Tabcorp Holdings Limited · ASX:TAH
Tabcorp — FY2013 Earnings Presentation
26 slides from Tabcorp's earnings presentation, Aug 9, 2013
Slide 1: Full year results presentation ASX cover letter
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 9 August 2013 To: Australian Securities Exchange Companies Announcements Platfor
Slide 2: 2012/13 Full Year Results Presentation
For personal use only Tabcorp Holdings Limited ABN 66 063 780 709 2012/13 Full Year Results Presentation 9 August 2013 Draft version 15 (01-08-13)
Slide 3: FY13 overview
FY13 overview Statutory NPAT of $126.6m For personal use only NPAT from continuing operations before significant items of $139.1m EPS from continuing operations before significant items of 18.9 cents per share Full year dividend 19 cents per share, fully franked Strong revenue growth acros
Slide 4: Definitions and major adjustments
Definitions and major adjustments FY13 results reflect significant changes to the business portfolio For personal use only Changeover to the new 50/50 Victorian Wagering JV on 16 August 2012, previously 75/25 Victorian Tabaret business ceased 15 August 2012 Gaming Services (TGS) business com
Slide 5: Group Results
Group Results Change $m FY13 FY12 on pcp For personal use only Revenues 2,003.2 1,964.3 2.0% Variable contribution 885.6 828.0 7.0% Operating expenses (421.7) (404.5) 4.3% EBITDA from continuing operations before significant items 463.9 423.5 9.5% D&A (151.1) (96.5) 56.6% EBIT from continuing operat
Slide 6: Business results – continuing operations
Business results – continuing operations Wagering Change Media Change Gaming Change Keno Change Group Change For personal use only $m on pcp & Int'l on pcp Services on pcp on pcp on pcp Revenues 1,558.0 (4.8%) 207.6 9.1% 86.3 >100% 205.4 12.2% 2,003.2 2.0% Variable contribution 547.2 (7.8%) 185.0 3.
Slide 7: Wagering: KPIs
Wagering: KPIs Change Change Change $m 1H13 2H13 FY13 on pcp on pcp on pcp For personal use only Revenues by product Totalisator Vic 341.2 5.0% 299.5 4.7% 640.7 4.8% Total revenue growth of 5.9% including Totalisator NSW 375.7 (2.2%) 331.2 (1.3%) 706.9 (1.8%) Victorian Racing Industry interest Fix
Slide 8: Wagering business positioned for the future
Wagering business positioned for the future Removed current uncertainties in the retail environment For personal use only In-principle agreement to extend NSW Wagering retail exclusivity to 2033 “Betbox” case in NSW discontinued after success in the Victorian Betbox case Continued drive for
Slide 9: Media & International
Media & International Change $m FY13 FY12 on pcp Revenue growth from: For personal use only Revenues 207.6 190.2 9.1% International – vision expansion and Variable contribution 185.0 179.1 3.3% co-mingling Operating expenses (118.0) (115.3) 2.3% Increased subscriptions EBITDA 67.0 63.8 5.0%
Slide 10: Gaming Services
Gaming Services Change $m FY13 FY12 TGS commenced operations 16 August 2012 For personal use only on pcp Revenues 86.3 4.7 >100% Contracts cover approximately 8,500 EGMs in Victoria Operating expenses (28.0) (7.6) >100% 75% 10 year contracts EBITDA 58.3 (2.9) >100% EBIT 37.5 (3.2) >100% 25%
Slide 11: Keno
Keno Change $m FY13 FY12 on pcp For personal use only Revenue growth in tough economic Revenues 205.4 183.1 12.2% conditions Operating expenses (40.8) (40.6) 0.5% Contribution from new Victorian EBITDA 75.5 61.4 23.0% business EBIT before impairment 52.2 46.1 13.2% Qld revenues up 2.8% Venues
Slide 12: Capital expenditure and investments
Capital expenditure and investments Capex trend Major capex projects For personal use only FY13 capex projects 150 TGS EGMs 139 124 Wagering 119 Retail refurbishments, terminal replacement Expanded and enhanced products Digital strategy and technology New brands Keno expansion - self s
Slide 13: Key capital features
Key capital features Debt maturity profile $m For personal use only 500 400 300 284 200 400 400 250 100 211 150 0 FY14 FY15 FY16 FY17 FY18 FY19+ Bank facilities Medium Term notes (May 2014) Tabcorp Retail bonds (May 2014) Tabcorp Subordinated notes1 US Private Placement Gross Debt/EBITDA2 at 2.6
