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Playtech - a platform for growth Investor & analyst day Riga, November 2017

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Page 1: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

Playtech - a platform for growth

Investor & analyst day

Riga, November 2017

Page 2: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

Investor & analyst day 2017 2

12.45 pm to 1.15 pm Shimon Akad A platform for growth

1.15 pm to 2.00 pm Anthony Evans The power of Playtech ONE

2.00 pm to 2.30 pm James Frendo Driving content strategy

2.30 pm to 2.45 pm Edo Haitin & A world-leading offering

Kevin Kilminster

2.45 pm to 4.00 pm Tours of live studio & refreshment break

4.00 pm to 4.30 pm Armin Sageder Disrupting the market

4.30 pm to 5.00 pm Ian Ince The regulatory landscape

5.00 pm to 5.15 pm Andrew Smith Business development and M&A

5.15 pm Mor Weizer Wrap-up

TODAY’S AGENDA

Page 3: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

Investor & analyst day 2017 3

Intelligence of the platform continues to underpin Playtech ONE omni-channel offering

GPAS provides a further evolution of partnership with licensees

scale & breadth of offering remains unrivalled

Data is central to Playtech’s operations and supports all strategic initiatives

Significant growth expected from world’s largest and most technologically advanced Live Casino studio

Fully integrated front-to-back end Sports offering will disrupt the market

Regulation continues to shape the industry and drive quality of earnings

Playtech has a long and successful history of M&A which remains a strategic priority

We have great confidence in our future

KEY TAKEAWAYS

Page 4: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

Investor & analyst day 2017 4

1. Support organic growth

2. Cross-sell products and services

3. Attract new licensees

4. Increasing product, service and distribution capabilities

1

2

3

4

5

6 Acquisitions remain key

Improve quality of earnings

ANOTHER REMINDER OF THE KEY PILLARS OF OUR STRATEGY

Page 5: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

Building the future of gaming

- a platform for growth

Shimon Akad, COO

Page 6: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

Investor & analyst day 2017 6

Landbased operators and media groups best positioned to lead industry

Recognised brand – loyalty and footprint

Retail to online acquisition

Omni players are worth more

Betting and gaming smartly mixed with retail to online

The common acquisition and flow of traffic is sportsbetting to casino for monetization

International expansion - expanding where it makes sense

Multi-territory operators

Growth in international – mature and young markets

Expanding operations through M&A and new launches

MARKET TRENDS

Page 7: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

Investor & analyst day 2017 7

Strength of a multi-regulated platform

Active regulation / platform advantages

Content – only the best will stand out

RGS and technology

Unique content based on quality, branded,

promotions and marketing

Platform and context - Omni

In-house content

MARKET TRENDS

Consolidation – what does it mean?

In-house vs outsourcing

Volume vs economies of scale

Innovation

Playtech innovation lab

Innovation is key for online/tech software

houses

GPAS

Page 8: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

Investor & analyst day 2017 8

CONTENT ECOSYSTEM - GPAS

MobileDesktop

‘Playtech will develop a next generation content “ecosystem” with unified

games delivery platform & developer program. Enabling accelerated

maths creation for games and full licensee game discovery capabilities

across all channels’

Page 9: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

Investor & analyst day 2017 9

GPAS & RYOTA MATHS EDITOR

GPAS

Successful launch

Fast efficient flexible

Constantly evolving

Highlights

Drag and drop maths engine creation features

Slots (Including many slots features)

Picks

Compose any number of features

Real-time stats (RTP) calculation

Model sharing & collaboration

Component reuse within and between games

Immediate deployment

Page 10: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

Investor & analyst day 2017 10

POP – PLAYTECH OPEN PLATFORM

Playtech innovation lab product

Cloud based

Flexible and simple APIs

An extension of our platform to run third party games

Manage the operator’s entire gaming floor

xxx

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Investor & analyst day 2017 11

