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Aristocrat Aristocrat Leisure Limited May 2022 At a Glance Company Overview

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Page 1: Aristocrat At a Glance

Aristocrat

Aristocrat Leisure LimitedMay 2022

At a Glance

Company Overview

Page 2: Aristocrat At a Glance

ContentsCompany OverviewOur LeadersSustainabilityAristocrat GamingPixel UnitedOnline Real Money Gaming (RMG)Financial SummaryGlossary

Bringing joy to life through the power of play

May 2022

Page 3: Aristocrat At a Glance

Bringing joy to life through the power of play

Company Overview

Intro

Page 4: Aristocrat At a Glance

Bringing Joy to Life through the Power of Play

4Financial highlights based on 1H22 results1. Source: H2 Gaming Capital, 2021

Diversified business with global scale & operations

S&P/ASX

20

GrowthSuccessful execution of strategy & commitment to innovation

Growing revenue & strong margins

Strong cash generation, balance sheet& liquidity A$3.3b

A$2.7b1H22 Revenue

~76% Recurring Revenue

A$970m1H22 EBITDA

Leading games & portfolio across multiple platforms

Large, growing markets with above-category, organic growth

US$230bAddressable Markets1

GrowingMarket Share

TopPerforming Games

Diversified IP Portfolio& Strong Franchises

Design & Development>11-12% of Revenue

Investment

Global

Liquidity

Index

From humble beginnings, Aristocrat has grown to be a global gaming content and technology company

Page 5: Aristocrat At a Glance

A Leader in a Vibrant, Sustainable industry

5

Our mission is the Bring Joy to Life through the Power of Play, creating long-term sustainable value for all stakeholders

Bringing Joy to Life through the Power of Play

OUR VALUES

OUR MISSION

SUSTAINABILITY

Governance

Climate

Circular Economy

Responsible Gameplay

Data Security

Responsible Sourcing

Ethical Design

Talent

Inclusion

Wellbeing

Community

Business Operations Product Responsibility People and Community

All About The Player Good Business Good Citizen Talent Unleashed Collective Brilliance

Page 6: Aristocrat At a Glance

Aristocrat’s Growth Strategy

6

Proven strategy driving sustainable growth and business resilience

2,454

3,584

4,397 4,1394,737

FY17 FY18 FY19 FY20 FY21

Strong Portfolio Growth

Sustained Investment (Design & Development)

NormalisedOperatingRevenue A$m

268

414500 498 528

FY17 FY18 FY19 FY20 FY21

D&D Investment A$m

+18%CAGR

% of revenue

11% 12% 11% 12% 11%

STRONG PRODUCT INVESTMENT

PORTFOLIO GROWTH+PERFORMANCE

TAKE SHARE WHEREVER

WE PLAY ACCELERATIONOPTIONS

INNOVATION

OPERATIONALEXCELLENCE

CUSTOMER EXPERIENCELEADERSHIP

GOOD GOVERNANCE+ESG

STRONG BALANCESHEET

LEADERSHIP +CAPABILITY

INVESTMENT

BEST PEOPLE

Page 7: Aristocrat At a Glance

Our History & TransformationCombination of successful organic development and accretive M&A - ~US$3b in acquisitions over the last 7 years

71. Global Gaming Awards2. Tier-1 western markets (United States, United Kingdom, Canada, France, Germany, Australia); Sensor Tower

Growth, Scale & Diversification

Total Shareholder Returns

A$188mEBITDA FY13

>A$1.5bEBITDA FY21

+30%CAGR

Aristocrat ASX 100 Accum Index

50

100

150

200

09/30/202104/01/202110/01/202004/02/202010/03/201904/04/201910/04/2018

+71%3 years to Sep-21

Oct-18 Sep-21

WORLD-CLASS GAMING BUSINESS OF SCALE

Land-based Supplier of the Year 2019 - 20211

PIXEL UNITED A TOP 5 GLOBAL GAMES PUBLISHER2

ORGANIC GROWTH INTO ADJACENT SEGMENTS

Development of 3 world-class games in 3 years

Diverse portfolio,resilient performance

1 2 3

Page 8: Aristocrat At a Glance

Global Operations & Scale

7,000+ employees

>100countries

326licenced

jurisdictions

Diversification geographically and operationally by segment increases business resilience; Significant global scale

