Tabcorp Holdings Limited · ASX:TAH
Tabcorp — H1 FY2016 Earnings Presentation
19 slides from Tabcorp's earnings presentation, Feb 4, 2016
Slide 1: Tabcorp Half Year Results Presentation ASX announcement
Tabcorp Holdings Limited ACN 063 780 709 5 Bowen Crescent Melbourne Australia 3004 GPO Box 1943 Melbourne Australia 3001 Telephone 61 3 9868 2100 Facsimile 61 3 9868 2300 For personal use only Website www.tabcorp.com.au 4 February 2016 To: Australian Securities Exchange Market Announcements 20 Bridg
Slide 2: 2015/16 First Half Results Presentation
For personal use only Tabcorp Holdings Limited ABN 66 063 780 709 2015/16 First Half Results Presentation 4 February 2016 Draft version 15 (01-08-13)
Slide 3: 1H16 overview
1H16 overview Statutory results For personal use only NPAT $81.9m, down 33.1% EPS 9.9 cents per share, down 38.1% Results impacted by significant items after tax of $15.6m in 1H16, compared to a one-off tax benefit of $31.5m in the pcp Results before significant items EBITDA $266.0m, up
Slide 4: Group Results
Group Results For personal use only $m 1H16 1H15 Change Revenues 1,135.6 1,115.2 1.8% Variable contribution 507.3 495.9 2.3% Operating expenses (241.3) (234.6) 2.9% EBITDA before significant items 266.0 261.3 1.8% D&A (89.5) (84.2) 6.3% EBIT before significant items 176.5 177.1 (0.3%) Interest (34.7
Slide 5: Business results
Business results For personal use only Wagering Change Gaming Change Change Change Keno Group $m & Media on pcp Services on pcp on pcp on pcp Revenues 973.0 1.3% 52.9 4.3% 109.7 5.7% 1,135.6 1.8% Variable contribution 392.6 1.2% 52.4 5.0% 62.3 7.6% 507.3 2.3% Operating expenses (195.8) (0.1%) (18.6)
Slide 6: Wagering & Media: KPIs
Wagering & Media: KPIs $m 1H16 1H15 Change % Business continues to invest in product and For personal use only Revenue by product technology, and remains well positioned as TAB Racing market leader - Totalisator 638.5 663.3 (3.7%) Active TAB account customers now - Fixed Odds 256.8 214.7 19.6% e
Slide 7: Ongoing initiatives to maintain market leadership
Ongoing initiatives to maintain market leadership For personal use only Future Retail program leading to increased digital integration in retail 16 pilot sites currently live, with further sites to be upgraded OneTab app (mobile bar tab service) to be launched 2H16 Product enhancements conti
Slide 8: Gaming Services: KPIs
Gaming Services: KPIs For personal use only $m 1H16 1H15 Change Victoria Revenues 52.9 50.7 4.3% 8,850 EGMs under contract. 85% contracted through to 2022 EBITDA 33.8 33.8 0.0% Loyalty members up 21% to 412,000 EBIT 19.6 20.3 (3.4%) New venues include Powell Hotel and Jim Dandy Hotel New S
Slide 9: Keno: KPIs
Keno: KPIs For personal use only $m 1H16 1H15 Change Total network turnover up 6.0% Revenue performance Revenues 109.7 103.8 5.7% Vic up 15.8% EBITDA 37.8 36.2 4.4% NSW up 8.6% EBIT 28.0 27.0 3.7% QLD up 2.2%, impacted by favourable jackpot activity Venues 3,625 3,635 (0.3%) Brand transf
Slide 10: Capital expenditure and investments
Capital expenditure and investments Capex trend Major capex projects For personal use only Wagering & Media 74 Digital strategy 69 62 Future Retail Technology enhancements Sun Bets Gaming Services EGMs NSW expansion Pre-commitment technology 1H15 2H15 1H16 Keno Keno Gaming Servic
Slide 11: Key capital features
Key capital features For personal use only Debt Structure $m Bank facilities 500 1 Tabcorp Subordinated notes 400 US Private Placement 300 200 400 400 150 250 100 127 84 0 FY16 FY17 FY18 FY19 FY20 FY21 FY22 Undrawn bank facilities of $445m at 31 December 2015 Gross debt / EBITDA2 of 1.9x Notes
Slide 12: Conclusion
Conclusion Progress on the strategic agenda during the half For personal use only ACTTAB integration successfully completed Victorian thoroughbred media rights secured New online wagering and gaming business, Sun Bets, to be launched in the UK in 4Q16 Keno transformation on track Gaming
Slide 13: Appendices
Appendices For personal use only 1. Wagering & Media: Financial data 2. Wagering & Media: Revenues by state and product 3. Balance sheet 4. Cashflow 12
Slide 14: Wagering & Media: Financial data
1. Wagering & Media: Financial data $m 1H16 1H15 Change For personal use only Revenues 973.0 960.7 1.3% Taxes, levies, commissions and fees (580.5) (572.6) 1.4% Variable contribution 392.6 388.1 1.2% Operating expenses (195.8) (195.9) (0.1%) EBITDA 196.8 192.2 2.4% D&A (65.5) (61.5) 6.5% EBIT 131.3
Slide 15: Wagering & Media: Revenues by state and product
2. Wagering & Media: Revenues by state and product For personal use only NSW Change Vic Change ACT Change Total Change $m 1H16 on pcp 1H16 on pcp 1H16 on pcp 1H16 on pcp Racing 477.3 2.6% 220.8 2.5% 13.0 109.7% 711.1 3.5% Sports 60.8 (10.3%) 18.5 (5.6%) 0.9 200.0% 80.2 (8.6%) Trackside 22.3 (4.3%) 1
Slide 16: Balance Sheet
3. Balance Sheet $m Dec 15 Jun 15 Change For personal use only Total current assets 199.4 296.2 (32.7%) Licences 678.8 700.9 (3.2%) Other intangible assets 1,928.1 1,924.7 0.2% Property, plant and equipment 312.0 325.1 (4.0%) Other non current assets 159.1 137.1 16.0% Total assets 3,277.4 3,384.0 (3
Slide 17: Cashflow
4. Cashflow For personal use only $m 1H16 1H15 Change Net operating flows 228.1 268.8 (15.1%) Net interest payments (34.1) (40.6) (16.0%) Income tax paid 32.8 (29.5) (>100%) Payments for PP&E and intangibles (73.2) (76.7) (4.6%) Sub-total 153.6 122.0 25.9% Ordinary dividends paid (73.5) (51.3) 43.3%
Slide 18: Disclaimer
Disclaimer For personal use only This Presentation contains summary information about the current activities of Tabcorp Holdings Limited (Tabcorp) and its subsidiaries (Tabcorp Group). It should be read in conjunction with the Tabcorp Group’s other periodic and continuous disclosure announcements lo
Slide 19: For personal use only
For personal use only 18 Draft version 14 (29-07-13)