Century Casinos, Inc. · NASDAQ:CNTY
Century Casinos — Q1 2017 Earnings Presentation
32 slides from Century Casinos's earnings presentation, May 5, 2017
Slide 1: Century Casinos Financial Results Q1 2017
CENTURY CASINOSFinancial ResultsQ1 2017
Slide 2: Forward-Looking Statements, Business Environment and Risk Factors
Forward-Looking Statements,Business Environment and Risk FactorsThis presentation may contain “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and the Private
Slide 3: Q1 2017 Net Operating Revenue by Reportable Segment and Operating Segment
Q1 2017 Net Operating Revenue by Reportable Segment and Operating Segment (in USD)Excluding Corporate and Other Operating SegmentCanada36%United States21%Poland40%Ships & Other3%CRA14%CSA5%CAL5%CDR10%CBS2%CTL13%CRC8%CPL40%Ships & Other3%
Slide 4: Q1 2017 Earnings from Operations by Segment
Q1 2017 Earnings from Operationsby Reportable Segment and Operating Segment (in USD)ExcludingCorporate and Other Operating SegmentCanada48%United States18%Poland29%Ships & Other5%CRA22%CSA7%CAL0%CDR19%CBS0%CTL11%CRC7%CPL29%Ships & Other5%
Slide 5: Q1 2017 Net Income Attributable to Shareholders by Segment
Q1 2017 Net Income (Loss) Attributable to Century Casinos, Inc. Shareholdersby ReportableSegment and Operating Segment (in USD)ExcludingCorporate and Other Operating SegmentCanada42%United States20%Poland31%Ships & Other7%CRA26%CSA2%CAL0%CDR14%CBS0%CTL12%CRC8%CPL31%Ships & Other7%
Slide 6: Q1 2017 Adjusted EBITDA by Segment
Q1 2017 Adjusted EBITDA*by Reportable Segment and Operating Segment (in USD)ExcludingCorporate and Other Operating SegmentCanada46%United States21%Poland28%Ships & Other5%CRA19%CSA6%CAL2%CDR19%CBS0%CTL12%CRC9%CPL28%Ships & Other5%
Slide 7: Net Operating Revenue per Quarter
Net Operating Revenue per Quarter(in USD)18.028.328.829.429.131.628.131.330.437.933.531.933.235.234.536.336.40.05.010.015.020.025.030.035.040.0Q1Q2Q3Q420132014201520162017
Slide 8: Balance Sheet
Balance Sheet (Selected Information in USD)*Book Value per Share is defined as total Century Casinos, Inc. shareholders’ equity divided by outstanding common shares.**Net Debt is calculated as total principal minus cash and cash equivalents. Debt as of March 31, 2017 includes $39.4 million related t
Slide 9: Income Statement
Income Statement (Selected Information as of March 31, 2017 in USD)*Adjusted EBITDA is a non-GAAP financial measure. See Appendix A for the definition and reconciliation of Adjusted EBITDA.In millions (except EPS) Q1 2017 Q1 2016 Change Net Operating Revenue 36.4 33.2 10%Earnings from Operations 4.5
Slide 10: Constant Currency Results
Constant Currency Results (in USD)*Net Operating Revenue and Earnings from Operations on a constant currency basis are non-GAAP financial measures. See Appendix A.In millions Q1 2017 Q1 2016 Change Net Operating Revenue as reported (GAAP) 36.4 33.2 10%Foreign currency impact vs. 2016 (0.1)Net Operat
Slide 11: Constant Currency Results: Adjusted EBITDA and Net Earnings
Constant Currency Results (in USD)*Adjusted EBITDA and Net Earnings Attributable to Century Casinos, Inc. Shareholders and Adjusted EBITDA on a constant currency basis are non-GAAP financial measures. See Appendix A.In millions Q1 2017 Q1 2016 Change Net Earnings Attributable to Century Casinos, Inc
Slide 12: Debt to Adjusted EBITDA
Debt to Adjusted EBITDA* (in USD)As of March 31, 20172.0x1.7x0.8x0.3x2.7x2.9x3.0x2.2x2.1x0x1x2x3x4x200820092010201120122013201420152016*Debt to Adjusted EBITDA is calculated by dividing the Company’s trailing twelve-month Adjusted EBITDA by Debt. Adjusted EBITDA is a non-GAAP financial measure. See
Slide 13: Canada
Q1 Highlights –CANADA (Selected Information in CAD)In millions Q1 2017 Q1 2016 Change Net Operating Revenue 17.4 17.7 (2%)Operating Costs and Expenses13.4 13.0 3%Earnings from Operations 4.0 4.8 (17%)Net Earnings Attributable to Century Casinos, Inc. Shareholders 2.0 2.8 (29%)Adjusted EBITDA* 5.1 5.
Slide 14: Canada: Century Resorts Alberta
Q1 Highlights –CANADA (Selected Information in CAD)CENTURY RESORTS ALBERTAIn millions Q1 2017 Q1 2016 Change Net Operating Revenue 6.7 7.7 (13%)Operating Costs and Expenses 4.8 5.1 (4%)Earnings from Operations 1.9 2.6 (30%)Net Earnings Attributable to Century Casinos, Inc. Shareholders 1.2 1.8 (32%)
Slide 15: Canada: Century Casino St. Albert
Q1 Highlights –CANADA (Selected Information in CAD) CENTURY CASINO ST. ALBERTIn millions Q1 2017 Q1 2016 Change Net Operating Revenue 2.6 0.0 100%Operating Costs and Expenses 2.1 0.0 100%Earnings from Operations 0.6 0.0 100%Net Earnings Attributable to Century Casinos, Inc. Shareholders 0.1 0.0 100%
Slide 16: Canada: Century Casino Calgary
Q1 Highlights –CANADA (Selected Information in CAD)CENTURY CASINO CALGARYIn millions Q1 2017 Q1 2016 Change Net Operating Revenue 2.5 2.9 (12%)Operating Costs and Expenses 2.5 2.4 3%Earnings from Operations 0.0 0.4 (96%)Net Earnings Attributable to Century Casinos, Inc. Shareholders 0.0 0.4 (95%)Adj
Slide 17: Canada: Century Downs Racetrack and Casino
Q1 Highlights –CANADA (Selected Information in CAD)CENTURY DOWNS RACETRACK AND CASINOIn millions Q1 2017 Q1 2016 Change Net Operating Revenue 4.8 4.9 (2%)Operating Costs and Expenses 3.2 3.2 1%Earnings from Operations 1.6 1.7 (7%)Net Earnings Attributable to Century Casinos, Inc. Shareholders 0.6 0.