CONTENT ECOSYSTEM

Marketplace

Page 12: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

Investor & analyst day 2017 12

Dynamic Game

Discovery

RGS

1

RGS

2

GPAS

RGS

5

RGS

4

RGS

3

CONTENT PROVIDER

New game deployed

MARKETPLACE

New game discovered

CONTENT PROVIDER

New game profile created

PLAYTECH CONTENT

MANAGEMENT

Game reviewed and

approved for qualifying

licensees

LICENSEE

Game is available for

instant licensing by

qualifying licensees

MARKETPLACE

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Investor & analyst day 2017 13

Big data will provide licensees with

targeted and specialised content

recommendations

Live search for games matching

performance metrics and demographics

Utilisation of big data to drive player

acquisition and player retention

MARKETPLACE INTELLIGENCE

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Investor & analyst day 2017 14

High value reports only – users must have the information they need at their fingertips

Dashboard that provides game performance, benchmarking, game clustering and activity reports

Capability to provide users with ability to drill into details of interest

MARKETPLACE INTELLIGENCE

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Investor & analyst day 2017 15

DA VINCI OMNI-CHANNEL CONTENT

Landbased sports

SSBTs

Landbased bingo

ECM

Landbased casinos

VB

IGS

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Investor & analyst day 2017 16

CONTENT ECOSYSTEM - GPAS

“Playtech will develop a next generation content “ecosystem” with

unified games delivery platform & developer program. Enabling

accelerated maths creation for games and full licensee game

discovery capabilities across all channels.”

Desktop Mobile Retail

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Investor & analyst day 2017 17

Flexible approach

Third party supplier

Data driven

Real-time

AI

PLATFORM EVOLUTION

Cloud

Superior ROI

Self learning & intuitive

Simplicity turns good into great

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Investor & analyst day 2017 18

CASINO PLATFORM FOCUS

Casino Platform focus

Smart bonusing

Real time reaction to player needs

Smart content planning in advance

Marketing of content

Communications

Excellence in quality

Page 19: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

Investor & analyst day 2017 19

Landbased and online

Content is more than just content

Platform the key differentiator

Internationalisation and consolidation

Gaming ecosystem – GPAS, POP and

MP

KEY TAKEAWAYS

Omni-channel focus

Upside in the platform – big data / AI /

simplicity of use

Playtech products and services – a

complete offering

Page 20: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

The power of Playtech ONE

Anthony Evans, Head of Product Strategy

Page 21: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

Investor & analyst day 2017 21

PLAYTECH ONE

ONE Wallet ONE View ONE Platform

Page 22: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

Investor & analyst day 2017 22

PLAYTECH ONE FOUNDATIONS

PERSONALISATION &

COMMUNICATION

Bespoke player

experience, enabled

by segmentation and

supported by real-time

communication tools

CONTENT

Play any product, all

channels, locations

and devices

CRM & LOYALTY

Automated data-driven,

real-time, BI marketing

tools and bonus engine

USER EXPERIENCE

Seamless, responsive,

adaptive gameplay

across all channels

and devices

WALLET

ONE wallet,

ONE view,

ONE platform

Page 23: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

Investor & analyst day 2017 23

FULL SOLUTION

Native Apps

(mobile, tablet)

Retail Machines

(EPOS, SSBTs & FOBTs)

Retail OTC

(Sports & Lottery)

Sportsbook Poker TV Games Live Marketplace Casino Virtual Sport Lottery Bingo

IMS

Desktop & Mobile

Pla

yte

ch

ON

E

Portal

Bu

sin

ess In

tellig

en

ce

Bonusing Suite Loyalty Mgmt.

