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Edited Transcript of GVC.L earnings conference call or presentation 15-Aug-19 8:30am GMT

Half Year 2019 GVC Holdings PLC Earnings Call

DOUGLAS Aug 20, 2019 (Thomson StreetEvents) -- Edited Transcript of GVC Holdings PLC earnings conference call or presentation Thursday, August 15, 2019 at 8:30:00am GMT

TEXT version of Transcript

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Corporate Participants

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* Kenneth Jack Alexander

GVC Holdings PLC - CEO & Executive Director

* Rob Wood

GVC Holdings PLC - CFO

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Conference Call Participants

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* Edward Young

Morgan Stanley, Research Division - Equity Analyst

* Gavin Kelleher

Goodbody Stockbrokers, Research Division - Investment Analyst

* Michael Mitchell

Davy, Research Division - Gaming and Leisure Analyst

* Monique Pollard

Citigroup Inc, Research Division - VP

* Richard Paul Stuber

Numis Securities Limited, Research Division - Analyst

* Simon John Davies

Deutsche Bank AG, Research Division - Head of UK Midcap & Online Gaming Research

* Stuart John Gordon

Joh. Berenberg, Gossler & Co. KG, Research Division - Senior Analyst and Head of Business Services, Leisure & Transport,

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Presentation

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Operator [1]

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(technical difficulty)

[GVC] half year results call. (Operator Instructions) I now hand the floor to our speakers. Please begin your meeting.

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Kenneth Jack Alexander, GVC Holdings PLC - CEO & Executive Director [2]

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Hi there. It's Kenny here and Rob Wood. So going through the 2019 interim results, I'll do the introduction. Rob can do the financial review. I'll do an operational update, Slide to end it, and then we'll go on to Q&A.

So in terms of the overview, we've had a very, very strong start to the year. We've managed to gain market share in all of our major territories, grown our digital revenues by 17%, 18% in constant currency. Our group pro forma EBITDA is 11% ahead after adjusting for Triennial Review and incremental taxes, and our full year numbers are currently ahead of expectations. And I'll let Rob go through all the detail with you. Our U.S. aspirations are on plan, and we will have a full launch with a new digital platform in New Jersey and cranked up the marketing spend for the start of the NFL season. As we've communicated before, the integrations are progressing well. The U.K. Online platform migrations have commenced. We've declared a dividend of 17.6%, (sic) [17.6p] which is 10% year-on-year. And current trading, as we stand, continues to motor along.

So I'll pass you on to Rob to do the finance slides.

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Rob Wood, GVC Holdings PLC - CFO [3]

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Thanks, Kenny. Good morning, everyone. So I'll be taking you through highlights of our H1 financials, which show really pleasing underlying growth, particularly in Online, and then I'll end with our review of guidance for 2019 and beyond, which you'll see is either in line with previous updates or, in many cases, it's ahead.

Let's start with the group P&L on Slide 6. To give a quick orientation of this slide, the left-hand side of the main table shows numbers on a reported basis and the right-hand side, pro formas of the prior years as if GVC had owned Ladbrokes Coral throughout both years. The orange columns give 2019 figures after fully adopting IFRS 16, and then the columns to their right are on a pre-IFRS 16 basis. And I'll focus my comments on pro forma pre-IFRS 16 numbers as they'll be the most familiar to you, and the text on the right-hand side pulls out the key points.

So starting at the top, group NGR was up 5% in H1, and within that, Online NGR was up a really strong 17% or 18% on a constant currency basis, leading to market share gains in all of our key Online businesses again. European Retail also grew nicely at 7% whereas U.K. Retail is, of course, now in material decline until next April, following the Triennial Review implementation on the 1st of April this year. Pleasingly, the scale of the decline in U.K. Retail is ahead of expectations at minus 10% like-for-like for the half, and I'll talk more about each of these divisions in the slides to come.

Group EBITDA for the half came in at GBP 323 million, which is down 7% year-on-year due to those well-signposted headwinds of Triennial Review and incremental taxes. And then importantly, after adjusting for those headwinds, EBITDA for the group grew 11% in the half, and we'll take a closer look at EBITDA on the next slide.

Lastly, still on Slide 6, it's worth mentioning that net debt is a little over GBP 1.9 billion or 2.6 -- 2.65x EBITDA, which is just the right side of our expectations. And we've today confirmed, as Kenny mentioned, that the interim dividend will be 17.6p, which delivers the 10% growth as signaled earlier this year.

The next slide, Slide 7, illustrates the shape of our EBITDA movement for the half year. Starting on the left-hand side by rebasing 2018 H1 for the new tax rates that you know about in the U.K., Italy and Australia, it then splits the decline in U.K. Retail between an estimate for the Triennial Review impact and underlying, which helps to visually show the scale of the Triennial impact on our H1 numbers. That does at least equate to an upgrade versus previous guidance, and I'll come on to that positive news shortly. In the middle of the page, you can see Online continues to be our growth engine, adding GBP 43 million of underlying EBITDA in the half, which equates to very strong underlying growth of around 22% year-on-year.

The positive block at the end of the page, the GBP 43.4 million, that just bridges EBITDA between pre IFRS 16 and post-IFRS 16. For those wanting more background on IFRS 16 and its impact, there's got a handy crib sheet in the appendix to this presentation, and we also posted some materials on our website on the 17th of July.

The next 3 slides now take a closer look at each division, starting with Online, which now represents well over 70% of the group's EBITDA. So most importantly, as you can see in the top right, we've knocked it out the park again with Online NGR growth at 18% constant currency or around 14% pro forma for Crystalbet and Neds. And as a reminder, that 18% in H1 is off the back of 22% constant currency growth in 2018, so continued very strong momentum.

As the comments show, U.K. NGR was up 13%; Germany, up 23%; Australia, up 28% pro forma; Italy, up 15%. Also, Brazil was up 52%, and partypoker, up 16%. So we've again delivered market share gains in all our key Online territories. And as you can see, we've achieved that with a contribution margin that's in line with guidance at 40%, and it should stay there for the second half of the year as well.

On the face of it, operating costs look odd at plus 17% for the half. So we've pulled out the main drivers in the comments. As you can see, 7 percentage points relate to the acquisitions of Crystalbet and Neds, and 6 percentage points is just phasing on bonus accruals, which will unwind as the year progresses. So that leaves 4% of underlying OpEx inflation. And within that 4%, the main area of above-inflation investment is RG, responsible gaming, activity. Over the second half of the year, we do expect OpEx inflation to be much lower at around 1%, given the acquisitions annualize and the bonus phasing unwinds. So across the full year, that therefore works out at roundabout 9% OpEx inflation or 5% without the acquisitions.

Lastly, Online EBITDA for the half is GBP 236 million pre IFRS 16, which is up 12% year-on-year and, as I mentioned, up 22%, excluding those tax hits. And our effective operating model that we discussed at length at the Capital Markets Day means we're well placed for sustained future growth as well.

On to U.K. Retail now on Slide 9, where the headline event in H1 has obviously been the new Triennial Review measures. The impact, of course, has been hugely negative on the business, but we are at least very pleased with our implementation strategies. And the financial impact, thus far, is the right side of expectation. As a reminder, on our Capital Markets Day, we felt confident enough to improve the EBITDA guidance for Retail by GBP 15 million from next year onwards. And we're now nudging that up by GBP 10 million across all years starting this year. So our forecast suggest 2019 will be around GBP 10 million better, and then 2020 onwards, around GBP 25 million better than our original Triennial guidance.

Where's the outperformance come from? Well, it's a mixture of a bit of both substitution into sports and also a slightly less severe impact on the machines themselves. So on those 2 points. Firstly, as you can see in the commentary, like-for-like sports stakes were up 4% for the half. And actually, if you just look at Q2 since Triennial, that's up 8%. 8% is around, say, 10 points stronger than the long-term trends for Retail. And that growth has been supported actually by both underlying SSBT growth as well as Triennial substitution. And then secondly, like-for-like machines NGR, down 39% for Q2, which is marginally ahead of our expectations. So both of those 2 drivers delivering the outperformance in Retail.

The last point I'll make on U.K. Retail is covered in the text box at the bottom. Once the Triennial impact is all washed through, we think we'll be left with a Retail estate which has taken market share and is generating free cash flow somewhere around the GBP 100 million mark for the -- per annum. And for interest, that represents around a 14% return on capital if you measure it against the implied valuation that GVC paid for the business. So that's well above our weighted average cost of capital, and that's before you include the obvious benefits to Online through customer sign-ups, brand recognition, et cetera. So it's a business that we're certainly very pleased with.

Moving on to European Retail on Slide 10. That continues to grow nicely for us. And each of Italy, Belgium and Republic of Ireland posted NGR growth again in H1. As the highlight show, NGR was up 8% constant currency despite margin being down year-on-year. No complaints on margin though this year. It was just a particularly strong comparative last year. Contribution is down in this division year-on-year primarily due to Eurobet in Italy, where marketing costs in H1 were higher in the run-up to the new advertising restrictions, and also the unfavorable margin movement creates a hit on franchisee revenue shares and then, of course, the tax rates have gone up in Italy as well. But of those 3 drivers, only the tax rate is a sustained impact going forward. So all in all, underlying EBITDA is up a healthy 5% for the half in our European Retail division.

Okay. The next few slides take a closer look at our P&L, below EBITDA, our cash flow and our debt position. Firstly, statutory P&L. And the key message here is that all of the main numbers below EBITDA are in line with where we said they would be when guiding earlier this year, so finance costs pre IFRS 16 at GBP 40 million or D&A pre IFRS 16 at GBP 75 million, U.S. JV loss of GBP 3 million and effective tax rate at 12.2% (sic) [12.4%]. All those numbers are in line with or slightly the right side of previous guidance. Otherwise, amortization of acquired intangibles carries on at these elevated levels until it starts to tail off from 2021. And the movement in fair value of contingent consideration, that just represents a discount unwind and no more. The other number there, GBP 34 million of other separately disclosed items, that's broken out on the following slide.

So let's turn there now. Slide 12. As you can see, the main driver of those costs are integration costs. They've reached GBP 20 million year-to-date on a P&L basis or GBP 26 million on a cash basis, and we're on track to hit the full year guidance number of GBP 39 million for the year. Triennial redundancy costs were GBP 3 million in H1, but no change needed for a full year guidance of GBP 10 million to GBP 20 million as further closures are planned for later in this year. Lastly, the other row is noncash and partly relates to U.K. Retail shop closures.

Let's move on now to Slide 13, cash flow. Two key points I'd like to make here. Firstly, we generated decent operating cash flow in the half of GBP 176 million. And then secondly, the lumpy items on the slide that you can see here are all in line with guidance. So CapEx, interest, Greek tax, Playtech settlement, integration costs. These numbers are all in line with our guidance.

Just perhaps one exception to give an explanation for on working capital, we are still targeting 0 for the year. At the half year point though, it's adverse by GBP 15 million, but that's more than driven by the timing of staff bonuses, where you pay out a full bonus in the first half of the year on a cash basis, but naturally, you've only accrued half of a bonus by the time you get to 30th of June. So that'll unwind over the second half of the year. So in conclusion, we're in control of our cash flow, and we're pleased with the cash flow generation in H1.

Lastly, before I finish with some guidance, a quick look at our debt position, and you can see gross debt is just over GBP 2.2 billion. As a reminder, the first material refinancing of that debt is 2023. The interest cost is around 4%. And as you can see on the right-hand side, we're sitting on accessible cash of GBP 267 million at 30th of June. As I mentioned earlier, the leverage ratio is 2.65x. And whilst it will rise to around 2.9x at year-end, that's an improvement on the 3.0 guidance we gave earlier this year. And we, of course, remain confident of deleveraging by at least 0.5 turn per annum from there onwards driven by EBITDA growth and decreasing cash exceptionals over the coming years.

One other update on the debt front, because of the currency mix of our cash earnings has now changed, following the Triennial Review, i.e., we have less income in sterling, we've implemented some minor changes to the debt stack to reweight the currency mix, including some currency swaps and also extending the RCF by GBP 100 million and then drawing against it in euros to repay GBP 100 million of sterling debt. The net effect of all that is no impact on net debt, but we have a rebalanced currency mix and we also gain to the tune of around GBP 5 million per annum on interest savings. So a good move all around.

Lastly, let's look at our guidance, starting with 2019 on Slide 15. The headline for 2019 is that we're materially either in line with previous guidance or we're ahead. The orange text here denotes updates to guidance. So I'll focus my comments on those, but obviously, happy to field any questions during Q&A.

So firstly, coming down the left-hand side, I touched on it earlier. And we're guiding to Online OpEx inflation of 8% for the year, and that's around 5% once you strip out the acquisitions. No change to our U.S. guidance, and Kenny will talk shortly about how we're prepped and ready to go for the start of the NFL season. Interim dividend. We've confirmed a 10% growth, and that represents the start of our new progressive policy of double-digit dividend growth for the foreseeable future.

Cash items on the right-hand side. We're flagging a need for GBP 10 million of new exceptionals, which may not have been in your numbers, primarily to cover the recent Gambling Commission settlement. On the plus side, we're forecasting a net cash inflow of around GBP 43 million from M&A activity this year, and that's made up of net proceeds from the Sportium disposal, which we announced a few weeks ago, less some earn-out payments on past acquisitions of around GBP 20 million. The Sportium proceeds are conditional in securing regulatory clearance, but we expect that to happen comfortably before year-end. Leverage ratio, thanks primarily to the improved EBITDA. We now expect to hit 2.9x at year-end on a pre-IFRS 16 basis. And so that's a notch better than the 3.0 forecast earlier in the year, as I mentioned earlier. And lastly, perhaps most importantly, EBITDA guidance. We're now providing a range for the year at GBP 650 million to GBP 670 million, and that represents around a 5% upgrade versus expection -- versus expectations at the start of this year.

Last slide for me now, Slide 16, guidance for 2020 and beyond. Update's in orange as before. Firstly, Triennial, I touched on it earlier, we're able to upgrade our outlook for U.K. Retail beyond the GBP 15 million announced on Capital Markets Day, and we're now adding a further GBP 10 million each year.

Some recent updates on long-term tax positions to share. Firstly, VAT on FOBTs, this is the case that's being led by Betfred and Rank, which dispute VAT paid on gaming machines from 2005 to 2013 when MGD came in to replace that. And after losing the First-tier Tribunal, HMRC were granted permission to appeal. And the decision to the -- for the Upper Tribunal, we now believe, will be heard during January 2020. So Upper Tribunal appeal to be heard January 2020. As with all these things and -- the next level could go up to the Court of Appeal. If HMRC are unsuccessful though in the January 2020 hearing, GVC would benefit from a refund of somewhere around the GBP 200 million mark. So that's a material positive development for us.

Partially offsetting that in Q2, we received an assessment from the Austrian authorities for unpaid betting and gaming taxes dating back to 2011, which have been disputed through Austrian court since 2012. Given the assessment, we now expect resolution in the not-too-distant future. The potential liability, if we lose, has always been provided for in the balance sheet. So there's no P&L exposure at all. But obviously, there would be a cash hit, if the case is lost.

So based on these latest developments, we now expect resolution on these 2 long-standing cases to occur during 2020, where there's no P&L exposure but there is a net cash opportunity to us. Just to be clear, rather than Greek tax, where there's no change, which we spoke about in March, there are no other material tax cases across the group.

Lastly, at the bottom, it's worth us reiterating our longer-term guidance from previous updates, which remain just as valid today. So we continuing to expect sustained double-digit Online NGR growth as we leverage our operating model and benefit from best of both revenue synergies. And we talked a lot around those things at the Capital Markets Day in May. Our Online EBITDA margin does step backwards in 2019, as we know, because of those additional taxes, but then we expect it to grow towards 30% over time. Cash conversion. By the time we get to the end of the Ladbrokes Coral integration, we should be converting around 1/3 of our EBITDA into bottom line cash, so after dividends, et cetera. Which should equate to several hundred million pounds by the time we get to that stage. And it's exactly because of that excellent cash generation that we've been happy to commit to double-digit dividend growth and deleveraging by at least 0.5 turn per annum.

So in summary from me, GVC has delivered another really strong half on Online NGR growth. Taking market share in all our key territories. We're able to upgrade our EBITDA outlook for the year and reiterate or strengthen all our key areas of guidance.

On that note, I'll hand back to Kenny.

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Kenneth Jack Alexander, GVC Holdings PLC - CEO & Executive Director [4]

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Cheers. So in terms of the half one overview, the key enablers, we went through all this at the Capital Markets Day. So in terms of the Online NGR growth, we're grabbing market share in all of our main territories: U.K., up 13%; Germany was up 23%; Australia was up 28%. That's pro forma. So that's like-for-like, including the Neds; Italy was up 15%; partypoker was up 16% in the first half year. These are all in constant currency; and Brazil was up 52%. So these are all our sort of key battlegrounds. And Rob stole one of my phrases. Was it kick it out of the park?

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Rob Wood, GVC Holdings PLC - CFO [5]

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Knock it out of the park.

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Kenneth Jack Alexander, GVC Holdings PLC - CEO & Executive Director [6]

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Knock it out of the park. So I'll agree with that, yes. We have knocked out the park in all of our main battlegrounds, and yes, we had a very good start to the year, which has helped us to see -- we're ahead of expectations.

We go on to Slide '19. Let's look at the U.K. as an example. As I say, we've outperformed in all our territories. The U.K., it's a bit more easier in terms of comparisons, more listed competitors. We've shown Ladbrokes Coral, sports-led brands where our growth is, you can probably guess who #1, #2 and #3 are. So the bar charts says it all. The gaming-led brands in the U.K., essentially Gala, Foxy Bingo, a bit of party -- a bit of partypoker in there, 16% growth, and in terms of competitor 5, They were declining so -- the numbers stay all in terms of the U.K. And this is the same in all of our main territories that we're growing faster than our competitors.

So on to Slide 20. In terms of the operational Online highlights, there is a lot going on. And the fact that we control our own tech stack, we control our own people, we have a hell of a lot people in IT, they're in a very cost-effective locations, particularly in India, mean that we're able to do a lot and move a lot quicker, we feel, than any of our competitors.

In terms of some of the highlights. In terms of the U.K., Ladbrokes business, which is now growing very strongly and benefiting from real-time CRM. Germany is motoring away. Just launched a successful This is our camp -- Game campaign, [we're in] the start of the Bundesliga and more tailored CRM. Australia, we're moving the Ladbrokes business onto the Neds platform. Why? Because the Neds platform is better. Ultimately, we aim to get everything onto the GVC bwin technology, whatever you want to call it. But for the time being, we're putting the Ladbrokes business onto Neds platform, which will stimulate further growth, we think and we expect, and also there's some synergies there. Italy is seeing good momentum, ahead of the advertising restrictions. And all the GVC gaming platforms are now integrated with Eurobet, and Eurobet, bwin and Gioco Digitale all under single management. And partypoker, we've done quite a lot. We've launched some poker training software. We've expanded -- we've improved our cash games, and that business continue to grab some market share in the poker market.

Turn to Slide 21. In terms of product development, as we've said many times, and we did a big piece on it in the Capital Markets. It's one of our key enablers. Pipeline is as strong as ever. We did the Ladbrokes Coral deal 1 year ago. We have managed to maintain, if not accelerate, the launch of product development, not just in terms of Ladbrokes Coral business but all the lad -- the GVC business. And with the platform migrations, when we eventually get them over and done with, which are imminent, we will be able to deploy on one site and move it over on to all the sites, which are on that one platform, which gives us, again, a big, big competitive advantage.

In terms of some of our highlights. In terms of product development, we've got new best -- bwin desktop sports platform. We've -- in sports, we've increased dollar bets in play markets across all of our brands. Gaming, we did the launch -- we did the deal with Playtech, and we've managed to launch quite a lot of Playtech content over the GVC labels. And we've also launched a number of our in-house and third-party games into the pipeline for the Gala and the localized -- live casino offerings. So there's a lot of stuff going on and new product development running as well as the parallel with the migrations, which are progressing well, which I'll come on to.

In terms of Slide 22. As Rob has spoke about U.K. Retail, it's performed very, very well. This business will generate about GBP 100 million of cash once everything sort of flows through from the Triennial review. So also very much a digital business, sort of over 85%, 86% of our group EBITDA will be from digital. This will still contribute about 14% and generate GBP 100 million of cash. So it's still a valuable asset and also contributes to the digital growth. And whilst I've talked often on people, I think our digital teams are the best in industry. I think our Retail team that manage our retailers stay -- as shown in the last 12 months that we are the leader in the U.K., and they have managed that Triennial Review and all the restructuring around it exceptionally well.

In terms of the closure of shops, we're still expecting to close about 900 shops over the next 2 years, slightly less than I've said before, but still a significant amount of shops will be closing. We rolled out a new SSBT cabinet, increasing density by -- has commenced and is increasing density 30%. And as you said, the 14% return on capital suggests this was -- this is an asset, a valuable asset acquired at the right price.

In terms of Slide 23, the U.S. We're on track for full U.S. launch in September. We have offices now in New Jersey with a lot of people, all the senior team recruited. The digital platform -- the GVC platform will be launched. In terms of the NFL season, that's really when we really do kick-start our U.S. plans. It's on track. We're always pushing for the start of the NFL season to have the product launched and for the marketing spend to be ready to really start to spend significant sums. And that is all online. So the new NFL starts in September. We will have the digital platform. We'll have the marketing campaigns rolled out. We'll have significant investment. And by the end of the NFL season, we should be seeing a significant uptick on our volumes that we're generating in the U.S. and gaining market share and growing as fast as anybody else in the same ways we do in all other territories worldwide.

Slide 24, integration update. Shay did this today -- at the Capital Markets Day. It's continuing very, very well. The Ladbrokes Coral integration's performing as planned. We reiterate the synergies. And at the end of 2020, we should expect it to be GBP 72 million of cost synergies and GBP 25 million of CapEx synergies. The U.K. digital brands will start at the second half of this year. The games content integration with GVC and Ladbrokes Coral brands have started, and we are delivering the synergies, are coming through as we have previously communicated. So in terms of the risks associated with integration, all the integrations we've done so far around Ladbrokes Coral have gone very well, almost better than we could ever have expected. We have a great deal of experience. We did it at bwin. We did it, on a lesser extent, of course, with Sportingbet, and everything suggests that this integration is going to go as well as the bwin integration went. And obviously, once we do the integrations and move on to our platform, that should further accelerate growth as well.

In terms of the regulatory update. I'll just cut to the chase. Let's go for the one that I'm sure everybody's the keenest to know about. Let's do Germany. We are waiting for clarity on the Hesse sports-betting license conditions. There's a realistic possibility that this will run out till 2021. But we are confident. We are as confident as we were at the Capital Markets Day, if not a little bit more confident that we will continue to be able to offer gaming in Germany. There's a Q&A session in Hesse this week that we got more clarity about bet in play markets, where they have said they're going to listen to the industry. We expect at least 80% of our betting in play markets to be a bit still operational. There's been a lot of noise around spend limits, and it was communicated that they will relax them for what they consider to be responsible operators. And of course, we will expect to be considered as responsible operators. So bet in play and spend limits is good news. Gaming is uncertain, but we still remain very confident that we will still be offer -- be able to offer gaming in 2020. And we are very confident in 2021 with a new licensing regime, the new treaty that gaming will be fully licensed.

In terms of some of the other ones: Austria, Rob did all the tax; Netherlands, we got a fine, 0 impact in our opinion towards us getting a license, which is on course for 2021; United States, so the U.S., I should say, 18 states are now passed, of which 10 are live. I've already talked about the U.S.; Italy, advising -- advertising restrictions came into force on the 15th of July. We still expect to do some amount of advertising; and as I say, the Italian business is performing well; Brazil, sports betting expected to regulate by the end of 2020. I put some note of caution there, I've said this a few times, and [there's] only something happens over in Brazil that disrupts that. But that's the current plan. And obviously, our Brazilian business is performing very well. So we look forward to proper regulation and further accelerate that growth; then the U.K., Rob's already covered off the VAT claim around the FOBTs, the B2 stakes. The U.K. Gambling Commission, obviously, launched consultation on credit cards, and also there's been a big sort of push on responsible gaming. And I'll come on to that in the next couple of slides.

In terms of safer gambling and ESG, I think one of the biggest changes in GVC in the last 12 months and in the Ladbrokes Coral business, we've consciously embedded a responsibility regarding our trust approach into the fabric of our business. That's not only in the way at our relationship with our workforce, which I'll come on to. Mostly, we seek to contribute back to the communities in which we operate. And also -- and this is very important. I'll come more onto this another slide in which we ensure that all our customers enjoy our products and, most importantly, enjoy our products in a safe environment. And we look after those most vulnerable customers and identify them and look after them much, much better than we've done in the past, which in the last 12 months, we've -- we have and the rest of the industry has made giant strides.

Our ambition is very clear to be the world's safest and most trusted gambling operator. I think we are there already, and we intend to stay there. In terms of some of the highlights, I mentioned that a lot -- there's been a massive amount of work done in terms of HR, in terms of being a responsible employer. It's our second year of 3-year Diversity and Inclusion plan, and we've rolled out a pretty comprehensive women-in-leadership program for which I'm the ambassador of and which we take very, very seriously. In terms of communities and the markets, we have a new 3-year partnership with children in cancer, (sic) [Children with Cancer] which we dedicated our shirt sponsorships to. And we continue our work with SportsAid, which we announced last year, and we're continuing that and take that very seriously.

So that's -- so the next slide, Slide 27, probably the most important part of our responsibility. First approach is around safer gambling. I think it's clear to say this is an area of huge political and regulatory news flow. It's probably one of the biggest challenges the industry in the U.K. faces, and probably not just in the U.K. but in the wider -- in Europe and it will be in the U.S. I think it's fair to say we have led the charge, GVC, in terms of improving in the area of safer gambling and working with the rest of the industry to make significant changes to protect players and change them -- the image of the industry. And I think we have made good strides in the last 12 months.

Earlier this year, we launched our Changing for the Bettor strategy to understand problem gaming and create a much safer environment for our customers, and we've continued to build on that. Some of our -- some of the highlights around safer gambling is we led the charge on the industry collaboration or in the tenfold increases in research and education funding, which I think has been very well received. We led the charge in the unilateral end to U.K. football shirts but -- perimeter -- shirt sponsorship and perimeter marketing. As already said, we donated all of our assets to children in cancer (sic) Children with Cancer .

And we have continued to roll out safer gamblings and markers of harm behavior trackers. And I think GVC and the other major operators have made giant strides around the area of problem gambling and made -- and the customers now are much safer playing within GVC than they [were in] the 12 and 18 months. But there's much, much more work that we can do. We are 100% committed to it. I think it's probably one of the highest, if not the highest priority within GVC. We've got very good relationship with the U.K. Gambling Commission and the regulators. And I think with the continued advance in technological advances, I think we're going to be able to do a lot, lot more in terms of measures of harm and looking after customers much better than we have done in the past. And I'm pretty optimistic that the image of the industry is going to improve dramatically. It has improved. There's a long, long way to go. Some of the recent incidents that we've seen, particularly around the 32 and Wayne Rooney, I don't think helps us. But I think we're on the right path, and I can guarantee you that GVC will lead the charge in terms of problem gambling and making the -- our sites safer for customers and working with the rest of industry.

So to come to the grand finale, in summary, we've got a highly effective online operating model. We've got a lot of technology, great products, great brands, cutting-edge marketing, local marketing expertise. And as I've said many, many times before, these are just words, words are cheap. Just look at the numbers and look at not just what we do in the U.K. or in Germany or in poker. We've done it in all the markets we are, or certainly all the major markets we're in, we are growing faster. And we're not just growing faster this quarter or this half, we've been doing it over a significant amount of time. The U.S., I'm a 100% comfortable with where we are with the U.S. I said this time last year, we sowed the seed, we did the deal we always wanted. This year has been about building -- the building blocks, both in terms of the technology and the product. And most importantly, the people that has been -- that has been virtually completed. We were starting from almost ground zero. But we're there, we're ready to go for the NFL season and I think -- and people should -- will begin to start seeing the results of that coming through over the course of the NFL season now that we're actually investing a serious amount of marketing into the U.S. states where we're currently live.

In terms of responsible gaming and gambling. As I say, it's underpinning everything, it's at the core of the business. We increased the dividend, as Rob said, 10% year-on-year. We've committed to that. We're ahead of expectations. We've guided to GBP 650 million to GBP 670 million. And the second half of the year, we keep -- we're still motoring along. And that is it. That is it. So thank you. We'll do some Q&A. Yes. Some Q&A then, fire away.

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Questions and Answers

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Operator [1]

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(Operator Instructions) Our first question comes from the line of Stuart Gordon at Berenberg.

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Stuart John Gordon, Joh. Berenberg, Gossler & Co. KG, Research Division - Senior Analyst and Head of Business Services, Leisure & Transport, [2]

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I've got 3 questions, please. The first one on Germany. Clearly, I know all that you say about what's going on in Germany and your confidence, but there are various different interpretations flying around following Tuesday's meeting. I just wondered, if you could just give a little bit more color on your stance and, in particular, perceived threats or limits and why you expect to be able to continue with online gaming?

And secondly, on the U.S., we have the NFL season at doorstep, that's always been the big launch pad for ROAR. And I was just wondering how quickly do you think we could see some of the gain playing through from the launch? And finally, there's been a step change, as you've said in the industry's attitude towards responsible gaming, and you're clearly leading the path there. But on the back of that, there's some -- whilst knowing it may still be early days. Do you feel those efforts are being noted and recognized by the regulators?

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Kenneth Jack Alexander, GVC Holdings PLC - CEO & Executive Director [3]

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Okeydokey. Let's start off with Germany. Look, yes, there are various interpretations. I've just read another one just looking through this morning. Look, The German regulatory association has always had various interpretations. I mean if you take bwin, they've been in it 20 years, and they've been living and breathing this. So it's always been uncertainty -- uncertain. GVC, I've been a CEO of GVC, I don't know, 12 years or something like that. I've spent 12 years talking about German regulation. And it's always been unclear.

Where we are now, [I'd say,] betting in play, I think those that were there at the Q&A session in Hesse, we obviously had all of our key people at it, in terms of our regulatory people listening in on it and at it. We considered that was pretty positive that there's going to be -- they're going to liaise with industry in terms of the bet in play markets that are going to be allowed. All the feedback that we've got is at least 80% of the markets that we're currently offering are going to be allowed. So for -- we're not really -- we're not concerned at all really about the betting in play restrictions. If you take the stake limits. Yes, there was -- that stake limit of a EUR 1,000, but that is -- they've made it very, very clear that, that will be relaxed for responsible operators.

We are the biggest operator in Germany. And I think we're definitely considered in Germany as a very responsible operator, we'll be leading the charge as we are trying to do in the U.K. around responsible gaming. So we don't -- again, we are very, very confident around staking limits being relaxed and having no significant material impact on the business. German gaming, quite frankly, has always been a bugger's muddle, quite frankly. It really has been. But we are extremely confident that, in 2021, that we are going to have full regulation of casino and poker. Everything we hear, everything that comes out of the (inaudible) indicates that's going to be the case. Between now -- over the next state treaty.

Between now and then, we are as optimistic -- we are probably more optimistic than we were at the Capital Markets Day when Rob Hoskin, our legal compliance regulatory guy did a ton on German regulation. And we think we'll be able to continue to offer gaming. We believe we'll still get our licenses for sports betting. And we'll still be able to offer gaming. Now whether we have to offer it through our gaming only brands, possibly. I think there's also the very likelihood of some real legal challenges in Germany as well, and that this could actually all rumble on. And I think this is consistent with what one of our competitors said late last week or early this week, I lose track, that this could rumble on even with no change through to 2021.

So is there a risk? Yes, there is a risk. There has always been a risk. We are getting very, very close to complete regulation in Germany, including casino and poker. We do have this issue between now and 2021, but we are confident. We are very confident, and we don't really have any real concerns about the betting in play markets and the stake limits for the reasons I've said. So I've done it to death on Germany, hopefully. And if not, shout out and I'll say some more. U.S. FFL, (sic) [NFL,] you asked how quick will we see results? Very quickly, very, very quickly.

Look, we think we've got -- I think it's undeniable, we've got the best product, and that will be ready to be -- is virtually ready to be launched at the start of the NFL season, in -- particularly in New Jersey. I think we've got a great team over there, very confident in them. They've got enough budget there to be competitive with all of our big players out there, your DraftKings and your FanDuel. So we're ready to go to war now in the U.S. I mean nothing -- there's been a lot of noise about, oh, we're behind and the JV was the wrong deal. I mean absolute nonsense.

The DV -- this is going to be long sort of stretch in the U.S. It's going to take time. The states -- we're going to have to wait for the states to open up. Some of the states that open up, may not actually be commercially viable. But it's an -- still going to be a fantastic opportunity. And this was always the plan, to launch just before the NFL season. We're completely on track. The campaigns are all ready, and you will see results. The next time we talk to you, we should be showing very, very good results compared to where we are now and start to gain market share. So hopefully, that gets you there on the U.S.

Step change in the U.K., do we get as much credit or the industry gets as much credit? Yes, I don't think we get as much credit. I think we've actually done quite a lot. I'm not just talking about GVC, I'm talking about the industry -- when I talk about the industry I talked about the major -- the big operators. I don't think we do get the credit that we probably deserve. But I do think we are getting recognition, though, that we are far more responsible than we were, that we are taking it very, very seriously, that we're making significant strides, and we've done a great deal in the last sort of 12, 18 months, whatever. And there is much, much more to come and there's collaboration between the big players. So I don't think we get as much recognition, but at least we do get recognition.

Occasionally, the industry shoots itself in the foot. 32 Rooney is absolutely ridiculous. I'm not too sure Huddersfield was the smartest thing to do, either [the sharps.] But we need to be careful not to shoot to ourselves in the foot, but we're making good progress. We are getting some recognition. And GVC will continue to lead the charge on it. Nothing is more important. There's probably no greater threat to the industry than the threat around problem gambling, and we're taking it very seriously. I think we're making great strides, and there's much, much more we can do much and much where we will do.

In terms of the regulator, I mean, I met Neil McArthur 7 weeks ago. I think he's -- having no issues with him. He's very sensible. I think he's done a -- he's the regulator. And I think we've got a pretty good relationship with him. As a good a relationship as you will get with a regulator. They've got their job to do. We've got our job to do. We're working well together, and I think they recognize what we're doing. And I've said to him that I'll offer him whatever resource he wants, technology. Whatever more resource he wants from people in our -- to work together to make our sites and what were -- as safe as we possibly can for vulnerable players who come to our sites. It is a small minority of customers, but we do recognize it. It gets a lot of publicity. And we'll do whatever we can to take it off the front pages and make it a safe environment for players.

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Unidentified Company Representative, [4]

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You almost went on as much as Rob Wood there, actually.

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Operator [5]

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The next question comes from the line of Ed Young at Morgan Stanley.

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Edward Young, Morgan Stanley, Research Division - Equity Analyst [6]

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The first one is on your revenue numbers, which I think, as you said, speak for themselves really. The U.K. example, in particular, stands out. Could you give any color in terms of what's driving that? Is it from growing actives? Is it engagement, growing play days? Is it better cross-sell? Are you getting a greater share of wallet? Because it's obviously an outsized performance compared to your peers. So some color there would be useful.

The second, on marketing, please, you said it reduced by about 2 percentage points in H1 to about 24% of revenue, and you've guided to 23% for the year. You've had 1 major competitor in each of your 2 biggest markets reduce theirs much more significantly in H1 to the mid-teens level. Can you just talk about your expectations going forward? Are you going to reinvest any savings that you do make from advertising restrictions, the whistle-to-whistle ban, anything you gain there? Or are you going to bank it? Do you think some markets are becoming more rational in terms of advertising with a profit opportunity? Or do you sort of see those changes as an opportunity to potentially take more share?

And then the final one just sort of housekeeping, really. Can you just give your U.K. customer numbers for how many of those -- what proportion of your customers in the U.K. deposit using e-wallets. And of that, what percentage of those exclusively do so?

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Kenneth Jack Alexander, GVC Holdings PLC - CEO & Executive Director [7]

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Okay. I'll do one. And Rob can do 2 and 3. So U.K., look, I think we don't split it out, but I'll tell you anyway. The Ladbrokes brand is performing particularly well. And that is the fastest-growing brand we have in the U.K. at the moment. I think it's been much publicized. I think Andy Hornby did a big speech on it in the Capital Markets Day. This business when Ladbrokes and Coral merged, had a bit of a checkered past and wasn't in great shape when they merged. It took a bit time to turn it around, but I think it's getting momentum and is really beginning to kick on really in the last 12 months, particularly in the area of gaming. And so I think the marketing and the gaming side has definitely ticked up in the last 12 months, helped by better marketing and better content as well, I think marketing as well.

Coral, the growth is not -- it's still decent. It's not as strong as Ladbrokes. But for the reasons I've given you, Ladbrokes is coming from quite a low, low base in terms of quality of marketing and product. So I think, Coral, the main driver there, again, has been very strong growth around gaming. I'll also say that -- what has also helped is the stability of the sites of Ladbrokes and Coral. I mean one of the things when we acquired it, had a couple -- we did have some quite bad downtime. And I think that business has suffered in the past from instability. And we had it when we acquired bwin. One of the first things we did was actually keep the site standing upright for 100% of the time, and it's amazing, if you do so, how that can help the numbers. And Ladbrokes Coral business, touch wood, probably come to regret it, but is very, very stable for the last sort of 9 months or so. It took us a bit of time to get it nailed, but it took a bit.

