MONTREAL, Jan. 21,
2016 /CNW/ - Amaya Inc. (NASDAQ: AYA; TSX: AYA)
today provided an update to its 2015 full-year financial guidance
as previously announced on November 10,
2015.
Amaya currently expects Revenues, Adjusted
EBITDA, Pro Forma Adjusted Net Earnings and Pro Forma Adjusted Net
Earnings per Diluted Share to each fall within the upper end of the
previously announced guidance ranges, and Adjusted Net Leverage
Ratio to fall within the lower end of the previously announced
guidance range.
There were no material changes to the assumptions
used to determine the previously announced guidance or the update
provided in this release. Such update is based on unaudited
expected results. All guidance ranges, except for Adjusted Net
Leverage Ratio, which Amaya calculates in USD, are based on a
guidance exchange rate of CAD1.26 =
USD1.00. Adjusted EBITDA, Pro Forma
Adjusted Net Earnings (including Pro Forma Adjusted Net Earnings)
and Pro Forma Adjusted Net Earnings per Diluted Share, and Adjusted
Net Leverage Ratio (including Adjusted Net Debt) are non-IFRS and
non-U.S. GAAP measures.
Amaya anticipates providing details for its
full-year 2015 earnings release and conference call and webcast in
the near future.
About Amaya
Amaya is a leading provider of technology-based
solutions, products and services in the global gaming and
interactive entertainment industries. Amaya owns gaming and related
consumer businesses and brands including PokerStars, Full Tilt,
BetStars, StarsDraft, the European Poker Tour, PokerStars Caribbean
Adventure, Latin American Poker Tour and the Asia Pacific Poker
Tour. These brands have more than 97 million cumulative registered
customers globally and collectively form the largest poker business
in the world, comprising online poker games and tournaments, live
poker competitions, branded poker rooms in popular casinos in major
cities around the world, and poker programming created for
television and online audiences. Amaya, through certain of these
brands, also offers non-poker gaming products, including casino,
sportsbook and daily fantasy sports. Amaya has various gaming and
gaming-related licenses or approvals throughout the world,
including from the United Kingdom,
Italy, France, Spain, Estonia, Belgium, Denmark, Bulgaria, Greece, Ireland, Romania, the Isle of
Man, Malta, the State of
Schleswig-Holstein in Germany, the Province of Quebec in Canada, and the State of New Jersey in the United States.
Cautionary Note Regarding Forward Looking
Statements
This news release contains forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995 and applicable securities laws, including,
without limitation, certain financial expectations and projections.
Forward-looking statements can, but may not always, be identified
by the use of words such as "anticipate", "plan", "continue",
"estimate", "expect", "may", "will", "project", "predict",
"potential", "targeting", "intend", "could", "might", "would",
"should", "believe", "objective", "ongoing" and similar references
to future periods or the negatives of these words and expressions.
These statements, other than statements of historical fact, are
based on management's current expectations and are subject to a
number of risks, uncertainties, and assumptions, including market
and economic conditions, business prospects or opportunities,
future plans and strategies, projections, technological
developments, anticipated events and trends and regulatory changes
that affect us, our customers and our industries. Although Amaya
and management believe the expectations reflected in such
forward-looking statements are reasonable and are based on
reasonable assumptions and estimates, there can be no assurance
that these assumptions or estimates are accurate or that any of
these expectations will prove accurate. Forward-looking statements
are inherently subject to significant business, economic and
competitive risks, uncertainties and contingencies that could cause
actual events to differ materially from those expressed or implied
in such statements. Specific risks and uncertainties include, but
are not limited to: the heavily regulated industry in which Amaya
carries on business; interactive entertainment and online and
mobile gaming generally; current and future laws or regulations and
new interpretations of existing laws or regulations with respect to
online and mobile gaming; potential changes to the gaming
regulatory scheme; legal and regulatory requirements; ability to
obtain, maintain and comply with all applicable and required
licenses, permits and certifications to distribute and market its
products and services, including difficulties or delays in the
same; significant barriers to entry; competition and the
competitive environment within Amaya's addressable markets and
industries; impact of inability to complete future acquisitions or
to integrate businesses successfully; ability to develop and
enhance existing products and services and new commercially viable
products and services; ability to mitigate foreign exchange and
currency risks; ability to mitigate tax risks and adverse tax
consequences, including, without limitation, the imposition of new
or additional taxes, such as value-added and point of consumption
taxes, and gaming duties; risks of foreign operations generally;
protection of proprietary technology and intellectual property
rights; ability to recruit and retain management and other
qualified personnel, including key technical, sales and marketing
personnel; defects in Amaya's products or services; losses due to
fraudulent activities; management of growth; contract awards;
potential financial opportunities in addressable markets and with
respect to individual contracts; ability of technology
infrastructure to meet applicable demand; systems, networks,
telecommunications or service disruptions or failures or
cyber-attacks; regulations and laws that may be adopted with
respect to the Internet and electronic commerce and that may
otherwise impact Amaya in the jurisdictions where it is currently
doing business or intends to do business; ability to obtain
additional financing on reasonable terms or at all; refinancing
risks; customer and operator preferences and changes in the
economy; dependency on customers' acceptance of its products and
services; consolidation within the gaming industry; litigation
costs and outcomes; expansion within existing and into new markets;
relationships with vendors and distributors; and natural events.
