Super Group (sghc) Limited · NYSE:SGHC
Super Group (sghc) — Q4 2022 Earnings Presentation
24 slides from Super Group (sghc)'s earnings presentation, Mar 14, 2023
Slide 1: 4Q 2022 Earnings Review
4Q 2022 Earnings Review March 14, 2023
Slide 2: Disclaimer
DISCLAIMER Forward-Looking Statements Certain statements made in this presentation are “forward looking statements” within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995.These forward-looking statements include, but are not limited t
Slide 3: Agenda
Agenda 01 BUSINESS UPDATE 02 FINANCIAL HIGHLIGHTS 03 2023 GUIDANCE 04 APPENDIX
Slide 4: Business Update
BUSINESS UPDATE Overview
Slide 5: Super Group's reach expands across the globe
SUPER GROUP’S REACH EXPANDS ACROSS THE GLOBE For the full year 2022 or as at December 31, 2022 €31bn 60+ Wagers Brand Partnerships 3,500+ 20+ Employees Licensed Jurisdictions (excl. US) 29 22 Languages Offered In-Country Teams (excl. US) 8 13 Live US States2 US Market Access Deals1 5 1DGC has market
Slide 6: Overview: Goals and Financial Results
OVERVIEW: GOALS AND FINANCIAL RESULTS Core Operations Improvement of 2022 Results in-line Effective Management Customer Experience and Footprint Optimization with Stated Guidance of Capital Structure Investment in our Brand €330m €42m 3.4m 4Q 2022 Average Monthly Active Total Revenue1 Operational EB
Slide 7: Delivering on our objectives
DELIVERING ON OUR OBJECTIVES Maintain Profitability & Investment in Efficient Investment Effective Management Strong Financial Profile Growth of Business in Brand of Capital Structure • 2022 results in-line with • Betway and Spin brands • 60+ global partnerships for the • Listed on the NYSE (January
Slide 8: Continued investment into global Betway brand
CONTINUED INVESTMENT INTO GLOBAL BETWAY BRAND1 Soccer Basketball Ice Hockey Horse Tennis Cricket Racing 8 1Includes a selection of Super Group’s partnerships and sponsorship agreements
Slide 9: Betway USA: the acquisition of DGC provides access to the US market
BETWAY USA: THE ACQUISITION OF DGC PROVIDES ACCESS TO THE US MARKET Operating on the Betway Global technology 8 13 Betway Brand live in state Planned to go live in 2Q23 with Betway Global technology Market access secured MA2 IA PA NJ • Acquisition closed on January 1, 2023 IN OH CO VA KS MO • US rem
Slide 10: Financial Highlights
FINANCIAL HIGHLIGHTS Revenue and Profitability
Slide 11: Overview: Maintaining profitability and generating cash
OVERVIEW: MAINTAINING PROFITABILITY AND GENERATING CASH 4Q 2022 €330m €42m Total Revenue1 Operational EBITDA2 3.4m €255m Unrestricted Cash Monthly Active Customers3 December 31, 2022 11 Total Revenue includes Net Revenue (Net Revenue after VAT & GST) and Other Revenue (including Brand Licensing Reve
Slide 12: Net Revenue Geographic Breakdown
NET REVENUE GEOGRAPHIC BREAKDOWN 4Q 2021 4Q 2022 10% 21% 19% 18% 19% 22% 41% 50% Europe Africa Americas RoW 12
Slide 13: Net Revenue Contribution of Betway & Spin
NET REVENUE CONTRIBUTION OF BETWAY & SPIN 4Q 2021 4Q 2022 46% 49% 51% 54% 13
Slide 14: 2022 Financial KPI's
2022 FINANCIAL KPI’S 65% 35% Online Casino as a % of Net Revenue Sports Betting as a % of Net Revenue 27% 22% 38% Marketing Costs as a % of Net Revenue G&A Expenses as a % of Net Revenue Direct Expenses as a % of Net Revenue 16% Operational EBITDA as a % of Total Revenue 14
Slide 15: Total Revenue
TOTAL REVENUE1,2 Total Revenue Guidance for 2022: €1.15bn - €1.28bn €1,326m TOTAL REVENUE FOR 4Q22 WAS €330M, ↓ 3% €1,296m Net Revenue increased by €2m (+1%) to €322m €340m €330m €1,036m Sports betting revenue increased Online Casino revenue decreased €297m by €5m (+5%) to €113m: by €3m (-1%) to €20
Slide 16: Operational EBITDA
OPERATIONAL EBITDA1,2 Operational EBITDA Guidance for 2022: €200m - €215m €302m OPERATIONAL EBITDA FOR 4Q22 WAS €42M, ↓ 39% €70m 4Q22 G&A costs increased by €14m (+24%) to €72m: • Higher staff costs €214m • Increase in costs associated with being a public company €208m • Continued investment in tech
Slide 17: 2023 Guidance
2023 GUIDANCE
Slide 18: 2023 Guidance, Drivers and Assumptions
2023 GUIDANCE, DRIVERS AND ASSUMPTIONS Super Group – Non-US Total Revenue Operational EBITDA1 €1.350bn €220m +4% >16% YOY Change EBITDA Margin • Net Revenue increase of 5% • Marketing spend expected to be ~25% of net revenues • Brand license fee to average €2.3m/month • Operating expenses expected t
Slide 19: Investment Summary
INVESTMENT SUMMARY 20+ years management team Mix of growth and profitability Global reach and scale Cash generative and debt free with solid balance sheet Online Only Data driven & customer centric Control of best-in-class technology 19
Slide 20: Appendix
APPENDIX
Slide 21: Financial Results (Operating Basis)
FINANCIAL RESULTS (OPERATING BASIS)1 EUR (Millions) 1Q ‘22 2Q ‘22 3Q ‘22 4Q ’22 1Q ‘21 2Q ‘21 3Q ‘21 4Q ‘21 2022 2021 Net Revenue 315 316 302 322 300 339 296 320 1,255 1,255 Sports Betting 110 111 105 113 86 105 92 108 439 391 Online Casino 205 205 197 209 214 234 204 212 816 864 Other Revenue 20 7
Slide 22: Reconciliation to Financial Statements in Form 6-K – EBITDA
RECONCILIATION TO FINANCIAL STATEMENTS IN FORM 6-K – EBITDA1 (In Millions) 4Q ’22 2022 Operational EBITDA €42 €208 Unrealized Foreign Exchange (22) (3) Non-recurring and non-current operating adjustments (3) (7) Pre-acquisition profit/(loss) 1 1 Adj. 6-K EBITDA €18 €199 Transaction fees (1) (23) RSU
Slide 23: Detailed Pro-Forma Share Count
DETAILED PRO-FORMA SHARE COUNT Total Capitalization Shares (millions) Shares issued and outstanding 497.9 Additional Securities Restricted Stock Units granted to employees1 5.9 Total Additional Securities 5.9 Fully Diluted Shares 503.8 1 During 2022, approximately 8.0 million Restricted Stock Units
Slide 24: investors@sghc.com
nil Supergroup investors@sghc.com