8

42%

8%

48%

28%

24%

48%

Revenue by Segment

Revenue by Strategic segment

A$2.7b 1H22

Gaming

Gaming52%

Americas

ANZ

International Class III

Pixel United

Gaming Operations

Outright Sales & Other

Pixel United

GamingGaming

52%

A$2.7b 1H22

1

1

Revenue split based on 1H22 results 1. Free to play mobile games

Page 9: Aristocrat At a Glance

Investment HighlightsDelivering high-quality, profitable growth in a responsible and sustained manner

1 Proven growth strategy, strong execution track record and commitment to sustained investment in innovation

2 Investing in organic growth opportunities in new and adjacent segments; appetite to accelerate growth through M&A

3 Large global addressable markets – ~US$230b – with strong growth fundamentals

4 Diversified, with large, leading businesses of global scale

5 Leading and diversified game portfolio, top performing games, owned IP & strong franchises; >28 studios globally building the pipeline

6 Strong margins and profitable growth – demonstrated ability to expand market share via innovation and commercial execution

7 Strong cash flow generation and financial profile - balance sheet and liquidity underpin investment in growth strategy

9

Page 10: Aristocrat At a Glance

OurLeaders

Bringing joy to life through the power of play

May 2022

Page 11: Aristocrat At a Glance

Experienced team of Talented Operators & Innovators

Executive Steering Committee

Trevor Croker CEO & Managing Director

Hector FernandezCEO Aristocrat Gaming

Mike LangCEO – Pixel United

Mitchell BowenCEO – Online RMG

& Chief Transformation Officer

Natalie TooheyChief Corporate Affairs Officer

Joined 2009 Based in US Joined 2018 Based in US Joined 2019 Based in UK Joined 2004 Based in AUS Joined 2019 Based in AUS

Christie RoserChief Human Resources Officer

Joined 2011 Based in AUS

James AlvarezChief Information Officer

Joined 2017 Based in US

Andy HendricksonChief Technology Officer

Joined 2021 Based in US

Dan YangChief Strategy Officer

Joined 2019 Based in US

Chris HillChief Legal Officer

Joined 2020 Based in US

11

Page 12: Aristocrat At a Glance

Board with Deep Industry Experience

Arlene TanseyNon-Executive Director

Sylvia Summers CouderNon-Executive Director

Trevor Croker CEO & Managing Director

Neil ChatfieldChairman

Pat RamseyNon-Executive Director

Philippe EtienneNon-Executive Director

Kathleen ConlonNon-Executive Director

Highly Experienced Board

Based in AUS Based in US Based in AUS

Based in AUS Based in AUS Based in US Based in US

12

Page 13: Aristocrat At a Glance

Sustainability

Bringing joy to life through the power of play

May 2022

Page 14: Aristocrat At a Glance

Sustainability Strategy & Progress

Material IssuesGovernance

ClimateCircular Economy

• Building an Environment Management System, supporting the setting of a science-based emissions reduction target by the end of calendar year 2023

Responsible Gameplay (RG)(incl. Ethical Design)

Data Security & PrivacyResponsible Sourcing

TalentInclusionWellbeing

Community

Pillars BusinessOperations

ProductResponsibility

People & Community

HY22 ProgressHighlights

Our Ambition

• High employee engagement maintained globally

• Delivery of comprehensive support to Ukraine employees, including through Aristocrat Cares program

Be recognised as an employer of choice

Align with ASX 20 peers on climate, and lead in

GovernanceBe a global leader in

responsible gameplay

Ensuring a vibrant business and sustainable industries for all our stakeholders, long-term

• Continued exploration of new toolsand features across Gaming and Social Casino to enhance playerinformation & choice

• Australian-first cashless gaming trial beginning imminently in New South Wales

• Expansion in global RG team

Refer to www.aristocrat.com for full sustainability disclosures 14

Page 15: Aristocrat At a Glance

AristocratGaming

Bringing joy to life through the power of play

May 2022

Page 16: Aristocrat At a Glance

Aristocrat Gaming - OverviewStrong exposure to the US consumer; Leader in North America Gaming Operations, ANZ & North America Outright Sales; Strong diversified game portfolio and technology partner

% change is year on year. Details above are rounded numbers for the year ended 31 March 2022. “ASP” means Average Sales Price. “FPD” means average Fee Per Day1. G2E 2021 Global Gaming Awards2. Average performance per Eilers’ Game Performance reports in the 6 months to 31 March 2022

1

Leader in North America Gaming Operations

AmericasANZInternational Class III

Revenue

A$1.4b1H22 Revenue

A$784m1H22 Segment Profit

61% 54.7%1H22 Margin

7.6 pts38%

56,094Gaming Ops.

