©marvel
annu al repo rt and accounts
fo r the ye ar ended 31 d ecembe r 2013
t he ultim ate pl aye r j ou rney
playtech plc annual report and accounts 2013 strategic report
about u s
co rpo ra t e recognit ion
playtech is the world’s largest online gambling software and services supplier traded  
on the london stock exchange’s main market offering cuttingedge value added  
solutions to the industry’s leading operators playtech’s approach has been centred on the 
continual development of bestofbreed gambling products content and services built 
upon strong partnerships with our licensees
playtech has the most comprehensive product suite in the market fully integrated into a 
broad crossplatform offering our stateoftheart information management solution ims 
enables players to gamble online on mobile and on retail serverbased gambling terminals 
through a single account and wallet
the products services and distribution channels offered establish playtech as the ultimate 
onestopshop for operators in regulated markets and pioneering attitude toward new 
regulating markets plays a key role in its continued success
playtech’s licensees include established online operators sportsbooks and entertainment 
brands looking to upgrade or diversify their offering including bet365 betfair  ladbrokes 
paddy power  sisal sky snai titan william hill and winner  governance financial statements s trategic report
strategic report
in thi s year’s repo rt
01
playtech plc  
annual report and accounts 2013
strategic report
02 the ultimate player journey
04 what sets us apart
05  our scale
06  our offering
07  our sophisticated technology
08  our content
09  our multiple channels
10  our mobile future
11  our people
12  financial highlights
13  chairman’ s statement
14  our business model
16 our strategy
financial statements
76 independent auditors’ report
79 consolidated statement of comprehensive income
80  consolidated statement of changes in equity
81 consolidated balance sheet
18  our marketplace
22  chief executive’ s review
28  financial review
34  managing risks
36  our sustainability
82   consolidated statement  
of cash flows
84  notes to the financial statements
ibc  fiveyear financial summary
governance
42  board of directors
44  corporate governance and committee reports
57  introductory letter on behalf of the remuneration committee
58  remuneration policy report 2014
64  annual report on remuneration 2013
70  directors’ report
74  directors’ responsibility statements 
in this section our 
chairman alan jackson 
discusses what 
corporate governance 
means to us
what sets us apart
see pages  
for more detail
4 11
pl aytech
u sing your smartphone scan 
this code to access our website 
or visit  
wwwplaytechcom
to unified
platform
strategic report
t he ul tima t e play er jou rney
0815 am
on the 
move
125 pm
at lunch
unified
platform
ims
all
product 
verticals
all
distribution 
channels
02
playtech plc  
annual report and accounts 2013 03
playtech plc  
annual report and accounts 2013
unified pl a tf orm 
playtech’s ims is a cuttingedge 
platform offering crossproduct cross
platform capabilities that provide full 
visibility and control of the entire player 
lifecycle its analytic tools enable 
operators to generate higher returns 
all product 
vertic als 
playtech offers a full suite of leading 
product verticals combined with an 
open platform for external content 
along with ancillary services including 
marketing operational support 
advisory and network management 
all dist ributi on 
channels 
playtech’s offering is channelagnostic 
and we are the only supplier to offer 
a converged retail web and mobile 
offering
630 pm
at home
1145 pm
anywhere 
you like
g overnance f inancial statements s trategic report
03
playtech plc  
annual report and accounts 2013 04
playtech plc  
annual report and accounts 2013
strategic report
wha t set s us apart
our
scale
p5
our
offering
p6
our
people
p11
playtech has significant scale and offers the broadest range of gambling products and 
ancillary services underpinned by a stateoftheart technology platform which unites 
all product verticals an extensive content library third party content and complementary 
services these are delivered seamlessly through multiple channels including web mobile 
live and broadcast enabling players to move effortlessly between product verticals using 
one wallet maximising player value and ultimately licensee revenue
all this is delivered by a dedicated and marketleading group of over 3400 talented people 
in 1 2 countries
our
mobile  
future
p10
our
sophisticated
technologies
p7
pl aytech
our
multiple 
channels
p9
our
content
p8 05
playtech plc  
annual report and accounts 2013
governance financial statements s trategic report
our 
scale
playtech is the largest online gambling 
software and services provider  enabling 
its 1 20 licensees to operate more than 
200 websites in over 200 jurisdictions
more than 3400 employees including 
over 300 mobile developers have 
delivered over 500 casino games and 
the broadest selection of products 
across all distribution channels – web 
mobile and retail – supported by the 
best back end platform enhanced 
by sophisticated marketing solutions 
making playtech the supplier of choice 
in regulated markets 
once again playtech had a substantial presence at the ice gaming show in london in february 2014 06
playtech plc  
annual report and accounts 2013
our  
offering
playtech offers its licensees the widest 
range of online gambling products 
supported by the ims – a cuttingedge 
platform enabling a single account 
login with one wallet playtech also 
offers its entire product suite across all 
platforms including its stateoftheart 
mobile offering and a crosschannel 
capability including retailonlinemobile
playtech is unique in offering as 
a turnkey solution or as part of a 
structured agreement or joint venture 
value added services including affiliate 
management media buying crm 
vip management operational support 
including fraud prevention network 
management hosting reconciliation 
and payment advisory services all 
designed to leverage the marketleading 
tools delivered by playtech’s ims 07
playtech plc  
annual report and accounts 2013
governance financial statements s trategic report
playtech’s ims is our fundamental 
technological differentiator  providing 
a set of real time tools developed with 
leading operators over the past 1 4 
years designed to increase player 
value for licensees playtech is the only 
company in the industry that provides 
a fully integrated multichannel 
multiplatform multiproduct offering 
that enables true convergence of 
retailonlinemobile distribution channels 
enabling greater crosssell opportunity 
for licensees and a superior player 
experience that includes enabling a 
bespoke player view 
our  
sophistica ted  
technology 08
playtech plc  
annual report and accounts 2013
our  
content
playtech continually invests in its games 
development to deliver innovative and 
visually impressive games driven by 
proven maths models built to appeal to 
all players
playtech offers over 500 games including 
branded and premium content from ash 
gaming hbo marvel mgm nbc and 
universal augmented by playtech’ s gts 
open platform which enables operators 
to offer third party content
an innovative live dealer experience 
attract a wide variety of players both 
mobile and online that enjoy the 
additional excitement and trust when 
playing on real tables increasingly in 
dedicated branded areas  09
playtech plc  
annual report and accounts 2013
g overnance f inancial statements s trategic report
playtech remains focused on providing 
leading content bestofbreed products 
and player management across a full 
range of distribution channels the ims 
enables operators to offer one account 
one wallet convenience and the 
same rich content across all channels 
converging landbaseddigitalmobile 
channels for the ultimate player journey
our  
multiple 
channels 10
playtech plc  
annual report and accounts 2013
our  
mobile 
future
playtech’s innovative mobile hub links all 
of playtech’s product verticals including 
sport casino live bingo and poker 
offering operators a unique crosssell 
opportunity and giving players the 
seamless transition they are used 
to online across all popular mobile 
platforms including native and html5 
using the same account and wallet
playtech’s mobile revenue more than 
doubled over 2013 yet remains only 7 
of the total providing future opportunity  
supported by more than 300 mobile 
developers and a range of specialised 
marketing and conversion tools 11
playtech plc  
annual report and accounts 2013
governance s trategic report f inancial statements
our  
people
playtech’s people remain key to the 
company’s continued success in terms 
of delivery  human capital is as critical as 
financial capital playtech continues to 
invest in its human capital ensuring we 
continue to grow and drive the future  
of gambling 12
playtech plc  
annual report and accounts 2013
strategic report
finan cial highlight s
o pera tion al highlight s
“playtech has once again delivered an exceptional performance the company has 
focused on deepening its licensee relationships creating innovative new content improving 
its products across web and mobile and providing its licensees with cutting edge products 
and services”
•	 successful sale of playtech’ s 29 stake in 
william h ill online for approximately £424 
million €497 million
•	 playtech signed landmark agreements with 
l adbrokes to provide a full product suite and 
innovative marketing services
•	 acquisition pokerstrategy com 
complementing playtech’ s poker offering and 
ptts marketing services division
•	 a number of significant launches including
 – mobile live casino on html 5 with a 
number of licensees 
 – f irst launch of html 5 mobile poker  
mobile poker native ios application 
approved by the f rench app store
 – f ive sports betting companies now 
launched on g eneity platform which is 
gaining strong momentum 
 – u nibet launched poker in f rance
 – c aliente launched poker and casino in 
mexico
 – l ive casino in spain being delivered in 
partnership with c asino g ran madrid
•	 paddy power migrated its live casino to 
playtech including a dedicated facility
•	 betfair completed its migration onto the 
ipoker network launched poker in denmark 
and italy making the italian network a nine 
operator network
•	 industryfirst rollout of a unique multi
channel offering through a seamless 
integrated retail and online solution 
•	 soft launch of social gaming platform wild 
spin c asino on f acebook
•	 won competitive tender to supply casino 
poker  bingo on both web and mobile with 
h olland c asino in preparation of forthcoming 
regulations in the n etherlands
€1664m
adjusted net proﬁt
12
2013
2012
2011
2010
2009
1664
1683
1128
932
894
€3672m
total revenue
2013
2012
2011
2010
2009
3672
3175
2075
1423
1148
569 € cents
adjusted basic eps
12
2013
2012
2011
2010
2009
569
581
462
385
373
€1775m
adjusted ebitda
12
2013
2012
2011
2010
2009
1255
1031
937
1775
1867
0000
0000
0000
€5274m
cash balances
2013
2012
2011
2010
2009
5274
1209
1648
685
587
232 € cents
total ordinary dividend 
per share
2013
2012
2011
2010
2009
232
232
165
190
183
1 adjusted ebitda adjusted net profit and adjusted 
eps are calculated after adding back certain noncash 
charges cash expenses relating to professional costs 
on acquisitions gains on sale of investments and 
certain oneoff charges
2 as a result of the sale of playtech’ s 29 stake in 
william hill online playtech received a share of profit 
until the time of disposal during april 2013 against the 
entire 12 months of 2012
£100 mill ion
special 
dividend paid 13
playtech plc  
annual report and accounts 2013
governance financial statements s trategic report
strategic report
chai rman’ s st at ement
giving a total 2013 ordinary dividend of 232 € 
cents per share 2012 232 € cents per share 
maintaining the level distributed for 2012 as the 
board committed to at the time of playtech’ s 
interim results announcement
t ogether the total distribution of ordinary 
dividends in respect of 2013 and the special 
dividend equate to a return of capital to 
shareholders of approximately €1885 million
subject to shareholder approval of the final 
dividend at the annual general meeting to 
be held on 21 may 2014 the dividend will be 
payable on 23 may 2014 to those shareholders 
on the company’ s register as at the record date 
of 28 february 2014 the exdividend date is 
26 february 2014
for any shareholders who elect to receive 
their final dividend in sterling the conversion 
exchange rate from euros into sterling will be 
set on 7 may 2014 and election forms should 
be returned to the company’ s registrars by 
2 may 2014
the company’ s dividend policy going forward 
remains to pay out 40 of adjusted net profit 
supported by strong underlying growth in 
earnings and cash generation
while there are a number of anticipated 
regulatory and fiscal developments in our core 
market place playtech’ s leading position in a 
global growing industry means the board is 
confident of the company’ s prospects both 
in 2014 and in the longer term in summary 
playtech has reported another excellent year 
and continues to deliver on its clear strategy 
and strong balance sheet 
alan jackson
chairman 
20 february 2014
in my first presentation as chairman of playtech 
i am delighted to report that the year ending 
31 december 2013 was another exceptional 
period in playtech’ s development one of the 
most significant highlights was the completion 
of the sale of our stake in william hill online 
this transformational transaction delivered a 
substantial return of over 35 times the original 
investment playtech also signed two landmark 
agreements with ladbrokes to revolutionise the 
bookmaker’ s digital offering until 2017
the company has a proven ability to generate 
value through successful acquisitions and 
management is confident that this will continue 
the board with its advisers continues to review 
the most effective use of the company’ s cash 
resources assessing the potential for further 
valueenhancing acquisitions joint ventures 