Risk & FraudKYC

BI & Game Advisory Player Management Engagement Platform Communications

System ManagementPaymentsReportingPersonalisation Tools

Page 24: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

Investor & analyst day 2017

PLAYTECH ONE BETTING SHOP

Page 25: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

Investor & analyst day 2017 25

Retail

App

Virtual Cards

Retail App

Retail Hub

Enhanced Modifier

Games

In-game

Messagin

g

2 3

Virtual

Cards

Retail

App

Leaderboards

Retail Hub

Enhanced Modifier

Games

In-game

Messaging

Cross Product

Brands &

Jackpots

Behavioural Analytics

& BI

Cross

Product

Triggering

PLAYTECH ONE INNOVATIONS

Page 26: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

Investor & analyst day 2017 26

PLAYTECH ONE INNOVATIONS

S L O T S

R O U L E T T E

P O K E R

L I V E R O U L E T T E

R E TA I L G A M E

B I N G O

C O M I N G

S O O N

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Investor & analyst day 2017 27

A DATA DRIVEN COMPANY

Unique reporting & analytics for licensees

Machine learning techniques for harm minimisation (BetBuddy) & fraud detection

Behavioural analytics to drive marketing & personalisation – “smart platform”

AI to drive marketing efforts: player segmentation, propensity modelling & real-time Interventions

Key 2017-18 Deliverables:

Data driven marketing – engagement platform

Content recommendations

Smart clients - slots default bet & chip selection

Page 28: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

Investor & analyst day 2017 28

CORE SYSTEM DEVELOPMENTS – SMART PLATFORM

Loyalty Mgmt. &

Gamification

Engagement Platform

Bonusing SuiteCommunications

Tools

Central loyalty system

Flexible usage

Leader-boards

Data driven

Tax mitigation

Omni-channel

Central bonusing engine

Meta data

Data driven

Tax mitigation options

Modifier bonus

Omni-channel

Full suite of communications

Real-time engagement

In-game messaging

Connected to chat

Data driven

Omni-channel

BI

Content

Modifier bonuses

In-game messaging

Cross product jackpots

Cross product brands

Engagement games

Page 29: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

Investor & analyst day 2017 29

SMART PLATFORM

Smart Default Bet

Smart Chip

Selection

Smart Deposit

Buttons

Page 30: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

Investor & analyst day 2017 30

SMART PLATFORM

Additional algorithms available for licensees

Churn detection (Casino & Poker)

LTV

Fraud detection (Live)

Abandoned games

Segmentation models (Casino & Poker)

First time depositors (in progress)

Page 31: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

Investor & analyst day 2017 31

BETBUDDY: RESPONSIBLE GAMING AI

IMS

Page 32: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

Driving content strategy

James Frendo, Director of Casino

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Investor & analyst day 2017 33

My Background

12 years in industry

Roles in customer management, VIPs, operations, CRM,

product and commercial

Experienced two mergers & casino strategy

Objectives

Increase share of wallet

Acquire and retain efficiently

Act responsibly, develop USPs, build bespoke customer

experiences

Flexible marketing tools and best content

A B2C PERSPECTIVE

Industry trends & adjusting to the “new normal”

More costs & suppressed margins

POC on free bets, horseracing levy, steeper acquisition

costs, FOBT stake reductions, adjusting to multi-

jurisdiction regulations

More Restrictions

ASA, CMA, UKGC, CAP, Responsible Gaming, stake

factoring, context wagering

More sophisticated & demanding customers

UX design, CX, higher customer standards

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Investor & analyst day 2017 34

Did well

Started delivery of more synchronised releases

(desktop and mobile versions)

Conversion of 100+ flash games to desktop

Delivered new games in order to mitigate Marvel end

of license

Launched royalty free brand – Age of the Gods

Ramped up high visibility network promotions

Scored better on licensees satisfaction and game

quality

Began the shift from Waterfall to Agile methodology

Scoped & initiated plans to remove games from

platform

CONTENT CONSIDERATIONS

In progress

Communicate our games more effectively

Measure/map games success criteria (indexing)

Focus launches before key marquee dates (Cheltenham, Grand National etc)

QA of important titles and priority escalations

Expand certifications & translations for regulated

Page 35: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

Investor & analyst day 2017 35

CONTENT STUDIOS

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Investor & analyst day 2017 36

CONTENT PILLARS

Signature Reach Reliability Value

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Investor & analyst day 2017 37

