Ainsworth Game Technology Limited · ASX:AGI
Ainsworth Game Technology — Shareholder Meeting (November 2019)
21 slides from Ainsworth Game Technology's shareholder meeting presentation, Nov 26, 2019
Slide 1: Annual General Meeting 2019
AINSWORTH GAME TECHNOLOGY LIMITED 2019 ANNUAL GENERAL MEETING
Slide 2: Agenda
AGENDA 1. Welcome 2. Chairman’s Address 3. Chief Executive Officer’s Address 4. Annual General Meeting 2
Slide 3: Chairman's Address
Chairman’s Address • Significant scale, footprint and excellent market reputation. Presentation by Graeme Campbell • Re-evaluation and focus on investment in R&D to drive growth. • Achieve growth opportunities in established and new markets. • Disciplined M&A strategy to drive earnings growth. 3
Slide 4: Results Summary
Results Summary FY19 results down: • Total sales revenue of $234m, decrease of 12% on pcp. • Profit before tax (excluding currency impacts and one-off items) is $13m. • Diluted EPS down to 3.0 cents (pcp: 9.0 cents). Continued strong contribution in international businesses: • International revenue
Slide 5: Blectric
BLECTRIC CASH: Rio
Slide 6: Chief Executive Officer's Address
Chief Executive Officer’s Address • Significant scale, footprint and excellent market reputation. Presentation by Lawrence Levy • Re-evaluation and focus on investment in R&D to drive growth. • Achieve growth opportunities in established and new markets. • Disciplined M&A strategy to drive earnings
Slide 7: Profit & Loss summary
Profit & Loss summary • Profit before tax (excluding currency A$m 12 months to 12 months to Change (%) impacts) is $8.6m, 78% decrease 30-Jun-2019 30-Jun-2018 Domestic revenue 36.1 63.6 (43%) on pcp. International revenue 198.2 202.0 (2%) • International sales accounts for Total revenue 234.3 265.6
Slide 8: North America
North America Consistent strong performance: A$m 12 months to 12 months to Change (%) 30-Jun-2019 30-Jun-2018 • Revenue growth due to increased Revenue 114.0 105.7 8% sales of the high performing Quick Gross Profit 74.7 65.6 14% SpinTM product family on the A640 Segment EBITDA 57.4 50.3 14% cabinet.
Slide 9: Latin America
Latin America Lighter Performance: 12 months to 12 months to A$m Change (%) 30-Jun-2019 30-Jun-2018 • Legacy game performance is strong Revenue 72.7 78.7 (8%) thus providing continued profitability Gross Profit 43.7 47.7 (8%) throughout the region. Segment EBITDA 29.1 34.1 (15%) • Decline in ASP due
Slide 10: Rest Of World
Rest Of World g Challenged performance 12 months to 12 months to A$m Change (%) 30-Jun-2019 30-Jun-2018 • Revenue decreased by 35%, mainly Revenue 11.5 17.6 (35%) reduced contribution from Novomatic Gross Profit 7.5 12.4 (40%) compared to pcp. Segment EBITDA 7.1 10.7 (34%) • Online contributed $4.2m
Slide 11: Australia
Australia Competitive pressures affected 12 months to 12 months to A$m Change (%) results: 30-Jun-2019 30-Jun-2018 Revenue 36.1 63.6 (43%) • Significant product transition to re- Gross Profit 14.0 30.9 (55%) energise performance. Segment EBITDA 5.4 21.6 (75%) • Maintained ASP despite tough Segment P
Slide 12: Operating Costs
Operating Costs 12 months to 30-Jun-19 12 months 12 months Change constant currency to 30-Jun-19 to 30-Jun-18 % A$m basis Sales, service and marketing ('SSM') 61.0 64.9 59.6 9% R&D 39.4 40.4 34.4 17% Administration 24.1 25.0 23.3 7% Total Operating costs 124.5 130.3 117.3 11% • Increase in SSM expen
Slide 13: Balance Sheet
Balance Sheet A$m 30-Jun-19 30-Jun-18 Total assets 483.3 506.3 Net assets 393.5 378.8 Debt ratios 30-Jun-19 30-Jun-18 Total debt 55.4 71.9 Debt Ratio (Total Liabilities/Total Assets) 18.57% 25.19% Debt to Equity Ratio (Total Liabilities/Total 22.80% 33.67% Equity) Cash Flow to Debt ratio - (Cash Flo
Slide 14: Key Priorities
Title Key Priorities 1. Streamline AGT to create a more agile, competitive and efficient company. 2. Complete the re-evaluation of AGT’s R&D investments to develop successful, new innovative products. 3. Access to Novomatic’s significant expertise to identify and deliver additional synergy benefits.
Slide 15: Outlook
Title Outlook • Committed in delivering improved long-term results. • Further investment in product development and transition to new game concepts. • Continue strong performance in North America. • H1FY20: Expecting an unaudited net loss before tax, excluding currency impacts, of approximately $4m.
Slide 16: Financial Statements and Reports
Financial Statements and Reports • Significant scale, footprint and excellent market reputation. To receive and consider the Annual Financial Report including the Directors’ and Auditor’s Reports in respect of the financial year ended • 30 June Re-evaluation 2019. and focus on investment in R&D to d
Slide 17: Resolution: Re-election of Colin John Henson
Resolution 1 Re-election of Mr. Colin John Henson, as Director To consider, and if thought fit, to pass the following resolution as an ordinary resolution: • Significant scale, footprint and excellent market reputation. “That Mr. Colin John Henson, who retires in accordance with Rule 7.1(f) of the C
Slide 18: Resolution: Re-election of Daniel Eric Gladstone
Resolution 2 Re-election of Mr. Daniel Eric Gladstone, as Director To consider, and if thought fit, to pass the following resolution as an ordinary resolution: • Significant “That Mr Daniel Eric Gladstone, scale, who retires in footprint and excellent accordance with Rulemarket reputation. 7.1(f) of
Slide 19: Resolution: Approval of Remuneration Report
Resolution 3 Approval of Remuneration Report To consider, and if thought fit, to pass the following resolution as an ordinary resolution: • Significant scale, footprint and excellent market reputation. “That the Remuneration Report for the Company required by section 250R(2) of the Corporations Act
Slide 20: Other Business
• Significant scale, footprint and excellent market reputation. OTHER BUSINESS • Re-evaluation and focus on investment in R&D to drive growth. • Achieve growth opportunities in established and new markets. • Disciplined M&A strategy to drive earnings growth. 20
Slide 21: Ainsworth Game Technology
AINSWORTH GAME TECHNOLOGY 10 Holker St, Newington NSW www.agtslots.com.au
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