and partnerships particularly focusing on 
regulated markets
playtech is the clear market leader in the 
provision of software and services to the global 
online gambling industry its offering includes a 
full product suite leadingedge management 
system full integration across all player 
interfaces and distribution channels and a broad 
range of marketing services and techniques that 
enable licensees to maximise the potential of 
their online gambling business
during 2013 a number of additional jurisdictions 
either became or made significant progress 
towards becoming regulated markets creating 
significant further opportunities for playtech 
management continues to monitor the evolving 
regulatory environment closely and will continue 
to leverage its leading position and establish 
itself in such regulated markets which make the 
most commercial sense 
following high growth in mobile gambling a key 
focus for 2013 was the continued development 
of playtech’ s mobile platform which has 
propelled the company to global leader 
status in the mobile gambling space we see 
continued development of our mobile offering as 
a means to drive our competitive position and to 
set standards across the industry
another rapidly developing market for the 
company is sports betting where a significant 
number of achievements have been made over 
the period sports betting remains a key focus 
for growth in 2014 and beyond 
gov ern ance and risk m an agement
playtech is committed to the highest levels 
of corporate governance as previously 
announced on 10 october 2013 roger 
withers retired as chairman and as a director of 
playtech and i would like to thank roger for his 
invaluable leadership since we both joined the 
board at the company’ s ipo in 2006 
following the announcement of roger withers’ 
intention to retire at the time of the interim 
results the board set about finding a strong 
independent nonexecutive director and was 
delighted to welcome hilary stewartjones to 
the board effective 9 october 2013 hilary is 
a leading international expert in gambling law 
and has over 15 years’ experience advising 
companies on gambling related issues
dividends
in light of the company’ s substantial cash 
assets and following discussions with 
shareholders the board has decided to pay 
a special dividend of £100 million to be paid 
in sterling to shareholders on the register on 
28 february 2014 and payable on 11 march 
2014 as a second interim dividend in respect 
of the financial year ended 31 december 2013 
the exdividend date for the special dividend will 
be 26 february 2014
in addition the board has today recommended 
a final dividend of 154 € cents per share 
playtech has reported another excellent year 
and continues to deliver on its clear strategy 
and strong balance sheet t ogether the total 
distribution of ordinary dividends in respect  
of 201 3 and the special dividend equate to  
a return of capital to shareholders of 
approximately €1885 million
alan jackson c hairman
❝
❞ 14
playtech plc
annual report and accounts 2013
strategic report
ou r bu sin ess mod el
our business model is centred on the continual 
development of marketleading gambling products 
and content these together with a broad range of 
ancillary services are provided to a diverse range 
of operators across both locally regulated markets 
and globally through all distribution channels
we continue to develop our three highly 
complementary business channels products and 
services turnkey solutions and joint ventures 
supported by organic growth and targeted 
acquisitions
products and dist ributi on 
ch annels
playtech has industryleading content and 
player networks combined with unique 
crossplatform capabilities
playtech offers a full suite of gambling 
products including casino bingo poker 
videobet and sports lottery virtual sports 
binary options and social games
all products are available across multiple 
distribution channels including web mobile 
and landbased 
t u rnkey soluti ons
ptts delivers services that offer material 
value and expertise to its licensees across 
the key elements of player acquisition and 
retention together with the opportunity to 
realise substantial cost efficiencies through 
the outsourcing of certain operational 
activities that benefit from economies 
of scale
product s
and 
distribution 
channels
ims
st ruct ured
agreements 
and joint 
ventures
tur nk ey
solutions sport
our products
our distribution channels
retail internet t v 
broadcast
casino poker bingo
mobile
l ottery services videobet
15
playtech plc 
annual report and accounts 2013
s trategic report g overnance f inancial statements
st ructu red ag reements and jo int 
ventu res
we work with partners who are looking 
to develop a marketleading online 
offering supported by highly experienced 
marketing and player management 
capabilities partners recognise 
the benefits of playtech’ s expertise 
when they are competing against 
established international businesses 
transitioning from being offshore dotcom 
operators to local market participants 
partnerships may be by equity joint 
venture or structured agreement
maximising  
shareholder 
value
over the time of our partnership with william hill its 
online business grew by almost 250
in 2013 playtech signed landmark agreements with 
ladbrokes plc to supply a full range of software 
products and to enhance its digital business until 2017 16
playtech plc  
annual report and accounts 2013
strategic report
ou r st ra t egy
playtech’ s strategy of organic development targeted acquisitions partnerships and joint 
ventures has enabled it to maximise opportunities created by the significant changes in 
the online gambling industry  the industry is moving towards locally regulated markets as 
governments see the implementation of gambling taxes and the sale of regulatory licenses as 
significant revenue streams landbased and digital channels are converging as regulatory 
authorities issue gambling licenses to landbased operators for both traditional and online 
offerings through being able to offer a full turnkey solution playtech is able to partner with 
established operators and new entrants to take advantage of these opportunities
mobile gambling is one of the most significant growth drivers of the global online gambling 
industry playtech’s mobile hub has combined the established mobenga mobile sports 
betting solution with other gambling products this combination uniquely positions the 
company to capitalise on further developments in this sector  mobile gambling is essential 
to playtech’s future success and we have invested heavily to develop the next generation 
of products maximising new functionality on tablets and smartphones while continuing  
to roll out products across all mobile platforms including android apple ios and html5
our prog ress ag ainst our st ra tegi c 
object ives in 20 13 
support organic growth
in 2013 playtech’ s licensees achieved like for like growth of 7 in line 
with the growth of the underlying global market the breadth and depth of 
playtech’ s offering enables playtech’ s licensees to run some of the most 
successful online gambling businesses
cross sell products and services
on average playtech’ s licensees take a limited number of products 
there is a trend for larger licensees eg gala coral ladbrokes and paddy 
power to leverage playtech’ s ims and take more products from playtech’ s 
product suite enhancing their cross sell ability  playtech also supports its 
licensees as they enter new markets
attract new licensees
playtech has enjoyed a successful track record of attracting 
approximately 510 new licensees every year  attracted by our 
marketleading product and service offering the unique capabilities 
of the ims and support for both establlshed and new operators in 
regulating markets
enhance the company’ s leading position 
increase product service and distribution 
capability
playtech’ s strategy as the leading technology provider in the online 
gambling industry  is to offer all product verticals across all distribution 
channels playtech invests to expand its offering to support its licensees 
with new technologies avenues to market and products eg the mobile 
hub virtual racing binary options social gaming
improve quality of earnings through greater 
regulated market penetration
playtech is focussed on growing its presence in regulated markets 
inoreasing the proportion of regulated revenue to 36 in 2013 from 34 
in 2012 future regulation will provide an opportunity to increase this 
proportion further and the group continues to work on progressing in 
regulated markets – such as our recent agreement with holland casino
acquisitions remain key
playtech has an outstanding acquisition track record investing in new 
technology  exciting content and new products companies have mostly 
been acquired on an earnout basis enabling playtech to leverage its 
existing business and licensee base to create strong synergies playtech is 
focused on making further  similar bolton acquisitions given the group’ s 
ability to generate cash and strength of its balance sheet following the sale 
of its stake in william hill online the board is seeking transformational  
m  a opportuinities to take the business to the next level
see pages  
for more detail
22 27
to 17
playtech plc  
annual report and accounts 2013
s trategic report g overnance f inancial statements
the biggest prize in gladiator jackpot 
history of €237 484 7 22 to a lucky winner 
from the united kingdom
amir askarov  playtech’ s head of casino 
commented “i congratulate the lucky 
player on this astonishing jackpot win on 
gladiator jackpot we take pride in the 
strong content and features of our slots 
and jackpots and are delighted to enable 
licensees to offer players the opportunity 
to win huge prizes through an expanding 
games portfolio ”
largest 
progressive 
gladiator 
jackpot of 
€237 mill ion  strategic report
ou r market pla ce
online ga mbling devel opment
the online gambling market developed in 
the mid1990s first with online casinos 
and then with poker from 1998 in 2004 
the gambling market which includes 
casino poker bingo sports betting 
skill based gaming and lotteries was 
estimated by h2 gambling capital as 
generating gross gambling revenues of 
approximately €84 billion this value has 
almost tripled since then to an estimated 
total of €262 billion in 2013 the online 
market represents around 8 of overall 
gambling including land based operations 
the average gross win per adult in the 
interactive space is €75 which has 
grown by 35 since 2004 mainly due to 
increased popularity the introduction of 
cross sell enhancements and increased 
accessibility supported by new technology 
the market continues to benefit from 
regulation improved broadband 
penetration and capacity mobile 
penetration a growing number of market 
participants and greater acceptance of 
online gambling as a mainstream leisure 
pastime since the passing of the unlawful 
internet gambling enforcement act in 
2006 which outlawed online gambling 
in the us the main focus of established 
operators has been on europe and in 
particular on markets where legislation 
allows various forms of online gambling on 
a locally regulated basis 
market 
the largest interactive market by player 
location is currently the united kingdom 
which accounts for over 15 of the overall 
interactive market
playtech has limited penetration in sport 
lottery and skillbased gaming which 
make up a significant proportion of 
the market
playtech’ s presence as a sport betting 
systems provider is in its infancy having 
launched its first licensee in late 2012 
however over 2013 it grew 61 driven 
by the launch of a further four licensees 
this product vertical presents a significant 
opportunity for playtech given that sports 
betting represents over 40 of the total 
interactive gambling market and sports 
betting is often the first product to be 
regulated playtech’ s offering is recognised 
as being superior to that of many of its 
competitors or inhouse built products 
due to its flexibility speed to market 
connectivity to the best backend platform 
and tools and multichannel capabilities 
for 2014 h2 gambling capital estimates 
that the global online gambling market 
will grow by approximately 12 to 
€29 billion this compares favourably 
to the rate of growth in the landbased 
gambling market which is forecast to grow 
at approximately 4 it is estimated that 
the onshore market will increase by 24 
to €126 billion factors driving expected 
online gambling growth in 2014 include 
further market regulation the football 
world cup and further shifts in revenue 
from land based operations to online 
source h2 gambling c apital
playtech plc  
annual report and accounts 2013 18
© universal studios see page 116
global online gambling market fy 13
1  europe 476
2  asiamiddle east 288
3  north america 149
4  oceania 60
5  latin americacaribbean 20
6  africa 07
€262bn
1
2
3
4
5 6
1
2
3
4
5 6 19
playtech plc  
annual report and accounts 2013
governance financial statements s trategic report
regul ated markets
the regulation of online gambling can be 
a catalyst for market growth depending 
on how regulation is introduced what 
product verticals the regulator allows and 
the tax rate applied once regulated new 
operators are attracted to the market 
these include retail gambling outlets 
lotteries and landbased operators 
who have historically been unwilling to 
operate online in an unregulated format 
many online operators may decide to 
establish themselves onshore further 
leveraging their market exposure creating 
significant opportunities for playtech 
the ability to advertise more freely across 
a broad range of media formats such as 
tv and online raises awareness of online 
gambling as a leisure activity and drives 
an increase in player interest which is also 
underpinned by a perceived safer player 
environment it is the combination of these 
factors that have led to growth in players 
and revenues in markets such as the uk 
and italy for playtech with its unique 
comprehensive multichannel offering 
the opportunities across a range of newly 