Installed units

Top 2 Most Anticipated Premium Leased Games

Big Fish GrandTM and Lightning Dollar LinkTM

US$55.75Market-leading

FPD in North America

18,4451H22 Outright

Sales

US$17,508 (NA)A$22,882 (ANZ)

Market-leadingASP

Supplier of the YearLand-based1

18 out of 25top Premium

Leased games211

Global Studios~3,700

Employees

Leading business in Outright Sales markets globally

Strong, diversified portfolio & platformRevenue

Gaming OpsOutright Sales & Other

16

80% 16%4%

53% 47%

Page 17: Aristocrat At a Glance

Aristocrat GamingLeader in North American Gaming Operations; Leading business in Outright Sales across several major global segments

Revenue split based on 1H22 results for Aristocrat Gaming; Outright Sales includes Other (Systems)

REVENUE MODEL

LANDSCAPE

REGIONS

Outright Sale of Class III Electronic Gaming Machine (“EGMs”), Game Conversions and Casino Management

systems

Non-recurring revenue

Consistently growing category share

Leading Average Selling Price (ASP)

Segment driven by replacements and net new venue openings & expansions

5 players represent large proportion of US and ANZ

Targeting new US adjacent segments - Aristocrat has presence in 93% of US (incl. VLT, Washington CDS)

Competitors: IGT, SciGames, Everi, AGS, Konami, IT, Bluberi, Castle Hill, Ainsworth (and others)

Americas – US, Canada, South America

ANZ - Australia & New Zealand

International - Asia Pacific, Europe and South Africa

Installed base of Class II & Class III on gaming floors

Fixed-fee or % of daily winnings of installed units

Aristocrat-owned units

Recurring revenue

Leading category share position

Growing installed base and segment share - Class II & Class III

Leading average Fee Per Day (FPD)

Broad customer diversification

Leading games (by performance)

Competitors: IGT, SciGames, Everi, AGS, Konami (and others)

North America

Class IIGaming

Games of chance based off bingo

Machine results are determined by a central computer server, which must be located on Tribal Lands

Games of chance based off poker

Machines use random number generator software programs to determine results

OUTRIGHT SALES GAMING OPERATIONS47%

Revenue53%

Revenue

Class IIIGaming

17

Page 18: Aristocrat At a Glance

Aristocrat Gaming - PortfolioExpanding the Aristocrat universe; Extending the brands, every game counts

Edge X

Neptune Double

Helix + Mars X Portrait

Mars X

Leading Licenced Titles

TOP PREMIUM LEASED GAMES TOP OUTRIGHT SALES TITLES LEADING CABINETS

18

Page 19: Aristocrat At a Glance

Aristocrat Gaming - Performance

1,1701,381

611

1,115

488

784

FY18 FY19 FY20 FY21 1H21 1H22

Strong recovery in Americas, ANZ and growth in adjacent segments in FY21; Top performing games and hardware

859

1,073

517

973

412

664

207 214 59 152 85 91103 94 34 (9) (9)

30

FY18 FY19 FY20 FY21 1H21 1H22

As reported. Segment Profit is after D&A, before D&D.

2,2452,609

1,780

2,270

1,0361,433

FY18 FY19 FY20 FY21 1H21 1H22

A$m

CAGR: +0%

A$m

CAGR: -2%

52% 53% 34% 49% 47%

1,580

1,948

1,368

1,825

810

1,146

455 456281

400 209 223211 205 131 45 17 64

FY18 FY19 FY20 FY21 1H21 1H22

ANZ

International

AmericasA$m

A$m

ANZ

International

Americas

Revenue Revenue - By Segment

Segment Profit & Margin Profit - By Segment

19

55%

+38%

+61%

Page 20: Aristocrat At a Glance

Aristocrat Gaming - Performance MetricsGrowing Gaming Operations installed base, segment share & industry-leading average Fee Per Day; Significant recovery and momentum in Outright Sales; International markets largely closed