Aim

Reinforce trust

Local heroes

Best value for money

Guidance

Anticipate the market

Use R&D team & focus groups

Collaborate with your licensees

Be daring! Innovate

Operational

Leverage scale, use the shared resources

Deconflict

Agile builds

CONTENT STRATEGY

Measuring the success criteria

Costs / attributes / relative distribution multiplier

True ROI

Distribution

Marketplace

Self-service for marketing teams

Test, configure, publish, track

Sales

Intelligent, data driven approach

Page 38: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

Investor & analyst day 2017 38

JUSTICE LEAGUE

Launching in time with the film release on

the 17th Nov

Significant promotional spend

Multi-jurisdictional, for all regulated regions

Several brand approved asset packs to

choose from

Released to licensees in production

environments, under password lock screens

Jackpot game based

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Investor & analyst day 2017 39

BESPOKE CONTENT & EXCLUSIVES

Playtech open Platform (POP)

Serves as an integration hub for 3rd party Gaming systems (RGS) and Playtech Gaming Platform

Game Platform As a Service (GPAS)

Provides the ability for internal and external content units to author games

Handles all platform functions to manage the game

Allows games to be authored once and deployed into multiple channels and verticals

GPAS Core Services (RNG, persistence, game history, etc.)

Ryota maths editor and run-time engine

Game Development Kit (GDK), client framework

GPAS connects to POP as a Remote Gaming Server (RGS)

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Investor & analyst day 2017 40

MARKETPLACE: HAVE IT YOUR WAY

RGS1

RGS2

GPAS

RGS

5

RGS4

RGS3

Dynamic Game

Discovery

Set up

Commercials

Install

Game

Set up

Game Profile

Licensees can configure games directly from the

Marketplace similar to the App Store concept

The solution to manage content from multiple RGS providers

Page 41: Playtech - a platform for growthplaytech-ir.production.investis.com/~/media/Files/P/Playtech-IR/... · Playtech - a platform for growth Investor ... 2.00 pm to 2.30 pm James Frendo

Investor & analyst day 2017 41

Discover

Configure

Deploy

A new game!

I need to

increase my

margin

I want to push a

free spins

promotion, but

need to control

costs. <=25 lines

I have a high

roller cohort,

configure higher

limits for them

Branded Jackpot

games are great for

acquisition, I’ll deploy

on homepage

My customer base

AVPUs increase

well with sticky

wilds

MARKETPLACE

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Investor & analyst day 2017 42

Platform stream Games stream

Reduces operational overhead

Better scheduling & promo planning

Builds roadmap confidence

Games less impacted by code freezes

PLATFORM: REMOVING DEPENDENCY

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Investor & analyst day 2017 43

LOOKING AHEAD

Customer profiles: Deal chasing, snacking, play to win

Source: Direct, xsell, trialists (1-day players)

Value banding: VIPs, higher roller, causal etc

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A world leading offering

Edo Haitin, CEO Playtech EuroLive

Kevin Kilminster, Head of Live Innovation

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Investor & analyst day 2017 45

Playtech Live is the complete end-to-end market leading solution

Extensive functionality and tools capability, unmatched within the

Live market

Market leading & seamless UX, with omni-channel capability

Fastest developing Live supplier on the market

Tier 1 sportsbook preferred supplier of choice

Global presence with 5 operational facilities

Solid platform with a yearly uptime of 99.98%

Engaging products supporting cross-sell

OVERVIEW OF PLAYTECHLIVE DEALER

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Investor & analyst day 2017 46

260+ million cards dealt in 2017 so far

1,600+ hours of uninterrupted gameplay daily

Roulette balls spun this year have travelled over 385,000

kilometers - enough to get to the moon

1.2 km sq.used on dealer uniforms

720 hours spent rewarding our dealers with team building

events

Milk - 17,000 litres per year

Coffee - 2.2 tons per year

INTRODUCING RIGA

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Investor & analyst day 2017 47

Purpose built, advanced tailor made Live dealer

Largest migration and investment into Live dealer

Seamless migration over 7 months

Mission control center to facilitate operational standards

Network operations center to monitor and ensure a safe and

secure solution

Extension technology improvements, embedded within the

facility

Re-engineered training facility capable of handling our extensive

hiring requirements

Visible improvement of staff morale, growing retention and

organic acquisition of live dealers

New facility presents us with significant capability for growth and

advanced services

RIGA: FACTS AND FIGURES

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Investor & analyst day 2017 48

