OPAP : Q4 2023 Presentation

Q4 & FY 2023 Financial Results

14 March 2024

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Highlights

Financial Performance

• Record-highquarterly GGR in Q4'23 at €581m coupled with a sound 27% online GGR contribution
• FY'23 recurring EBITDA at €745m exceeding our latest outlook for the year
• Strong cash position & limited leverage with Net Debt/LTM EBITDA at 0.23x
• Total 2023 Shareholders Remuneration €1.85 per share: Dividend: €1.60 (€1.00 interim already paid - €0.60 to be paid) & Capital
  Return: €0.25 (to be paid)

Operational Progress

• Eurojackpot launch in March '24 aiming to boost our retail lottery proposition towards best international standards
• Highly welcomed revamp of our draw-basedgames portfolio (Tzoker & Lotto) continues to improve engagement
• TIPSTERS: the 1st innovative digital sports betting community introduced by a gaming company in Greece, with the ambition to upgrade the retail experience and strengthen the image of our stores as entertainment destination
• Opaponline.gr (our iLottery platform) significantly up in FY'23 by 41% YoY, underlining successful digitalization steps

FY'24 outlook: GGR €2,150m - 2,200m & EBITDA €750m - 770m & bulk of net profit distributed as cash dividends

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Q4 & FY 2023 Financial Review

Pavel Mucha,

Chief Financial Officer

[Public]

Q4 2023 Overview

Retail recovery & robust online growth

Revenues (GGR)

+7,5%

							581		•	Retail GGR grew by 2.2% y-o-y
	541
									positively affected by the
124				156			normalization in payout rates in
					sports betting
417				426		•	Online recorded significant
										increase (+25.2% y-o-y) aided by
Q4 2022	Δ		Q4 2023
		product enhancements and
			Retail			Online		commercial initiatives

Gross Profit (from gaming operations)1

EBITDA
	+3,7%
			• -3.1% YoY on a comparable
			basis excluding one-off items
203		210	• Q4'23 EBITDA margin at high
			levels of 36% - Adjusted EBITDA
			margin at a solid 34%
Q4 2022	Δ	Q4 2023

Net Profit

+5,5%

224236

Q4 2022

Δ

Q4 2023

• Higher y-o-y on the back of higher activity, but outpaced by GGR
• Healthy Gross profit margin at 41%

	-67,2%
307
		101
Q4 2022	Δ	Q4 2023

• -13.9%YoY on a comparable basis excluding one-offitems
• Solid Net profit margin at 17%

1 GGR-GGRcontribution-Agents'commission-other Direct Costs

Amounts in €m

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FY 2023 Overview

Strong revenue growth coupled with solid profitability margins

Revenues (GGR)

+7,7%

1.9392.088

450531

1.4891.557

FY 2022	Δ		FY 2023
		Retail			Online

		EBITDA
• Retail GGR benefited from solid		-0,8%	• On a l-f-lbasis (excluding one-off
			items) €745m in FY'23, broadly
	fast games performance
				stable YoY
• Online aided by robust casino			• Solid EBITDA Margin at 35%
	performance
	736		730	despite increased Opex to support
					growth initiatives
•	2024e GGR Outlook2:			•	2024e Ebitda Outlook2:
	€2,150m- €2,200m
		FY 2022	Δ	FY 2023	€750m-€770m

Gross Profit (from gaming operations)1

Net Profit

+6,7%

		•	Closely following revenues trend
799	852	•	Gross profit margin at 41%

FY 2022

Δ

FY 2023

	-31,1%
			•
592		408	•
FY 2022	Δ	FY 2023

€439m on a l-f-l basis excluding one-off items in FY'23

Net profit margin at c.20% - Adjusted Net Profit margin 21%

1. GGR-GGRcontribution-Agents'commission-other Direct Costs
2. Assuming no changes in regulatory regime or taxation and stable macro environment

Amounts in €m

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Key Quarterly Financials 2020-2023

Strong performance reflected across key metrics

Revenues (GGR)		EBITDA recurring		Net Profit recurring

				581
	499		541527498
	499
	470	457442	481
391	396
328
231
180	174
Q 1 Q 2 Q 3 Q 4 Q 1 Q 2 Q 3 Q 4 Q 1 Q 2 Q 3 Q 4 Q 1 Q 2 Q 3 Q 4
2 0 2 0	2 0 2 1		2 0 2 2	2 0 2 3

