Ainsworth Game Technology Limited · ASX:AGI
Ainsworth Game Technology — H1 2013 Earnings Presentation
38 slides from Ainsworth Game Technology's earnings presentation, Feb 27, 2013
Slide 1: 1H13 Results Presentation
1H13 Results Presentation Ainsworth Game Technology Limited For personal use only
Slide 2: Disclaimer
1H13 Results Presentation For personal use only Disclaimer 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 t
Slide 3: Agenda
1H13 Results Presentation For personal use only 1. Results Highlights 2. Consolidated Results 3. Segment Results - Australia 4. Segment Results – North America 5. Segment Results – Rest of the World 6. Regulatory / Licensing Update 7. Gaming Products 8. Outlook 9. Questions 3
Slide 4: Financial Highlights
1H13 Results Presentation For personal use only 1H13 Financial Highlights ̶ Net profit after tax of $22.0 million, including a tax expense of $8.2 million ̶ Profit before tax of $30.1 million, an increase of 60% on pcp ̶ 7.5% above the $28.0 million guidance provided in December 2012 ̶ Total sales r
Slide 5: Operational Highlights
1H13 Results Presentation For personal use only 1H13 Operational Highlights ̶ Continued strong game performance ̶ Including Double Shot™, Triple Shot™ and Players Paradise™ ̶ Supported by investment in R&D (~11% of revenue in 1H13) ̶ Further regulatory approvals and new product releases ̶ Release of
Slide 6: Agenda
1H13 Results Presentation For personal use only 1. Results Highlights 2. Consolidated Results 3. Segment Results - Australia 4. Segment Results – North America 5. Segment Results – Rest of the World 6. Regulatory / Licensing Update 7. Gaming Products 8. Outlook 9. Questions 6
Slide 7: Consolidated Results – P&L
1H13 Results Presentation For personal use only Consolidated Results – P&L ̶ Strong continued domestic and 6 mths to 6 mths to Change Change international revenue growth A$m 31 Dec 2012 31 Dec 2011 (%) ̶ Acceleration of domestic orders into Domestic revenue 66.2 51.5 28% 1H13 enhanced result Interna
Slide 8: Consolidated Results – Balance Sheet
1H13 Results Presentation For personal use only Consolidated Results – Balance Sheet ̶ Strengthening of balance sheet A$m 31 Dec 2012 30 Jun 12 Change (%) Receivables 83.1 83.5 -1% ̶ Net cash position of $41.1m as Cash 41.1 22.9 +79% at 31 December 2012 Other Current Assets 23.6 17.1 +38% ̶ Strong o
Slide 9: Consecutive Periods of Revenue Growth
1H13 Results Presentation For personal use only 9 Consecutive Periods of Revenue Growth Historical Financial Performance Total Revenue Profit/(Loss) Before Tax (PBT) 100 96.5 82.3 80 68.3 60 54.1 43.9 37.9 40 31.4 30.1 $A millions 24.6 27.4 20.6 18.8 20 11.4 1.6 3.4 - -2.5 -4 -9.5 (20) H1 FY09 H2 FY
Slide 10: Increasing contribution from International Business
1H13 Results Presentation For personal use only Increasing contribution from International Business ̶ Segment profit margin increased in 1H13, reflecting strength of domestic business including an increased contribution from the Americas 10
Slide 11: Agenda
1H13 Results Presentation For personal use only 1. Results Highlights 2. Consolidated Results 3. Segment Results - Australia 4. Segment Results – North America 5. Segment Results – Rest of the World 6. Regulatory / Licensing Update 7. Gaming Products 8. Outlook 9. Questions 11
Slide 12: Segment Results - Australia
1H13 Results Presentation For personal use only Segment Results - Australia ̶ Continuing Growth in NSW & Qld 6 mths to 6 mths to Change Change ̶ Continuing Mid Denomination A$m 31 Dec 2012 31 Dec 2011 (%) excellence Revenue 66.2 51.5 28% ̶ Stronger Low Denomination EBITDA 28.4 21.3 33% Performance -
Slide 13: Australia – A560
