Playtech Limited ( Playtech or the Group or the Company ) Key Performance Indicators for the Quarter ending 30 September 2008

Transcription

1 11 Nvember Playtech Limited ( Playtech r the Grup r the Cmpany ) Key Perfrmance Indicatrs fr the Quarter ending Playtech (AIM: PTEC), the internatinal designer, develper and licensr f sftware fr the nline, mbile and land-based gaming industry, tday annunces its Key Perfrmance Indicatrs fr the third quarter ended and fr the nine mnths ended. The Cmpany has changed its reprting currency t Eurs (previusly US$) with effect frm 1 July. All numbers prir t this date have been cnverted using a flat rate f US$ per Eur. This reflects the fact that the majrity f the Cmpany s revenues and expenses are nw settled in Eurs. Fr ease f cmparisn, bth Eur and US$ figures are included in the tables belw. Financial Highlights Revenues fr the quarter ttalling 28.5 millin (US$42.4m), representing an increase f 67% n the 17.0 millin (US$26.9m) earned in Q and an increase f 6% n the 26.9 millin (US$42.4m) achieved in Q2 : Casin revenues ttalled 20.6 millin, an increase f 69% frm the 12.1 millin in Q and an increase f 5% n the 19.5 millin earned in Q2 ; Pker revenues ttalled 7.6 millin, an increase f 60% n the cmparable 2007 quarter and an increase f 9% n the 7.0 millin achieved in Q2. Ttal revenues fr the first 9 mnths f were 80.1 millin (US$123.8m) representing an increase f 78% frm the 44.9 millin (US$70.9m) earned in the first 9 mnths f 2007: Casin revenues increased by 75% t 57.3 millin (US$88.6m) cmpared with the same perid in 2007; Pker revenues increased by 88% t 21.5 millin (US$33.3m) cmpared with the same perid in Current trading fr Octber was very strng, registering 10.6% grwth n an average daily basis in its nline activities cmpared with the daily average experienced during Q3. Nvember trading, t date, has shwn further grwth n Octber.

2 Operatinal Highlights 4 new licence agreements signed during the quarter, including leading Italian peratrs Eurbet Italia, Sisal SpA and Cgetech SpA. The Cmpany als entered int 3 MOUs with peratrs lcated in regulated jurisdictins. Successful migratin f Mansin pker rm cmpleted at the end f September. Play fr fun pker versin launched n Playtech s Italian pker netwrk. Play fr real versin intended t be launched by the end f Q4. Strng pipeline f new licensees. Playtech cntinues t expand its prduct ffering. During the quarter it fully launched its Asian P2P Games with selected licensees tgether with an enhanced set f management tls specifically fr use with the Asian markets. It als released a new versin f Bing, with the intentin f further investment int this prduct. Live games prduct is being expanded t include a Eurpean ffering. Flash pker was launched in Q3 and cntinues t be successfully rlled ut with cmpletin scheduled fr the end f Q4. Strng grwth in the Asia Pacific regin has increased revenues and the prprtin f ttal revenues generated frm that regin. Strategic Highlights William Hill On 20 Octber Playtech annunced that it is t supply William Hill Online with casin, pker and ther gaming sftware prducts n a phased basis cmmencing January 2009 and culminating in an exclusive relatinship fr casin and pker frm 1 January The William Hill Online Licence will run fr a minimum f five years. Playtech entered int cntractual arrangements t acquire certain nline gaming marketing assets, businesses and cntracts ( the Purchased Assets ) frm affiliates and ther third parties fr a ttal cnsideratin f up t US$250 millin* in cash t be cmpleted in January Playtech t inject the majrity f the Purchased Assets n cmpletin int William Hill s entire nline gambling peratin in return fr a 29 per cent. interest in William Hill s enlarged nline peratin ( William Hill Online ). Playtech's interest in William Hill Online can increase up t 32 per cent. depending n certain cnditins relating t the integratin. * The final cst f the acquisitin t Playtech will be recrded n cmpletin in January 2009 based n the :US$ exchange rate at the date f cmpletin. T avid currency fluctuatins between exchange and cmpletin, the Cmpany has acquired sufficient US Dllars t meet its bligatin t pay the purchase price in US Dllars. MIXTV

3 On 14 August the Cmpany annunced the asset acquisitin f MIXTV Ltd fr a ttal cash cnsideratin f US$1.75 millin. MIXTV is a subsidiary f Win Gaming Media, Inc, which prvides leading end-t-end technlgy fr the delivery f mass-multi-player live gaming applicatins via bradcast televisin and interactive live TV shws, n analgue, digital, terrestrial, cable, satellite TV netwrks, and web bradband TV. Operatins Playtech has had an excellent third quarter, traditinally the slwest quarter f the year. The Grup s ttal revenues in the third quarter were 28.5 millin, a 67% increase frm that achieved in the third quarter f 2007 and an increase f 6% n the previus quarter. The Grup's casin revenues were up 69% t 20.6 millin frm the same quarter in 2007 and increased by 5% cmpared with the previus quarter. Pker revenues grew by 60% t 7.6 millin cmpared with the same quarter in 2007 and grew by 9% cmpared t the previus quarter. As a result f Playtech gaining new licensees fcused n the Eurpean market and its existing licensees fcusing n this market, the majrity f its revenues are nw generated in Eurs. The majrity f Playtech s expenses are als in Eurs and as a result, Playtech will nw reprt its financial results in the Eur currency with effect frm 1 July. Accrdingly, histrical numbers up t and including 30 June will be cnverted int Eurs based n the US$: exchange rate at 1 July ( US$ per Eur). Current Trading Current trading fr Octber was very strng where n an average daily basis, Playtech is shwing 10.6% grwth in its nline activities cmpared with the daily average experienced during Q3. Encuragingly, Nvember has started strngly with trading levels exceeding Octber. As at 30 Octber, the Cmpany had a net cash psitin f 204millin. Playtech s ipker netwrk will be cmmencing the third Eurpean Champinship f Online Pker n 24 Nvember with a ttal guaranteed prize pl in excess f US$4 millin. Videbet is in the final stage f cmpleting the Italian certificatin prcess fr its multigame sftware which has been tailred specifically fr the Italian market. It expects its sftware will be deplyed initially in apprximately 300 machines in the current and next quarter. Videbet has als signed an agreement with Sceptre Leisure fr the supply f its multigame sftware fr use in categry B2/B3 machines (previusly knwn as FOBTs) in the UK market. Deplyment prcess has already cmmenced and Sceptre has cmmitted t deply a minimum f 800 machines during As previusly annunced n 2 Octber, Playtech migrated Mansin s pker rm nt the ipker netwrk, having already migrated its casin platfrm last year. In additin, Playtech has signed three memranda f understanding with gaming peratrs.

