GROUPE PARTOUCHE: First Half-Year: solid income and financial structure / New growth investments

FirstHalf-Year:solid income and financial structure New growth investments Turnover: € 215.6 M(+15 .2%)EBITDA : € 42.7 M compared to €34 .2 M at 1 stHY 2022Net Income : €18 .8 M compared to €24 .6 M at 1 stHY 2022Healthy financial situation : gearing 0 .1x and leverage 0 .5xParis, 27 thJune 2023, 06:00 p.m.   During its meeting held on the 27 thJune 2023 and after having...

PARIS, 27/06/2023 (informazione.it - comunicati stampa - turismo)

First Half- Year: s olid income and financial structure
N ew g rowth investments

Paris, 27 June 2023, 06:00 p.m.   During its meeting held on the 27 June 2023 and after having reviewed the management report of Groupe Partouche Executive Board, the Supervisory Board examined the 1 Half-Year audited accounts 2022-2023 (November 2022 to April 2023).

Solid operational performance driven by the gradual return to normalization of the activity

Over the 1 HY of the financial year, Groupe Partouche continued to record good commercial and operational performance, confirming the return to normal activity since the lifting of the latest health measures in February (Switzerland) and March (France) 2022 according to the areas of implantation which penalized the occupancy of the casinos. This trend thus confirms the momentum already recorded in the second half of the previous financial year.

Therefore, after taking into account several scope effects over the period, Gross Gaming Revenue (GGR) came out with an increase of +17.6% to € 341.0 M and turnover increased by +15.2% to € 215.6 M .

The Group's EBITDA was up by + 24.6% at € 42.7 M (i.e. 19.8% of turnover) compared to € 34.2 M (18.3% of turnover) at 1 HY 2022.

The current operating income (COI) double s at € 19.3 M, compared to € 9.7 M a year earlier, driven by the renewed dynamism in the casino sector whose COI reached € 27.0 M , compared to € 16.0 M at 1 HY 2022 (+ 69.2%) and especially due to:

These trends make the Group confident in the strategy of ramping up the Middelkerke casino integrated in July 2022 (COI loss of € 2.5 M at this stage) from which the Group will launch, subject to the official obtaining of the required license, an online gaming activity in Belgium in partnership with the Betsson AB Group .

At the same time, the COI of the hotels sector is in deficit by - € 2.3 M in the 1 HY 2023, against - € 1.8 m in 1  HY 2022, as well as the sector "Other" at - € 5.4 M, against - € 4.6 M.

Purchases & external expenses increase by € 10 .0 M (+16.5%) reaching € 70.7 M, with particularly:

Employees expenses reached € 87.4 M, up by € 5.5 M due to the increase in activity and employees (+ 2.8%)

Net income is a profit of € 18.8M compared to € 24.6 M at 30 April 2022. As a reminder, the latter benefited from a non-current operating income of € 17.5 M linked to the sale of the stake in the Swiss Crans-Montana casino for € 14.1 M and the resolution of old disputes against the Belgian State for € 3.4 M.

The net income at 1 HY 2023 takes into account the following items:

The financial structure of the Group is extremely healthy and solid considering the cashflow after levies of € 127.8 M, e quity of € 369 .0 M and a net debt of € 38.6 M (constructed in accordance with the terms of the syndicated loan agreement, according to the old IAS 17 standard, excluding IFRS 16)

N ew g rowth investments

The Group's financial situation allows it to pursue the restructuring of its establishments.

Thus, the casino at DIVONNE has undertaken its renovation in order to regain its former splendor with magnified volumes and significant heights. The works began with a major cleaning, now completed, which made it possible to update the semicircular arches and to reopen a multitude of interior bays that will make this casino a fluid, modern and completely renewed space: new gaming rooms, new bar, new restaurant, new atmosphere while preserving the spirit of the place.

The casino at VICHY has also initiated in June 2023, a restructuring, with an enlarged gaming room by the creation of a floor allocated to games and a complete renovation of the restaurant, bar and entrance hall areas.

Upcoming events :

- 3 quarter financial information: Tuesday 12 September 2023, following Paris stock market closure.

- 4 quarter turnover: Tuesday 12 December 2023, following Paris stock market closure.