regulated and soon to be regulated 
markets are substantial as a broad range 
of operators look to participate
the tax regime within a jurisdiction and the 
products that are permitted are material 
factors in determining whether online 
gambling is likely to be commercially 
attractive in the longer term
the implementation of regulation is 
expected to remain a key focus for market 
participants and an important driver of 
online gambling revenue growth over 
the medium term opportunities exist 
as markets move from a ‘dotcom’ to 
a ‘dotnational’ regime although some 
uncertainties through the transition period 
are expected
over recent years there has been 
considerable momentum in countries 
regulating or looking to become regulated 
in online gambling and in 2013 regulation 
was introduced in various new markets as 
part of a very clear trend of new regulation 
countries around the world continue to 
regulate using as a model the experience 
of other countries that have already 
undergone regulation
uk ta xati on
the uk is playtech’ s largest single market 
by revenue earned at the end of 2014 
the uk government is expected to 
introduce a new taxation regime moving 
from a domicile of operations basis to 
a place of consumption “poc” basis 
the uk is a highly fragmented market 
place with the six largest gambling 
operators all of which are playtech 
licensees enjoying a significant market 
share with the remainder of the market 
being shared by a large number of smaller 
operators many smaller operators are 
understood to generate operating margins 
lower than the expected tax rate of 15 
and in the view of industry experts will 
struggle to compete larger operators 
can rely on economies of scale and their 
leading brands to remain competitive 
analysts expect that in 2015 the uk 
market will undergo significant change led 
by consolidation as those operators with 
the strongest brands best technology and 
means to invest in marketing will prevail
source h2 gambling capital
onshore versus offshore gambling
  onshore  offshore
10 20 30 40 50 60 70 80 90 100
source h2 gambling c apital
2018e
2017e
2016e
2015e
2014e
2013
2012
2011
2010
2009
2008 1
2
3
4
5 6
20
playtech plc  
annual report and accounts 2013
strategic report
ou r market pla ce continued
co mpetiti ve la ndsc ape
the most prevalent single alternative 
to outsourcing to specialist technology 
providers such as playtech is for 
operators to use their own proprietary 
software and platform which while 
currently accounting for around 30 
of the total online gambling market 
management believe is an increasingly 
unsustainable model
playtech enjoys significant scale 
advantages by being able to deploy 
significant operating and development 
expertise in a flexible manner to its 120 
licensees including the top10 european 
and uk online gambling operators 
playtech’ s  aim is to offer all product 
verticals across all distribution channels on 
an integrated platform that offers a single 
wallet and signon playtech is also the 
only supplier that can offer sophisticated 
marketing and operational services to drive 
player acquisition and retention via a range 
of flexible and modular approaches from a 
turnkey solution to an equity joint venture 
to a structured agreement this enables 
operators to offer their players a true 
multichannel approach across land
baseddigitalmobile creating the ultimate 
player journey
there are a limited number of other b2b 
software suppliers that offer a platform 
solution including microgaming amaya 
gtech g2 and igt interactive none of 
these suppliers have the breadth or depth 
of playtech’ s offering
most b2b software suppliers offer content 
across a limited number of product 
verticals including net entertainment 
blueprint gaming and evolution gaming 
recognising that around 50 of playtech’ s 
operators have migrated across from 
another supplier playtech enables third 
parties to supply game content through 
its gts platform benefitting operators by 
enabling them to continue to offer their 
most profitable games and derive the 
benefits of playtech’ s ims platform
pl aytech ’s c ompetiti ve advant ages 
scale
one of the most significant barriers to entry 
into the b2b market is scale new b2b 
operators or licensees are not able to 
undertake significant product development 
as they lack economies of scale this is 
even more apparent in new channels 
coming to market such as mobile or new 
products such as virtual racing 
technology
the playtech operating system allows 
upgrades and new features to be rolled out 
to every operator from a single platform so 
allowing all operators the benefit of a more 
advanced offering playtech’ s rd costs 
vary from year to year but are generally 
in the region of 17 of overall software 
revenue this development investment is 
financed by revenue generated from 120 
licensees making the cost of development 
much lower for licensees than trying to do 
so inhouse operators also benefit from 
product development through two way 
feedback with playtech
experience
as playtech’ s scale has increased over 
the 14 years since its incorporation its 
knowledge expertise in regulated markets 
and operating platform have enabled 
operators to make the transition into new 
markets more quickly 
liquidity 
the increased scale of playtech has 
allowed it to develop superior software 
to its competitors offer greater liquidity 
in the bingo and poker markets provide 
higher progressive jackpots for players and 
supply its operators with a more powerful 
proposition through its ims platform
other competitive barriers around 
playtech’ s business include expertise in the 
services environment marketing hosting 
and affiliates management long term 
contracts and established relationships 
with licensees 
1
2
3
4
5
6
source h2 gambling c apital
global online gambling market split fy 13
1  sport betting
2  casino
3  poker
4  bingo
5  skill
6  lotteries 21
playtech plc  
annual report and accounts 2013
governance financial statements s trategic report
tr ends
mobile
the number of mobile devices in use 
grows every day and increasing numbers 
of players are choosing mobile sports 
betting and gaming for the convenience 
it brings 
playtech launched its mobile sport offering 
in 2011 following the acquisition of 
mobenga and it has grown to become 
market leader in the uk europe 
and australia
in 2012 playtech launched the mobile 
hub a customisable open framework 
designed to integrate content and provide 
players with a seamless user experience 
on mobile devices players can access an 
operator’ s full gambling offering on their 
smartphones or tablets through a single 
branded interface it can also be managed 
via a centralised management system
with over 300 mobile developers playtech 
is at the forefront of mobile development 
in 2013 only 7 of revenue was 
generated by mobile presenting a major 
future growth opportunity
it is forecast by h2 gambling capital that 
mobile interactive gambling will grow at 
38 in 2014 and this growth is estimated 
to continue at above 25 for the next 
three years 
convergence of online and landbased
a significant industry trend is the growing 
convergence of landbased and online 
market segments this is principally as a 
result of many new entrants in regulated 
online markets being existing landbased 
gaming betting and lottery operators who 
already have a substantial local presence 
wellrecognised brands existing player 
databases and familiarity with the local 
regulatory environment
historically separate in their philosophy 
and systems there has been a 
fundamental shift in both market segments 
towards common techniques for player 
attraction and retention such as vip 
levels and loyalty schemes operators are 
becoming more aware of the importance 
of player retention and of incentivising the 
player on an individual basis regardless 
of channel the retention of players and 
the ability to cross sell them onto other 
products provides an opportunity for 
operators but also presents substantial 
technical challenges for them 
playtech has focused much of its recent 
development efforts on ensuring that 
it is able to deliver functionality player 
management and content across the 
full range of distribution channels and to 
both drive and benefit from this trend of 
convergence it has proactively developed 
the most sophisticated serverbased 
gambling systems created unique 
capabilities in tv and broadcast and 
cuttingedge mobile and online products 
all managed by a single operator platform 
with a single player wallet across all 
formats during 2013 playtech launched 
its first licensee with a unified offering 
across its entire player estate and looks 
to extend that offering to further operators 
in 2014
the gambling industry is undergoing 
fundamental structural changes and 
playtech is determined to remain a 
market leader in providing technology 
and services to the broadest range of 
industry participants with a strong focus on 
regulated business
mobile gambling 
continues to 
be one of the 
most significant 
growth drivers of 
the industry overview
in a year of strong growth for playtech the 
company increased revenue by 16 to 
€3672 million and grew adjusted ebitda 
by 17 to €1594 million excluding the 
share of profits received from william hill 
online with overall adjusted ebitda of 
€1775 million
during the period playtech expanded its 
product offering and lines of business 
both organically and through acquisitions 
the company also secured a number 
of important new licensees and further 
extended its relationships with existing 
licensees landmark agreements were 
signed with ladbrokes to supply a 
full range of software products and to 
enhance its digital business until 2017
importantly mobile revenues more than 
tripled as a result of playtech’ s investment 
in mobile technology to create a better 
player experience greater visibility of 
player behaviour as well as increasing 
developmental tools 
regul ated m arkets
regulated markets continue to present 
significant potential for revenue growth 
and playtech is in a prime position to take 
advantage of global market developments 
such as those in the netherlands 
south africa and mexico and we remain 
optimistic for future development in 
other markets 
while playtech continued to focus 
on increasing its regulated markets 
income dotcom operators continue to 
be important to the company’ s growth 
strategy as they provide the cornerstone 
in soon to be regulated markets
during the year playtech has made 
significant progress in regulated and 
soon to be regulated markets including 
the uk italy france spain denmark 
latvia estonia mexico and puerto rico 
amongst others 
in january 2014 playtech won an 
exclusive supply agreement with holland 
casino as it moves into online gaming 
holland casino is expecting to launch 
playtech’ s entire gaming product suite 
including casino poker bingo mobile and 
portal once the dutch market regulates 
in early 2015 in preparation playtech 
will deliver a playforfun offering which 
will support holland casino’ s efforts to 
establish itself in the online space and build 
an online player base
playtech is committed to working closely 
with regulators and the company has 
been cooperating with the italian regulator 
aams in developing a joint programme 
to manage unlicensed operators to either 
withdraw from the italian market in an 
orderly fashion over the next four months 
or to obtain a local license and migrate 
their players playtech’ s commitment 
to such regulated markets may have a 
nonmaterial shortterm revenue impact 
playtech is the only company in  
the gambling industry that offers  
a fully integrated multichannel  
multiplatform and multiproduct 
offering as well as a full range  
of services
mor weizer c hief executive officer 
❝
❞
strategic report
chi ef executi ve’s review
22
playtech plc  
annual report and accounts 2013 playtech is making good progress 
supporting leading operators including 
snai sisal and eurobet launched 
new operators during the year and is in 
active discussion in respect of further 
significant opportunities
management continues to believe that 
playtech’ s commitment to regulated 
markets and proven track record positions 
it as the natural choice for operators in 
regulated markets the expected positive 
regulatory change in various jurisdictions 
creates significant opportunities for 
the company 
st rategic positi oning
playtech’ s longterm strategy of organic 
development joint ventures and targeted 
acquisitions has enabled it to take 
advantage of significant opportunities 
in the global gambling industry 
as governments see the implementation 
of gambling tax and the sale of regulatory 
licenses as significant revenue potential 
there is a continued industry move towards 
a greater mix of locally regulated markets 
landbased and digital channels continue 
to converge as landbased retail operators 
seek to leverage their brands offering 
players the same games on both channels 
and a seamless playing experience with 
a single account covering both their retail 
and digital play 
playtech is the only company in the 
gambling industry that offers a fully 
integrated multichannel multiplatform 
and multiproduct offering as well as 
a full range of services including a 
turnkey solution the company is best 
positioned to become the partner of 
choice for local and international brands 
requiring a comprehensive successful 
gambling operation
playtech continues to invest in its market
leading suite of products while growing 
the opportunities in sports betting and the 
videobet product further opportunities 
are being created by investing in new 
and emerging product verticals that will 
become additional building blocks for 
future growth such as social and casual 
gaming financial betting and virtual 
sports betting 
mobile gambling continues to be one of 
the most significant growth drivers of the 
global online gambling industry playtech’ s 
comprehensive offering of technologically 
advanced solutions is essential to future 
success playtech remains at the forefront 