6,018 5,664

3,009626 252 1,250

FY18 FY19 FY20 FY21 1H21 1H22

14,079 13,425

7,818

12,082

6,062 6,194

FY18 FY19 FY20 FY21 1H21 1H22

44,378 48,218 49,668 54,032 50,55456,094

FY18 FY19 FY20 FY21 1H21 1H22

13,318

17,262

9,58911,645

5,433

10,198

FY18 FY19 FY20 FY21 1H21 1H22

CAGR: -4%

Fee per Day $US

Units

Avg Sale Price $USk

Units

CAGR: -5%

Avg Sale Price $Ak

Units

CAGR: -53%

Units

CAGR: +7%

As reported. Segment Profit is after D&A, before D&D. Year on year change is from FY20

Gaming Operations Outright Sales - ANZ

Outright Sales - Americas Outright Sales - International

20

49.79 50.46 51.41

18.7 17.2 17.2

20.5 21.3 20.835.55 20.0

18.1

55.7547.29

17.517.3

22.920.1

+11%

+88%

+2%

+396%

Page 21: Aristocrat At a Glance

PixelUnited

Bringing joy to life through the power of play

May 2022

Page 22: Aristocrat At a Glance

Pixel United - Overview

Social Casino RPG/Strategy/Action Social Casual

Revenue

Bookings

Top 10 gamesOther

Strong & diversified portfolio; Exposed to high growth segments, strong profitable growth from continued portfolio diversification, targeted investment in Live Ops, features & content and User Acquisition

% change is year on year. All figures in USD unless otherwise stated. Details above are rounded for the six months ended 31 March 2022“DAU” means daily active users. “ABPDAU” means average bookings per daily active user

Strengthening & diversified portfolio with increasing monetisation

Significant organic investment drives growth & strong platform

US$953m1H22 Revenue

US$311m1H22 Segment Profit

3% 32.6%1H22 Margin

-1 pts6%

Above-category growth

6%Bookings Growth

5.9mDAU

9Evergreen Titles

80c1H22 ABPDAU

$483m1H22 Social

Casino Bookings

$262m1H22 User Acquisition

28% of Revenue18

Global Studios~3,200

Employees

$239m1H22 RAID: Shadow

LegendsTM Bookings

22

51% 35%14%

92%8%

Page 23: Aristocrat At a Glance

Pixel United - Mobile Gaming MarketLarge and growing Total Addressable Market (TAM) of ~US$98 billion globally; significant scope for further diversification within core and new segments (including Asia)

Social Casino

US$5b (-2% YoY)

Casual

US$16b (+4% YoY)

RPG

US$14b (-6% YoY)

Strategy

US$10b (+4% YoY)

Action

US$10b (+4% YoY)

Cashman CasinoTM

Lightning LinkTM

Big Fish CasinoTM

Heart of VegasTM

Jackpot Magic SlotsTM

EverMergeTM

RAID: Shadow LegendsTM

Vikings: War of ClansTM

Mech Arena: Robot ShowdownTM

Global Games Market1

Source: Newzoo, Sensor Tower1. Newzoo – Global Games Market Report, April 2022. Columns may not sum to total due to rounding.2. Includes geographies such as China, South Korea and Japan, and Sports & Racing segment. 3. Genres are defined and sized based on management’s proprietary segment definitions and Sensor Tower’s worldwide revenue estimates for the top grossing US games for year to 31 March 2022. Games that are successful only in Asian markets excluded.

Active genres3

Pixel United Key GamesGlobal Mobile (US$98b)

Other mobile segments2

US$43b

Mobile$62b

2018

PC$34b

Console$43b

US$139b

Mobile$67b

2019

PC$34b

Console$43b

US$144b

Mobile$88b

2020

PC$37b

Console$55b

US$179b

Mobile$98b

2021

PC$40b

Console$54b

US$193b

Global Mobile Market1

2021-2024

+5% CAGR

+8% YoY

+12% YoY+30% YoY

+9% YoY+10% YoY

+25% YoY

+4% YoY+13% YoY

23

Page 24: Aristocrat At a Glance

RPG US$14b | Strategy $10b | Action $10b

-6% | +4% | +4% yoy growth

Players’ main form of entertainment

Strong engagement, long length of play

Superior monetisation (in-app)

Male aged 18-35 years

Mobile, Plarium Play (PC Console)

Leading Squad RPG with RAID

Competitors: Supercell, Com2Us, Epic Games (and others)

Pixel UnitedExposed to fast growing genres within large, growing Free-to-Play gaming categories across mobile and console (Plarium Play) platforms

Revenue split based on 1H22 results for Pixel United.

