Slide 1: GiG Q2 2018
GiG Q2 2018 14 August 2018
Slide 2: Today's Presenter
TODAY'S PRESENTER Founder & CEO
Slide 3: Agenda
AGENDA * GiG Overview ¢ Highlights * Strategic & Business Update * Outlook & Summary “QA
Slide 4: GiG Overview
GIG OVERVIEW Technology company providing products and services throughout the entire value chain in the iGaming industry Founded in 2012 HQ in Malta, with offices in Denmark, Norway, Spain and Gibraltar ~750 GiGsters looking to disrupt the iGaming industry Listed on Oslo Stock Exchange with the tic
Slide 5: GiG Ecosystem
a GIG ECOSYSTEM Disrupting the iGaming value chain Payment Ancillary Providers Service Providers GiG Core B2B Platform Services External, Operators GiG GiG 5 Comply Traffic B2B Media Services oO © sr uaraoact Internal Operators GiG GiG Publishing Reach External Odds B2B Sports B2B Casino External Ca
Slide 6: Operational Highlights
OPERATIONAL HIGHLIGHTS + Media Services: quarterly all-time-high revenues Y/Y of 99%, organic 32% + New Sports Betting Services launched, live on Rizk.com, offered to clients from July + Gaming Operators: strategic review to make the vertical long term profitable and sustainable + The Company’s plat
Slide 7: Se o/M
Se o/M REVENUES COST OF SALES MARKETING OTHER OPEX EBITDA +30% yly +36% yly +18% yly +TT%YIY -14% Y/Y
Slide 8: Continued stable and positive development
Continued stable and positive development 8
Slide 9: Strategic Update
STRATEGIC UPDATE GiG
Slide 10: Launched New B2B Sports Betting Services
LAUNCHED NEW B2B SPORTS BETTING SERVICES Cutting-edge sportsbook with full flexibility and scalability Three products offered standalone or as a complete product: - GiG Sports Connect: proprietary odds feed - GiG Trader: intelligent trading tools - GiG Goal: intelligent middleware and front end solu
Slide 11: B2B Update
11 B2B UPDATE + GiG Comply —- new scalable compliance tool developed and available in September with the widest reach in the market + GiG’s in-house games studio will launch its first game before the end of Q3, six games are currently under development with launch during the next 12 months + GiG Mag
Slide 12: B2C Update
12 B2C UPDATE + CEO Robin cting CMO to nsure long term growth and profitability + GiG has completed a strategic review within the Gaming Operators vertica to make it sustainable and profitable long term - Consolidated brand positioning - Strengthened dig - New product releases including Guts V2.0, n
Slide 13: Open for business in the US with Hard Rock
Ope from ‘$100 PLAYING MONEY + 150 FREESPINS! HARD ROCK ROCKIN GAMES + GiG utilised its platform scalability to attract larger clients and expand internationally - entering the regulated US market + Hard Rock went live with GiG’s Casino Services on 3 July in New Jersey + GiG is well positioned for t
Slide 14: Business Update
BUSINESS UPDATE GiG
Slide 15: Media Services (B2B)
Media services (B2B) • Revenues reached quarterly all-time- high, up 99% from Q2 17 (32% organic) • 31,445 FTD’s referred in Q2 18, an increase from 21,456 in Q2 17 - 12% of FTD’s referred to operators in GIG’s ecosystem • 70% of revenues from revenue share agreements 15
Slide 16: Platform Services (B2B)
Platform services (B2b) • Continued underlying growth in NGR from client base, up 5% Q on Q • Revenues increased 80% from Q2 17 • EBITDA impacted by integration of Hard Rock and NJ licensing 16
Slide 17: Sports Betting Services (B2B)
Sports Betting services (B2B) • Sports related revenues has shifted from Platform Services to Sports Betting Services from Q2 18 • Revenues was EUR 0.6m in Q2 18, of which 0.2m from own trading • EBITDA was EUR -1.4m in Q2 18 compared to EUR -0.2 in Q2 17 17
Slide 18: Gaming Operators (B2C)
Gaming OPERATORS (B2C) • Revenues increased by 20% from Q2 17 - Marketing costs was 54% of GIG Gaming revenue, compared to 46% in Q1 18 - Revenues up 33% adjusted for closed markets • Active real money players increased to 173,612 (183,295), deposits per player up • 95% of revenues generated from co
Slide 19: Outlook
19 OUTLOOK + After a period of heavy investments into the development of the ecosystem, GiG’s focus is to improve its products and services to claim market shares, increase revenues and reduce operating expenses compared to revenues * Guidance for the full year 2018: GiG expects revenues between EUR
Slide 20: Summary
SUMMARY Strategic review within Gaming Operators to make it profitable and sustainable for the long term New Sport Betting Services launched in Q2 GiG Games Studio launching first game in September GiG Comply, compliance monitoring tool launched with two external customers close to agreement Live wi
Slide 21: Q&A
QIA GiG
Slide 22: Appendix
APPENDIX GiG
Slide 23: Largest Shareholders
Largest Shareholders Shareholder # shares % Bryggen Holding AS 118 178 394 13.2 % Optimizer Invest Ltd. 103 373 297 11.5 % Swedbank Robur Ny Teknik 83 000 000 9.3 % Super Innovative Limited 64 464 272 7.2 % Hans Michael Hansen 43 604 272 4.9 % Frode Fagerli 35 752 671 4.0 % Avanza Bank AB nom. 23 24
Slide 24: Income Statement
Income statement Condensed Statements of Operations in EUR 1 000 (Unaudited) Q2 2018 Q2 2017 6M 2018 6M 2017 2017 Revenues 36 885 26 579 74 224 49 653 120 423 Cost of sales 6 364 4 680 13 214 9 046 20 521 Gross profit 30 521 21 899 61 010 40 607 99 902 Gross profit margin 83% 82% 82% 82% 83% Marketi
Slide 25: Cash Flow
Cash flow In EUR 1 000 Q2 2018 Q2 2017 6M 2018 6M 2017 2017 Cash flow from operating activities 8 249 3 055 10 259 9 217 13 046 Cash flow from investment activities -3 068 -22 515 -6 558 -24 466 -67 616 Cash flow from financing activities - -5 967 - 34 948 61 904 Translation loss 156 -1 987 242 -1 8
Slide 26: Balance Sheet
Balance sheet Condensed Balance Sheet in EUR 1 000 (Unaudited) 30 June 2018 30 June 2017 2017 Assets Goodwill 69 653 63 675 69 444 Intangibles assets 88 217 61 482 91 997 Deposits and other non-current assets 8 175 5 165 7 179 Total non-current assets 166 045 130 322 168 620 Prepaid and other curren
Slide 27: Strong cash position
Strong cash position EUR million 8.2 -3.1 0.1 16.0 0.0 10.7 Cash and cash Cash flow from Cash flow from Cash flow from Translation gain Cash and cash equivalents at operating investment financing and fair value equivalents at 31 March 2018 activities activities activities movements 30 June 2018 27