of mobile technology and is focused on 
maintaining its market leading position 
the company is uniquely positioned with 
the most extensive portfolio of mobile 
products covering sports a large library 
of mobile games casino and live casino 
bingo and poker all offered in native ios 
android and html5 with a mobile hub 
platform that allows both sports betting 
and gaming within the same application 
creating cross product sales opportunities
playtech has continued to enhance the 
player experience including the further 
development of its marketleading ims 
platform to include personalisation 
capabilities and additional tools for the 
entire player lifecycle from preacquisition 
through all player activities operators now 
have greater insight into player behaviour 
and more control over their activities
successful implementation of playtech’ s 
strategy has further strengthened its 
market position and the company is 
increasingly recognised as the leading 
software and services supplier to the 
online gambling industry as evidenced 
by playtech winning the best igaming 
software provider award at the 
international gaming awards – for the third 
year in a row
industry awards won in the past year
23
playtech plc
annual report and accounts 2013
s trategic report g overnance f inancial statements acquisiti ons 
during the year playtech acquired 
pokerstategycom the world’ s largest 
poker affiliate business bolstering the 
ipoker network and the services division 
previous acquisitions including geneity 
mobenga and ash gaming are now 
fully integrated and delivering significant 
benefits in terms of revenue product 
capability crosssell opportunities 
and licensee relationships there are 
significant opportunities for playtech to 
provide pokerstrategy services to all 
existing licensees to further strengthen 
relationships and to provide the service 
to other potential licensees which would 
increase the appeal of playtech’ s offering 
given the company’ s cash resources and 
cash flow management remains keenly 
focused on securing the right opportunities 
for transformational as well as further 
bolton acquisitions and joint ventures 
in regulated markets playtech operates 
in a dynamic industry and strongly 
believes it will continue to create additional 
shareholder value through acquisitions 
l icensees
playtech aims to provide its licensees 
with marketleading content features 
tools and a broad range of services that 
support and enhance their businesses 
allowing them to maximize their return on 
marketing investments the company’ s 
focus remains on new licensees in 
regulated markets following prior success 
in signing new agreements and extending 
relationships with existing licensees
in march playtech signed landmark 
agreements with ladbrokes for the 
provision of all software verticals along 
with a marketing services agreement 
the vegas casino tab was launched in 
july with the mobenga mobile sports 
platform launched in december geneity 
launched in spain in december and live 
casino was launched in january 2014 in 
line with the phased migration plan
paddy power migrated its live casino to 
playtech in april enjoying the benefits of a 
dedicated facility which has proved highly 
successful with paddy power customers
other uk operators extended their 
relationships with playtech such as betfair 
which launched playtech’ s bingo and 
migrated over to the ipoker network and 
sky which launched mobile bingo on ios 
bet365 added to its product suite by 
launching mobile live casino in september 
and gala launched a fully customised 
mobile gambling platform
betclick everest launched a popular new 
mobile poker version unibet launched 
in france and playtech launched its live 
casino offering in spain together with 
casino grand madrid 
playtech continues to be extremely 
successful in extending its existing licensee 
relationships to include additional products 
and services importantly the company 
enjoys a very strong pipeline of potential 
new business as well as the additional 
opportunities from existing licensees 
seeking to extend their relationship to 
include more products and platforms
strategic report
chi ef executi ve’s review continued
24
playtech plc  
annual report and accounts 2013
playtech provides 
its licensees with 
marketleading 
branded content
© marvel products and se rvices
in 2013 playtech made a record 
level of investment into its product 
offering extending its capabilities both 
horizontally and vertically through in
house development as well as through 
the introduction of acquired products and 
partnerships investment will continue into 
current and new areas of operations as 
they develop 
casino 
playtech’ s flagship product delivered 
an outstanding performance in 2013 
with revenues increasing 25 from a 
combination of organic growth new 
licensees expansion of the games 
portfolio and growth from mobile 
and the live dealer offering
services
services grew 5 over 2013 boosted 
by the acquisition of pokerstrategy 
whose performance has been in line with 
management expectations 
playtech offers unique affiliate marketing 
services and sophisticated crm 
solutions combined with advanced player 
management tools which are of particular 
interest to new market entrants requiring 
a full turnkey solution as well as to existing 
operators wanting to boost their online 
gambling operations
experience in 2013 demonstrated that 
various well established operators in 
regulated markets will only join with a 
strategic partner that can provide best of 
breed software and support services that 
can drive their online gambling operation 
bingo
playtech provides the industry’ s leading 
bingo offering and operates the industry’ s 
largest bingo network bingo continues 
to perform well increasing revenue in the 
period by 7 on a constant currency 
basis driven by new licensees and the 
launch of a new tabletspecific version 
the roll out of playtech’ s fully customised 
mobile bingo offering was a step change in 
bingo strategy as tablets are a commonly 
used device in many bingo halls and 
therefore should also appeal to online 
bingo players
playtech’ s bingo brand virtuefusion has 
once again won a number of industry 
awards including egaming review’ s 
bingo network of the year and bingo 
supplier of the year
videobet
videobet enjoyed strong revenue growth 
of 14 in 2013 and its technology was 
deployed in an additional 2800 terminals 
further diversifying the licensee base 
videobet has expanded into emerging 
markets such as mexico and puerto 
rico and these together with additional 
markets currently in test provide a solid 
pipeline for 2014 and beyond while given 
the constraints of physical premises sales 
cycles of machines are longer than online 
and the success of videobet and the 
increased numbers of terminals deployed 
has attracted the attention of various slot 
machine operators in some key markets 
for the company
governance financial statements s trategic report
25
playtech plc 
annual report and accounts 2013
a selection of our licensees
print
pantone 280
pantone 151 sports betting 
 
 
sports betting is one of the largest 
gambling markets and frequently acts as 
the gateway for players to access other 
gaming experiences sports betting is 
usually one of the first products to be 
approved in newly regulated markets 
having acquired geneity in early 2012 
playtech launched four sports betting 
licensees in 2013 crystallising some of 
the significant potential for this business 
given the expected impetus from the 
world cup in june 2014 and the current 
sales pipeline management expect to see 
significant growth from sports betting over 
the short to medium term 
playtech’ s sports systems are 
recognised by various wellestablished 
operators as the most advanced 
and sophisticated systems available 
the playtech proposition has unique 
capabilities allowing operators to deploy 
a fully integrated sports system in all 
environments supporting overthecounter 
and self service betting t erminal ssbt 
operations in landbased premises 
online sports betting as well as mobile 
betting activities the ability to deploy an 
advanced fullyintegrated multichannel 
multiplatform sports solution in any 
jurisdiction is a key strategic advantage for 
many operators this creates significant 
opportunities for playtech to establish 
itself as the prime strategic technology 
partner as operators seek ways to replace 
legacy systems which in many cases were 
developed internally 
poker 
the international poker market remains 
challenging playtech is the most 
appealing and largest leading independent 
network attracting wellestablished 
operators in core key markets such the 
uk italy and france during the year 
playtech signed several new licensees 
including betfair which migrated its dot
com and spanish business onto the 
ipoker network and also ladbrokes which 
migrated onto ipoker and unibet which 
launched in france the acquisition of 
pokerstrategy creates new incremental 
opportunities for attracting new licensees 
onto the ipoker network 
mobile
during 2013 the growth of mobile 
continued to outperform all other product 
channels rewarding playtech’ s significant 
investment in the sector the mobile hub 
which combines mobile sports betting 
and mobile gaming products into one 
multifunctional multiproduct offering has 
now been rolled out to two large licensees 
offering a seamless mobile player journey 
while playtech continues to focus on the 
development of mobile platforms it is also 
committed to providing mobile formats for 
its entire product range and to increase 
significantly the number of games available 
in mobile format playtech’ s mobile 
betting product has been adopted by the 
majority of the largest operator licensees 
other mobile products including live 
casino bingo and poker were developed 
with a strong focus on ease of use and 
include a number of exciting features 
available only on mobile devices 
playtech tailors its offering providing 
customised smartphone and tablet 
propositions ensuring that all products are 
fully integrated to the same management 
tools and linked to the relevant bingo 
poker and casino jackpot pools 
in 2013 sport was 
the fastest growing 
product vertical
26
playtech plc
annual report and accounts 2013
strategic report
chi ef executi ve’s review continued social and casual
during the last quarter of 2013 leveraging 
the expertise provided by the team 
of developers at skywind playtech 
soft launched its wild spin casino on 
facebook a full public launch is expected 
to be made in the coming months 
management believes this is an area of 
future potential and has assembled a team 
with strong track records of development 
to drive this initiative a capital expenditure 
budget has been agreed for a period of 
investment which the company believes 
will generate significant longterm revenue 
and ebitda income 
similarly casual gaming is complementary 
to social gaming and a growing 
and important market for playtech 
the company intends to make relevant 
capital investment into this market 
which has been estimated to be as 
large as 30 billion on a global basis 
the investment in 2014 will generate 
significant longterm shareholder value
live
playtech’ s live dealer offering saw 
revenue growth of 17 benefitting from 
organic growth and the acquisition of 
new licensees playtech invested heavily 
into the product and live gaming facility 
providing dedicated services for paddy 
power winnercom betfair and ladbrokes 
as part of playtech’ s ongoing investment 
a mobile solution for the live casino 
was developed and offered as native 
applications and html5 ensuring that 
the player experience and broadcasting 
capabilities on mobile devices will remain 
intact broadcast was extended to launch 
a spanish live casino service from casino 
gran madrid in accordance with local rules 
and regulations
people
playtech has continued to invest 
significantly in human resources to 
maintain its position as the leading supplier 
of software and services to the online 
gambling industry by delivering innovative 
high quality products and services to 
its clients 
outl ook
playtech has made a strong start to 2014 
with daily average revenues for the first 
seven weeks of 2014 up over 15 on 
q1 2013 up over 8 after excluding the 
acquisition of pokerstrategy and over 4 
on q4 2013 
in summary while there are anticipated 
regulatory and fiscal developments ahead 
playtech’ s position as the leading provider 
of software and services to the global 
gambling industry means we look forward 
with confidence to 2014 and beyond 
playtech has reported another excellent 
year and continues to capitalise on its 
clear strategy and strong balance sheet 
mor weizer 
chief executive officer 
20 february 2014
live dealer services 
are now available 
across all mobile 
channels
27
playtech plc
annual report and accounts 2013
g overnance f inancial statements s trategic report adjusted earnings per share excluding 
the share of profit from who were 507 
€ cents an increase of 25 over that of 
last year 2012 407 € cents and diluted 
adjusted earnings per share excluding 
the share of profit from who were 502 
€ cents up 26 on 2012 2012 400 
€ cents adjusted earnings per share 
“adjusted eps” and adjusted diluted 
earnings per share were 569 € cents 
and 563 € cents respectively were 
only marginally down on the prior year 
2012 581 € cents and 571 € cents 
respectively
playtech remains highly cash generative 
with high cash conversion from 
adjusted ebitda cash balances as at 
31 december 2013 were €5274 million 
2012 €1209 million following receipt 
of the proceeds from the sale of the 
group’ s 29 stake in who payments 
of €1289 million related to acquisitions 
2012 €1431 million €130 million from 
net purchasessales of availableforsale 
investments payment of dividends and 
full repayment of all bank borrowings 
during the period
revenues year ended €’000 
31 dec 13 31 dec 12 c hange 
casino 189216 151745 25
services 111116 106326 5
bingo 18464 17954 3
sport 17100 10626 61
poker 14680 17840 18
videobet 12275 10761 14
total 367206 317504 16
playtech has reported another 
