Capital Markets Day...CInlticrokd tuoc etdioitn GVC Gaming Brands The purpose of today • To give...

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Capital Markets DayKenneth Alexander

CEO

25 May 2017

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2

Disclaimer

NOT FOR PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART IN, INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF

THE RELEVANT LAWS OR REGULATIONS OF THAT JURISDICTION. This presentation has been prepared by GVC Holdings PLC (“GVC”).

This presentation includes statements that are, or may be deemed to be, “forward-looking statements”. These forward-looking statements can be identified by the use of

forward-looking terminology, including the terms "believes", "estimates", "anticipates", "expects", "intends", "plans", "goal", "target", "aim", "may", "will", "would", "could" or

"should" or, in each case, their negative or other variations or comparable terminology. These forward looking statements include all matters that are not historical facts.

By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the

future and may be beyond GVC’s ability to control or predict. Nothing in this presentation should be construed as a profit forecast. Forward looking statements are not

guarantees of future performance and hence may prove to be erroneous. Other than in accordance with its legal or regulatory obligations (including under the Market

Abuse Regulation (596/2014), the Listing Rules, the Disclosure Guidance and Transparency Rules and the Prospectus Rules), GVC does not undertake any obligation to

update or revise publicly any forward-looking statement, whether as a result of new information, future events or otherwise.

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employees, advisers, representatives or other agents, with respect to the truthfulness, completeness or accuracy of any information, projection, representation or

warranty (express or implied), omissions, errors or misstatements in this presentation, or any other written or oral statement provided.

Nothing contained in this presentation is intended to constitute an invitation or inducement to engage in investment activity for the purposes of the prohibition on

financial promotions in section 21 of the UK Financial Services and Markets Act 2000. In making this presentation available, GVC makes no recommendation to buy, sell

or otherwise deal in shares of GVC or in any other securities or investments whatsoever and you should neither rely nor act upon, directly or indirectly, any of the

information contained in this presentation in respect of any such investment activity.

Any recipients of this presentation outside the UK should inform themselves of and observe any applicable legal or regulatory requirements in their jurisdiction, and are

treated as having represented that they are able to receive this presentation without contravention of any law or regulation in the jurisdiction in which they reside or

conduct business. In particular, the securities referred to in this presentation have not been and will not be registered under the U.S. Securities Act of 1933 and may not

be offered, sold or transferred within the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the U.S.

Securities Act of 1933.

Totals may not sum as rounding and percentages have been calculated on the underlying rather than summarised figures.

Click to editSchedule

Technology and operations14:05 – 14:25 Shay Segev (COO)

Overview of Technology and Operations

14:25 – 14:35 Sandeep Tiku (CTO) Scale & Power of Technology Platform

14:35 – 14:50 Liron Snir (Chief Product Officer) Sports & Gaming Product and CRM

14:50 – 15:00 Roni Maman (VP Business Operations)Customer Services

15:00 – 15:10 Jim Humberstone (Group Head of Trading) Trading & Markets

15:10 – 15:30 Q&A

15:30 – 15:45 Break

Brands15:45 – 16:05 Adam Lewis (Group Head of Sports Brands)

Sports Brand Strategy

16:05 - 16:15 Jon Salmon (Group Head of Casino Brands) Overview of Core Brands

16:15 – 16:25 Adele Lawton (Group Head of Bingo Brands)Overview of Bingo Brands

16:25 – 16:40 Tom Waters (Group Head of partypoker) Overview of partypoker

16:40 – 17:00 Q & A

17:00 – 18:00 Food & Drink

18:00 – 20:40 Racing

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Click to editIntroduction

GVC Gaming BrandsThe purpose of today

• To give greater insight into Group’s operations

• Demonstrate the scale of our technology and why we feel it so valuable

• Provide a greater understanding of our brands

• Meet some of the key talent, instrumental in delivering shareholder value

• Highlight what we have achieved post bwin.party acquisition

• Show why we are so excited about future potential

GVC a leader in the online gaming market

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2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

GVC 10y share price

GVC FTSE ALLSHARE

TSR

Capital return

Dividends

10y Return

318p

509%

760%

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Click to editOverview – GVC today

• €4.6bn sports wagering• €0.9bn NGR• €206m Clean EBITDA• 17 territories with over 2% NGR

Financial*

Corporate• 2,800 FTEs• 15 offices across four continents• 19 licences

Technology• Highly scalable and robust platform• Proprietary sportsbook, casino and poker • >95% revenues processed derived through own platform• Best in class IT Management

Customer• 10 major established B2C gaming brands• >1,000 games offered• 21 languages, 19 currencies• 79m registered accounts

Increasing scale and diversification built on strong brands, technology and talent

*pro forma 2016

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Click to editKPI’s and current trading

Highlights

• Q1 17 Group daily NGR +13% (14%) vs pro forma Q1 16

• Sports Brands daily sports NGR +12%

• Sports Gaming/other daily NGR +19% driven by cross sell and improved product

• Total Sports Brands daily NGR +16%

• Games Brands daily NGR +4

Q2 accelerates after strong Q1

Current trading

• Q2 YTD* daily NGR +16% (+18% constant currency) vs comparable period in 2016

• Daily sports wagers +10% (+12% constant currency)

• Sports gross win margin 10.0% (2016: 9.6%)