1H13 Results Presentation For personal use only Australia – A560 ̶ Consistent outperformance of A560 product with 132% average performance against the house average in Australia (NSW: 130%; QLD 133%). Six month period to January 2013. 160% 140% Average 120% Performance vs HA (%) 100% 80% 60% 40% 20%
Slide 14: Floor Share and Turnover Contribution in NSW Clubs
1H13 Results Presentation For personal use only Floor Share and Turnover Contribution in NSW Clubs Ainsworth Install Base - NSW Clubs Overall 1c 2c 5c 10c 20c $1 January 2012 2662 1366 399 611 124 14 148 January 2013 3979 2177 467 888 189 47 202 Difference 1317 811 68 277 65 33 54 % Increase 149% 15
Slide 15: Floor Share and Turnover Contribution in QLD Clubs & Hotels
1H13 Results Presentation For personal use only Floor Share and Turnover Contribution in QLD Clubs & Hotels Ainsworth Install Base - QLD Clubs Overall 1c 2c 5c 20c $1 January 2012 2472 511 600 1345 - 14 January 2013 3681 816 824 1968 21 50 Difference 1209 305 224 623 21 36 % Increase 149% 160% 137%
Slide 16: Agenda
1H13 Results Presentation For personal use only 1. Results Highlights 2. Consolidated Results 3. Segment Results - Australia 4. Segment Results – North America 5. Segment Results – Rest of the World 6. Regulatory / Licensing Update 7. Gaming Products 8. Outlook 9. Questions 16
Slide 17: Segment Results – Nth America
1H13 Results Presentation For personal use only Segment Results – Nth America ̶ Growth in Revenue & Profitability 6 mths to 6 mths to Change Change ̶ Growth in Outright Sales Volume A$m 31 Dec 2012 31 Dec 2011 (%) Revenue 21.6 6.4 237% ̶ Growth of Units on trial EBITDA 2.3 0.4 475% ̶ Growth in Recur
Slide 18: North America – A560
1H13 Results Presentation For personal use only North America – A560 ̶ Consistent outperformance of A560 product with 145% average performance against the house average in North America. Six month period to January 2013. 250% 200% Performance vs HA (%) 150% Average 100% 50% 0% STD SAP DS TS QS DX HD
Slide 19: North American Lease Average / Day (1H13)
1H13 Results Presentation For personal use only North American Lease Average / Day (1H13) ̶ Ainsworth has grown its lease average per day over the first half of FY13 by increasing the states and provinces in North America it leases poker machines to 40.00 35.00 30.00 Average per Day 25.00 20.00 15.0
Slide 20: North American Participation Average / Day (1H13)
1H13 Results Presentation For personal use only North American Participation Average / Day (1H13) ̶ Ainsworth has grown its participation average per day in North America over the first half of FY13 through growth in California and Wisconsin 70.00 60.00 50.00 Average / Day 40.00 30.00 20.00 10.00 -
Slide 21: Agenda
1H13 Results Presentation For personal use only 1. Results Highlights 2. Consolidated Results 3. Segment Results - Australia 4. Segment Results – North America 5. Segment Results – Rest of the World 6. Regulatory / Licensing Update 7. Gaming Products 8. Outlook 9. Questions 21
Slide 22: Segment Results – Rest of World
1H13 Results Presentation For personal use only Segment Results – Rest of World ̶ Uptick in Asia & New Zealand unit 6 mths to 6 mths to Change Change sales & revenue compensating lower A$m 31 Dec 2012 31 Dec 2011 (%) Latin America & Europe Revenue 8.7 10.4 16% EBITDA 2.8 2.6 8% ̶ Change of sales mod
Slide 23: Agenda
1H13 Results Presentation For personal use only 1. Results Highlights 2. Consolidated Results 3. Segment Results - Australia 4. Segment Results – North America 5. Segment Results – Rest of the World 6. Regulatory / Licensing Update 7. Gaming Products 8. Outlook 9. Questions 23
Slide 24: Approved Jurisdictions
1H13 Results Presentation For personal use only Approved Jurisdictions Country State USA 19 State Licenses held US Tribal Licenses 92 Tribal Licenses held Australia All States Canada 4 Canadian Licenses held Central & South America The Dominican Republic Puerto Rico Venezuela Peru Rest of the World