period of strong performance with 
revenues increasing by 16 to 
€3672 million 2012 €3175 million driven 
by a combination of organic growth 
new business wins and the acquisition 
of pokerstrategy made halfway through 
the year as announced in april playtech 
completed a transformational transaction 
with the sale of its 29 stake in william hill 
online “who” for a total consideration 
of €4925 million delivering a cashon
cash return of more than 35 times the 
original investment excluding the benefit of 
recurring software royalties 
management is encouraged by the 
significant growth in adjusted net profit 
during the year which was inline with that 
earned in 2012 despite the significant 
difference in who share of profit as a 
result of the sale of playtech’ s stake 
in who
the directors believe that in order to 
best represent the underlying trading 
performance and results of the group 
the following cash and noncash charges 
should be excluded professional costs 
on acquisitions declines in fair value 
and gains on sale of available for sale 
investments finance costs on deferred 
consideration employee stock incentive 
expenses oneoff costs related to both the 
admission to a premium listing on the main 
market in 2012 and oneoff provisions 
against irrecoverable cash amortisation of 
intangibles on acquisitions and the gain 
on the sale of playtech’ s stake in who 
these are all fully set out below and in 
note 5 to the financial information
adjusted ebitda for the year 
excluding the share of profit from who 
increased by 17 to €1594 million 
2012 €1362 million and adjusted net 
profit was €1483 million on the same 
basis up 26 on the comparable period 
2012 €1178 million the percentage 
increase in adjusted net profit excluding 
who is higher than that of adjusted 
ebitda mainly due to financial income 
generated as a result of sterlingeuro 
exchange rate differences principally 
related to the significant sterling cash 
balances held and further strengthened 
by interest income and dividends from 
available for sale investments this resulted 
in approximately €100 million of additional 
income in 2013 over that reported in 2012
the underlying adjusted ebitda of 
the group which excludes the share 
of profit of who and acquisitions 
increased by 12 to €1547 million 
2012 €1382 million underlying adjusted 
net profit was up 20 to €1448 million 
2012 €1202 million also positively 
impacted by the growth in financial 
income it is important to note that all 
key metrics have been influenced by 
fluctuations in exchange rates specifically 
sterlingeuro on a constant sterling 
currency basis underlying revenues 
increased by 13 underlying adjusted 
ebitda by 14 and underlying adjusted 
net profit by 17 
playtech has reported another 
strong performance with  
underlying revenues increasing  
by 1 3 underlying adjusted 
ebitd a by 1 4 and underlying 
adjusted net profit by 1 7
ron hoffman c hief f inancial officer 
❝
❞
28
playtech plc
annual report and accounts 2013
strategic report
finan cial review t otal revenue increased by 16 to 
€3672 million 2012 €3175 million 
including a contribution of €130 million 
from pokerstrategy 2012 €nil of the 
increase 4 was derived from organic 
growth from existing licensees partially 
mitigated by the declining poker market 
trends and 7 from new business 
defined as new licensees or new 
products launched in the past 18 months 
for comparison purposes on a constant 
currency basis and when excluding the 
2012 revenues from services previously 
provided to who by a dedicated team in 
the philippines the “who services” total 
revenues increased by 19 underlying 
revenues increased by 15 
casino which remains the biggest 
revenue line item representing 52 
of total revenues in 2013 2012 48 
increased by 25 to €1892 million 
2012 €1517 million of the increase 
core casino contributed 14 live casino 
contributed 3 mobile casino 5 and 
premium content 3
services revenue increased by 5  
to €1111 million 2012 €1063 million 
including a contribution from 
pokerstrategy from july 2013 on a like 
for like basis after also excluding the who 
services services revenue was down 3 
on last year management however are 
encouraged by the potential opportunities 
of playtech’ s unique services offering 
becoming an increasingly key differentiator 
for playtech
reported bingo revenue was up by 3 
to €185 million 2012 €180 million an 
increase of 7 at constant exchange 
rates driven by the launch of gala 
bingo and the introduction of mobile 
bingo late in 2012 the bingo product 
vertical also contributed revenues of 
€113 million relating to casino side games 
2012 €108 million reported under the 
casino line item reflecting an aggregate 
8 of total revenues in 2013 
sport revenue was €171 million 
2012 €106 million an increase of 
61 driven by the significant growth of 
mobenga mobile sport revenue reflecting 
organic growth and additional revenues 
from the launch of gala coral and set up 
fees management expect this product 
vertical to contribute further growth in 
2014 driven by a full year trading for 
launches made in 2013 including the 
launch of mobenga’ s mobile sports 
offering with ladbrokes late in december 
the fifa world cup complemented by 
the launch of further licensees on both the 
geneity and mobenga platforms
poker revenue decreased by 18 to 
€147 million 2012 €178 million reflecting 
the secular weakness of the poker 
market despite these market trends 
adjusted ebit da and adjusted ebit da excluding share of profit from who
2013 
€’000
2012 
€’000
ebitda 543756 181723
employee stock option expenses 1326 2403
decline in fair value of availableforsale investments 4127 –
admission to premium listing on the main market – 2098
professional expenses on acquisitions 208 496
gain on sale of investment in who 340819 –
gain on sale of availableforsale investments 31088 –
adjusted ebitda 177510 186720
share of profit of who 18086 50553
adjusted ebitda excluding share of profit of who 159424 136167
adjusted ebitda margin excluding share of profit of who
1
434 429
1 adjusted ebitda margin excluding the share of profit from who was 434 2012 429 improved by the acquisition of pokerstrategy  
excluding pokerstrategy and the share of profit from who the adjusted ebitda margin was 431 2012 429
poker remains an important vertical to the 
playtech offering contributing additional 
revenues of €62 million from casino side 
games 2012 €73 million reported 
under the casino line item reflecting an 
aggregate 6 of total revenues in 2013
videobet revenue increased by 14 to 
€123 million 2012 €108 million mostly 
due to an additional 2800 terminals 
deployed during the year in puerto rico 
mexico and the uk and a 29 increase 
in igs revenue which now accounts 
for 17 of videobet revenue on a 
constant currency basis videobet revenue 
increased 18 
mobile has become a significant driver of 
playtech’ s growth the mobile channel 
which includes mobenga’ s mobile 
sports offering mobile casino bingo 
and poker increased by over 115 over 
the comparable year to €294 million 
2012 €137 million sport which was 
the first vertical where the mobile format 
was adopted increased by 61 over 
last year enjoying growth from both 
existing licensees and new business 
mobile casino continues to increase in 
significance as further mobile casino 
games are deployed increasing by 212 
to €127 million 2012 €41 million 
while mobile continues to grow it is still 
in its infancy and has much potential for 
future growth
29
playtech plc
annual report and accounts 2013
governance financial statements s trategic report co st of operati ons
adjusted operating expenses before 
depreciation and amortisation 
increased by 15 to €2078 million 
2012 €1813 million mainly related 
to both additional operating expenses 
associated with the pokerstrategy 
acquisition and further growth of the 
underlying business specifically in the 
areas of mobile sports and social and 
casual gaming which provide the building 
blocks for future growth 
revenuedriven costs are comprised 
mostly of direct marketing costs related 
to ptts affiliate fees license fees 
paid to third parties including games 
developers and branded content and 
are typically calculated as a share of the 
revenues generated revenuedriven 
costs amounted to €379 million 
2012 €362 million representing 103 
of revenues 2012 114 
employee and outsourcing costs totalled 
€1110 million 2012 €999 million 
net of capitalised development costs 
of €184 million which represents 
14 of these costs 2012 10 
as indicated earlier this year the increase 
in capitalisation is attributed to further 
significant development in areas such as 
mobile live mobile hub further mobile 
casino games mobile poker in addition 
to sport these costs have increased due 
to both acquisitions undertaken in 2012 
and 2013 geneity and pokerstrategy 
respectively but have slightly improved 
as a proportion of adjusted nonrevenue
related costs to 65 after excluding the 
impact of acquisitions employeerelated 
costs increased by 7 as a result of 
the group further growing its operations 
with development of its existing offering 
launching projects such as gala coral 
new products and platforms such as 
mobile and sports creating the building 
blocks for future growth such investment 
allows the group to penetrate new 
markets facilitate future organic growth 
and increase its portfolio of licensees 
thereby gaining additional market share 
and increased revenues
cost of service increased mainly as a 
result of the full year effect of the skywind 
agreement entered into during june 2012 
the increase in other operational costs 
was mainly due to professional costs 
relating to ma activity and compliance 
relating to entry into regulated markets
playtech remains focused on managing 
cost inflation across the business
f in anci al inc ome and t ax
financial income was €144 million 
2012 €41 million comprising €51 million 
of dividends received from the investment 
in asianlogic limited 2012 €36 million 
€69 million related to exchange rate 
differences 2012 €04 million cost mainly 
attributed to the sterling cash balances 
held and €24 million from interest 
received financial expenses include 
€29 million related to the outstanding 
balance on deferred consideration 
2012 €442 million as a result of the 
movement on the outstanding balance of 
deferred and contingent consideration 
a oneoff provision of €13 million against 
irrecoverable cash balances relating to the 
banking collapse in cyprus during 2013 
and bank charges and interest paid of 
€12 million 2012 €31 million
the group is tax registered managed and 
controlled from the isle of man where the 
corporate tax rate is zero the group’ s 
subsidiaries are located in other 
jurisdictions and operate on a cost plus 
basis and are taxed on their residual profit
the tax charge in 2013 was €25 million 
2012 €21 million the effective tax rate 
excluding profits on disposals and the 
finance costs on deferred consideration 
was 16 2012 16
n et profit and e arnings per sh are
reported net profit for 2013 attributable to 
owners of the parent was €4886 million 
2012 €868 million during the year 
a profit of €3408 million was recorded 
relating to the gain on sale of the 
investment in who 2012 a significant 
adjustment was made due to the 
recognition of €398 million of finance 
costs in respect of the movement in 
fair value on deferred and contingent 
consideration relating to the acquisition 
of ptts which fulfilled the conditions 
relating to the acceleration of the 
additional consideration earlier than 
originally expected 
reported eps for the year were 1670 
€ cents based on a weighted average 
number of shares of 2926 million 
2012 300 € cents 2894 million 
shares diluted eps for the year were 
1653 € cents based on a weighted 
average number of shares of 2956 million 
2012 294 € cents 2947 million shares 
t otal amortisation in 2013 was 
€475 million 2012 €356 million 
amortisation on acquisitions of 
€382 million 2012 €267 million include 
amounts relating to the historic 
acquisition of tribeca virtue fusion 
gts ptts ash gaming and more 
30
playtech plc
annual report and accounts 2013
strategic report
finan cial review continued
analysis of adjusted operating expenses
2013 
€’000
2012 
€’000
adjusted operating expenses 207782 181291
revenuedriven cost 37922 36215
adjusted operating expenses excluding revenuedriven costs 169860 145076
employeerelated costs 110993 653 99868 688
administration and office costs 17656 104 15484 107
travel exhibition and marketing costs 8870 52  6775 47
cost of service 17434 103 11720 81
other operational costs 14907 88 11229 77 of operator’ s poker and casino operations 
the timing of collection of receivables 
outstanding at year end and exchange 
rate fluctuations
the group’ s cash outflow from 
investing activities excluding the 
dividends received from who of 
€222 million and the net proceeds from 
the sale of investment in who was 
€1717 million 2012 €1763 million 
mainly due to acquisition payments of 
€1289 million 2012 €1431 million 
of which €700 million related to the 
second and third payments of the ptts 
consideration €158 million related to 
the final consideration for the acquisition 
of mobenga and €383 million related to 
pokerstrategy in addition €199 million 
2012 €149 million related to capitalised 
development costs €118 million related 
to a buyout of a reseller agreement and 
€67 million 2012 €22 million related to 
the acquisition of intangible assets
cash outflow from financing 
activities was €1365 million 
recently pokerstrategy of the remaining 
€93 million 2012 €89 million 
€69 million 2012 €68 million was from 
internally generated development costs 
and €24 million 2012 €21 million related 
to other intangibles
ca sh fl ow
playtech continues to be a highly 
cash generative business cash as at 
31 december 2013 was €5274 million 
31 december 2012 €1209 million 
representing 49 2012 15 of the 
group’ s total assets the increase is 
mostly related to the proceeds received 
from the sale of the group’ s 29 stake in 
who in addition to net proceeds of €130 