*Q2 up to 21 May 2017

Per day in €000's Q1-2017Q1-

20161 ChangeCC

Change90 days 91 days

Sports brands

Sports wagers 12,908 12,866 0% 3%

Sports margin 9.6% 8.5%

Sports NGR 948 843 12% 13%

Gaming/other NGR 1,000 838 19% 21%

Total NGR 1,948 1,680 16% 17%

Games brands 615 592 4% 6%

Other 115 98 17% 21%

Group daily NGR 2,678 2,370 13% 14%

Group NGR (€m) 241.0 215.6 12% 13%

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Click to editKey messages

Technology – a unique and powerful platform with substantial upside from

further optimisation

Brands – highly valuable portfolio of global gaming brands being

reinvigorated

Talent – one of the most experienced and successful teams in the industry

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Technology & Operations

Shay SegevCOO

GVC Capital Markets Day25 May 2017


GVC Gaming Brands

Key experience

Over 15 years in online gaming sector including:

• Playtech (COO)

• Videobet (CEO)

• Gala Coral (Chief Strategy Officer)

Agenda• Management structure

• Our technology platform and product set

• How we manage integration

• What we’ve achieved so far

• Migration progress

• What’s next

Shay SegevCOO

GVC Gaming

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Click to editManagement Structure

Chief Product Officer

Liron Snir

PRODUCT

Group Head Trading

& Ops

Jim Humberstone

TRADING

VP Customer

Engagement

Roni Maman

CUSTOMER ENGAGEMENT

Group Chief Technology

Officer

Sandeep Tiku

TECHNOLOGY

COOShay Segev

Industry leading talent assembled to run efficient operations,secure synergies and deliver growth10

PRODUCTPRODUCT TRADINGTRADINGTECHNOLOGYTECHNOLOGY

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95% of revenue derived and processed through proprietary platform

Powerful Technology & Product Set

PLAYER LIFECYCLE MANAGEMENT PLATFORM

CommonAccount

BusinessIntelligence

CRM& Acquisition

GAMING PRODUCTS

Sports PokerCasino

CONTENT MANAGEMENT SYSTEM

DIGITAL TOUCHPOINT FRAMEWORK

Responsible Gaming

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Click to editIntegrating Businesses

bwin.party in 2016

× Declining revenue for a number of years

× Significant technical debt

× Complicated organisation

× Product development gaps

× Low cross-sell between sports and gaming

× Inefficient cost structure

× Slow IT development

× Declining bottom line results

Turnaround achievedin less than 12 months

Sportingbet in 2013

Turnaround achievedin less than 6 months

× Under-utilised Sportingbet web domains× Poor financial performance of Sportingbet× Cash burn & balance sheet issues× Lack of VIP focus× Leverage trading team

We have an unparalleled track record in successful integration12

Click to editIntegration Approach

Set clear integrationtargets

• Establish overall financial guidance• Set targets by business areas (e.g. Marketing, Operations)• Derive required capabilities and necessary requirements for technology

Establish solidintegration programme

• Define comprehensive programme structure• Use best people• Set up lean but effective processes

Drive integrationexecution

• Drive growth through financial transparency• Ensure efficiency through business optimisation• Enhance technology capabilities to prepare for the future

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2

3

Over the years we have established a proven integration approach13

Click to editExecution

bwin.party Integration

Marketing

• Reshape approach for marketing expenditure

• Develop CRM toolset

• Improve cross-sell to gaming

CS

• Implement a hub structure for Customer Service

• Focus Customer Service on value creation

People

• Retain key people

• Restructure to simplify

• Hire new talent /missing skills

• Manage performance

• Reduce architectural complexity• Consolidate tech stacks and infrastructure

• Renegotiate service contracts• Enhance security & business continuity

Product

• Close product gaps

• Establish clear product roadmaps

• Focus on under-performing products

Operations

• Restructure label operations

• Optimise risk management approach

• Improve trading tools

Technology Foundation

Financial Guidance• €125m synergies

• Double-digit growth across the business

Rigorous execution in all areas is required14

Click to editThe Results

Growth

Efficiency

Capabilities

• 12%# NGR growth to €894.6m• Sports wagers per day +7%#

• party brands first growth in 6 years

• Clean EBITDA increased by 26% to €205.7m• €125 annualised synergies on track• CAPEX reduced by c€20-25m p.a.

• +26% cross sells at bwin labels• 30% improvement in player response time• >70% reduction in critical technology issues• 650 new games introduced

Staff Costs

2015 2016 2017

-29%

IT Costs

2015 2016 2017

-44%

Results after one year*

We overachieved original expectations and targets

*Pro forma FY2016 vs FY2015#Constant Currency

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Click to editGVC Migration Update

• Challenge of migrating core platform for growing business

• Technology integration completed

• Risk-based approach used to sequence market migration (start with small markets, learn & improve)

• Migrations to date very successful (CEE region) and with positive customer response

• Migrated customers benefiting from significant experience improvement with opportunities for further growth (better mobile offer, improved retention tools, larger games portfolio, etc.)

• Migration completion targeted for end of year 2017

Migration Approach & Progress

Risk-based migration approach delivering successfully with positive customer responses. Completion targeted for end of 2017.

