ANGLER GAMING PLC : Financial report for the period ended 31st December 2022

Financial report for the period ended 31^st December 2022

Key Facts for the 4^th Quarter 2022 (1^st October 2022 – 31^st December 2022)

Challenging Quarter with Positive Outlook

All figures are compared to the same quarter last year if not explicitly stated otherwise

• Revenues decreased by 15.73 % to €8,105,830 (€9,618,463).
• EBIT decreased by 81.33% to €271,192 (€1,452,790).
• EBIT margin of 3.35% (15.10%).
• Customer deposits decreased by 23.07% to €15,775,595 (€20,507,189).
• 62,339 new registered customers (64,604), decrease of 3.51%.
• 11,725 new depositing customers (15,551), decrease of 24.6%.
• Earnings per share of minus €0.0331 (€0.0006).
  
• Premiergaming Ltd, the Group’s subsidiary focusing on Northern Europe, represented 5.05 % of the Group’s revenues in Q4 2022.
  

Trading update Q1 2023

The trading update is an indication of how the first quarter 2023 has started, however it is not a revenue forecast for the quarter.

The average daily net gaming revenue in the first 45 days of Q1 2023 was 9% higher comparing to the average daily net gaming revenue in Q4 2022.

The average daily net gaming revenue in the first 45 days of Q1 2023 was 3% higher comparing to the average daily net gaming revenue of the full first quarter of 2022.

Events during Q4 2022

• During the quarter the Group continued to terminate non-profitable affiliate partnerships affecting the revenues in the quarter
  
• In August, the Group’s venture in the field of affiliate marketing for South American markets, where the Group owns 80% and the local party owns 20%, started to show increase in casino customer registrations. The depositing casino customers and revenues continue to grow although from low levels.

Events after the quarter

• The B-to-B partnership casino project announced earlier, was launched mid-December 2022 on the latest version of the Group’s proprietary I-Gaming platform. The launch has been successful and represented 5% of the total Net Gaming Revenues in January 2023.
  
• During the quarter the Group continued to terminate non-profitable affiliate partnerships, affecting the revenues in the quarter.
  
• During the quarter extra ordinary cost of €2,453,364 (mainly bad debts) were identified, which are fully accounted for in Q4 2022.

Events after Q4 2022

• The Board of Directors does not recommend distribution of a dividend for the fiscal year 2022. While the available cashflow from operations has improved in the fourth quarter by19.42% from €1,000,656 at the end of Q3 2022 to €1,195,029 at the end of Q4 2022, given the challenging 2022 and investments in new innovative projects, the Board does not propose a dividend.
  
• The short-term unsecured borrowing of €1,000,000 obtained last year is now expected to be repaid during 2023.
  
• The B-to-B casino project previously announced to be launched mid-Q1 2023 is now expected to be launched and start generating revenues by the end of Q1 2023.
  
• The Group has signed a new B-to-B cooperation agreement for another casino project based on the latest version of the Group’s proprietary I-Gaming platform with new unique features. The project is expected to go live and start generating revenues in Q2 2023.

Key Facts for 2022 (1^st January 2022 – 31^st December 2022)

All figures are compared to half-yearly 2021 if not explicitly stated otherwise

• Revenues decreased by 27.68% to €31,389,158 (€43,404,095).
• EBIT decreased by 91.41% to €776,313 (€9,041,809).
• EBIT margin of 2.47% (20.83%).
• Customer deposits decreased by 29.96% to €64,904,472 (€92,663,807).
• 12.26% increase in newly registered customers 278,898 (248,433).
• 52,813 new depositing customers (82,246), decrease of 35.79%.
• Earnings per share of minus €0.0453 (€0.0959).