from availableforsale investments
in the year ended 31 december 2013 
the group generated €2000 million from 
operating activities 2012 €1128 million 
the cash conversion rate from adjusted 
ebitda excluding who was over 100 
2012 83 the improvement being 
mainly due to advance payments on behalf 
31
playtech plc
annual report and accounts 2013
governance financial statements s trategic report
€4886m
net profit
463
2012 €868 million
adjusted net profit and adjusted earnings per share
2013 
€’000
2012 
€’000
net profit 488578 86755
amortisation on acquisitions 38196 26656
amortisation of intangibles in william hill online 1671 5729
finance costs  movement in deferred and contingent consideration 2862 44184
employee stock option expenses 1326 2403
admission to premium listing on the main market – 2098
professional costs on acquisitions 208 496
decline in fair value of availableforsale investments 4127 –
oneoff provision against irrecoverable cash 1330 –
gain on sale of availableforsale investments 31088 –
gain on sale of investment in who 340819 –
adjusted net profit 166391 168321
adjusted basic eps in euro cents 569 581
adjusted diluted eps in euro cents 563 571
share of profit of who 18086 50553
adjusted net profit excluding share of profit of who 148305 117768
adjusted basic eps excluding share of profit of who in euro cents 507 407
adjusted diluted eps excluding share of profit of who in euro cents 502 400 as part of the advisory services 
agreement playtech through its ptts 
marketing division will have significant 
input in the operational decision making 
of ladbrokes’ digital business including 
proven sophisticated marketing 
techniques business intelligence and 
crm capabilities over the five year term 
of the agreement with a plan to grow 
ladbrokes’ digital business playtech will 
receive a share of profit based on the 
ebitda growth of ladbrokes’ digital 
business over and above that achieved 
in the financial year ended 31 december 
2012 as adjusted the profit share will 
be equal to 275 of the increase in 
adjusted ebitda multiplied by the then 
evebitda multiple of the ladbrokes 
group interim instalments fall due on 
the achievement of uplifts in ebitda of 
£35 million £70 million and £100 million 
in an earlier year threequarters of 
any share of profit is payable in cash 
with the balance payable in ladbrokes 
shares playtech can elect to receive a 
greater proportion of the profit share in 
ladbrokes shares 
at 31 december 2013 the group had not 
incurred any costs of investment and was 
not entitled to any share of profit
acquisiti on of p oke rst rategy c om
on 11 july 2013 the group acquired 
pokerstrategycom limited and certain 
subsidiaries which together operate 
one of the world’ s largest poker affiliate 
businesses utilising an online poker 
school and player community to provide 
professional content in more than a 
dozen languages generating income on 
a revenuesharing model in respect of 
players introduced to its clients for a period 
following player signup consideration of 
€383 million subject to working capital 
adjustments was made from existing 
cash resources 
the long and short term deferred 
consideration balance at 31 december 
2013 was €286 million 31 december 
2012 €1133 million included the present 
value of the accelerated contingent 
consideration of ptts principally relating 
to the present value of final instalments of 
the accelerated contingent consideration 
for ptts
the final payment of deferred 
consideration with respect to the 
acquisition of ptts €280 million was 
paid in january 2014
la db rokes s oft ware and se rvices 
ag reement
in march 2013 the group entered into 
a landmark transaction with ladbrokes 
plc which includes two significant 
agreements covering software licensing 
and advisory services
the software license agreement will 
expand ladbrokes’ existing product 
agreement to include licensing of 
playtech’ s full product suite and 
technology including the ims back office 
system to provide the platform for its 
entire online operations
2012 €278 million comprising the 
repayment of bank borrowings of 
€692 million 2012 €338 million and 
dividend payments of €679 million 
2012 €704 million in the comparable 
period a draw down of bank borrowings 
of €750 million offset both the dividend 
payment and the repayment of 
bank borrowings
bal ance sheet
on 31 december 2013 the group 
held cash balances of €5274 million 
31 december 2012 €1209 million 
that included monies held on behalf 
of operators in respect of jackpot 
games and poker operations in the 
amount of €490 million 31 december 
2012 €320 million trade receivables 
were €413 million 31 december 
2012 €478 million
intangible assets as at 31 december 
2013 were €3931 million 31 december 
2012 €3724 million of which 
€1792 million comprised assets 
acquired from ptts 31 december 
2012 €2011 million and the remainder 
relate to assets and associated goodwill 
from acquisitions including pokerstrategy 
tribeca gts virtue fusion igs 
mobenga ash gaming and geneity and 
patent and other intellectual property rights 
and development costs of new games 
and products
availableforsale investments 
were €337 million 31 december 
2012 €353 million during 2013 minority 
investments in sportech plc and 
asianlogic were disposed of for an 
aggregate consideration of €399 million 
and as of 31 december 2013 the 
company had an investment balance 
of €301 million related to uk quoted 
equity securities
investments in equityaccounted 
associates were €16 million 31 december 
2012 €1560 million related to the 
investment in itl the prior year balance 
also included the investment in who 
which was sold during the period
32
playtech plc
annual report and accounts 2013
strategic report
finan cial review continued
€5274m
cash balances
€4065m
2012 €1209 million post b al ance sheet e vents
acquisiti on of eu ro l ive 
t echn ol ogies l imited
on 31 january 2014 the group acquired 
100 of the issued share capital of euro 
live t echnologies limited “eurolive” a 
live casino facility in latvia for an initial 
consideration of €10 million and additional 
consideration of €35 million which will be 
paid on 31 january 2018 conditional on 
one of the following occurring a achieving 
target ebitda during any calendar year 
prior to the 31 january 2018 or b 
achieving certain performance targets
as of the approval date of the financial 
information by the board the group 
had not completed the valuation of the 
fair value of the intangible assets and 
liabilities acquired and accordingly 
these disclosures are not provided in the 
financial statements
acquisiti on of psicl one ga mes 
l imited
on 3 february 2014 the group acquired 
100 of the issued share capital of psi
clone games limited “psiclone” a uk 
based provider of all aspects of game 
production including design art sounds 
profiling and integrating to all major 
platforms for an initial cash consideration 
of £10 million subject to a working capital 
adjustment additional consideration 
capped at £12 million will be payable in 
cash subject to the achievement of certain 
operational targets
as of the approval date of the financial 
information by the board the group 
had not completed the valuation of the 
fair value of the intangible assets and 
liabilities acquired and accordingly 
these disclosures are not provided in the 
financial statements
dividend s
in october 2013 the group paid an interim 
dividend for 2013 of €228 million 78 € 
cents per share the board has decided 
to pay a special dividend of £100 million 
representing 341 pence per share and 
has recommended a final dividend of 
€452 million 154 € cents per share 
the same as that of last year following 
the board commitment at the time of 
the interim results announcement giving 
a total 2013 dividend of approximately 
€1885 million 
the company’ s dividend policy remains 
to pay out 40 of adjusted net profit 
supported by strong underlying growth in 
earnings and cash generation
princi pal risks and unce rt ainties
the key risks areas which are discussed 
on pages 34 and 35 are as follows
•	 the regulatory environment
•	 changes in taxation of group revenue
•	 the competitive landscape
•	 the economic climate
•	 reliance on key personnel and
•	 business continuity and technology risk
ron hoffman 
chief financial officer  
20 february 2014
33
playtech plc
annual report and accounts 2013
governance financial statements s trategic report
t otal dividends 
distributed in respect 
of 2013
€1885m the risks outlined below are those principal risks and uncertainties that are material to the 
group they do not include all the risks associated with group activities and are not set 
out in any order of priority how these risks are identified is described in the corporate 
governance section on pages 44 to 53
ke y ri sks
achieving playtech’s strategic goals while minimising some of the key risks the business 
faces will deliver sustainable and longterm growth
the regulatory environment impacts on reputation and revenues
risk mitigation
the group holds a number of licences for its activities from regulators 
principally for its activities as a software provider issued by the uk 
gambling commission and the alderney gambling control commission 
loss of all or any of these licences may adversely impact on the revenues 
andor reputation of the group
the group has an established compliance function that maintains 
relationships with regulators monitors the regulatory environment closely 
and ensures continuation of all necessary licences and permits that allow 
the group to continue its current business
risk mitigation
the group licences its products to operators in the online gambling 
industry whose ability to operate in any jurisdiction may be impacted 
by changes in regulations or failure to obtain any necessary licences 
laws and regulations relating to the supply of gambling services are 
complex inconsistent and evolving and the group may be subject to 
such laws indirectly insofar as it has assisted the supply to licensees who 
are themselves subject to such laws and so subject to enforcement risks
as an established regulated supplier to the online gambling industry the 
company is vigilant over legal and regulatory issues that could apply to its 
activities not only in those jurisdictions where the company is located but 
also in the jurisdictions where its licensees are accepting bets and wagers 
from end users using playtech’ s software and services under the terms 
of its agreements with its licensees the group prohibits the acceptance of 
players from certain identified jurisdictions
risk mitigation
new licensing regimes may impose conditions such as the requirement 
to locate significant technical infrastructure within the relevant territory or 
establish and maintain realtime data interfaces with the regulator that 
present operational challenges or may prohibit the ability of licensees to 
offer the full range of the group’ s products
the group closely monitors developments in jurisdictions seeking to 
introduce new licensing regimes and seeks to establish joint venture 
relationships or other close contractual relationships with key local 
operators with influence on the development of local regulation in addition 
through the participation of the group in industry bodies such as the 
remote gambling association it seeks to influence the shape of new 
licensing regulations
changes in t axation of group revenue impacts on net earnings
risk mitigation
the group benefits from favourable arrangements in some of the 
jurisdictions in which it is established changes in taxation legislation and 
rates may impact the group’ s net earnings and cash flows
the group works closely with its tax advisers to review its tax position 
undertake periodic tax audits and monitor any changes in tax legislation
int egrat ed 
business risk 
management 
system
risk 
management 
committee
audit and 
risk  
c ompl ianc e 
committees
pl ayt ec h 
board
other risks
f inancial risk
regulatory risk
business risk management at playtech
34
playtech plc
annual report and accounts 2013
strategic report
managing risks the competitive landscape may lead to loss of customers and revenues
risk mitigation
the gambling industry is extremely competitive and so is the related 
software and services industry that supports it failure to compete 
effectively may result in the loss of licensees and also the inability to 
attract new licensees
the group continues to invest significant resources in research and 
development in order to enhance its technology products content and 
services and in making acquisitions to broaden the range of technologies 
products and services that it can offer to licensees
the economic climate may lead to loss of customers and revenues
risk mitigation
the vast majority of the company’ s revenue is generated as a share of 
the revenue of its customers any downturn in consumer discretionary 
spending could result in reduced spend by consumers on gambling and 
the group’ s revenues would fall
playtech’ s licensees are geographically diverse which should mitigate 
reliance on any particular region management closely monitors 
business performance and if a downturn were to occur remedial action 
commensurate with the nature and scale of the slow down could 
be taken
reliance on key personnel impacts on revenues
risk mitigation
the group’ s future success depends in large part on the continued 
service of executive directors senior managers and key personnel the 
retention of whom cannot be guaranteed
the group has a comprehensive performance evaluation system to 
identify key talent and to ensure that key personnel are appropriately 
rewarded and incentivised through a mixture of salary annual bonus and 
longterm incentives linked to the attainment of business objectives and 
revenue growth
cash management risk may lead to loss of shareholder funds
risk mitigation
playtech has significant cash balances which may be used to acquire 
other businesses such acquisitions may not deliver the expected 
synergies andor benefits and may destroy shareholder value
the company has made a number of very successful value creating 