Pre vs. Post Migration Daily Averages (consolidated territories)

Pre Post

Casino Wagers

+27%

Pre Post

Sports Wagers

+44%

Pre Post

FTD

+131%

Pre Post

+16%

GGR

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Strong focus on further growth initiatives over the next 12 months

• Complete technical migration to a single platform

• Deliver product enhancements, new betting opportunities and more games

• Improve customer engagement along all points of lifecycle

• Boost business intelligence capabilities and leverage data across the business

More To Come

PLAYER LIFECYCLE MANAGEMENT PLATFORM

CommonAccount

BusinessIntelligence

CRM& Acquisition

GAMING PRODUCTS

Sports PokerCasino

CONTENT MANAGEMENT SYSTEM

DIGITAL TOUCHPOINT FRAMEWORK

Significant further upside to come through greater optimisation

Responsible Gaming

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Fully integrated technology platform with substantial scale and flexibility

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Proven track record of technology integration

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Platform supports significant future growth with limited incremental cost

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Technology Sandeep Tiku

CTO



GVC Gaming BrandsKey Experiences Over 18 years of deep technical expertise delivering digital solutions including:• Valtech Software Services (Practice Head - Digital

Solutions)• bwin.party (IT Director)

Agenda• Power of the platform / technology of GVC• Volumes and scale

• Future growth readiness (organic and inorganic)

Sandeep TikuChief Technology

Officer

GVC Gamin

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Click to editGVC Technology – Overview

HIGHLYAVAILABLE

MASSIVELYSCALABLE

EASILYEXTENDABLE

FULLYREGULATED

CAPABLE1000+ IT STAFF

MULTIBRAND & B2B

COMPLETEPRODUCT SET

OMNICHANNELGVC

POWERFULPROPRIETARY

MARKET-UNIQUE PLATFORM

Proprietary technology and strong product portfolio yields a significant competitive advantage21

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SQL Execution

64%YTD

46%YTD

GVC Technology – Daily Volumes

4.5BILLIONAPI Calls

6.2BILLION

11.2BILLIONCache Events

Platform Events

1.32BILLION

Affiliates Impression

11.5MILLION

Page Views

15.1MILLION

Sports Bet Slips Casino Spins Poker Hands

71%YTD

DAILY VOLUMES

GVC

Billions of calls being served from a single Platform with significant capacity for future growth2222

Click to editGVC Technology – Continuous Enhancements

9,823Enhancements deployed in 2016

26% : Infra74% : Software Changes100+: NFR Projects

*NFR – Non Functional Requirement (backend/non-customer facing enhancement)

28% : Infra72% : Software Changes35+: NFR Projects YTD

Continuous Enhancements & Optimisation are the key principles at GVC


9,823Enhancements


+ 43%vs 2014

4,478Enhancements deployed in Q1

2017+ 62%

vs 2014

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Click to editGVC Technology – Availability & Quality

Planned availability 99.95%

YTD2017 2016

99.86%

2015

99.69%

2017 Improvement vs same period

2016

58% 81%

2015

Availability

Incidents

- Comparison in terms of YTD

• ~2.1 Hours downtime taken to date

• Improvement equivalent to an additional day of trading per annum

• 58% improvement against 2016 P01 numbers & 81% improvement against 2015

• Significant improvement in overall customer experience

Improved platform stability delivering an enhanced customer experience24

Click to editGVC Technology – Under the hood

Glossary: NFR - Non Functional Requirement,, BI – Business Intelligence,, CFFI – Casino Fast Forward Integrator

Executed and more to comeAvg. 75% improvement in system performance

165NFR(in 24 months)

Disaster Recovery switch in 37 mins14x faster vs 2014

37 Mins

Business Intelligence System improved by 600%vs 2015

BI Systems

Platform upgraded to Next Gen InfrastructureAvg. 50% performance improvement in response time

50%UP

Fast Forward Games Integrator launched24+ new Providers integrated in the last 12 months

10X Faster

CFFI

And a lot more+

Stability, Availability & Performance of systems is the core focus at GVC25

Click to editGVC Technology – Extensibility

20 to 24Weeks

2 to 3Weeks

Previously Now

8 to 9Weeks

1 to 2Weeks

16 to 20Weeks

2 to 4Weeks

32 to 40Weeks

8 to 12Weeks

To Integrate a new Game Provider

To setup a newLabel (Business)

To adapt to a newRegulation

To on-board a new B2B Partner

Extensibility: Technology that takes future growth into consideration is a core feature of our system architecture

• 780% reduction in time to integrate new games provider

• 467% improvement in time to set-up new white label

• 500% faster to adapt to new regulation

• 500% quicker to on-board new B2B partners

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Click to editGVC Technology – Security

10MAJOR DDOS

ATTACKSPeak 220 Gbits | since 2016

Security Attacks

SAFE 3.0SAFE 3 0

0Services Impact

Average 15% of daily traffic

0Services Impact

DailyBRUTE FORCE ATTACKS

* Red lines indicate brute force attack Nov 1st, Attack

Proven proprietary security platform 27

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Comparisonvs 2014

GVC Technology – Cost optimised

2016vs 2015

Comparison2017 vs 2015

Σ

CAPE

X

Committed -39%

-42%

OPE

X

Internet Upstream/Bandwidth

DatacenterHosting/Housing

Maintenance

ΣLicenseRenewal

-16%

-18%

-30%

-1.9%

-36%

-12%

-15%

-41%

-45%

-28%

-48%Availability Volume Delivery

Speed

Cost

2015 2016 2017

2017vs 2016

Key Outcomes

Availability significantly trending upwards (99.6999.95)

Daily volumes 3.6 times higher Delivery speed up by 145% Cost on a steep downwards trend

Simple rule of thumb at GVC, do more with less and do it effectively28

Click to editKey takeaways

Powerful and Robust – inherent ability to scale on demand and provide

reliable uptime

P1

Extensible – flexible to integrate and ready for future growth

(organic/inorganic)

2

Safe and Secure – resilient against malicious attacks and data theft

3

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Click to edit

ProductLiron Snir

Chief Product OfficerGVC Capital Markets Day

25 May 2017

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GVC Gaming BrandsKey experienceOver 17 years in online gaming sector including:

• Playtech (VP Product & Strategy)

• Playtech (VP Customer Relations)

• 888 Holdings (Business Intelligence Lead)

Areas of responsibility• Sports product

• Gaming product

• Portal and marketing tools

Agenda• What we found

• Actions taken

• Results achieved

• What’s to come

Introduction

Liron SnirChief Product Officer

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GVC Gamin

Click to editSports

What we found What we did

Low Cross-sell

Sub-optimalOffer

presentation

Sub-optimalMobile Product

ConstrainedTrading

Capabilities

× Minimal gaming opportunities on mobile

× Navigation lagging behind industry standards

× Betting opportunities not well positioned

× Presentation not driving combos

× In-play offer & navigation not compelling

× Product performance below user expectations

× Lack of high quality data feeds

× Trading tools outdated

Cross-sell navigation re-worked & new offering added on both mobile and desktop

Implemented various UI, UX & performance improvements

Integrated top quality feeds & built new tool allowing real-time management of customers based on risk profiles

Introduced a grid view & coupon management capabilities

Improvements introduced to enhance customer experience and increase player value33232

Click to editSports

UX Enhancements 300% More Betting Opportunities

• Cleaner UI, easier to read and preferred structure based on qualitative research

• Huge increase of betting opportunities in a single view

• Unparalleled flexibility for both customers & operators to choose their most valuable betting markets with column switchers

Updated Desktop UX

Old Desktop UX

5 Enhanced customer experience to drive volume33

Click to editSports

Tennis Visualisations & Statistics 20% Increased Time on Device

• Rounds off the product aesthetically and translates the feeling of live action• More match statistics available to the user in order to trigger further engagement with the product• Low mobile data usage allows customer follow play by play without hurting allowance

6 Smart technology and product driving mobile growth 34

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Q1 Q2 Q3 Q4 Q1

2016 2017

Number of Bets

Sports

What we achieved What’s to come

• Merged pre-match & in-play offer

• Horse racing and Virtual Sports

• Enhanced Cash Out experience

GapClosures

ProductEnhancements

• Extended live offer with more markets

• Revamped navigation on in-play and mobile

• In-product pick-upselling capabilities

4Short-term focus on gap closure in preparation for the new season.

Mid-term enhancements to ready for WC 2018

+8% YoYQ1 2016 vs Q1 2017

0%

2%

4%

6%

8%

10%

Q1 Q2 Q3 Q4 Q1

2016 2017

Sports In-Play Margin %+1.4% YoY

Q1 2016 vs Q1 2017

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Click to editGaming


WeakContentOffering

Limited Marketing

Capabilities

Below Standard

Live Studio

Poor User

Experience

× Limited 3rd party content & in-house not available on mobile

× No High Roller offering

× Overall offer outdated

× Dealer performance below standard

× Excessive loading times

× Poor navigation across product

× Marketing tools not functioning properly

× Tools not available across all channels

Over 20 new providers added & in-house titles relaunched on HTML5 across all channels

Product relaunched with an optimised navigation and vastly improved loading times

Tools fixed, made available on all channels & capabilities extended

New renovated bwin studio launched with extensively re-trained dealers

7 Creating a best in class gaming offer36

Click to editGaming

Expanded Offer 600+ New Titles added

New Gaming Providers added including:

- Merkur, Yggdrasil, Blueprint, iSoftBet & Play n Go

New categories of instant win games added to supplement slots & table:

- Gamevy & IWG

Now over 1,350 games available (20% in-house, 80% via 3rd parties)

9 Hugely increased gaming portfolio37

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New live casino 11 tables added

Gaming

• Complete studio revamp • Multi-brand support • Tailored VIP offer

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Click to editGaming

UX Enhancements 20%+ More Time on Device

Upgraded Live Casino on DesktopNew Mobile Casino Lobby

• Proper Categorisation

• Better content discovery (like Netflix)

• Clear icons

• Consistent single navigation

• Clear icons

• Promoted content/games

Significant enhancements across mobile and desktop has transformed product offer39

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Q1 Q2 Q3 Q4 Q1

2016 2017

Live Dealer - Revenue Evolution

Q1 Q2 Q3 Q4 Q1

2016 2017

Games - Average Revenue per User

Gaming


• More content focused on reg. markets

• More exclusive & In-House Content with 30+ new titles per year

Content push

User Engagement

• New personalization engine rollout

• New engagement & x-sell marketing tools to be added

+56% YoYQ1 2016 vs Q1 2017

+23% YoYQ1 2016 vs Q1 2017

Short-term focus on boosting content offering in regulated markets. 40

Click to editPortal and marketing tools


PoorUser JourneyPerformance

Limited Marketing

Capabilities

× Conversion rates below market standards

× Low approval rate for transactions, especially in regulated markets

× Most Marketing Campaigns were manually run by the teams

× No Segmentation Tools

× Communication Channels limited to email & push messaging

Onboarding journey rebuilt for registration & KYC

New Cashier has been re-launched with better customer communication & rescue options

New Campaign tool integrated & 90% of campaigns are automated

Optimove segmentation engine integrated

Inbox & SMS have been added & tools tightly connected to the campaign manager

Introduced a customer centric approach and focused on improving customer value41

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Mobile Conversion

Portal and marketing tools


• Real-time Messaging and Pro-Active Chat

• Real-time Churn Detection system

• New deposit routing engine

Advanced Retention

Capabilities

EnhancedPersonalisation

• Rollout of new engagement tools

• Integration of personalisation / recommendation engine into product line

UAPs +24% YoYQ1 2016 vs Q1 2017

Continual focus on building innovative market-leading tools for driving retention, cross-sell & user engagement

Jan-

16

Feb-

16

Mar

-16

Apr-1

6

May

-16

Jun-

16

Jul-1

6

Aug-

16

Sep-

16

Oct

-16

Nov

-16

Dec-

16

Jan-

17

Feb-

17

Mar

-17

Customer Lifetime Value

CLV3 CLV6 Linear (CLV3) Linear (CLV6)