SIZE & GROWTH

KEY FEATURES

COMPETITIVE POSITION & KEY GAMES

US$5b

-2% yoy growth

Finite segment, greater longevity in games

Recurring revenue stream (in-app)

Higher margin potential

Male and Female, aged 35-65 years

Mobile

A top Social Casino slots position (#2 overall Social Casino)

Competitors: Playtika, SciPlay, DoubleDown, Bole (and others)

DEMOGRAPHIC

BRANDS & KEY STUDIOS

PLATFORM

US$16b

+4% yoy growth

Broad demographic appeal

Significant Daily Active Users (“DAUs”)

Lower monetisation per user (advertising)

Female aged 35-44 years

Mobile

#2 in the Casual Merge segment

Competitors: Zynga, King, Rovio, Playrix (and others)

Social Casino51%

Revenue RPG, Strategy & Action (Midcore)

35%Revenue Social Casual

14%Revenue

24

Page 25: Aristocrat At a Glance

Pixel United - Game PortfolioDiversified portfolio across new, scaling and franchise titles; Exposure to high yielding RPG, Strategy & Action genre; New genres with owned IP and Social Casino slot content leveraged from world-class design studios across Aristocrat

1. Source: Sensor Tower. 12 months to 31 March 2022 Top 100 Highest Grossing Mobile Games in the US1 Former Top 100 Highest Grossing Mobile Games in the US

RPG, Strategy & Action

3 Years In Soft Launch

<1 year

6 Years 8 Years

10 Years 9 Years 9 Years

Social Casino

5 Years 4 Years

7 Years 5 Years

10 Years 9 Years 8 Years 6 Years

Social Casual

2 Years 1 Year In Soft Launch

4 Years 5 Years

25

Page 26: Aristocrat At a Glance

Pixel United - Portfolio DiversityDiversified portfolio across genres, geographies and demographics

$899m $951m

1H21 1H22

34% 35%

14%17%

49%

51%

Social Casual Social CasinoRPG, Strategy and Action10%

12%

10%

5%

5%

3%

26%

12%

8%

9%

1H21

$899m

8%

12%

10%

5%

5%

3%

26%

14%

8%

9%

2H21

$945m

9%

12%

10%

4%

5%

3%

25%

15%

6%

8%

1H22

$951m

Other Games

Mech Arena: Robot ShowdownTM

EverMergeTM

Lightning LinkTM

RAID: Shadow LegendsTM

Gummy Drop! TM

Jackpot Magic SlotsTM

Vikings: War of ClansTM

Big Fish CasinoTM

Cashman CasinoTM

Heart of VegasTM

BOOKINGS BY GAME 1

BOOKINGS BY SEGMENT 3%

1. Games which contributed more than US$25 million bookings in the respective half year period All figures in USD unless otherwise stated 26

Page 27: Aristocrat At a Glance

Pixel United - Performance & MetricsBookings growth of 6% and strong profit growth from continued investment in diversified portfolio and new capabilities, Live Ops, features and new content driving increased engagement and monetisation

As reported. Segment Profit is after D&A, before D&D. 1. DAU is Daily Active Users in millions at period end, and ABPDAU is Average Bookings Per Daily Active User in US$

1,0141,228

1,6121,844

899 9511,0091,252

1,6091,845

896 953

FY18 FY19 FY20 FY21 1H21 1H22

US$m

CAGR: +22%

331 370495

602

301 311

FY18 FY19 FY20 FY21 1H21 1H22

US$m

33% 30% 31% 33%

CAGR: +22%

251328

449521

252 262

FY18 FY19 FY20 FY21 1H21 1H22

US$m

25% 26% 28% 28%

CAGR: +28%

% of Rev

$0.40 $0.41$0.59

$0.74 $0.72$0.80

FY18 FY19 FY20 FY21 1H21 1H22

8.1 7.5 6.7 6.8

CAGR: +23%

DAUmillions

ABPDAUUS$

Bookings & Revenue Use Acquisition (UA) Spend

Segment Profit & Margin Daily Active Users & Average Bookings Per User1

27

+6%

28% 28%

+4%

+3%

34% 33%6.7 5.9

+11%

Page 28: Aristocrat At a Glance

OnlineReal Money Gaming (RMG)

Bringing joy to life through the power of play

May 2022

Page 29: Aristocrat At a Glance

Online RMG – Scaling in a key Strategic AdjacencyOnline Real Money Gaming (RMG) business has been stood-up; strategy in place and execution is accelerating