4 Fllwing the annuncement f the licensing deal with Paramunt ( Gladiatr and Untuchables ), Playtech is actively explring further licensing pprtunities and is in active negtiatins with the wners f several well knwn brands. Mr Weizer, Chief Executive Officer, cmmenting n the KPI's, said tday: "This has been anther strng quarter fr the Grup in what is traditinally the slwest perid f the year. The additin f new licensees cmbined with rganic grwth during the perid has resulted in cntinued grwth acrss all business divisins. Cmbined with the strng Nvember start, the Bard believes that Playtech is well psitined fr further grwth during the remainder f the year and int Ntable during the perid was the grundbreaking sale f certain assets and businesses t William Hill as well as signing them as a new licensee. Playtech is excited t be wrking with a cmpany with the scale and breadth f William Hill in what we believe will be very significant deal fr Playtech. The transactin is the first in a number f ther ptentially significant earnings enhancing affiliate acquisitin pprtunities. The Grup cntinues t pursue significant business pprtunities acrss all the regulated markets and the Bard is cnfident regarding the Grup's trading perfrmance fr the rest f and beynd. Third Quarter Key Perfrmance Indicatrs at Revenues (EUR) 30 June Three mnths ended 000 ( ) 2007 Change Change Ttal Revenues 28,463 17, % 26,888 +6% Casin Revenues 20,550 12, % 19,521 +5% Pker Revenues 7,564 4, % 6,969 +9% Share f Gegraphical Diversity [1] Three mnths ended June Eurpe 69% 72% 72% Asia Pacific 25% 20% 21% Rest f the Wrld 6% 8% 6% Nminal Change in Gegraphical Regins Perid Q3 t Q Q3 t Q2 Eurpe +69% +2% Asia Pacific +119% +29% Rest f the Wrld +46% +3%

5 First 9 Mnth Key Perfrmance Indicatrs at Revenues (EUR) Nine mnths ended 000 ( ) 2007 Change Ttal Revenues 80,051 44, % Casin Revenues 57,312 32, % Pker Revenues 21,514 11, % Share f Gegraphical Diversity [1] Nine mnths ended 2007 Eurpe 71% 71% Asia Pacific 22% 21% Rest f the Wrld 7% 8% Nminal Change in Gegraphical Regins Perid 9M t 9M 2007 Eurpe +86% Asia Pacific +97% Rest f the Wrld +43% [1] The relative share is calculated as the ttal players' incme derived frm the specific regin divided by the ttal players' incme frm all regins Q3 Revenues (USD) 30 June Three mnths ended 000 ($) 2007 Change Change Ttal Revenues 42,396 26, % 42,423 0% Casin Revenues 30,624 19, % 30,775 0% Pker Revenues 11,258 7, % 11,020 +2% Nine Mnth Revenues (USD) Nine mnths ended 000 ($) 2007 Change Ttal Revenues 123,790 70, % Casin Revenues 88,600 51, % Pker Revenues 33,292 18, %

6 Mr Weizer, Chief Executive Officer, and Shuki Barak, Interim Chief Financial Officer, will be hsting an analyst cnference call at 11:30 am (UK time) n 11 Nvember. The timing f the call has been set t allw analysts frm utside f the UK t participate. Details f the cnference call are as fllws: Dial-in n UK: +44 (0) Dial-in n US: Cnference title: Playtech Q3 KPIs Replay (available fr 1 week): Dial-In N: + 44 (0) PIN cde: # Fr Further Infrmatin: Mr Weizer, CEO, Playtech Ltd Shuki Barak, CFO, Playtech Ltd - ends - c/ Bell Pttinger Crprate & Financial Tel: +44 (0) Nick Ellis Cllins Stewart Tel: +44 (0) Mumtaz Naseem Deutsche Bank Tel: +44 (0) David Rydell / Chris Hamiltn Bell Pttinger Crprate & Financial Tel. +44 (0) Abut Playtech Playtech develps unified sftware platfrms fr the nline and land based gambling industry, primarily targeting existing nline peratrs wanting t upgrade their system; sprtsbks lking t diversify and land-based peratrs making their nline debut. Playtech gaming applicatins - nline casin, pker, bing, mbile gaming, live gaming,

7 land-based kisk netwrks and fixed-dds games - are fully inter-cmpatible and can be freely incrprated as stand-alne applicatins, accessed and funded by players thrugh the same user accunt and managed by the peratr by means f a single pwerful management interface. Funded in 1999, Playtech has ver 750 persnnel distributed glbally, arund seventy five percent f whm are engaged in research and develpment f current and future gaming technlgies. Website: