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DFNN Inc. — Confidential and Proprietary Technology at Play ANNUAL STOCKHOLDERS’ MEETING 2017 Marquis Events Place, BGC, Taguig 19 October 2018

ANNUAL STOCKHOLDERS’ MEETING 2017 · 2015 2016 2017 H1 2017 H1 2018 Number of Sites 79 191 209 221 191 Number of EGMs / Terminals 1,295 5,557 6,460 7,017 5,659 Gross Bets (Php Million)

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Page 1: ANNUAL STOCKHOLDERS’ MEETING 2017 · 2015 2016 2017 H1 2017 H1 2018 Number of Sites 79 191 209 221 191 Number of EGMs / Terminals 1,295 5,557 6,460 7,017 5,659 Gross Bets (Php Million)

DFNN Inc. — Confidential and Proprietary

Technology at Play

ANNUAL STOCKHOLDERS’ MEETING 2017

Marquis Events Place, BGC, Taguig

19 October 2018

Page 2: ANNUAL STOCKHOLDERS’ MEETING 2017 · 2015 2016 2017 H1 2017 H1 2018 Number of Sites 79 191 209 221 191 Number of EGMs / Terminals 1,295 5,557 6,460 7,017 5,659 Gross Bets (Php Million)

DFNN Inc. — Confidential and Proprietary

AGENDA

!  2017 Updates

!  Technology Updates

!  Financial Updates

!  2018 Updates

Page 3: ANNUAL STOCKHOLDERS’ MEETING 2017 · 2015 2016 2017 H1 2017 H1 2018 Number of Sites 79 191 209 221 191 Number of EGMs / Terminals 1,295 5,557 6,460 7,017 5,659 Gross Bets (Php Million)

DFNN Inc. — Confidential and Proprietary

2017 UPDATES

Page 4: ANNUAL STOCKHOLDERS’ MEETING 2017 · 2015 2016 2017 H1 2017 H1 2018 Number of Sites 79 191 209 221 191 Number of EGMs / Terminals 1,295 5,557 6,460 7,017 5,659 Gross Bets (Php Million)

DFNN Inc. — Confidential and Proprietary

2017 UPDATES

Page 5: ANNUAL STOCKHOLDERS’ MEETING 2017 · 2015 2016 2017 H1 2017 H1 2018 Number of Sites 79 191 209 221 191 Number of EGMs / Terminals 1,295 5,557 6,460 7,017 5,659 Gross Bets (Php Million)

DFNN Inc. — Confidential and Proprietary

TECHNOLOGY UPDATES

Page 6: ANNUAL STOCKHOLDERS’ MEETING 2017 · 2015 2016 2017 H1 2017 H1 2018 Number of Sites 79 191 209 221 191 Number of EGMs / Terminals 1,295 5,557 6,460 7,017 5,659 Gross Bets (Php Million)

DFNN Inc. — Confidential and Proprietary

TECHNOLOGY UPDATES

!  Strengthened Platform Infrastructure !  Launch of DFNN Technology Services, Inc. (formerly known

as DFNN Technology Center) !  Network Operations Center !  Off-site Back-up

!  Increased Gaming Content !  BB Sports !  Reactivation of xChangebet

Page 7: ANNUAL STOCKHOLDERS’ MEETING 2017 · 2015 2016 2017 H1 2017 H1 2018 Number of Sites 79 191 209 221 191 Number of EGMs / Terminals 1,295 5,557 6,460 7,017 5,659 Gross Bets (Php Million)

DFNN Inc. — Confidential and Proprietary

TECHNOLOGY UPDATES

!  Enhanced Platform Integration !  Unified Gaming Lobby (UGL) !  Cashier Management System (CAMS) !  Mobile Business Management Tool for

Partners

!  Strengthened FinOps Support Services !  Cash Management Support for Metro Manila !  EFT Support Services for all partner outlets

Unified Gaming Lobby (UGL)

Cashier Management System (CAMS)

Page 8: ANNUAL STOCKHOLDERS’ MEETING 2017 · 2015 2016 2017 H1 2017 H1 2018 Number of Sites 79 191 209 221 191 Number of EGMs / Terminals 1,295 5,557 6,460 7,017 5,659 Gross Bets (Php Million)

DFNN Inc. — Confidential and Proprietary

IEST UPDATES

Page 9: ANNUAL STOCKHOLDERS’ MEETING 2017 · 2015 2016 2017 H1 2017 H1 2018 Number of Sites 79 191 209 221 191 Number of EGMs / Terminals 1,295 5,557 6,460 7,017 5,659 Gross Bets (Php Million)

