Ainsworth Game Technology Limited · ASX:AGI
Ainsworth Game Technology — H1 2024 Earnings Presentation
33 slides from Ainsworth Game Technology's earnings presentation, Jun 30, 2024
Slide 1: Investor's Presentation
Investor’s Presentation Results for 6 months ended 30 June 2024 Ainsworth Game Technology Limited 1 ABN 37 068 516 665 | ASX Code: AGI
Slide 2: Disclaimer
Disclaimer IMPORTANT NOTICE • This presentation has been prepared by Ainsworth Game Technology Limited ACN 068 516 665 (AGT) in good faith. No express or implied warranty is given as to the accuracy or completeness of the information in this document or the accompanying presentation. All statutory r
Slide 3: Agenda
Agenda • Results Summary • Consolidated Results • Segment Performance • Land Based Gaming Products • Global Digital Gaming • Conclusion 3
Slide 4: Results Summary
Results Summary 4
Slide 5: Results Summary
Results Summary • Underlying profit before tax (excluding currency and one-off items) is $14.3m for the 6 months ended June 2024 (“Current period”), a decrease of 39% compared the 6 months ended 30 June 2023 (“PCP”). • North America continues to be the strongest segment performer, contributing 56% o
Slide 6: Gaming Operations
Gaming Operations with recurring revenues and steady international sales contribution 6
Slide 7: Consolidated Results
Consolidated Results 7
Slide 8: Profit & Loss Summary
Profit & Loss Summary 6 months 6 months 6 months ended ended ended Current period vs Current period vs 30 Jun 2024 30 Jun 2023 31 Dec 2023 PCP Prior half In millions of AUD (Current period) (PCP) (Prior half) Domestic revenue 16.7 17.9 21.9 (1.2) (5.2) International revenue 104.7 125.7 119.4 (21.0)
Slide 9: Results Adjusted for Currency Movement and One-off Items
Results Adjusted for Currency Movement and One-off Items 6 months 6 months 6 months ended ended ended Current period vs Current period vs 30 Jun 2024 30 Jun 2023 31 Dec 2023 PCP Prior half In millions of AUD (Current period) (PCP) (Prior half) Profit / (loss) Before Tax 15.7 7.9 (5.3) 7.8 21.0 Forei
Slide 10: Reconciliation: Profit Before Tax to EBITDA & Underlying EBITDA
Reconciliation: Profit Before Tax to EBITDA & Underlying EBITDA 6 months 6 months 6 months ended ended ended Current period vs Current period vs 30 Jun 2024 30 Jun 2023 31 Dec 2023 PCP Prior half In millions of AUD (Current period) (PCP) (Prior half) Reconciliation: Profit / (loss) Before Tax 15.7 7
Slide 11: Operating Costs
Operating Costs 6 months 6 months 6 months 6 months ended 6 months ended ended ended ended Current period vs Current period vs 30 Jun 2024 at 30 Jun 2024 at pcp 30 Jun 2024 30 Jun 2023 31 Dec 2023 PCP Prior half prior half currency basis In millions of AUD (Current period) (PCP) (Prior half) currenc
Slide 12: Staff Headcount
Staff Headcount # Staff 30-Jun-24 30-Jun-23 31-Dec-23 Asia Pacific Sales 30 31 32 Service 51 56 56 Production 25 30 31 Administration 19 22 21 R&D 91 96 98 Total Staff Numbers - Asia Pacific 216 235 238 Americas Sales 26 27 30 Service 59 63 64 Production 56 58 58 Administration 83 87 92 R&D 85 76 73
Slide 13: Net Profit Bridge – H1CY23 to H1CY24
Net Profit Bridge – H1CY23 to H1CY24 • Latin America revenue reduced due to prior year sales in Argentina and importation changes within Mexico. The termination of the 5-year exclusivity agreement with GAN on 31 March 2024 also impacted online revenue. • Decrease of $13.9m in other expenses as PCP i
Slide 14: Balance Sheet
Balance Sheet In millions of AUD 30-Jun-24 30-Jun-23 31-Dec-23 Total assets 422.6 427.4 418.4 Net assets 333.9 325.7 315.6 Total debt 24.1 - 0.4 Net (debt) / cash (11.1) 24.6 19.4 Debt Ratios 30-Jun-24 30-Jun-23 31-Dec-23 Debt ratio (Total liabilities / Total assets) 21% 24% 25% Debt to equity ratio
Slide 15: Cash Flow Statement
Cash Flow Statement • Cash balance as at 30 June 2024 was affected due to the payment made to the Mexican Tax Administration Service in the current period. • Increase in net cash from financing activities due to the US$15.9m drawdown which occurred in the current period. 6 months 6 months 6 months e
Slide 16: Segment Performance
—_——_—_—————_ Segment Performance
Slide 17: North America
North America 6 months 6 months 6 months ended ended ended Current period vs Current period vs 30 Jun 2024 30 Jun 2023 31 Dec 2023 PCP Prior half In millions of AUD (Current period) (PCP) (Prior half) Revenue 67.9 68.5 71.9 (0.6) (4.0) Gross Profit 48.6 43.8 51.0 4.8 (2.4) Segment EBITDA 39.5 35.5 4