29

• Online RMG comprises i-Gaming (tables & slots), online sports betting andi-Lotteries

• Current global TAM of US$70 billion

• Growth being driven by consumer, tech and regulatory trends

• i-Gaming currently legal and operating in6 US states, more expected to regulateover time

• Highly complementary and logical adjacency opportunity for Aristocrat

The Opportunity

• Medium term (5 years) targeting a significant share of the US i-Gaming market (measured by net gaming revenue), growing to penetrate at least 70% of regulated jurisdictions across North America

• Longer term targeting to be the leading gaming platform for the global online RMG industry

Our Ambition Our Priorities

• Roll out of i-Gaming products with 2 major customers in 2 US jurisdictions by end of CY22, increasing to 3 jurisdictions by early CY23

• Further build entrepreneurial, nimble organisation that attracts and engages the best talent

• Organic D&D investment in content and technology to expand i-Gaming portfolio, and grow with further customers & jurisdictions

• Clear line of sight to inorganic options to accelerate delivery of feature-rich and frictionless, scalable technology architecture

Page 30: Aristocrat At a Glance

Financial Summary

Bringing joy to life through the power of play

May 2022

Page 31: Aristocrat At a Glance

HY22 Financial HighlightsRevenue and profit growth with margin expansion across Pixel United and key Gaming segments after sustained market-leading investments. Strong Operating Cash Flow added to Balance Sheet strength and ~A$3.3billion liquidity1

EBITDA

$970mUp 30%

EBITDA margin

35.3%Up 1.9 points

Operating Cash Flow

$502mUp 42%

Net (cash) / debt

$(524m)1H21: $1,330m

Net (cash) / debt to EBITDA2

(0.3x)Down from 1.2x

Interim Dividend

26.0cUp from 15.0 cents

NPATA

$580mUp 41%

Potentially replace imageDollar Storm

31

Year-on-year change to 31 March 2022. All figures in AUD unless otherwise stated.1. As at 31 March 2022

Page 32: Aristocrat At a Glance

1H22 1H21

D&D Investment- as % of revenue

A$313m11%

A$243m11%

UA Investment- as % of Pixel United revenue

US$262m28%

US$252m28%

Total Capex A$131m A$99m

31 Mar 22 31 Mar 21

Total Debt A$2,457m A$3,058m

Net (Cash) / Debt A$(524m) A$1,330m

Net (Cash) / Debt to EBITDA (0.3)x 1.2x

Interest Cover 16.7x 9.5x

Liquidity ~A$3.3b >A$2b

Capital Allocation Framework, Balance Sheet and Liquidity

▪ Continued strong business performance in Aristocrat Gaming and Pixel United drives cash flow generation and de-leveraging

▪ Free cash flow funds growth investment (organic and inorganic)

▪ Balance sheet flexibility to pursue M&A and growth initiatives

▪ Cash returns to shareholders via:

o Dividends (discretionary dividend policy with periodic review)

o On-market share buy-backs dependent on leverage profile and market conditions

Portfolio growth and performance

Strong balance sheet to provide full strategic optionality

Free cash flow

D&D investmentCapex / growth

capabilitiesUA investment

Inorganic growth / M&A

On-market share buy-backs

Dividends

Investment drives future growth

KEY METRICS

CAPITAL ALLOCATION FRAMEWORK

Capital allocation framework supports Aristocrat’s long-term growth strategy and maximises shareholder returns

32

Page 33: Aristocrat At a Glance

Outlook

Expense item Assumption

Interest ExpenseUS dollar borrowings incur fully loaded interest expense of approximately 5% including hedging costs and other finance fees

Amortisation of Acquired Intangibles Circa US$90 million pre-tax for FY22 relating to assets previously acquired

Income Tax ExpenseFY22 normalised Effective Tax Rate (ETR) of approximately 24.5% to 25.5% reflective of current corporate tax rates and regional earnings mix

33

▪ Continued market-leading positions in Gaming Operations, measured by the number of installed machines and fee per day

▪ Sustainable growth in floor share across key Gaming Outright Sales markets globally including new adjacencies

▪ Growth in Pixel United bookings and profitability, with UA spend expected to be at the lower end of the historical range of 26% and 29% of overall Pixel United revenues given rescheduled new game launches