Slide 25: State Licenses held
1H13 Results Presentation For personal use only 19 State Licenses held: • Arkansas • California • Connecticut • Florida • Illinois • Indiana • Iowa • Maryland • Michigan • Minnesota • Mississippi* • Montana • Nevada • New Jersey • New York • Ohio • Oregon • Pennsylvania • West Virginia • Wisconsin *
Slide 26: Tribal Licenses held
1H13 Results Presentation For personal use only 92 Tribal Licenses held: • California • Connecticut • Florida • Iowa • Michigan • Minnesota • New Mexico • New York • North Dakota • Oklahoma • Oklahoma (Delaware)* • Wisconsin *Submitted & Pending 26
Slide 27: Canadian Licenses held
1H13 Results Presentation For personal use only 4 Canadian Licenses held: • Alberta • British Columbia • Manitoba • Ontario 27
Slide 28: Product Approvals – 1H13
1H13 Results Presentation For personal use only Product Approvals – 1H13 Ohio Hode Island Victoria Hotels & Clubs A560 Oregon Indians Tasmania Hotels & Clubs Vietnam California Tribal Maryland Lottery Ohio Connecticut Tribal Michigan Tribal Oklahoma – Tribal Florida State Minnesota Tribal Puerto Ric
Slide 29: Agenda
1H13 Results Presentation For personal use only 1. Results Highlights 2. Consolidated Results 3. Segment Results - Australia 4. Segment Results – North America 5. Segment Results – Rest of the World 6. Regulatory / Licensing Update 7. Gaming Products 8. Outlook 9. Questions 29
Slide 30: For personal use only
1H13 Results Presentation For personal use only ̶ Approval and initial installations of the A560ST™ slant top in New South Wales and approval in Queensland for the Casino market with the installations expected in the 2nd half ̶ A560ST™ Approved in selected North American markets including Nevada wit
Slide 31: For personal use only
1H13 Results Presentation For personal use only ̶ Approval and initial installations of the A560™ in the Victorian club and hotel market 31
Slide 32: For personal use only
1H13 Results Presentation For personal use only ̶ The launch of the A560™ Premium Mega Top™ and Wide Boy™ games specifically designed for recurring revenue opportunities 32
Slide 33: For personal use only
1H13 Results Presentation For personal use only ̶ The successful release of the low denomination 4 level stand alone progressive Quad Shot in to both New South Wales and Queensland 33
Slide 34: For personal use only
1H13 Results Presentation For personal use only ̶ The first release of the Multiplay™ Big Time II providing for multigame, multi denomination game play in NSW 34
Slide 35: Agenda
1H13 Results Presentation For personal use only 1. Results Highlights 2. Consolidated Results 3. Segment Results - Australia 4. Segment Results – North America 5. Segment Results – Rest of the World 6. Regulatory / Licensing Update 7. Gaming Products 8. Outlook 9. Questions 35
Slide 36: FY2013 Outlook
1H13 Results Presentation For personal use only FY2013 Outlook ̶ Ainsworth currently expects to report a profit before tax result in the second half of FY13 similar to the first half ̶ Reflective of acceleration of domestic orders in the first half of 2013 and the anticipated increase in contributio
Slide 37: Agenda
1H13 Results Presentation For personal use only 1. Results Highlights 2. Consolidated Results 3. Segment Results - Australia 4. Segment Results – North America 5. Segment Results – Rest of the World 6. Regulatory / Licensing Update 7. Gaming Products 8. Outlook 9. Questions 37
Slide 38: Q&A
1H13 Results Presentation For personal use only Q&A Thank you for your interest in Ainsworth Game Technology Limited Please visit us at www.ainsworth.com.au 38
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