Slide 18: North America Product Highlight
North America Product Highlight • San FaTM family of games has produced premium performance since launch in December 2023. New titles San Fa RabbitsTM and TigersTM have been released with strong initial performance. • Pipeline of additional game families on A-STAR RaptorTM are in submission with Tri
Slide 19: Latin America & Europe
Latin America & Europe 6 months 6 months 6 months ended ended ended Current period vs Current period vs 30 Jun 2024 30 Jun 2023 31 Dec 2023 PCP Prior half In millions of AUD (Current period) (PCP) (Prior half) Revenue 29.3 45.5 34.6 (16.2) (5.3) Gross Profit 20.8 29.5 20.5 (8.7) 0.3 Segment EBITDA 1
Slide 20: Asia Pacific (Australia, NZ and Asia)
Asia Pacific (Australia, NZ and Asia) 6 months 6 months 6 months ended ended ended Current period vs Current period vs 30 Jun 2024 30 Jun 2023 31 Dec 2023 PCP Prior half (Current period) (PCP) (Prior half) In millions of AUD Revenue 19.1 21.2 27.6 (2.1) (8.5) Gross Profit 6.3 5.1 9.8 1.2 (3.5) Segme
Slide 21: Online
Online 6 months 6 months 6 months ended ended ended Current period vs Current period vs 30 Jun 2024 30 Jun 2023 31 Dec 2023 PCP Prior half In millions of AUD (Current period) (PCP) (Prior half) Revenue 5.1 8.4 7.2 (3.3) (2.1) Gross Profit 5.1 8.4 7.2 (3.3) (2.1) Segment EBITDA 4.7 8.1 5.9 (3.4) (1.2
Slide 22: Land Based Gaming Products
Land Based Gaming Products 2 22 2
Slide 23: Key Market Highlights
Key Market Highlights NORTH AMERICA • A-STAR Raptor cabinet launched in US in late 2023. It has been on the Top 3 Performing New Upright Cabinet charts for 7 straight months on the Eilers report. Indexing 1.36x house and 1.30x zone average. • San Fa Pandas and San Fa Dragons on the A-STAR Curve and
Slide 24: Key Market Highlights
Key Market Highlights LATIN AMERICA & EUROPE • Delivered strong results despite the geopolitical challenges in the region. Expansion opportunities continue to benefit stable performing gaming products. • A-STAR RAPTOR: Regional challenges affected the launch; however, first installs have delivered s
Slide 25: Key Market Highlights
Key Market Highlights Asia Pacific • Year of the Dragon is showing strong and consistent performance across all AU jurisdictions after 3+ months in the market. With over 350 installs and a turnover ratio of 1.3x, Year of the Dragon continues to show month on month stable performance. • Ancient Treas
Slide 26: Game Development Investments
Game Development Investments Clear Product Strategy • Expanding the A-STAR Raptor launch throughout the year with exclusive library content and flexibility to bring forward classic games for increased operator choice. • Improving market response titles for key market gaming segments including collec
Slide 27: Game Development Investments
Game Development Investments Growth in R&D Pipelines • Focused use of game mechanics in development process thru market trend analysis. • Investment in hardware and ancillary packaging to produce future premium product roadmap. • Utilisation of Next-Gen math builder to shorten game math development
Slide 28: Global Digital Gaming
Global Digital Gaming 28
Slide 29: B2B Real Money Gaming (RMG)
B2B Real Money Gaming (RMG) The expansion of Ainsworth Interactive’s omnichannel slots strategy in 2024 has become an increasingly important factor in the distribution and sale of our gaming products. The omnichannel approach integrates physical and digital gaming experiences, delivering the conveni
Slide 30: Social Casinos
Social Casinos Ainsworth is also employing the omnichannel strategy significantly through our social casino partnerships with Zynga and Greentube. This will further expand Ainsworth’s distribution and engagement of our product and game library to ensure that players have a consistent and seamless ex
Slide 31: Conclusion
Conclusion 31
Slide 32: Conclusion
Conclusion • A-STAR Raptor has been on the Top 3 Performing New Upright Cabinet charts for 7 straight months. • The A-STAR 100 cabinet is now the dominant AGT cabinet in the ANZ market with over 1000 installs. • San Fa continues to be a strong brand for Ainsworth and with two new titles being releas
Slide 33: Ainsworth Game Technology
Ainsworth Game Technology 10 Holker St, Newington NSW www.agtslots.com 33 *All trademarks, logos and brand names are the properties of their respective owners
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