CLV 3m +16%, CLV 6m +35%Ave 2017 vs Ave 2016

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Large gaps in product offer identified with quality in certain areas below

standard

1

Games offer now highly competitive with gaps in sports soon to be closed

2

Key focus going forward is on innovation across core product line to

become market leader

3

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Business Operations

Roni MamanVP Business Operations


GVC Gaming BrandsKey experience

• Over 13 years in online gaming sector

• Previously SVP Business operations at 888

Holdings

• Responsibilities included development of Risk, CS,

Marketing operations, Bingo CH, Telemarketing

Responsible for• Customer service

• Risk management

Agenda• Optimising the customer experience

• What we found

• Actions taken


Roni MamanVP Business Operations

GVC Gamin

45

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46

Source: Deloitte, Customer Centricity: Embedding it into your organization’s DNA

Optimising the customer experience

Ensure visible

customer-focused

leadership

Understand your

customer

Empower the frontline

Understand

Design the experience

Use metrics that matter

Engage the back office

Drive continuous

improvement through

feedback

Put customer-centricity at the

core of your business

3The past decade has seen consumer expectation exceed the conventional

capacity of traditional customer service functions in seven critical areas46

Click to edit

Risk ManagementCustomer Service

× Process orientated vs. results orientated

× Structure is not scalable nor efficient

× Lack of KPI’s

× Systems and tools required updating

× Lack of customer centric approach

× Poor customer journeys / recovery

procedures

× Risk rules were out of date

× Lack of optimisation of AR

× Lack of optimisation of Cash out

× Lack of tools: offline and on production

× Lack of KYC tools

× Marketing / CS were not part of customer

journey

What we found

4 Some way behind best-in-class presents significant opportunity47

Click to editImpactActions

Regional structure Scalability /flexibility

Chat and proactive

2nd level responses

5 or more contacts per week

+ .FR, .IT better SLA

+ Align with events

+ Started responding to Costumers

+ Recovery process

Cash out cycle

SLA KYC Q

Risk rules

Direct communication with customers/KYC

+ Aligned with Kalixa and banks

+ From 4 weeks to 2 days

+ Manual review for now

+ Optimised journeys

Immediate measures

CustomerService

RiskManagement

0

5,000

10,000

15,000

20,000

Dec-16 Apr-17

bwin.com KYC Enquiries

5 Priority plan for customer improvements in place and working48

Click to editWhat’s to come

We are committed to a plan of continuous improvement of the customer experienceSignificant upside to come from identified enhancements in customer

services and risk

• Aim to cut or simplify 25% of processes

• Introduce new tools for risk management

• Continue to improve against KPIs:

(FTR/QA/SLA/Productivity)

• Work more closely with CRM to improve

customer journeys

• Introduce smart journeys (algorithm base)

push and pull chat

• Segmentation in the Operations (based on

LTV) tools and actions

• Attain customer feedback to all changes

through surveys and other mechanisms

Improved customer experience

Improved player retention

Increased LTV

49


Introduced customer centric approach and focus on improving lifetime value

1

Shifted the culture and mind-set

2

Simplified processes and introduced the tools to support this approach

3

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Click to edit

Trading ReviewJim Humberstone

Group Head of TradingGVC Capital Markets Day

25 May 2017



• Over 15 years in online gaming sector with Sportingbet and GVC (since 2010)

• COO (2014-2016), Group Trading and Operations Director (2012-2014), Head of Sportsbook (2010-2012)

Agenda• Composition of sportsbook

• bwin turnaround

• Improvements to data and live events


Jim HumberstoneGroup Head of

Trading

GVC Gamin

52

Click to editScale and Composition of GVC Sportsbook

Sports 2014 2015 2016 2017 (to21 May)

Turnover €4.2bn €4.4bn €4.6bn €1.88bn

GGR €373m €372m €437m €183m

GGR% 8.9% 8.5% 9.6% 9.7%

Total GGR

Live Pre-match

GGR by Sport

Football Tennis

Basketball Rest

• Combined sportsbook wagers €4.6bn pro forma in 2016

• Gross win margin 9.6% vs 8.5% (2015)

• Live (in-play) 69% of GGR and growing

• Football 73% of GGR

• Tennis 15% and growing

Substantial sportsbook dominated by live and football53

Click to editTrading Review – bwin Turnaround

Live Sports Data

Only three sports used quality live data

All other live sports data inputted manually utilising low quality sources

Models

Issues with three major sports models

Poor quality live sports data (above) meant weaknesses in models were accentuated

Risk Management

Small number of trading staff were allowed to ‘factor’ customers

Serial losses from countries with no marketing

New deals with all the major live data suppliers

Commitment to use highest quality live data source for all sports

Addressed fundamental model weaknesses in 3 major sports

Models now use only integrated or manually inputted high quality data

Employed Sportingbet practices whereby all traders ‘factor’ after training

Closed all loss-making countries until prudent to re-open

Trading Tools No visibility of bets being struck Lack of real-time information Powerful ‘team trading’ tools hid

variety of issues

Released a new scroller Re-building trading tool

components to expose information

Resolved team trading flaws

Only three sports used quality live

What we found

New deals with all the major live

What we have done

Turnaround strategy has delivered improvements to risk management, trading tools and product54

Click to editTrading Review – bwin Gross Margin %

2014 2015 2016 2017 (to 21 May)

