Century Casinos, Inc. · NASDAQ:CNTY
Century Casinos — Investor Presentation (February 2014)
32 slides from Century Casinos's investor presentation, February 2014
Slide 1: Corporate Presentation
Corporate Presentation Peter Hoetzinger Founder, Co CEO & President February 2014
Slide 2: Safe Harbor Statement
Safe Harbor Statement Century Casinos, Inc. (the "Company") has prepared this presentation for the sole purpose of providing information relating to the Company. No reliance may be placed for any purposes whatsoever on the information contained in this presentation or on its completeness, accuracy o
Slide 3: International Casino and Entertainment Company
International Casino and Entertainment Company § Developer and operator of mid-market, regional casinos in regulated markets world-wide § 26 casinos (approx. 3,150 gaming machines and 220 gaming tables): – 2 in USA (Colorado) – 2 in Canada (Alberta) – 1 in the Caribbean (Aruba) – 9 in Eastern Euro
Slide 4: International Casino and Entertainment Company
International Casino and Entertainment Company § Focus on entertainment with gaming and attractive non-gaming facilities (Urban Casino Resort concept) § Target markets include locals and tourists alike § 1,600 cooperators from 32 different nationalities, 51% female § Good corporate citizen: more
Slide 5: 20-year Track Record
20-year Track Record Sustainable Growth Prudent Expansion Strategy Net Operating Revenues in USD Mio. *) § 1992 Company foundation by Co CEOs 80 Erwin Haitzmann and Peter Hoetzinger 70 § 1993 First casino on cruise vessel 60 § 1994 First casino in Colorado Listing on NASDAQ 50 § 2005 Listing on
Slide 6: International Diversification
International Diversification Edmonton ! Calgary Denver Colorado Springs ! ! Eastern Europe (9 Casinos in Poland) ! ! Aruba ! ! ! ! ! ! ! Land-based Casinos (14) ! Ship-based Casinos (12) 6
Slide 7: Two Casinos in Colorado (USA)
Two Casinos in Colorado (USA) Hotel-Casinos near Denver and Colorado Springs, both wholly-owned Central City Cripple Creek Opening 2006 Opening 1993 12 Gaming Tables and 498 Gaming Machines 6 Gaming Tables and 448 Gaming Machines 21 Hotel rooms ( 3 additional rooms plus 26 Hotel rooms, 500 car parki
Slide 8: Denver's Best Casino 2 Years in a Row
Denver’s Best Casino 2 Years in a Row Century Casino in Central City, CO, has been voted „Best Casino“ in the Denver market Based on 150,000 votes from local experts choosing the best places in / around Denver Ahead of much larger companies, such as Ameristar and Isle of Capri casinos Focus on custo
Slide 9: Two Casinos in Alberta (Canada)
Two Casinos in Alberta (Canada) Casinos in major metropolitan areas of Canada, both wholly-owned Calgary Edmonton Acquisition 2010 / Re-Opening 2011 Opening 2006 16 Gaming Tables and 529 Gaming Machines 34 Gaming Tables and 759 Gaming Machines Extensive surface parking available 26 Hotel rooms, heat
Slide 10: Alberta (Canada)
Alberta (Canada) Great Regulatory and Economic Environment for Casino Industry Job growth, especially in the oil and gas industry, lead to growing and increasingly wealthy population with high discretionary income (median income 24% above Canada’s national average) Over the past ten years, Alberta’s
Slide 11: Nine Casinos in Poland, Europe
Nine Casinos in Poland, Europe Casinos Poland Ltd. – Nine Casinos in Major Cities of Poland 66.66% Controlling Stake in Polish Market Leader (45% market share) 33.33% stake since 2007, increased to 66.66% in April 2013 for approx. USD 6.8 million High-quality casinos in 4- and 5-star hotels with 70
Slide 12: Casino Aruba
Casino Aruba Casino in Radisson Hotel & Spa Resort Aruba Long-term Management Agreement Re-opening under Century Casinos‘ Management in 2010 355 rooms and suites, various restaurants and bars, conference and spa facilities 16 Gaming Tables and 200 Gaming Machines for international tourists, guests f
Slide 13: 12 Casinos on Cruise Vessels
12 Casinos on Cruise Vessels Largest Independent Operator of Casinos onboard luxury Cruise Vessels Casinos wholly-owned and operated under casino concession agreements 55 Gaming Tables and 425 Gaming Machines. Approx. 12,000 passengers daily. Opportunistic approach towards cruise lines with affluent
Slide 14: Financials
Financials
Slide 15: Selected Key Data
Selected Key Data Balance Sheet (as of Sep 30, 2013) Stock Market Data (as of Feb 26, 2014) § Total Assets $ 169 mil § Stock Price $ 6.80 § Cash & Cash Equivalents $ 30 mil § Market Cap $ 166 mil § Debt Obligations $ 16 mil § Enterprise Value $ 158 mil § Shareholders’ Equity $ 129 mil § Avg.