Slide 14: Conclusion
Conclusion FY13 summary For personal use only Business strongly positioned for the future Licence extensions - in-principle agreement for NSW retail wagering exclusivity to 2033 and Keno Qld to be extended to 2047 EBITDA growth from continuing operations up 9.5% Full year dividend of 19 cent
Slide 15: Appendices
Appendices 1. Group results For personal use only 2. Wagering: Financial data 3. Wagering: Revenues by state and product 4. Wagering: Pro-forma 5. Gaming Services: Financial data 6. Keno: Financial data 7. Discontinued – Victorian Tabaret: Financial data 8. Balance sheet 9. Cashflow 14
Slide 16: 1. Group results
1. Group results Change $m FY13 FY12 on pcp For personal use only Revenues 2,003.2 1,964.3 2.0% Government taxes & levies (359.4) (432.8) (17.0%) Operating commissions (258.1) (245.4) 5.2% Racing industry fees (500.1) (458.1) 9.2% Variable contribution 885.6 828.0 7.0% Operating expenses (421.7) (40
Slide 17: 2. Wagering: Financial data
2. Wagering: Financial data Change $m FY13 FY12 For personal use only on pcp Totalisator - Vic 352.5 464.3 (24.1%) Totalisator - NSW 706.9 719.7 (1.8%) Fixed Odds 328.2 289.3 13.4% Trackside 64.1 70.1 (8.6%) Luxbet 39.1 27.9 40.1% Other 67.2 66.1 1.7% Revenues 1,558.0 1,637.4 (4.8%) Taxes, levies, c
Slide 18: 3. Wagering: Revenues by state and product
3. Wagering: Revenues by state and product NSW Change Vic Change Total Change For personal use only $m FY13 on pcp FY13 on pcp FY13 on pcp Thoroughbred 461.7 (1.5%) 234.3 (23.1%) 696.0 (10.0%) Harness 88.9 (2.7%) 48.2 (26.7%) 137.1 (12.8%) Greyhound 156.3 (2.1%) 70.0 (25.3%) 226.3 (10.7%) Totalisato
Slide 19: 4. Wagering: Pro-forma
4. Wagering: Pro-forma New Vic FY13 Race FY13 For personal use only Wagering Reported fields 2 Pro-forma $m Licence 1 Revenue 1,558.0 (22.9) 1,535.1 Taxes, commissions and fees (1,010.8) 13.6 (2.2) (999.4) Variable contribution 547.2 (9.3) (2.2) 535.7 Operating expenses (282.2) 4.1 (278.1) EBITDA 26
Slide 20: 5. Gaming Services: Financial data
5. Gaming Services: Financial data For personal use only Change $m FY13 FY12 on pcp Operating revenue 81.6 - >100% Other revenue 4.7 4.7 0.0% Revenues 86.3 4.7 >100% Operating expenses (28.0) (7.6) >100% EBITDA 58.3 (2.9) >100% D&A (20.8) (0.3) >100% EBIT 37.5 (3.2) >100% EBIT/Revenue 43.5% (68.1%)
Slide 21: 6. Keno: Financial data
6. Keno: Financial data Change For personal use only $m FY13 FY12 on pcp Operating revenue 170.4 153.4 11.1% Other revenue 35.0 29.7 17.8% Revenues 205.4 183.1 12.2% Taxes, levies, commissions and fees (89.1) (81.1) 9.9% Operating expenses (40.8) (40.6) 0.5% EBITDA 75.5 61.4 23.0% D&A (23.3) (15.3)
Slide 22: 7. Discontinued – Victorian Tabaret: Financial data
7. Discontinued – Victorian Tabaret: Financial data Change $m FY13 FY12 on pcp For personal use only Operating revenue 130.1 1,073.2 (87.9%) Other revenue 0.1 1.0 (90.0%) Revenues 130.2 1,074.2 (87.9%) Taxes, levies, commissions and fees (92.3) (761.0) (87.9%) Operating expenses (7.7) (14.7) (47.6%)
Slide 23: 8. Balance Sheet
8. Balance Sheet As at As at Change $m 30 Jun 13 30 Jun 12 on pcp For personal use only Total current assets 221.3 228.2 (3.0%) Licences 750.3 815.0 (7.9%) Other intangible assets 1,772.4 1,803.2 (1.7%) Property, plant and equipment 308.5 313.3 (1.5%) Other non current assets 92.1 89.5 2.9% Total as
Slide 24: 9. Cashflow
9. Cashflow Change on For personal use only $m FY13 FY12 pcp Net operating flows 474.8 788.7 (39.8%) Net interest payments (101.5) (104.9) (3.2%) Income tax paid (108.4) (158.3) (31.5%) Payments for PP&E and licences (204.2) (631.0) (67.6%) Sub-total 60.7 (105.5) >100.0% Dividends paid (116.1) (111.
Slide 25: Disclaimer
Disclaimer This Presentation contains summary information about the current activities of Tabcorp Holdings Limited (Tabcorp) and its subsidiaries For personal use only (Tabcorp Group). It should be read in conjunction with the Tabcorp Group’s other periodic and continuous disclosure announcements lo
Slide 26: For personal use only
For personal use only 25 Draft version 14 (29-07-13)