Football 10.1% 9.9% 12.2% 10.4%

Tennis 5.8% 5.1% 7.3% 7.6%

Basketball 4.9% 4.8% 5.8% 5.8%

Other Sports 8.3% 7.7% 9.1% 11.3%

Total 8.5% 8.1% 10.2% 9.6%

Singles 5.0% 4.1% 6.4% 6.3%

• Margin improvement across all sports in 2016 post acquisition

• Margin improvement without increase in overround

• Live margins less volatile and increasing proportion of whole

• Singles margin also improving

Sustainable margin improvement due to better risk management and product55

Click to editTrading Review – League Exposure (2016)

Ranking League/Event

1 Euro 2016

2= German Bundesliga

2= Spanish La Liga

4 Champions League

5 Europa League

6 English Premier League

7 Italian Serie A

8 Club Friendlies

9 Turkish Superleague

10 Brazilian Serie A

11 French Ligue 1

12 German Bundesliga 2

13 Portuguese Primera

14 Brazilian Serie B

15 Dutch Eredivisie

Ranking League/Event

1 Tennis Majors

2 ATP

3 WTA

4 ITF

5 ATP Challenger

League GGR

1 NBA

2 Euroleague

3 Germany BBL

4 Olympics 2016

5 Eurocup

Football Tennis

Basketball

International sportsbook with Germany and Spain key exposure56

Click to edit

Margin improved in absolute and relative terms

Trading Review – Gross Margin % Comparison

57

5%

6%

7%

8%

9%

10%

11%

Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017

Unibet Kambi bwin Sportingbet Betsson (after free bets)

• Marked improvement in bwin sports margin since acquisition Q1 2016

• Comparison with continental European sportsbooks

Q1 2016

GVC acquires bwin.party

Click to editTrading Review – Live Event Uplift

0

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Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017

Live

Eve

nts

bwin Live GGR vs. # of live events

• Increased number of live events driving GGR

• Continued expansion in live events

• Strong correlation between GGR and number of live events

• 10,000 streamed events in Q1 2017

GGRLive EventsLive Events Projected

GGRLive EventsLive Events Projected

Accelerating GGR partly driven by additional live events 58

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Trading – bwin Tennis Case Study

New Tennis model goes live

Official data usage begins

Integrated data

Better data driving improved margin

GVC acquires bwin.party

• New tennis model introduced in April 2016, just two months after the bwin.party acquisition

• Commenced use of official data (manually input) August 2016

• Automated data feeds integrated in February 2017

59

Click to editWhat’s to Come

• Greater automation in Customer Profiling using machine learning techniques

• Further expansion in trading content using best-in-breed data

• Increased expectancy in gross margin percentage through improved modelling, real time data and healthy customer database

• Richer product offering in ‘second tier’ sports – acquisition tool

• Further investment in trading talent

Significant upside through further enhancements60

Click to edit

61 61

Key Messages

GVC trading expertise fully embedded into bwin sportsbook

1

Better risk management, better tools, better data driving improved margin

2

Future enhancements to drive volume

3

Click to edit

Technology & Operations

Q&A

63

Sportsbook Marketing

Adam LewisGroup Head of

Sportsbook BrandsGVC Capital Markets Day

25 May 2017

64

Introduction


• Over 17 years in the online gaming sector

• Joined GVC as Sportingbet CMO in 2013

• On acquisition of bwin.party took responsibility for all Group sports brands

Agenda• Marketing structure

• bwin challenges

• Turnaround actions

• Results so far

• bwin brand strategy


Adam LewisGroup Head of

Sportsbook Brands

Introduction

65

Marketing – regional and central teams

DIGITAL MARKETING (ACQUISITION)

TV & ATLMARKETING

CUSTOMER ENGAGEMENT & OPERATIONS

CUSTOMER RELATIONSHIP MARKETING

WESTERNEUROPE

DACH

CEELATAM

CASINO MARKETING

BUSINESS INSIGHT

Marketing

Regional approach supporting by strong central teams65

66

Limited accountability for results

Limited marketing technology/tools

Limited player engagement

Limited focus on key player segments

Limited visibility

The challenge we faced

No vision or common objectives

Critical teams separated bylocation, culture & purpose,compounded by poor communications

The Challenge We Faced at bwin

Lack of focus on the key aspects that deliver growth66

67

Enable complete transparency of results and KPIs

Our immediate actions

Set clear and common short-term

objectives

Implemented a regional structure

and central expertise

Our Immediate Actions

Focus on the key areas to deliver growth

Introduced VIP management teams

Began engaging and relevant regional CRM

Established Casino cross sell

67

68

Bwin annual revenue

+16%

2013 2014 2015 2016

bwin Annual NGR

Rapid improvement from early actions

• Returned bwin to growth almost immediately post acquisition

• Improved gross win margin

• Improved cross-sell

• Prudent marketing spend

68

69

Acquisition momentum continues!

20.4%• Marketing

spend to NGR ratio vs 18.3% SPLY

+5%• Increase in

revenue per unique new player

+19%

32%• Play casino in

their first 4-months vs 26% SPLY

Acquisition Momentum Continues

Key Performance Indicators continuing to improve

• Increase in new players acquired

SPLY: same period last year

69

70

Acquisition momentum continues!

56%Digital

7%Search

5%Sponsorship

12%Affiliates

20%TV/ATL

Marketing

spend by channel

Marketing spend mix

• Digital largest channel for marketing spend

• TV and above the line continue to be important channels, particularly when building brand awareness and personality

• More difficult to measure sponsorship ROI but important component of broader brand strategy

ROI remains core to marketing strategy70

71

Marketing campaigns per month

2015 1571

2017 6943

-5%decrease in player churn

+12%increase in revenue

per player

+31%increase in player

deposits

+9%increase in

active players

Current performance: CRM YTD vs SPLYCurrent Performance YTD vs SPLY

Increasing player values across all criteria

• Marketing activity significantly increased in 2017

• Cost per acquisition increasing

• However, LTVs growing substantially

71

72

Growth in key player segments

+66%DIAMOND VIPS

+92%PLATINUM VIPS

+37%GOLD VIPS

+17%SILVER VIPS

Growth in Key Player Segments

Around 15,000 VIPs and growing72

73

• +31% Active Casino players

• +18% Cross sell from Sports to Casino

• +12% Revenue per active Casino player

Sportsbook CasinoJa

n-14

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CASINO NGR

Sportsbook Casino

11 million spins per day!