Slide 16: Financial Results 1-9 2013 vs. 1-9 2012
Financial Results 1-9 2013 vs. 1-9 2012 Net Operating Revenue $ 75.2 Million + 39% Adj. EBITDA $ 10.5 Million + 24% Earnings from Operations $ 5.5 Million + 13% Net Earnings $ 6.4 Million + 84% Earnings per Share $ 0.26 + 86% Net Cash $ 14.4 Million 16
Slide 17: Net Operating Revenue
Net Operating Revenue $30 $28,8 $28,3 $25 $20 $18,7 $18,1 $17,6 $18,0 $18,0 $17,8 $17,6 $17,7 $17,1 (in millions) $16,0 $15,6 $14,9 $15 $14,1 $10 $5 $0 Q1 Q2 Q3 Q4 2010 2011 2012 2013 2010 2011 2012 2013 2010 2011 2012 2013 2010 2011 2012 17
Slide 18: Adjusted EBITDA
Adjusted EBITDA $4,0 $3,9 $3,5 $3,3 $3,2 $3,1 $3,0 $2,9 $2,8 $2,8 $2,8 $2,5 $2,4 $2,5 $2,3 (in millions) $2,1 $2,0 $2,0 $2,0 $1,5 $1,4 $1,0 $0,5 $0,0 Q1 Q2 Q3 Q4 2010 2011 2012 2013 2010 2011 2012 2013 2010 2011 2012 2013 2010 2011 2012 18
Slide 19: Geographical Diversification
Geographical Diversification Net Opera)ng Revenue Adjusted EBITDA Ships & Aruba Ships & Aruba 6% 5% Edmonton Casinos 21% Poland 15% Casinos Poland Edmonton 39% 44% Calgary 7% Cripple Creek 16% Central City 16% Cripple Creek Central City Calgary 11% 19% 1% 19
Slide 20: Outlook
Outlook
Slide 21: Casino on new TUI Cruises Ship
Casino on new TUI Cruises Ship § TUI Cruises is a joint venture between Royal Caribbean Cruises and TUI Travel Germany § Currently two luxurious 1,900-guest ships (Mein Schiff 1, Mein Schiff 2) in service, with focus on the European premium all inclusive cruise market § Mein Schiff 3, a new 2,500
Slide 22: Three new Casinos on Seabourn Cruises Vessels
Three new Casinos on Seabourn Cruises Vessels § Windstar Cruises (we have the agreement to operate their casinos) have purchased three 210-pax luxury vessels from Seabourn Cruises § The first of these three vessels will be delivered to Windstar in spring 2014, the other two in spring 2015 § These
Slide 23: Extension of Cooperation with Regent Seven Seas Cruises & Oceania Cruises
Extension of Cooperation with Regent Seven Seas Cruises & Oceania Cruises § Eight luxurious vessels with a total of 6,500 passengers § Contract extended through Dec 2016 § Introduction of first fleet-wide progressive jackpot system in the upper premium cruise market 23
Slide 24: Nova Star Cruise Ferry
Nova Star Cruise Ferry § Luxury cruise ferry service (1,215 passengers) between Portland, Maine, and Yarmouth, Nova Scotia, starting in Q2 2014 9 hours by car § Strong financial support from Province of Nova Scotia and Singapore shipyard (ship- owner and stake in operating -‐ -‐ -‐ -‐ -‐ -‐
Slide 25: Casinos Poland Ltd.
Casinos Poland Ltd. § Controlling ownership (66.6%) since Q2 2013 § Targets for next few quarters: – Optimization of operating procedures – Analysis of smaller, weaker operations and possibly move locations – Improve operating margins (currently less than 10%) § Gaming law provides for the licens
Slide 26: Century Downs Racetrack and Casino Calgary, Canada
Century Downs Racetrack and Casino Calgary, Canada § Only horse race track in Calgary, rights to slot-casino license (moratorium in place, but this license is grandfathered in, last one available in any Alberta metro area) § track, 550 slots, 5.5/8th-mile horse race bars, lounges, restaurants, off
Slide 27: Century Downs Racetrack and Casino Calgary, Canada
Century Downs Racetrack and Casino Calgary, Canada § In position to capture north, north east Century Downs and affluent north west Calgary markets § On Queen Elisabeth II highway, one of the most heavily used highways in Intl. Airport Western Canada § Next to CrossIron Mills, a 1.4 mil sft regio
Slide 28: Century Downs Racetrack and Casino Calgary, Canada
Century Downs Racetrack and Casino Calgary, Canada § Alberta Gaming Commission approval § Horse Racing Alberta license § Development Permit approval § Sod-turning on December 4, 2013 § Construction company selected (Chandos) § Expected opening late 2014 § Regular casinos get 15% of slot win,
Slide 29: Application for Casino-License in Vienna, Austria
Application for Casino-License in Vienna, Austria § Three new casino licenses available in the Vienna metro area § „Urban Casino Resort“ concept a first for Vienna § Existing hotel Intercontinental will be renovated, 400 rooms, parking garage, congress- and event facilities, spa, restaurants § H
Slide 30: Summary
Summary § Internationally diversified portfolio § Market leader in Poland § Market leader in cruise industry § One of the healthiest balance sheets in the industry (net cash of $14.4 million) § $27 million credit line with BMO at 3.9% (currently / floating) § Globally experienced management te
Slide 31: Summary - Growth Drivers
Summary - Growth Drivers § Confirmed growth drivers - Five new Cruise Ship Casinos already under contract - Century Downs Racetrack and Casino approved and already under development § Organic growth initiatives started - Revenue growth (slot machines) and margin improvement Casinos Poland - Revenu
Slide 32: THANK YOU !
THANK YOU ! Peter Hoetzinger Founder, Co CEO & President peter.hoetzinger@cnty.com US: + 1 (719) 689 5813 Europe: + 43 664 355 3935
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