		204
		198	197	198
	174173	175	178172
	170
	142
105
86
	60
	49
23
Q 1 Q 2 Q 3 Q 4 Q 1 Q 2 Q 3 Q 4 Q 1 Q 2 Q 3 Q 4 Q 1 Q 2 Q 3 Q 4
2 0 2 0	2 0 2 1	2 0 2 2		2 0 2 3

		127
		119	118
			110
	102		107104
	94 96
		86
	69
53
36
	18
-5	-3
Q 1 Q 2 Q 3 Q 4 Q 1 Q 2 Q 3 Q 4 Q 1 Q 2 Q 3 Q 4 Q 1 Q 2 Q 3 Q 4
2 0 2 0	2 0 2 1	2 0 2 2	2 0 2 3

Quarterly GGR		Last 4Qs rolling avg.

Quarterly EBITDA

Last 4Qs rolling avg.

Quarterly Net Profit

Last 4Qs rolling avg.

Amounts in €m, excluding one-off items in EBITDA and Net Profit

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Revenues (GGR)

FY - Q4 2023 GGR analysis

FYQ4

+7,7%

+7,5%

					2.088
	1.939
									581
							541
					252	+26,2%
	200				76	+25,7%
					345	+8,2%		61
	318						96	+3.0%
						93
	108		116	+7,4%			30
						32		-5,2%
	604		646	+6,9%		161		181	+12,4%
	709		730	+2,9%		194		198	+1,9%
	FY 2022	FY 2023
		Q4 2022			Q4 2023
			Online Casino				Online Casino		VLTs
			VLTs
			Instant & Passives				Instant & Passives		Betting
			Betting					Numerical Lotteries
			Numerical Lotteries

Amounts in €m

Last 4 quarters GGR breakdown per product & channel

Online Casino	Numerical Lotteries	Online
	13%
	34%				73%
VLTs	13%		27%
35%		27%		73%
	12%
	36%			24%	76%
	10%	36%
	Q1'23
		24% 76%
17%	16%
17%
	16%		Q2'23
	32%	6%	Q3'23
		6%
	30%	5%
	30%	5%	Q4'23
Betting	31%	Instant &

Passives

(lottery game)

• Numerical lotteries: +1.9% on the back of solid Tzoker performance & strong early signs of revamped Lotto, while KINO continues trending upwards
• Betting: +12.4% aided by PowerSpin and Virtuals strong growth and the normalization in sports

Q4	betting payout

• VLTs: +3.0% boosted by promotional activities, increased walk-ins and spending
• Instant & Passives: -5.2% with both Laiko & Scratch under pressure
• Online Casino: +25.7% building on the success of previous quarters

Retail

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EBITDA bridge

Higher variable costs due to

Higher Opex to support increased

operations and new product

149

736

revenue increase

46 24 24

initiatives

5	2	7	15	7	12	30
	2

24.6 refer to one-off HCC fine

730

EBITDA

GGR

GGR

Agents'

Other Direct

Other

Income

Other

Share of

Payroll

Marketing

Other

EBITDA

FY'22

contribution

Commissions

costs

Operating

related to the

Operating

profit of

expenses

expenses

operating

FY'23

Income

concession

Costs

associates

expenses

extension

Amounts in €m	Δ in	9

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Profitability (recurring figures)

FY - Q4 EBITDA*		FY - Q4 Net Profit**

		-3.1%
						-0.2%
						38,5%
37,7%
							35,7%
			34,0%

746745

	204				198
	Q4 2022				Q4 2023	FY 2022	FY 2023
				EBITDA	EBITDA Margin on GGR

*Excl. one-off expenses of €14.9m in FY'23 and expenses of €10.2m in FY'22 (income of €12.6m in Q4'23 and expenses of €1.3m in Q4'22)

Solid margins and operating profitability assisted by record top line growth

45,0%

40,0%

35,0%

30,0%

25,0%

20,0%

15,0%

10,0%

5,0%

0,0%

				-13.9%				+0.7%
480		23,6%				22,5%	25,0%
430									21,0%
380				18,9%			20,0%
330
280									15,0%
230							436	439
180									10,0%
130
80		127						5,0%
		110
30
-20
								0,0%
		Q4 2022		Q4 2023	FY 2022	FY 2023

Net Profit Net Profit Margin on GGR

**Excl. one-off expenses of €30.9m in FY'23 and income of €156.3m in FY'22 (expenses of €9.1m in Q4'23 and income of €179.1m in Q4'22)

Healthy margins and profitability despite increased costs

Amounts in €m

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