12

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2014 2015 2016 2017

2016 was good, 2017 is better!

+23%NGR

2016 Was Good, 2017 is Better

Increasing momentum in 201774

75

Brand - Sea of SamenessBrand - Sea of SamenessBrand – Sea of Sameness

75

76

Bwin brand strategy

“bwin is different to other brands, bwin understands

my betting motivations & is the brand for me”

“bwin has the latest products, features & competitive odds”

“I will go to bwin,register & place

a bet now”

HEART

Differentiate from competition and connect emotionally with people

& drive affinity

HEAD

Reassure rationally & show bwin is competitive in a commoditized category

HAND

Make conversion quick and easy

CONSUMER OUTTAKE

bwin Brand Strategy

Research is critical76

77

2017 2018Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun

BRAND RESPONSE Brand responseChapter 1The race

Brand responseChapter 2WC1

Brand response

DIRECT RESPONSE Direct ResponseThe race& Odds Offers

Direct Response The race& Odds Offers

Direct Response The race& Odds Offers

Direct Response Chapter 2& Odds Offers



+100-100Net Promoter Score

How likely is it that you would recommend bwin to a friend?

bwin Campaign Plan

Everything can and should be measured77

78

2017 H2 Campaign

79

This is just the start…Key Messages

We have a proven talented teaminvesting in key marketing expertise

with scalable structure

1

We have effective acquisition more players and more revenue per

player

2

We have increased player value more revenue from existing player base

3

Our mission:To make bwin the most engaging,

fulfilling and exciting gambling brand on the planet!

4

Click to edit

Casino BrandsJon Salmon

Group Head of Casino Brands


Click to edit

GVC Gaming BrandsKey experienceOver 17 years in online gaming sector with:

• InterCasino

• PartyGaming

• GVC (since 2009)

Over 35 years marketing experience with:• Argos

• Associated British Foods

• Ladbrokes

• Heinz

Agenda• Core brands

• Casino market overview

• What we found

• Actions taken


Introduction

GVC Gamin

Jon SalmonGroup Head of Casino Brands

81

Click to edit

• Key markets: UK, Northern Continental Europe, Canada, New Jersey and ROW

• Key market: Italy

• Key markets: Northern and Central Continental Europe

Key stats• In Q1 17, core casino brands generated 12% of NGR

• 135 staff in Tel Aviv, Gibraltar, Rome and London

Core Casino Brands

12%

% of Group NGR Q1 2017

Casino Brands

82

Strong brands, in diversified markets82

Click to edit

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15,000

Online Casino GGR (€m)*

Sports55%

Casino29%

Poker7%

Bingo 4%

Skill5%

2016E Global online gaming by product*

Online Casino Market

*H2 Gambling Capital, March 2017

A growing but highly competitive market83

• Global online market estimated at €10.5bn GGR in 2016*

• Growth forecast >GDP• Dependable growth, with less volatility than

sportsbook

But…• Industry player churn levels high, competition

huge and aggressive• Marketing and retention costs high• Games commoditised and promotions the same

GVC approach…• Deliver competitive product• Best-in-class service• ROI driven marketing and retention• Strong brand identity

Click to editCasino Club

• Established 2001 targeting DACH, based in Tel Aviv

• The original GVC business

• Top 3 pure casino brand in the region by revenue

• Niche casino positioned as a club for high rollers who love table games >40 year old, male.

• Market leading bespoke high roller care with magazine, monthly events and account managers

• High degree of loyalty to brand, minimising promotional cost

• Cutting edge CRM – uses segmentation to increase ROI from promotions

• Software platform purchased from IGT, and bwin Games will be integrated, trebling Game catalogue

• NGR continuing to grow

2001-200318%

2004-200624%

2007-200911%

2010-201214%

2013-201518%

2016-201715%

NGR Distribution

67% of NGR from customers playing for 5+ years

A solid and growing business with strong core of loyal customers84

Click to edit

Not operated as a pure casino but as an adjunct to partypoker

No dedicated team Starved of development resources Customer acquisition ceased in 2015 High brand recognition but low trust Poor product and service

Decoupled from partypoker New dedicated team 12 month product and service improvement

programme New games launched, tired promotions

stopped VIP team recruited to account manage high

rollers

What we found What we’ve done

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Post-aquisition deposits

partycasino

A reinvigorated brand benefitting from renewed management focus85

partycasino

Click to edit

• The roadmap• Improve marketing tools to raise ARPU• Re-position the brand as a destination for affluent 25-40 year olds, >€500 deposit per month• Re-style logo and website, change tone of voice, give choice of promotions• Focus on UK and Canada• Use TV advertising in a different approach to competitors, where players compete for a casino

party• Objective to achieve 10% YoY growth and return brand to market dominance

partycasino

Legacy New

Bold new positioning for brand with focused approach 86

Click to editGioco Digitale

A neglected, under invested brand A lack of identity Poor slots product Poor CRM tools

Refreshed team Re-position as an entertaining soft gaming

brand Focus on casino and cross-sell from bingo

and sport Integration of third-party slots commenced New CRM tools New TV marketing push

What we found What we’ve done

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Pre-acquisition deposits

Growth accelerating following brand repositioning87

Click to edit

Well-established portfolio of brands

1

Decline in bwin.party casino brands halted and now stabilised

2

Clear road map back to growth being implemented with early positive results

3

Key messages

88

Click to edit89

Bingo BrandsAdele Lawton

Group Head of BingoGVC Capital Markets Day

25 May 2017

Click to edit

90

Introduction

GVC Gaming BrandsKey experienceOver 18 years in gambling industry experience in senior management roles, including 8 years in retail and 10 years in digital.