▪ Continued D&D investment to drive sustained, long-term growth, with investment likely to be modestly above the historic range of 11-12% of revenue; and

▪ Further investment in core business capability, to facilitate ongoing transformation in our scale and velocity and investment to support the RMG strategy

▪ Non-operating items include:

Aristocrat plans for continued growth over the full year to 30 September 2022, assuming no material change in economic and industry conditions, reflecting the following factors:

Page 34: Aristocrat At a Glance

Bringing joy to life through the power of play

Glossary

Page 35: Aristocrat At a Glance

Glossary of Terms

Americas US, Canada and Latin America

ANZ Australia and New Zealand

ASP Average Selling Price (Outright Sales)

Class II Games of chance based off bingo

Class III Games of chance based off poker, such as slots, roulette, blackjack, etc

CDS

Central Determination System. A collection of secured computers located at a casino that randomises the electronic scratch ticket outcomes (wins/losses) of a game and delivers them in a predetermined order to the player terminals on the casino floor

CX Customer Experience (formerly Systems business)

EGM Electronic Gaming Machine

FPDFee Per Day. The amount Aristocrat receives per day for Gaming Operations EGMs. Often expressed as an average fee per day

Gaming Operations Continued operation and maintenance of land-based gaming machines

GGRGross Gaming Revenues. The difference between gaming wins and losses

before the deduction of casino operating costs and expenses

HHR Historical Horse Racing

International Class III Markets outside Americas and ANZ (includes Asia, Europe, South Africa)

MarsXTM Aristocrat's proprietary branded, next generation EGM cabinet

NYL New York Lottery

Outright Sales The outright sale of an Electronic Gaming Machine

Stepper A slot machine with a mechanical reel

Video A slot machine with a video reel

VLT Video Lottery Terminals

Washington CDS Washington (State) Central Determination System

GamingABPDAU

Average bookings per Daily Active User. Total bookings in each period, divided

by the number of days in that period, divided by the DAU during the period

Bookings Amount paid by customers

DAU Daily Active Users or number of individuals who played during a particular day.

‘Active’ means a player had at least one game session during the day

Features Added elements of the game to attract, engage and retain users

IDFA

Identifier for Advertisers on iOS (Apple). Used to measure marketing

campaigns, value ads, find new app users, and segment users, or aggregate

access to ads (Google equivalent is GAID, Google Ad Identifier)

Live Ops

Live game operations. A layer of gameplay which sits on top of the base core

game and is time limited. They usually do not impact the outcomes of the core

game. These can be one-time contests, tournaments, bonuses or social club

events

LTV Lifetime Value. The value of a player over the lifetime of the game

Mobile Mobile Device

PC Personal Computer

Pixel United (PxU) Name of Aristocrat's Social Free-to-Play digital games

RPGRole Playing Game. A game that focuses on the advancement of a main

character, acquisition of items and has an over-arching storyline

Social FTP

Social Free-to-Play. Video games that give players access to content without

paying. Monetisation typically generated from in-app purchases and/or

advertising revenues

Strategy game A game that requires players to combat against one another, utilising skilful

planning and tactical thinking

Tier-1 Western

Markets US, UK, Canada, France, Germany and Australia

UA User Acquisition (Digital Marketing Investments)

Mobile Gaming

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Page 36: Aristocrat At a Glance

Glossary of Terms

Capex Capital expenditure

D&D Design & Development investment

EBITDA Earnings Before Interest, Tax, Depreciation and Amortisation

EPS Earnings Per Share

EPSA Earnings Per Share before amortisation of acquired intangibles

Normalised ETR Effective Tax Rate before significant items

FX Foreign Exchange

Recurring Revenue Predictable, stable components of a company’s revenue. For Aristocrat,

includes Gaming Operations and Social Free to Play revenues.

NPAT Net Profit After Tax

NPATA Net Profit After Tax before amortisation of acquired intangibles (excludes

significant items)

SG&A Selling, General and Administrative expenses

TLB Term Loan B debt

FinancialB2B

Business-to-Business. That is, business activities carried out between two or

more companies without consumer contact

B2CBusiness-to-Consumer. That is, businesses carried out with the direct

consumer

ESG Environmental, Social, and Governance

i-Gaming

Online gaming; a component of the online RMG segment. Ability for a

customer to play their favourite slots/poker or bingo game online, for real

money

LIVE CasinoAbility to play online casino games, in real time and with real live dealers, to

imitate experience of actual casino attendance

M&A Mergers and Acquisitions

OSBOnline Sports Betting. Individual wages on the outcome of racing games and

sports events (including video games and horse racing)