Other applicable risks and uncertainties include those identified
under the heading "Risk Factors and Uncertainties" in Amaya's
Annual Information Form for the year ended December 31, 2014 and in its Management's
Discussion and Analysis for the period ended September 30, 2015, each available on SEDAR at
www.sedar.com, EDGAR at www.sec.gov and Amaya's website at
www.amaya.com, and in other filings that Amaya has made and may
make with applicable securities authorities in the future.
Investors are cautioned not to put undue reliance on
forward-looking statements. Any forward-looking statement speaks
only as of the date hereof, and Amaya undertakes no obligation to
correct or update any forward-looking statement, whether as a
result of new information, future events or otherwise, except as
required by applicable law.
Non-IFRS and Non-US GAAP Measures
This news release references non-IFRS and
non-U.S. GAAP financial measures, specifically Adjusted EBITDA, Pro
Forma Adjusted Net Earnings, Pro Forma Adjusted Net Earnings per
Diluted Share and Adjusted Net Leverage Ratio. Amaya believes
these non-IFRS and non-U.S. GAAP financial measures will provide
investors with useful supplemental information about the financial
performance of its business, enables comparison of financial
results between periods where certain items may vary independent of
business performance, and allows for greater transparency with
respect to key metrics used by management in operating its
business. Although management believes these financial
measures are important in evaluating Amaya, they are not intended
to be considered in isolation or as a substitute for, or superior
to, financial information prepared and presented in accordance with
IFRS or U.S. GAAP. They are not recognized measures under IFRS or
U.S. GAAP and do not have standardized meanings prescribed by IFRS
or U.S. GAAP. These measures may be different from non-IFRS and
non-U.S. GAAP financial measures used by other companies, limiting
its usefulness for comparison purposes. Moreover, presentation of
certain of these measures is provided for year-over-year comparison
purposes, and investors should be cautioned that the effect of the
adjustments thereto provided herein have an actual effect on
Amaya's operating results. Amaya uses the following non-IFRS and
non-U.S. GAAP measures in this release:
Adjusted EBITDA means net earnings (loss) from
continuing operations before interest and financing costs (net of
interest income), income taxes, depreciation and amortization,
stock-based compensation, restructuring and other non-recurring
costs.
Pro Forma Adjusted Net Earnings means Adjusted
Net Earnings that is pro forma as if the divestiture of the entire
B2B business occurred at December 31,
2014. Adjusted Net Earnings means net earnings from
continuing operations before interest accretion, amortization of
intangible assets resulting from purchase price allocation
following acquisitions, stock-based compensation, foreign exchange,
and other non-recurring costs. Adjusted Net Earnings per
Diluted Share means Adjusted Net Earnings divided by Diluted
Shares. Diluted Shares means Amaya's common shares on a fully
diluted basis, including options, warrants and convertible
preferred shares, using a denominator of 208 million shares, which
is the assumption used in Amaya's full year 2015 guidance.
Adjusted Net Leverage Ratio means Adjusted Net
Debt divided by Adjusted EBITDA. Adjusted Net Debt means total
financial leverage minus cash (with cash including funds in excess
of working capital requirements that Amaya currently expects to
have set aside for the deferred payment that will be in Restricted
Cash in Amaya's audited consolidated financial statements for the
year ended December 31, 2015) plus
current investments less customer deposits liabilities, and after
giving effect to the divestiture of the entire B2B business. This
does not assume potential cash from the exercise of warrants with
maturity dates extending beyond 2015.
SOURCE Amaya Inc.