CORE FOUNDATIONS

First class 24/7 service experience for our customers

Multi-layer segmented experiences, offering a greater diversity in choice

3rd Party validation ensuring our product remains market leading

Power of Playtech in the players hand

Unique solution only Playtech has the capability to deliver

Creating a seamless experience through our own liquidity

Extensive portfolio of existing in-house innovations

Capability to mould our own vision

Experience is everything

Customer led decisions

Inspired to innovate

Playtech ONE

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Investor & analyst day 2017 49

Multi segmented experience portfolio (Product / Live / ONE)

Extensive and ambitious product investment for our long-term strategy

‘Live 2’ enabling faster to market delivery, presenting a feature rich tool and

functionality capability

New UI solution, improving players experience and performance

Augmented and video wall technology, the new standard in Live casino

Investment in the future of our customers

Unique data content management ability

New application to studio management technology

NEXT GENERATION

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Investor & analyst day 2017 50

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Investor & analyst day 2017 51

Ability to take Live dealer in a new content direction only

Playtech can deliver

Delivers a product for the next generation of Live casino

customer

Jackpot solution unique to Playtech, improving liquidity

and increasing customers cross-sell capability

Life changing amounts for the first time to Live Dealer

600 Content titles within Playtech for Live to utilise for

long-term strategy plans

New way to harness dealer capability, outside the VIP

format

LIVE WITHIN PLAYTECH ONE

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Investor & analyst day 2017 52

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Investor & analyst day 2017 53

Expand game portfolio to further strengthen market leading position

Strengthen tools and functionality to grow market share, and further develop customers

Invest further in innovative products and experiences

Strong continuation in 2018 of the Playtech ONE vision and strategy

Utilise new space capability to acquire new clients with fast delivery to market

A SIGNIFICANT OPPORTUNITY

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Live studio tour

Two groups please

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PBS: disrupting the market

Dr Armin Sageder, CEO Playtech

BGT Sports

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Investor & analyst day 2017 56

Contract extensions agreed with Paddy Power, BetFred, Boyles, Jennings & 10+ independents

20%+ increase in sited terminals despite the removal of William Hill terminals

By year end, terminals in every Ladbrokes, PP, Coral, BetFred, Boyles & Stan James shop

Racing now established on SSBTs via exclusive Racing Post app - only football has higher turnover than Racing

Leading the omni channel experience for mid-sized and independent operators via the deployment of market leading Bet Tracker app

2017 HIGHLIGHTS: UK

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Investor & analyst day 2017 57

2017 HIGHLIGHTS: REST OF THE WORLD

Spain and Andalucia

Codere

Winner

Developments in Columbia

Codere

Sportium

Megared

Easybet 7 in Austria signed

Tills and terminals

Betting in Belgium

Digital sportsbook

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Investor & analyst day 2017 58

OPAP

SSBT GO-LIVEVIRTUALS FOOTBALL ON

SSBT

OTC IN-PLAY GO LIVE - 4500 SHOPS

1800 SSBTS LIVE

OTC PRE-MATCH GO LIVEVIRTUALS FOOTBALL PLAYSLIP (SINGLE MATCH)

OTC COMBINED TILLGREYHOUND + VIRTUALS

REMAINDER

2-Aug 24-Oct 1-Nov31-Dec

26-Feb

1-Jul1-Jul

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Investor & analyst day 2017 59

PBS CORE COMPETENCIES

C O M P E N T I C E S

Sofia

Trading

operation

Bremen

Transaction

system

London

Sports

content &

bonus

Malmö

Digital

Vienna

Retail

Nicosia

IP

development

Cyprus

IP

deveopment

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Investor & analyst day 2017 60

PRODUCT UPDATE

Achieved

First version of new PBS Online

Mobile product is available!