acquisitions and has an established process in place and experienced staff 
to conduct thorough due diligence before completing any transaction
playtech has significant cash balances and is therefore exposed to 
counterparty credit risks
playtech holds its cash and cash equivalents in a number of ‘aaa’ rated 
banks and financial institutions to mitigate the risk of a default
business continuity and t echnology risk impacts on revenues
risk mitigation
the group and its licensees are constantly vulnerable to hacking 
distributed denial of service “ddos” attacks malicious acts 
and cybercrime
the group adopts industrystandard protections to detect any intrusion or 
other security breeches together with preventative measures safeguarding 
against sabotage hacking viruses and cybercrime the group works 
continuously to improve the robustness and security of the group’ s 
information technology systems in addition the group has put in place 
disaster recovery processes
the group’ s ability to compete effectively depends amongst other things 
on its ability to protect register and enforce as appropriate its intellectual 
property rights
the group registers patents and trademarks where this is possible to 
protect key aspects of its intellectual property in addition proprietary and
or confidential information and ip is protected through legal and physical 
security process and playtech vigorously defends itself against third
party claims
35
playtech plc
annual report and accounts 2013
governance financial statements s trategic report t he company believes 
that its true value is not 
solely demonstrated 
by its balance sheet 
and financial results 
but should include 
other more intangible 
attributes such as its 
people brand and 
reputation
by embracing policies and behaviours that 
govern responsible conduct the company 
creates more valuable relationships 
with its stakeholders enhancing trust 
by demonstrating its focus on and 
management of the material nonfinancial 
risks in the business playtech believes 
that a responsible approach to these 
challenges together with risk assessment 
and mitigation will positively impact 
its ability to succeed operationally 
and strategically
fo cus on sust ain ability
playtech continues to improve its 
understanding and monitoring of material 
nonfinancial risks despite operating 
in a highlydynamic and rapidly
changing environment
the programme to put in place consistent 
documentation and groupwide policies 
and procedures was initiated in 2011 
as well as a number of employeerelated 
improvements continues
hilary stewartjones chairman of the risk 
committee has boardlevel responsibility 
for the programme
workpl ace
playtech understands that the success of 
its business is due to the vital contribution 
made by its employees it is therefore 
essential to the company’ s continued 
growth and development that it is able to 
attract and retain talented employees who 
will contribute to the longterm success of 
the business
the group is fully committed to equality 
of opportunity and dignity at work for all 
its primary aim in this area is to recruit the 
best and most appropriate employees 
irrespective of race religion ethnic or 
national origins gender sexuality disability 
class or age working to the highest 
standards across the group
playtech operates in a highly competitive 
industry where retaining key staff is 
a priority the company provides 
financial rewards and a positive working 
environment developing employees’ skills 
for improved performance and increased 
job satisfaction levels
gov ern ance
playtech’ s board is responsible for 
the group’ s financial and operational 
performance ensuring the continued 
success and sustainability of the 
business by directing and supervising the 
company’ s policies and strategies
in an industry that continues to undergo 
significant structural changes the board’ s 
role has never been more important 
the identification of significant risks facing 
the business and processes to monitor 
and mitigate them is covered in more 
detail on pages 44 to 53
the issues of interest to the company’ s stakeholders can be grouped 
into five areas
1 workplace
the well being of our employees and how we attract develop and retain the best talent
2 governance
maintaining high standards of corporate governance to monitor and mitigate risks associated  
with the business
3 marketplace
working with regulators partners and licensees to further responsible gambling
4 c ommunity
our broader communityrelated obligations in those locations where our employees business 
partners and licensees live and work
5 environment
mitigating the company’ s environmental impact where relevant and appropriate to reflect the 
nature and scale of its business
❝
❞
36
playtech plc
annual report and accounts 2013
strategic report
o ur sustainability market pl ace
playtech’ s csr marketplace metrics 
focus on stakeholder perceptions 
of the company’ s relationships with 
licensees and its responsiveness to 
their requirements and on playtech’ s 
relationships with regulators and other 
industry bodies
the company will look to report on 
these in due course and include cause 
conduct surveys to ensure that it properly 
understands external perceptions of the 
business and manages its reputation
customer service lies at the heart of 
playtech’ s business and playtech strives 
to deliver a high quality service to its 
licensees so that they can offer the best 
player experience the company works to 
monitor customer satisfaction levels across 
the licensee base as the retention of 
licensees is central to the sustainability of 
its business model playtech places great 
value on its relationships with gambling 
regulators around the world and works 
with them to ensure all aspects of the 
business meet or exceed their standards
in a rapidly changing industry environment 
where newlyregulating markets play a 
central role it is critical that the company’ s 
reputation as the best partner in the 
industry is maintained and promoted 
playtech’ s customers are its licensees and 
the company plays a central role in helping 
them to manage their gambling operations 
responsibly the company’ s approach 
to responsible gambling is discussed in 
detail on pages 40 and 41
the group has an experienced head 
of regulatory affairs and compliance 
who focuses the company’ s efforts on 
regulatory matters and this is of particular 
significance as playtech continues to 
expand its regulated markets offering
co mmunity
the company values the positive 
influence on its employees’ personal and 
professional development that can be 
found through volunteer work and sees 
it as important for the business over the 
longterm the company’ s employees are 
actively engaged in supporting charities 
and playtech has expanded its social 
involvement programme to focus on 
initiatives that deliver educational support 
and assistance to disadvantaged children 
in those countries where the group 
has operations
in 2013 playtech gave approximately 
€170000 to charitable organisations 
working in the fields of education and 
research into and treatment of problem 
gambling 2012 €50000 playtech also 
provided nonfinancial support to these 
and other community causes including 
computer hardware and training
en vironment
in comparison to other global companies 
playtech has a relatively low environmental 
impact by virtue of the fact that it is 
primarily an online business with a limited 
number of office locations the dayto
day running of the business will inevitably 
have an environmental impact particularly 
in terms of energy consumption and 
travel and the company has put in place 
processes to monitor its carbon dioxide 
emissions from air travel and reduce any 
unnecessary travel
where it is necessary to take new office 
space consideration is made for the 
implementation of greater energyefficient 
measures in estonia the building was 
designed with a highly efficient cooling 
system for the computer room and in 
all new locations there has been a move 
to reduce energy consumption with a 
ratio of employees to printers of over 30 
the offices can be seen to be increasingly 
paperless environments in addition 
bottled water has been largely replaced by 
water fountains and where local schemes 
exist waste is separated and recycled 
all offices have secure bicycle parking and 
in the uk the company participates in a 
scheme whereby employees can purchase 
a bicycle in a tax efficient manner
37
playtech plc
annual report and accounts 2013
governance financial statements s trategic report
c ustomer service 
lies at the heart 
of our business
€170000
given to charitable  
organisations
playtech has a  
relatively low  
environmental  
impact with over 3400 people 
working in 1 2 countries 
we aim to provide a 
safe engaging and fair 
working environment 
with opportunities for 
employees to develop 
and grow and maintain 
a healthy worklife 
balance
lo c ati ons and pe ople
playtech is headquartered in the isle 
of man and has offices in 11 other 
countries including its principal software 
development centres in estonia the uk 
sweden and bulgaria live dealer facilities 
are located in latvia and the philippines 
a central finance function is located in 
cyprus and marketing from israel
in 2013 playtech employed an average of 
3261 people at the end of the year total 
headcount was over 3400 people with 
growth primarily being from acquisitions
in addition to the permanent headcount 
playtech has a programme to outsource 
certain ancillary development and service 
activities which are predominately 
productionrelated rather than software 
development this speeds up timeto 
market for routine upgrades and frees up 
key development resources ptts also 
outsources some basic emarketing 
processes and reconciliation activities 
product devel opment
playtech’ s software business is structured 
along product lines with separate 
business units for each product area 
such as the ims casino poker bingo 
and sports and across the online mobile 
and landbased delivery channels 
this structure aims to ensure that playtech 
can manage the demands of increasing 
operational scale as existing licensees 
develop and new customers migrate to 
the company’ s gambling platform
in practice this approach colocates 
product teams so that for example those 
employees working on playtech’ s casino 
product are all located in t artu estonia 
with content and software developers 
quality assurance and product delivery 
teams working closely together on 
the same office floor in line with best 
development standards this approach 
enhances collaboration and enables the 
team to quickly identify and resolve any 
technical issues that may arise 
playtech deploys a software delivery 
management process known as next 
generation mobile using the most 
advanced mobile technologies which 
has reduced the timetomarket for new 
games and launch time for new licensees 
the company’ s intelligent approach to 
managing project workflows is a significant 
competitive advantage when compared to 
its peers
playtech has also looked to utilise 
outsourcing resources or to deliver a 
greater ability to licensees to selfmanage 
their content this greater degree of control 
has benefits for the licensee in terms of 
faster deployment time for new content 
and helps to maximise the productivity of 
playtech’ s development teams playtech’ s 
rd operations are among the biggest in 
the online gambling industry and employ 
over 1300 people principally devoted 
❞
playtech plc
annual report and accounts 2013 38
strategic report
o ur sustainability continued
❝
employee profile
1  male 64
2  female 36
1  below 25 18
2  below 35 59
3  over 35 23
age gender
1
2
3
1
2
1
2
3
1
2 to software development of which over 
300 are developing specifically for mobile 
the scale of playtech’ s rd function helps 
it to maintain a competitive advantage 
in technology innovation content 
development and product pipeline
the company’ s extensive experience 
and capabilities enable it to be agnostic 
to technology platform or system when 
developing new solutions for licensees 
so that it is able to offer its marketleading 
products and services to the widest 
possible customer base this flexibility 
offers a substantial advantage as licensees 
increasingly look for a combination of 
mobile retail and more traditional formats 
for the same games
c ust omer service
the serviceorientated philosophy 
underpinning playtech’ s content 
development activities is replicated in its 
product and infrastructure operations with 
a team of over 150 people providing a 
247 support service to licensees
from the beginning of every project 
playtech supports its licensees 
drawing on its 12 years’ experience 
dedicated teams staffed by professionals 
from all disciplines provide complete 
project and launch management assisting 
with strategy and business planning 
through to recruitment and team building
playtech provides its customers’ 
operational teams with an intensive two
week training programme ahead of launch 
thereafter each licensee is assigned 
an experienced account manager who 
provides daytoday support and a 
point of contact customers can draw 
on a pool of product and technology 
specialists to advise on any issues and 
a consulting team provides valueadded 
input to optimise the tools available on the 
playtech platform
valuing ou r people
playtech’ s marketleading position is a 
significant asset in its efforts to attract the 
best talent in the industry candidates are 
drawn to playtech by the combination of 
its highly motivated entrepreneurial team 
culture its breadth of knowledge and 
ability to harness cuttingedge technology 
this has also been an important factor in 
playtech’ s corporate acquisitions where 
the potential to benefit from such a large 
and experienced support network has 
been a key discussion point and decision 
factor for a management team assessing 
the benefits of joining playtech
a formal onboarding process exists in 
playtech’ s major employment centres 
including various employee handbooks 
and guides formally structured meetings 