B2B and B2C experience across start-ups and large corporates, including:

• Playtech

• SkyBet

• Bet365

• Gala Coral

• Gamesys

• Betfred

Agenda• UK Bingo market

• Core brands

• Challenges

• Actions taken

Adele LawtonGroup Head of Bingo

Click to editUK Bingo Market

UK Online Bingo Market

UK a vibrant but highly competitive market 91

Click to edit

Premium brand for Cashcade established in 2005 and one of the leading Bingo brands in the UK.

67% of NGR

Foxy Casino launched in 2015 to target new audience utilising Foxy brand equity.

12% of NGR

13 bingo white labels on Cashcade known as the Bingo Network with Cheeky & Think the top performing brands.

21% of NGR

Cashcade Brands

Home to one of the UK’s most recognised brands92

Click to edit

Business runs on Dragonfish platform via 888, only part of GVC not using own

technology

Business on declining trend due to

weaknesses in bingo ecosystem

Excessive Bonuses 122% average in 2016 on Bingo, 50% overall

TV regulation changes for Bingo from Feb

2016 SOF checks impacting

VIP players

Research indicated Foxy brand did not

resonate with Casino audience

Bingo White Label brands running on

individual sites so not managed for a long

time

Cashcade Challenges

A challenged business in need of a fresh approach93

Click to edit

Fixed Bingo ecosystem by overhauling game

schedules and removing bonus abusers from the

system

Terminated TV Sponsorship of Jeremy

Kyle show due to diminishing returns and

negative brand sentiment

Exploring platform options to improve product offering to

enable growth in Bingo

Launched project to overhaul all white label Bingo brands to run on

same site infrastructure to ensure efficient

management

Foxy Rebrand launched in March 2017 with

Heather Graham as face of brand

Cashcade Improvements

Terminated Bingo affiliate platform and launched new Casino

programme

Renewed management has reinvigorated Foxy. Turnaround plan under way94

Click to editNew Foxy Campaign

95

Click to edit

• NGR 15% behind last year and linked to 61% saving on marketing spend

• Overall business more profitable with contribution 210% ahead of last Year and Clean EBITDA by 259%

• Strategically budgeted majority of Marketing spend from September onwards to grow NGR

Q1 Year on Year Comparison

NGR Marketing Contribution EBITDA

2016

2017

-15%

-61%

+210%+259%

Business stabilised and prepared for growth on expanded marketing plan in H296


Bingo business in decline when GVC purchased business

2017 – consolidation year as we fix business foundations

2

2018 – return business to top line growth

3

1

97

Click to edit

partypokerTom Waters

Group Head of partypoker



99


• Over 12 years experience in the online gaming industry

• ACA qualified

• 5 years experience of gaming at BDO LLP

• 7 years at GVC/bwin.party across bingo, casino and poker

Agenda

• Accelerating growth rates

• Weakening competition

• Product and customer service investment

• Localised market approach

• Working closely with the poker community

Tom WatersGroup Head of

partypoker

GVC Gamin

Click to edit

Stabilised global poker market represents opportunity for challenger brand

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*Source: H2GC

• Global online poker market estimated at €2.4bn GGR in 2016*• Market CAGR -1% since 2006• Structural earthquakes

• 2006 UIGEA• 2011 Black Friday

• Three global competitors• Largest operator >60% market share• partypoker 2nd/3rd depending on data

However…• Market stabilised• Players want choices• Opportunity to reinvigorate the once largest brand in online gaming

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Online poker market

Click to editWhat we found

Under invested business Lack of product development Poor customer service levels Weak ecology Lack of focus Disillusioned management

Challenges

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Historical NGR and Customer Player Days (CPDs)

Historical Performance

partypoker suffered long term decline with lack of product development and management focus101

Click to editWhat we’ve done

Changed management and new dedicated team Increased investment First product development in three years Localised market focus Removed withdrawal fees Created and expanded Power Series & Powerfest partypoker Live

Actions

17%

19%

11%

Other53%

2017 Q1 Daily average CPDS

8%

12%

15%Other65%

FY 2012 Daily average CPDS

-35%-25%-15%

-5%5%

15%25%

35%

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NGR Y-on-Y

Acquisition of bwin.party1 Feb ‘16

Primary markets

Brand reinvigorated through investment in product development, new market positioning and greater focus on key markets102

Click to editThe future

103

But we’ve only just begun…

Click to editProduct refreshNew loyalty scheme Refreshed lobby

Table design refresh

Mobile developments

Refreshed lobby

Product redesigned with customer experience focused design104

Click to editpartypokerMobile side games New mobile user screen

Optimised touch ID flow New mobile filters and sort

Brand reinvigorated through investment in product development, new market positioning and greater focus on key markets105

Click to editpartypoker live – the story so far

106


Reinvigorating one of the world’s most iconic online gaming brands

Significant turnaround already achieved

2

This is just the beginning – there is much more to come

3

1

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Click to edit108

BrandsQ&A


Technology – a unique and powerful platform with substantial upside from

further optimisation

Brands – highly valuable portfolio of global gaming brands being

reinvigorated

Talent – one of the most experienced and successful teams in the industry

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Click to edit

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