PAMPlayer Account Management. Includes features such as account registration,

payment processing, geo-location, acquisition and retention marketing

RGResponsible Gameplay. A core Aristocrat policy and commitment encouraging

players to make good gaming decisions

RMG

Online Real Money Gaming. Refers to gaming online, including online sports

betting (OSB), i-Gaming (table games, poker/slots, bingo), LIVE casino and i-

Lotteries. Excludes casino-based gaming and Social Free to play casino

games

TAM Total Addressable Market

White Label A non-branded system available for B2B customers to provide to their

customers (end-consumers)

Real Money Gaming & Other

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Page 37: Aristocrat At a Glance

Disclaimer

This document and any oral presentation

accompanying it has been prepared in good faith,

however, no express or implied representation or

warranty is given as to the accuracy or completeness

of the information in this document, in any

accompanying presentation or in any other written or

oral communication transmitted or made available to

any investor or potential investor (collectively, the

“Other Materials”). Nothing in this document, in any

accompanying presentation or in any Other Materials is,

or shall be relied upon as, a promise or representation.

All statutory representations and warranties are

excluded, and any liability in negligence is excluded, in

both cases to the fullest extent permitted by law. No

responsibility is assumed for any reliance on this

document or the accompanying presentation or any

Other Materials.

Without limiting the above, this document, any

accompanying presentation and any Other Materials

may contain forecasts, forward looking statements or

statements as to future affairs which are based on

estimates, assumptions and expectations of Aristocrat

Leisure Limited or its subsidiaries (collectively, the

“Company”) (some or all of which may not be satisfied

or may not occur) that, while used in good faith,

necessarily involve (i) subjective judgments; (ii) inherent

uncertainties; and (iii) significant contingencies, many

of which are beyond the Company’s control or reflect

future business decisions which are subject to change.

Any forecast or financial information presented in this

presentation, any accompanying presentation and any

Other Materials must not be taken as a representation

as to future matters.

Therefore, there can be no assurance that such

forecasts, forward looking statements or statements as

to future affairs will be realised or that the Company's

actual or future results, or subsequent forecasts, will

not vary significantly from such forecasts, forward

looking statements and statements as to future affairs.

The actual results may vary from the anticipated results

and such variations may be material. Any and all

forecasts and financial information in this document, in

any accompanying presentation and in any Other

Materials are not, and shall not be relied upon as, a

promise or representation as to future matters. The

Company’s results may be affected by factors

including, but not limited to, the risks and uncertainties

in competitive developments, regulatory actions,

litigation and investigations, business development

transactions, economic condition, pandemics and

changes in laws and regulations. The Company accepts

no responsibility or liability in relation to the accuracy or

completeness of any forecasts, forward looking

statements or statements as to future affairs, or

whether they are achievable. The Company does not

assume any obligation to revise or update this

document, any accompanying presentation, any Other

Materials or any of the estimates, assumptions or

expectations underlying such forecasts, forward

looking statements and statements as to future affairs.

No representations or warranties are made as to the

accuracy or reasonableness of such estimates,

assumptions or expectations or the forecasts, forward

looking statements or statements as to future affairs

based thereon. Certain data included herein has been

obtained from alternative external sources and as such

may be inconsistent given differing underlying

assumptions and sources. We have not independently

verified information from these external sources.

Disclosures in this document, the accompanying

presentation or any Other Materials are not investment

advice and are not intended to be relied upon as advice

to investors or potential investors and do not take into

account the investment objectives, financial situation or

needs of any particular investor. These should be

considered, with independent professional advice when

deciding if an investment is appropriate. The

information contained in this document (including

tables) has not been audited in accordance with the

Australian Auditing Standards.

This document remains the property of the Company

and the Company reserves the right to require the

return of this document (and any copies or extracts

hereof) at any time. The receipt of this document by

any investor or potential investor shall constitute such

investor’s or potential investor’s acceptance of the

foregoing terms and conditions. For additional

information concerning the Company, please see the

Company’s announcements released on the Australian

Securities Exchange (ASX:ALL).

Financial

Linda AssatourySenior Director, Investor Relations+61 402 283 [email protected]

Media

Natalie TooheyChief Corporate Affairs Officer+61 409 239 [email protected]

For further information, contact:

37