IMS Digital integration

Statscore content integration

Free bets bonusing & promotions

pages

Ongoing

SaaS Portal integration, B2C requirements

Tier 1 Product

Cashout enhancements

Optimised navigation, CMS controls

Horse racing & greyhounds

Virtuals

Bet recommendation engine, request a bet

Advanced Bonus Engine

Pre-wager deposit bonus integration

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Investor & analyst day 2017 61

DISRUPTING THE MARKET

Expertise across all elements of the

supply chain

PBS is the only real omni-channel

system on the market

Key content distribution agreementsCross-channel BI

Big data built-in

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Investor & analyst day 2017 62

2018 PLANS

UK

Contract extensions / additional terminals

Build on the Racing Post model

In-game features

Development of hardware options

Australia

Maximise Generation Web acquisition

Actively target EBT operators

Greece and SE

Massive roll out with OPAP 4700 Tills, 15.000 BEPS

Italy

LATAM

Mexico omnichannel

Columbia omni-channel

Germany & Austria

Omnichannel Germany

CEE

Expand with Novomatic omnichannel

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Investor & analyst day 2017 63

ICE 2018

PBS on the Playtech stand PBS stand

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The regulatory landscape

Ian Ince, Head of Regulatory Affairs and

Compliance

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Investor & analyst day 2017 65

COMPLIANCE AT PLAYTECH

Gambling compliance

Regulatory affairs

Due diligence on

M&A

Data protection

CSROperational

oversight

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Investor & analyst day 2017 66

GOVERNANCE AND OVERSIGHT

Board sponsors

External risk assesment &

assuranceInternal audit

Board risk committee

Annual reports on AML

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Investor & analyst day 2017 67

RESPONSIBLE GAMBLING

CMA

ASA

FOBT

UKGC

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Investor & analyst day 2017 68

BETBUDDY

Utilising data in IMS

Lead industry in creating safe and fun

gambling ecosystem

Will influence games design and

development in future

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Investor & analyst day 2017 69

* 15% up to gross revenues of 5M euros. Exceeding revenues are taxed using the following formula:

Tax = [15% c (annual gross revenues/5M euros)]. This flexible tax rate is limited to 30% of GGR.

** Tournament-type games are taxed at 25% GGR.

*** The current regulations in Greece do not explicitly state that online casino is permitted, however, it does not prohibit it either.

Transitional licences have been issued to operators and are valid until an international bidding competition occurs.

**** Technical games are taxed at 35% GGR

Multi-licensing regime

Restricted and/or unregulated

Legislation in process

Turnover

Gross Gaming Revenue

NORWAY

SWEDEN FINLAND

UNITED

KINGDOM

IRELAND

FRANCE

GERMANY

POLAND

DENMARK

NETH.

BEL.

LUX.

HUNGARY

ROMANIA

SPAINPORTUGAL

ITALY

AUSTRIASWITZ.

BULGARIA

GREECE

MALTA

LITHUANIA

LATVIA

ESTONIA

CZ SLOV.

12%

10%

10%

18%

16%

20%

35%***

15%**

20%

15%

11%

25%15%*

5%

CROATIA

ONLINE CASINO REGULATION IN THE EEA

20%

23%****

12%

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Investor & analyst day 2017 70

FUTURE GAMBLING REGULATION: EUROPE

Netherlands - Passed 2018 - license award Q1 2019

Switzerland - In process now pending referendum - Q3/4 2018 tbc

Germany - Federal Court Internet ban - catalyst for change?

Others - Q1 Sweden 2019 tbc

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Investor & analyst day 2017 71

FUTURE REGULATION: ASIA

Philippines

Playtech licensed by PAGCOR

Uncertain political climate

Contingency plans in place

N O E X P E C TAT I O N O F C H A N G E

China / Malaysia

Risk-based approach

Payment processing

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Investor & analyst day 2017 72

FUTURE REGULATION: INDIA

Nagaland open to skill games (poker / rummy)

Sikkim

State model - no federal legislation expected

Very slow burn

Working with the British Council of India

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Investor & analyst day 2017 73

FUTURE REGULATION: LATAM

Colombia – regulated 1st Jan 2017

Brazil – market estimation c. €3bn, elections Nov 2018

Chile – potential for 2018

Peru – bill to be proposed by end 2017

Mexico – update to regulation stalled

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Investor & analyst day 2017 74

FUTURE REGULATION: UNITED STATES

No gambling presence

PASPA repealed - 2021 tbc but still no casino?