DFNN Inc. — Confidential and Proprietary

SITEMAP OF E-CASINO OPERATORS (as of December 31, 2017)

2017

6,460

2016

5,557

2015

1,295

Number of EGMs/Terminals

Page 10: ANNUAL STOCKHOLDERS’ MEETING 2017 · 2015 2016 2017 H1 2017 H1 2018 Number of Sites 79 191 209 221 191 Number of EGMs / Terminals 1,295 5,557 6,460 7,017 5,659 Gross Bets (Php Million)

DFNN Inc. — Confidential and Proprietary

2015 2016 2017 H1 2017 H1 2018

Number of Sites 79 191 209 221 191

Number of EGMs / Terminals 1,295 5,557 6,460 7,017 5,659

Gross Bets (Php Million) 4,146 20,083 91,384 45,043 45,245

Gross Gaming Revenue* (Php Million) 163 817 3,696 1,835 1,809

Average Gross Gaming Revenue per site

(Php Million) 2.06 4.28 17.68 8.48 9.07

Average Net Win Per Terminal Per Day ₱504 ₱795 ₱1,472 ₱1,484 ₱1,662

PLATFORM EXPANSION

*Gross bets minus player payout

Page 11: ANNUAL STOCKHOLDERS’ MEETING 2017 · 2015 2016 2017 H1 2017 H1 2018 Number of Sites 79 191 209 221 191 Number of EGMs / Terminals 1,295 5,557 6,460 7,017 5,659 Gross Bets (Php Million)

DFNN Inc. — Confidential and Proprietary

CONSOLIDATED YEAR END

FINANCIALS

Page 12: ANNUAL STOCKHOLDERS’ MEETING 2017 · 2015 2016 2017 H1 2017 H1 2018 Number of Sites 79 191 209 221 191 Number of EGMs / Terminals 1,295 5,557 6,460 7,017 5,659 Gross Bets (Php Million)

DFNN Inc. — Confidential and Proprietary

FINANCIAL UPDATES

REVENUE (PHP millions)

126.6

962.0

2015 2016 2017

270%

1.30%!

95.42%!

3.27%!

Sale of Licenses !

Commission Income !

Service Fees and Software Solutions!

REVENUE DISTRIBUTION 2017

259.8

Page 13: ANNUAL STOCKHOLDERS’ MEETING 2017 · 2015 2016 2017 H1 2017 H1 2018 Number of Sites 79 191 209 221 191 Number of EGMs / Terminals 1,295 5,557 6,460 7,017 5,659 Gross Bets (Php Million)

DFNN Inc. — Confidential and Proprietary

FINANCIAL UPDATES

EBITDA (PHP millions)

40.1! 0.1!

191.1!

2015 2016 2017

Page 14: ANNUAL STOCKHOLDERS’ MEETING 2017 · 2015 2016 2017 H1 2017 H1 2018 Number of Sites 79 191 209 221 191 Number of EGMs / Terminals 1,295 5,557 6,460 7,017 5,659 Gross Bets (Php Million)

DFNN Inc. — Confidential and Proprietary

FINANCIAL UPDATES NET INCOME (PHP millions)

78.3

514%

2015 2016 2017

23.6

144.8

Page 15: ANNUAL STOCKHOLDERS’ MEETING 2017 · 2015 2016 2017 H1 2017 H1 2018 Number of Sites 79 191 209 221 191 Number of EGMs / Terminals 1,295 5,557 6,460 7,017 5,659 Gross Bets (Php Million)

DFNN Inc. — Confidential and Proprietary

2018 UPDATES

Page 16: ANNUAL STOCKHOLDERS’ MEETING 2017 · 2015 2016 2017 H1 2017 H1 2018 Number of Sites 79 191 209 221 191 Number of EGMs / Terminals 1,295 5,557 6,460 7,017 5,659 Gross Bets (Php Million)

DFNN Inc. — Confidential and Proprietary

2018 UPDATES

Page 17: ANNUAL STOCKHOLDERS’ MEETING 2017 · 2015 2016 2017 H1 2017 H1 2018 Number of Sites 79 191 209 221 191 Number of EGMs / Terminals 1,295 5,557 6,460 7,017 5,659 Gross Bets (Php Million)

DFNN Inc. — Confidential and Proprietary

THANK YOU!