And Shay, Sandeep and his tech team have nailed that. So stability, improvement in the gaming and the Ladbrokes. As I say, that business had been -- was not in the greatest shape and is -- when Ladbrokes Coral merged, it took a bit of time to get it sorted out. And now it's getting momentum. And let's not forget, also, that our bingo business, which is getting double-digit growth in what is a tough market. If you look at some of our competitors, what they've seen around U.K. Why is that doing particularly well? And I think probably [go out] the people -- the person that runs it is probably the best in the industry. I mean I think in our team. So I think the product is okay. Others use it, though. But yes. So that's it. So hopefully that gives you a flavor of where we're getting the U.K. growth, how we've got it and why we've managed to do it, and I'll let Rob crack on with the rest.

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Rob Wood, GVC Holdings PLC - CFO [8]

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Okay. So the next question was around marketing as a percentage of NGR, do we expect that to step change. And the answer is no, we don't have any plans to fundamentally change our level of investment. I mentioned, in March, that I do expect that rate to tick down over time and partly just because of NGR growth, but also advertising restrictions and also as we improve our efficiencies, whether that's through marketing, technology, sharing best of both across the group, better marketing mix models, et cetera. Or in some cases, where market conditions allow it. So Australia is a good example of that where gross profit margins have come under pressure with the point of consumption tax and product fees coming in, like others in that market.

We have seen our rate of marketing investment drop. In our case, we are still just over 20% because we have a starter brand with Neds, but if you just looked at Ladbrokes in isolation, it's under 20% now. So where market conditions allow then yes. But as a general rule, no plans to step change marketing investment. And then the last question, e-wallets, that's not a number I've seen for the U.K. I know credit cards in the U.K. is 6% of deposits. But I don't imagine e-wallets is a material part of the business.

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Edward Young, Morgan Stanley, Research Division - Equity Analyst [9]

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Okay. Just on that last one, some [trades are saying,] the RGA has said it's 5%-ish for credit cards and 11%-ish for e-wallets. Would you expect to be in line with the industry?

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Rob Wood, GVC Holdings PLC - CFO [10]

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I'd have to look at it. We'll have to back to you.

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Operator [11]

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And the next question comes from the line of Michael Mitchell at Davy.

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Michael Mitchell, Davy, Research Division - Gaming and Leisure Analyst [12]

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Three, if I could, as well. Firstly, on the U.S., and obviously much closer to launch now and your ambitions there are quite clear. I just wonder if you're in a position to give a bit more color in terms of the level of investment required beyond the current year into 2020 and beyond. Secondly, in terms of current trading, I appreciate why you may not want to give top line performance on a 6-week basis, but anything there in terms of the start to Q3 which differs materially from the Q2 performance across your key regions or battlegrounds as you call them? And then thirdly, just in terms of the view in terms of shop closures in U.K. Retail versus previous expectations. Is the materially lower number there just as you've spoken about in terms of trading ahead of expectations? Or are there other cost measures, which have helped there?

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Rob Wood, GVC Holdings PLC - CFO [13]

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Those [2,] in the U.S., level of investment, that's an ever-evolving equation. So at the moment, we've guided only to 2019 and a small loss expected for the year. As we've explained previously, we are sitting on profitable assets already there. And hence, with a strong brand, we're not expecting any material losses in 2019. What happens in 2020 and beyond depends on what happens from a licensing perspective, markets opening up and our ability to trade there. So that really is a moving target at the moment. On current trading, as you mentioned, we don't want to get in the habit of commenting on 6 weeks of growth, but no, nothing material to draw to your attention. We have annualized the Crystalbet acquisition, which was April 2018. So that's a component of it, but otherwise, no. And then shop closures in the U.K. Retail. As you say, we previously guided up to 1,000, that has come down up to 900, really, that is as a result of better-than-expected trading. But again, that's something that we're working on all the time, expecting a couple of hundred closures between now and the year-end at this stage.

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Operator [14]

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And our next question comes from the line of Monique Pollard at Citi.

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Monique Pollard, Citigroup Inc, Research Division - VP [15]

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A few questions from me, if I may. Firstly, on Australia. So your results there, 28% growth pro forma, look incredibly strong versus, [should I say,] a peer of yours who reported their Australian numbers last week. So could you give an update there? I mean I know, Rob, you said that you're still spending about just over 20% of revenues on marketing. Is it just that you're driving still more sort of marketing and brand investments versus [peers are.] What's leading to that outperformance? Then on the U.S., could you give an update on what we might expect from you in terms of any potential media partnerships, particularly given William Hill's comments in their results last week? And then finally, timing of shop closures. Rob, you were saying a couple of hundred between now and the year-end. In terms of the rest, should we expect those to come relatively quickly in the first half 2020 or be slightly more phased than that?

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Rob Wood, GVC Holdings PLC - CFO [16]

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Okay. Should I start with Australia. So you're right. Our growth of 28% pro forma is market-leading by quite some way. I think the others were either low single digit or Sportsbet at 16%. We're very happy with management team. We're happy with products, migration to Neds progressing well. Neds starter brand gaining good traction, obviously, helps with growth numbers coming from a smaller base. And I would acknowledge that the Sportsbet numbers, albeit, lower growth rate in terms of millions of Aussie dollars added year-on-year. It's similar to ours. So I think that, that business, our folks on the ground would say is trading as well as ours.

On U.S. media, Kenny, do you want to update on that?

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Kenneth Jack Alexander, GVC Holdings PLC - CEO & Executive Director [17]

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We've had a number of conversations around doing some U.S. media deals, probably similar to some of what our competitors are doing. I wouldn't it rule out. What I would say is I don't think we really need to -- we're quite happy with the JV as it is. Do we need to do some media deals? I'd like to do them, but it's not a necessity. And we're having a number of discussions, ongoing discussions. When we're ready to announce something, we will do so. I can't really say much more than that. But one thing that does help is having the relationship with MGM because I've said this before, they do open doors and get calls or have contacts or whatever, that we certainly couldn't -- we probably wouldn't be able to enjoy, if we were out there trying to do it ourselves. So having MGM there in these meetings or out there in these discussions definitely helps us.