Potential retail opportunity

New Jersey / Nevada / Delaware / Pennsylvania - no commercial argument to obtain licence

Complicated market - different lobbying activities, added factor of Tribal issues to overcome

No expectation of it changing in next 12 months

We continue to monitor

Ability to penetrate should a commercial opportunity presents itself

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Investor & analyst day 2017 75

FUTURE REGULATION: AFRICA

Reduced on-line Playtech activity - consolidation of sport under PBS

Currently supporting licensees in:

Nigeria

Kenya

South Africa

Ghana

Retail opportunities

Low regulatory risk, higher AML / ABC risk

High levels of due diligence and local legal opinions

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Business development

and M&A strategy

Andrew Smith, CFO

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Investor & analyst day 2017 77

BUSINESS DEVELOPMENT AND M&A TEAM

The team

Team of eight

Supported by other teams from within Playtech as appropriate (finance, tax, legal, compliance)

Responsibilities

Implementing the board's high level strategy

Identifying and pursuing opportunities in new and existing markets, including soon to be or newly regulated markets

Increasing our landbased penetration and B2C opportunities in certain markets

Sourcing and creating opportunities for collaborations, acquisitions and investments in companies

Creating and maintaining relationships with studios and rights owners to enhance our brands portfolio

M&A

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Investor & analyst day 2017 78

Benefits of JVs and structured agreements include

Allows Playtech to partner with the best brands and operators in any given jurisdiction

Great involvement in operations – more than just a software provider

Approaching B2C economics in a B2B context

Examples to date include:

William Hill Online

Ladbrokes

Caliente

Marca

Many other opportunities being evaluated

JOINT VENTURES & STRUCTURED AGREEMENTS

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Investor & analyst day 2017 79

BRANDED CONTENT

Benefits both Playtech and its licencees

Playtech’s scale allows it to purchase branded content for the benefit of ALL licencees

Branded content is a key marketing tool for operators

Playtech maintains key relationships with film studios and other brands

Examples include Marvel, DC Comics and numerous films (Gladiator, Top Gun, Dirty Dancing to

name but a few)

Potential for broadening the future approach such as sports, music and even more films

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Investor & analyst day 2017 80

18 YEAR TRACK RECORD OF SUCCESS

Founded

Listed on the main

market of the

London Stock Exchange

1999 2006 2008 2011 2013

Listed on AIM

William Hill acquires

Playtech’s 29% share of

WHO joint venture for

£424m

William Hill Online (WHO)

joint venture agreed

Playtech acquires PTTS from

Worldwide Online Enterprises

2012 2015 2016 2017

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Investor & analyst day 2017 81

EVALUATING M&A TARGETS

81

Profitable, highly cash generative

businesses with a focus on high

quality regulated revenue

Ability to leverage revenue and

cost synergies

Driven by similar DNA, core

competencies, with a strong

cultural fit

Well-invested assets at a

strategic or operational inflection

point in their development

Strong management with proven

track record, incentivised to grow

the business post-acquisition

Strong financial metrics

earnings accretion

returns vs WACC, etc.

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Wrap-up

Mor Weizer, CEO

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Investor & analyst day 2017 84

Intelligence of the platform continues to underpin Playtech ONE omni-channel offering

GPAS provides a further evolution of partnership with licensees

scale & breadth of offering remains unrivalled

Data is central to Playtech’s operations and supports all strategic initiatives

Significant growth expected from world’s largest and most technologically advanced Live Casino studio

Fully integrated front-to-back end Sports offering will disrupt the market

Regulation continues to shape the industry and drive quality of earnings

Playtech has a long and successful history of M&A which remains a strategic priority

We have great confidence in our future

KEY TAKEAWAYS

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Thank you