not limited to, statements regarding our business
Slide 3: Leading B2B provider of gaming content, systems and solutions
Inspired Entertainment, Inc. Is a leading B2B provider of gaming content systems and solutions across online/mobile and retail channels around the world which predominantly generates recurring revenues pursuant to long-term contracts. Experienced developer of differentiated CONTENT-DRIVEN and entert
Slide 4: Proven and Experienced Management Team
Proven and Experienced Management Team | Brooks Pierce Name Lorne Weil President and Chief Executive Chairman Operating Officer Position Chairman of the Board & CEO of Scientific Games Aristocrat, Scientific Prior Experience Games, Sportech Daniel Silvers Stewart Baker Carys Damon Executive Vice Pre
Slide 5: Investment Highlights
Investment Highlights es 4 INSPIRED A leading omni-channel B2B gaming provider with recurring revenue through long-term contracts Growth potential in content-driven Interactive and Virtual Sports segments Strong resurgence of land-based channels following COVID-19 closures Margin expansion and decli
Slide 6: Content Driven Gaming Systems
<4, Content Driven Gaming Systems {NSP{RED — High-growth, capital efficient Strong recovery following VIRTUAL SPORTS COVID-19 retail reopening INTERACTIVE GAMING 3 = LEISURE bd oar [oar |} VIRTUAL SPORTS INTERACTIVE GAMING LEISURE Regulated Gaming Cross-Selling Globally Shifting Share Opportunities
Slide 7: Long-Term Growth Drivers
Long-Term Growth Drivers = Continue to grow capital efficient Interactive and Virtual Sports businesses = Launched Connecticut iGaming in Q1 2022 = Launched iGaming and Online Virtuals in Ontario in Q2 2022 = Expand North American VLT distribution = Awarded 720-unit Valor™ terminal award in Saskatch
Slide 8: Content Creation is Core Competency
Content Creation is Core Competency Proven track record for creating feature-rich games that deliver exciting experiences for regulated gaming, betting, lottery, social and leisure operators across land-based and mobile channels worldwide a PARKS = Cross-channel approach - our SHOPS games work acros
Slide 9: Significant Momentum in Online Channels
Significant Momentum in Online Channels Our content-driven Interactive and Virtual Sports businesses continue to grow their customer base in new, emerging and core markets GAMING tee ES © FANDUEL itorium (©) © ray and Het Gag |RORTS parcty ..O., sammy evar || I ; Lottoland indre iLOTTERY sky MEEES)
Slide 10: Interactive
INTE RACTIVE Online gaming operators use our top-performing game titles online and on mobile devices worldwide High-growth, high-margin recurring revenue business Gaining share from the launch of new content across the estate, growth in the customer base in new, emerging and core markets and increas
Slide 11: Virtual Sports
VIRTUAL SPORTS A pioneer and leader in Ultra-HD games that create an always-on sports wagering experience Largest portfolio with basketball, NFLA football, MLBPAA baseball, as well as men’s and women's soccer Continual stream of fast-paced action, ultra-realistic player simulations and a wide breadt
Slide 12: Gaming
GAMING = — Gaming growth shifting from large casinos to many distributed venues = — Inspired is a leader in server based gaming and provides content on a distributed basis, allowing access to a wide footprint through internet and proprietary networks = — ~32,000 machines live with top games in key j
Slide 13: Leisure
LEISURE e A leading supplier of server based gaming terminals and pay to play entertainment products to pubs, arcades, motorway service areas and holiday resorts in the UK e Ability to leverage top performing content across platforms e Potential for digital transition to drive improved economics — A
Slide 14: Investment Highlights
Investment Highlights nce in the UK, Greece and Italy with significant momentum in North Amer erforming cor strong technolog\ venue business" through long-term E 4 recurring €>)) GROWTH POTENTIAL IN CONTENT-DRIVEN INTERACTIVE & VIRTUAL SPORTS SEGMENTS = Inspit year to $9.4 million in Q1 = Gair throu
Slide 15: Market Capitalization
Market Capitalization (unaudited) Actual (US$ in millions, except per share data) 3/31/22 Cash $40.8 Senior Secured Notes” 309.3 Accrued Interest, Finance Lease Liabilities and Pension Liability? 10.8 Total Debt $320.1 Net Debt $279.3 Diluted Shares Outstanding® (in millions) 28.479 Share Price (As
Slide 16: Appendix
yy Ww : as S oe <4, a INSPIRED . Appendix
Slide 17: Summary of Q1 2022 Segment Performance
Summary of Q1 2022 Segment Performance | 1 Adjusted EBITDA Revenue Adjusted EBITDA an Margin (in $ millions) Q12022_ _ Qi 2021 % Q1 2022 Qi 2021 % Q12022_ _Q12021 Segments Interactive $5.3 $5.2 2% $2.9 3.4 (15%) 54% 65% Virtual Sports 11.6 63 84% 94 49 90% 81% 78% Leisure 19.6 0.5 NM? 25 (3.4) NM? 1
Slide 18: Summary of FY 2021 Segment Performance
Summary of FY 2021 Segment Performance (In $ millions) Segments Interactive Virtual Sports Leisure Gaming (ex VAT)? Corporate Total Company (ex VAT) Gaming VAT” Total Company (incl VAT) Revenue FY 2021 FY 2020 $22.8 $13.3 36.0 32.4 68.7 43.6 78.3 68.3 $205.8 $157.5 3a 42.2 $208.9 $199.7 % 72% 11% 58
Slide 19: Non-GAAP Reconciliation: Q1 2022 Adjusted EBITDA by Segment
Non-GAAP Reconciliation: Q1 2022 Adjusted EBITDA by Segment Virtual Gaming Sports Interactive Leisure Corporate Total (in millions) Net gain (loss) $ 67 $ 87 $ 21 $ (4) $ (14.5) $ 5) Items Relating to Discontinued Activities Pension charges _ _ _— od 0.1 0.1 Items outside the normal course of busine
Slide 20: Non-GAAP Reconciliation: Q1 2021 Adjusted EBITDA by Segment
Non-GAAP Reconciliation: Q1 2021 Adjusted EBITDA by Segment Virtual Gaming Sports Interactive Leisure Corporate Total In millions) Net gain (loss) Ss G6S 378 26 $ G7) $ ai7s (167) Items Relating to Discontinued Activities Pension charges = = = = 02 02 Items outside the normal course of business: Acq
Slide 21: Non-GAAP Reconciliation: FY 2021 Adjusted EBITDA by Segment
Non-GAAP Reconciliation: FY 2021 Adjusted EBITDA by Segment Twelve Months Ended December 31, 2021 Virtual Gaming Sports Interactive Leisure Corporate Total (In millions) Net gain (loss) $ 18 $ 28 $ 92 $ (1.0) $ (69.5)$ (36.7) Items Relating to Discontinued Activities Pension charges = = = = 08 08 It
Slide 22: Inspired Essential Entertainment
4. INSPIRED ESSENTIAL ENTERTAINMENT <4, INSPIRED
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