Slide 18: United States
Q1 Highlights –UNITED STATES (Selected Information in USD)In millions Q1 2017 Q1 2016 Change Net Operating Revenue 7.5 7.1 6%Operating Costs and Expenses 6.3 6.2 2%Earnings from Operations 1.2 0.9 32%Net Earnings Attributable to Century Casinos, Inc. Shareholders 0.7 0.5 32%Adjusted EBITDA* 1.8 1.5
Slide 19: United States: Central City
Q1 Highlights –UNITED STATES (Selected Information in USD)CENTRAL CITYIn millions Q1 2017 Q1 2016 Change Net Operating Revenue 4.6 4.2 8%Operating Costs and Expenses 3.9 3.7 5%Earnings from Operations 0.7 0.5 33%Net Earnings Attributable to Century Casinos, Inc. Shareholders 0.4 0.3 33%Adjusted EBIT
Slide 20: United States: Cripple Creek
Q1 Highlights –UNITED STATES (Selected Information in USD)CRIPPLE CREEKIn millions Q1 2017 Q1 2016 Change Net Operating Revenue 2.9 2.8 3%Operating Costs and Expenses 2.5 2.5 (1%)Earnings from Operations 0.4 0.3 31%Net Earnings Attributable to Century Casinos, Inc. Shareholders 0.3 0.2 30%Adjusted E
Slide 21: Poland
Q1 Highlights –POLAND (Selected Information in PLN)In millions Q1 2017 Q1 2016 Change Net Operating Revenue 59.0 48.4 22%Operating Costs and Expenses 51.7 44.2 17%Earnings from Operations 7.3 4.2 72%Net Earnings Attributable to Century Casinos, Inc. Shareholders 4.0 2.2 81%Adjusted EBITDA* 9.6 6.7 4
Slide 22: Corporate and Other
Q1 Highlights –CORPORATE AND OTHER (Selected Information in USD)In millions Q1 2017 Q1 2016 Change Net Operating Revenue 1.2 0.9 34%Operating Costs and Expenses 2.7 2.3 19%Earnings from Operations (1.5) (1.4) (9%)Net Earnings Attributable to Century Casinos, Inc. Shareholders (1.1) (1.0) (15%)Adjust
Slide 23: Corporate and Other: Cruise Ships and Other
Q1 Highlights –CORPORATE AND OTHER (Selected Information in USD)CRUISE SHIPS AND OTHERIn millions Q1 2017 Q1 2016 Change Net Operating Revenue 1.2 0.9 34%Operating Costs and Expenses 0.9 0.5 76%Earnings from Operations 0.3 0.4 (21%)Net Earnings Attributable to Century Casinos, Inc. Shareholders 0.3
Slide 24: Additional Projects Under Development: Century Mile
Q1 Highlights – ADDITIONAL PROJECTS UNDER DEVELOPMENTCentury MileIn September 2016, the Company was selected as the successful applicant by Horse Racing Alberta to own, build and operate a horse racing facility in the Edmonton market area, which the Company will operate as Century Mile. Century Mile
Slide 25: Appendix A – Non-GAAP Financial Measures
Appendix A –NON-GAAP FINANCIAL MEASURESThe Company supplements its condensed consolidated financial statements prepared in accordance with U.S. generally accepted accounting principles (“US GAAP”) by using the following non-GAAP financial measures, which management believes are useful in properly un
Slide 26: Appendix A – Non-GAAP Financial Measures
Appendix A – NON-GAAP FINANCIAL MEASURESThe Company defines Adjusted EBITDA as net earnings (loss) attributable to Century Casinos, Inc. shareholders before interest expense (income), net, income taxes (benefit), depreciation, amortization, non-controlling interest (earnings) losses and transactions
Slide 27: Appendix A – Non-GAAP Financial Measures
Appendix A –NON-GAAP FINANCIAL MEASURESThe impact of foreign exchange rates is highly variable and difficult to predict. The Company uses a constant currency basis to show the impact from foreign exchange rates on current period revenue compared to prior period revenue using the prior period’s forei
Slide 28: Reconciliation – Canada
Appendix A –NON-GAAP FINANCIAL MEASURESReconciliation of Adjusted EBITDA (in thousands) –CANADA
Slide 29: Reconciliation – United States
Appendix A –NON-GAAP FINANCIAL MEASURESReconciliation of Adjusted EBITDA (in thousands) –UNITED STATES
Slide 30: Reconciliation – Poland
Appendix A –NON-GAAP FINANCIAL MEASURESReconciliation of Adjusted EBITDA (in thousands) –POLAND
Slide 31: Reconciliation – Corporate and Other
Appendix A –NON-GAAP FINANCIAL MEASURESReconciliation of Adjusted EBITDA (in thousands) –CORPORATE AND OTHER
Slide 32: Reconciliation of Net Debt
Appendix A –NON-GAAP FINANCIAL MEASURESReconciliation of Net Debt (in thousands)