Groupe Partouche was established in 1973 and has grown to become one of the market leaders in Europe in its business sector. Listed on the stock exchange, it operates casinos, a gaming club, hotels, restaurants, spas and golf courses. The Group operates 41 casinos and employs nearly 3,900 people. It is well known for innovating and testing the games of tomorrow, which allows it to be confident about its future, while aiming to strengthen its leading position and continue to enhance its profitability. Groupe Partouche was floated on the stock exchange in 1995, and is listed on Euronext Paris, Compartment B . ISIN: FR0012612646 - Reuters: PARP.PA - Bloomberg: PARP:FP

FINANCIAL INFORMATION

Groupe Partouche        Phone : 01.47.64.33.45

Valérie Fort, chief financial officer        info-finance@partouche.com

Annex

Consolidated income

(*) considering the application of IFRS 16 which has the automatic effect of improving EBITDA by € 6.9 M in 1HY 2023 and by € 7.0 M in 1HY 2022.

Taxes & duties represent an expense of € 9.6 M compared to € 10.2 M at 1 Half-Year 2022, which is a more normal amount.

The change in amortization and depreciation of fixed assets, down -6.5% to € 24.5 M, reflects the various end of amortization cycles as well as the limitation of renewal investments during the health crisis.

The other operating income & expenses represent a net expense of - € 4.2 M compared to a net income of € 1.4 M at 1 HY 2022, mainly due to:

The operating income reached € 20.0 M compared to € 27.2 M in 1 HY 2022.
Income before tax is a profit of € 18.6 M compared to € 25.8 M in 1 HY 2022.
Share in earnings of equity-accounted associates is stable and not significant.
Consolidated net income of 1 HY is a profit of € 18.8 M compared to € 24.6 M at 30 April 2022. In this net result, the group's share is a profit of € 16.7 M compared to € 24.2 M at 30 April 2022.

Balance sheet

Total net assets as of 30th April 2023 represent € 808.4 M compared to € 798.3 M as of 31 October 2022. The noteworthy changes over the period are as follows:

On the liabilities side, shareholders' equity, including minority interests, went from € 354.0 M at 31 October 2022 to € 369.0 M at 30 April 2023, including a profit for the period of € 16.7 M for the Group share and € 2.1 M for minority interests.

The financial debt decreased by € 8.8 M (current and non-current shares). The following should be mainly taken into account:

Financial structure – S ummary of net debt

The Group's financial structure can be assessed using the following table (constructed in accordance with the terms of the syndicated loan agreement, applying to the old IAS 17 standard, excluding IFRS 16).

(*) The gross deb includes bank borrowings, bond loans and restated financial leases (with the exception of other contracts restated according to IFRS 16 ) , accrued interest, miscellaneous loans and financial debts, bank loans and financial instruments.

(**) The consolidated EBITDA used to determine the “leverage” is calculated over a rolling 12-months period, according to the old IAS 17 standard (that is to say before application of IFRS 16), at namely € 72.4 M at 30/04/2023, € 63.9 M at 31/10/2022 and € 76.8 M at 30/04/2022.

Glossary

The "Gross Gaming Revenue" (GGR) corresponds to the sum of the various operated games, after deduction of the payment of the winnings to the players. This amount is debited of the "levies" (i.e. tax to the State, the city halls, CSG, CRDS).

The «Gross Gaming Revenue» after deduction of the levies, becomes the "Net Gaming Revenue" (NGR), a component of the turnover.

“Current Operating Income” (COI) includes all the expenses and income directly related to the Group's activities to the extent that these elements are recurrent, usual in the operating cycle or that they result from specific events or decisions pertaining to the Group's activities.

Consolidated EBITDA (EBITDA) is made up of the balance of income and expenses of the current operating income, excluding depreciation and provisions related to the operating cycle and one-off items related to the Group's activities included in the current operating income but excluded from EBITDA due to their non-recurring nature.

1 Lifting of the health measures on 13 March 2022 in France and on 16 February 2022 in Switzerland
2 Addition of the Middelkerke casino (Belgium) on 1 st July 2022, opened on 8 th July 2022 after some works, sale of the stake in the Crans -Montana casino on 31 st January 2022 and end of the Le Laurent restaurant concession as of 7 th March 2022.
3 CF press release released on 15 th June 2023 and available on www.groupepartouche.com/finance to read in parallel with that of Betsson https://www.betssonab.com/en/press/betsson-acquires-sports-betting-and-gaming -operator- betfirst - belgium -and-enters-partnership .

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