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Rob Wood, GVC Holdings PLC - CFO [18]

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And then the last one was on closure phasing. So we've closed around 150 so far, that sort of specifically links to Triennial Review outcome. We haven't got absolute numbers for the second half of the year, but I think 200 is a reasonable figure. So ending the year, say, somewhere around 300 to 400 out of the maximum of 900 in 2019. Well that, obviously, as you'd expect, covers the material loss makers. Thereafter, they're either mildly losing money. In which case, it may well be better to keep running them until such point as the lease expires, or they're marginal, and they need a bit longer to settle down. So I think best guess somewhere between 300 and 400 for 2019.

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Operator [19]

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And our next question comes from the line of Simon Davies at Deutsche Bank.

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Simon John Davies, Deutsche Bank AG, Research Division - Head of UK Midcap & Online Gaming Research [20]

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Two from me on U.K. Retail, if I may. Firstly, SSBT's very strong growth at 40%, can you give a rough breakdown there between unit growth and average revenues per machine? And what percentage of Retail sports betting revenues are now coming from SSBTs? And secondly, around the Triennial Review, there's a lot of talk about the potential for migration of machine revenues into online businesses. Are you seeing any evidence of that? Have you seen a step-up in terms of Online customer acquisition through Retail?

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Rob Wood, GVC Holdings PLC - CFO [21]

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Okay. Should I have a go at that. So U.K. Retail, yes, SSBT growth very strong. At the moment, it's more on a per machine basis, we announced earlier this year a new deal with BGT, which sees a refresh of all the cabinets in our estate during the course of this year. There is some density increased planned as well, currently around 3, planning to take that to over 4. But nonetheless, underlying growth on a per terminal basis as well. In terms of mix, and it's still predominantly football, and we're now taking over half of our football business through these terminals. So when you look across all the different platforms across the group, mobile, desktop, et cetera, SSBTs in Retail is certainly one of the strongest performers.

In terms of online migration from Triennial, shop number sign-ups have been fairly consistent pre versus post. So no huge movement on that front. Although, of course, you wouldn't -- you don't have to sign up through the shop, so you could sign up to Ladbrokes or Coral accounts without us knowing that you were a shop customer. In terms of the final numbers for benefit for Online, that's not something that we've locked down yet. But I would say that the guidance that we've provided for EBITDA, so the GBP 650 million to GBP 670 million, that fully includes online migration from Triennial.

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Operator [22]

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Our next question comes from the line of Gavin Kelleher at Goodbody Capital Markets.

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Gavin Kelleher, Goodbody Stockbrokers, Research Division - Investment Analyst [23]

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Just a follow-up question from me on Simon's question there. Just on the growth rate in U.K. in H1, do you -- have you tried to calculate how much of that is actually coming from retail migration, the 13%? That's my first question. And then, my second question is on Germany. Just on -- you mentioned you may have to run gaming brands separately. Can you just give us an idea of when during the second half or FY '20 that would have to start? I mean you talk about costs that could be related to that. Can you just give a quantum of those costs that could be related to that as well, please?

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Rob Wood, GVC Holdings PLC - CFO [24]

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Should I do the U.K. one, and you do Germany. Okay. So on the U.K., as you say, solid digital U.K. growth, double-digit growth in H1, it's much harder to measure the impact on Online, clearly, than it is in Retail. So there are certainly some areas of U.K. Online has shown some improvement that I don't think that a significant part of the H1 growth is a result of Triennial migration now. And Germany, Kenny?

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Kenneth Jack Alexander, GVC Holdings PLC - CEO & Executive Director [25]

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Germany, look, if we ever had to do that, it would have to be when we get a bit more clarity, probably be around Q4 in terms of the costs.

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Rob Wood, GVC Holdings PLC - CFO [26]

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Somewhere in the region of GBP 10 million to GBP 15 million sounds sensible. So there's one of the -- the range that we provided on EBITDA guidance. I think if we -- to get to the top end of that range, that involves de minimis spend on bonusing in Germany. If we do spend GBP 10 million plus million, then you'd be more in the middle of the range.

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Gavin Kelleher, Goodbody Stockbrokers, Research Division - Investment Analyst [27]

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Sorry, just one follow-up question about just Germany, you've obviously broken down how much Germany represents of Online revenues, 15%, I think, at the Capital Markets Day. How much of that is sports-led of the 15%? And how much of it is gaming only? If you could give us any sort of...

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Kenneth Jack Alexander, GVC Holdings PLC - CEO & Executive Director [28]

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55/45, 55% gaming, 45% sports. So...

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Gavin Kelleher, Goodbody Stockbrokers, Research Division - Investment Analyst [29]

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So -- but how much is sports-led? So how much of the vast majority comes through bwin?

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Kenneth Jack Alexander, GVC Holdings PLC - CEO & Executive Director [30]

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75%, 80%. Probably 80%, actually, probably about 80%.

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Operator [31]

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There is one further question coming through. So I will hand over to Richard Stuber of Numis.

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Richard Paul Stuber, Numis Securities Limited, Research Division - Analyst [32]

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Just a couple of quick ones, please. In terms of shop closures, could you give any sort of rough split between Ladbrokes shop closures and Coral's? Just wanted to see sort of if one brand would be sort of slightly deemphasized, I guess, over the next 12 months? And secondly, could you just confirm if you've exited any markets in Online so far in H1 and whether we can expect any further market exits in the second half?

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Kenneth Jack Alexander, GVC Holdings PLC - CEO & Executive Director [33]

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I'll do the second one and you can do Ladbrokes Coral. So yes, I mean, we've already communicated with the closing down of Switzerland, like most of our competitors. Have we got any plans to close anything down in the second half of the year? Nothing. We'll continue to monitor the regulatory environment, but there's nothing really there that material. I mean you've got remember, we're now, what, 92% regulated. And if you were to ask me what's that remaining 8%, honestly, it's 0.1%, 0.2% here. So after Switzerland, which was a bit of a hit, I don't think there's any more sort of big -- there's nothing big that could -- we really need to shut down. Do you want to do Ladbrokes?

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Rob Wood, GVC Holdings PLC - CFO [34]

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Yes, sure. Closures, so no bias by brand at all. So I'd expect it to be proportionate between the estate sizes. There's no plans to do anything different.

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Operator [35]

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As there are no further questions, I'll hand over to our speakers for the closing comments.

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Kenneth Jack Alexander, GVC Holdings PLC - CEO & Executive Director [36]

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Okay. Thanks for listening. Enjoy your holidays, and thank you very much. Good night.

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Rob Wood, GVC Holdings PLC - CFO [37]

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Cheers.

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Kenneth Jack Alexander, GVC Holdings PLC - CEO & Executive Director [38]

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Bye.