with hr and the new employee’ s line 
manager additional training provides 
a broader overview of the group and 
its culture and any specialist technical 
training or regulatory training as required
playtech’ s culture focuses on the 
continued improvement of its workforce 
driven by a strong ethos of innovation 
technological development and the 
delivery of marketleading performance 
many of playtech’ s new employees 
are referred by existing staff reflecting 
the company’ s focus on developing a 
closeknit collegiate corporate culture 
ongoing training and career development 
are important elements of playtech’ s 
sustainability efforts
welf are acti vities
playtech recognises the value in keeping 
employees engaged and well motivated 
welfare programs run through the year 
and are tailored to each country each site 
has a generous budget for local activities 
such as team building parties birthday 
gifts and a yearly site trip during 2014 
39
playtech plc
annual report and accounts 2013
governance financial statements s trategic report
following a recent 
software release 
playtech’ s virtue fusion 
team headed to a local 
bar to celebrate with 
music provided by the 
inhouse ben and the 
bingo band once again playtech’ s 
people were well 
represented in leading 
gaming magazine giq’s 
‘hot 50’ talented people
to raise staff awareness of health issues 
canteen menus were adjusted to include 
more fruit vegetables and healthy snacks 
in addition employees are provided with 
sports facilities and are supported in 
sporting endeavours such as the nike 
night run in t el aviv the estonia marathon 
and ‘vertical rush’ a sponsored run up the 
stairs of t ower 42 in london
empl oyee pe rf ormance
while the development of marketleading 
software and products is at the heart of 
playtech’ s growth licensees naturally 
expect 247 operational performance and 
efficient delivery the company’ s business 
units are integral to ensuring playtech 
meets the requirements of its licensees 
and employees are rewarded accordingly 
playtech’ s appraisal system is based 
around individual business unit and 
groupwide objectives which are directly 
aligned to group strategy and specific 
areas of implementation and execution 
employees have clearly defined objectives 
and targets that are set in each review 
period and their performance is routinely 
measured against these objectives
employee remuneration includes 
competitive salaries an annual bonus 
annual salary review noncash and adhoc 
bonuses which are set by reference to 
the achievement of the aforementioned 
objectives and by the demonstration of 
other competencies and contributions to 
the group a revised longterm share
based incentive scheme to attract and 
retain the best operational and business 
managers was adopted in 2012
an ‘employee of the quarter’ programme 
recognises exceptional performance with a 
small financial reward
employee engagement surveys are 
conducted around the business and in 
estonia the ‘fish programme’ which has 
been running for 10 years has benefited 
both playtech estonia and videobet by 
improving retention
empl oyee c onduct
during 2013 playtech’ s board approved 
and adopted a new code of conduct and 
a new antibribery policy the aim of these 
policies is to
•	 set standards of behaviour 
organisational values and business 
ethics for playtech and
•	 provide structures for reporting
both policies were disseminated to all 
employees and line managers tasked 
with ensuring that the policies were 
communicated to and understood by 
employees through training initiatives
res ponsible g ambling
phil osophy
responsible gambling is an integral part 
of playtech’ s institutional mindset and a 
significant factor in all of its activities as a 
software provider the company is not 
typically directly in contact with players but 
responsible gambling nonetheless remains 
a fundamental issue for the company in 
safeguarding its business and reputation 
and for the continued development of the 
industry in a sustainable manner
within ptts playtech works with its 
licensees in relation to player acquisition 
and retention and is consequently 
dedicated with its operators to 
a substantial focus on the proper 
management of the relevant responsible 
gambling protocols
techn ol ogy t o su pport 
res ponsible ga mbl ing
the company’ s fullyintegrated 
management system provides operators 
with the latest responsible gambling 
protocols embedded systems and 
controls ensure fair play through 
frauddetection services and facilitate 
responsible gambling tools for players and 
ensures a safe playing environment for all
every licensee is provided with playtech’ s 
transparency toolkit which is embedded 
in the company’ s software and includes 
viewable player protection content and the 
following elements
•	 compulsive gambling prevention
•	 age verification
•	 deposit limits
•	 bet limits
•	 session time limits
•	 selfexclusion tools
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playtech plc
annual report and accounts 2013
strategic report
o ur sustainability continued the company also provides 
comprehensive training and ongoing 
support to licensees to allow them to 
provide the maximum protection to 
their customers
where playtech provides external and
or internal marketing services to a 
licensee it puts in place clear protocols 
and procedures for player engagement 
playtech’ s technology platform provides 
tools to operators that can identify and 
manage any player thought to be showing 
indications of problem gambling and 
regular dialogue reporting and joint 
training exercises with licensees address 
any concerns that arise
this dialogue focuses on the early 
identification by the operator of the small 
percentage of players that have the 
potential under certain circumstances to 
develop gamblingrelated problems and 
the smaller group who demonstrate an 
inability to control their gambling habits 
or actions
the group contributes financially to 
the work of the responsible gambling 
trust formerly the great foundation 
and gamcare uk charities dedicated 
to supporting research into problem 
gambling education and training
playtech is also an associate member 
of the world lottery association wla 
the global professional association for 
state lottery and gambling organisations 
the wla and its members are committed 
to maintaining the highest ethical 
standards of gambling
c ertific ati on and regul ati on
as a responsible supplier to the 
regulated gambling industry playtech’ s 
systems comply with all the guidelines 
published by the variety of regulated 
jurisdictions in which its licensees operate 
the company partners with regulatory and 
governmental bodies to ensure its systems 
are compliant
playtech is an active member of the 
remote gambling association rga 
which has developed an industry code 
of practice on social responsibility and 
age verification which the company 
fully supports as part of the certification 
process playtech’ s games and their 
software engines – including the random 
number generators – are regularly tested 
and certified by leading industry bodies to 
ensure consistency and fair play
the group holds a certificate of evaluation 
from the accredited testing facility tst 
which is part of gaming laboratories 
international gli the world’ s largest 
independent gambling testing and 
certification laboratory playtech also holds 
an official certificate of prior approval 
from the alderney gambling control 
commission agcc in other regulated 
markets such as italy france spain 
estonia and finland playtech’ s software 
has been reviewed and passed for use by 
the local regulators
fra ud money la unde ring  
and fa ir pl ay
an integral part of playtech’ s technology 
platform is its ability to monitor and identify 
potential fraud and money laundering 
playtech employs a dedicated security 
team focused on ensuring that it is at the 
forefront of industry bestpractice in this 
area with comprehensive monitoring of 
transactions and gambling behaviour 
licensees are able to ensure that players 
cannot gain an advantage through 
unfair means this is a particular focus in 
playertoplayer games such as poker to 
minimise any risk of player collusion
41
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governance financial statements s trategic report
playtech is one of 
the most licensed 
b2b suppliers
an active member 
of the remote 
gambling 
association rga 42
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g overnance
boa rd o f directo rs
alan jackson aged 70  
chairman
appointment to the board
alan was appointed to the board in 
2006 on the company’ s flotation on the 
alternative investment market and became 
chairman in october 2013 following the 
retirement of roger withers
career
alan has over 30 years’ experience in 
the leisure industry from 1973 to 1991 
he occupied a number of positions at 
whitbread principally as managing 
director of beefeater steakhouse and also 
the whitbread restaurant division where 
he was responsible for the creation and 
development of the beefeater travel 
inn and tgi friday brands and was 
responsible for whitbread’ s international 
restaurant development in 1991 he 
founded inn business group plc which 
was acquired by punch t averns plc in 
1999 he has been chairman of the 
restaurant group plc since 2001 he is 
also deputy chairman and senior non
executive director at redrow plc
skills competences and experience
having held several board positions in both 
an executive and nonexecutive capacity in 
a variety of listed companies in the uk he 
brings substantial experience of working in 
public and private companies along with 
strategic and leadership experience 
board committees
he is chairman of the nominations 
committee and a member of the 
remuneration audit and risk  
compliance committees
mor weizer aged 38 
chief executive o fficer 
appointment to the board
mor was appointed as playtech’ s chief 
executive officer in may 2007
career
prior to being appointed ceo mor was 
the chief executive officer of one of the 
group’ s subsidiaries t echplay marketing 
ltd which required him to oversee the 
group’ s licensee relationship management 
product management for new licensees 
and the group’ s marketing activities 
before joining playtech mor worked for 
oracle for over four years initially as a 
development consultant and then as a 
product manager which involved creating 
sales and consulting channels on behalf 
of oracle israel and oracle europe the 
middle east and africa earlier in his career 
he worked in a variety of roles including 
as an auditor and financial consultant for 
pricewaterhousecoopers and a system 
analyst for t adiran electronic systems 
limited an israeli company that designed 
electronic warfare systems 
skills competences and experience
mor is a qualified accountant and brings 
considerable international sales and 
management experience in a hitech 
environment and extensive knowledge of 
the online gambling industry until june 
2013 he was a nonexecutive director 
of sportech plc as the company’ s 
representative and resigned when 
playtech disposed of its shareholding
board committees
he chairs the management board 
and attends the remuneration risk 
 compliance and nominations 
committees at the invitation of the chairs 
of those committees
ron hoffman aged 37 
chief financial o fficer 
appointment to the board
ron was appointed as playtech’ s chief 
financial officer on 1 january 2013 having 
joined the group in 2004 
career
ron is a qualified accountant and worked 
at ernst  young where he rose to the 
position of senior manager ron joined 
playtech shortly after its formation 
he spent eight years at playtech as 
vice president of finance managing 
the finance department including its 
listing on aim in 2006 the transition to 
the main market in 2012 and supporting 
the growth of the business through its 
operations acquisitions financial planning 
and reporting 
skills competences and experience
ron brings over ten years’ experience 
and expertise in relation to the online 
gambling industry he is responsible for 
the finance tax treasury and accounting 
teams at playtech and provides strategic 
and operational financial experience 
to the group including in relation to 
investment arrangements
board committees
ron sits on the management board 
and attends meetings of the audit 
committee and the risk  compliance 
committees at the invitation of the chairs 
of those committees financial statements
43
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governance strategic report
hilary stewartjones aged 52 
nonexecutive director
appointment to the board
hilary was appointed to the board in 
october 2013
career
hilary is a qualified solicitor and worked 
inhouse at labrokes plc becoming head 
of the inhouse gambling division before 
joining the law firm berwin leighton 
paisner llp as a partner in 2000 
she joined dla piper in 2011 and will 
remain a consultant with the firm when 
she leaves the partnership in may 2014 
ms stewartjones is recognised as a 
leading international expert in gambling 
law and has over 15 years’ experience 
advising companies on gambling 
related issues 
skills competences and experience
hilary brings considerable expertise in 
the regulation of online gambling around 
the world having advised many leading 
companies in the sector as well as in legal 
matters generally she enjoys an excellent 
relationship with many of the key industry 
regulators and is a regular speaker on 
gambling law and regulation
board committees
hilary is chair of the remuneration 
committee and of the risk  compliance 
committee and sits on the audit 
committee and nominations committee
andrew t homas aged 71  
senior nonexecutive director
appointment to the board
andrew was appointed to the board in june 
2012 shortly before the company’ s admission 
to the main list
career
andrew has enjoyed a career as an 
accountant and businessman much of 
which within the leisure industry  andrew is 
currently chairman of randalls limited a 
family owned pub company in jersey  where 
he lives andrew previously served as 
chairman of the the greenalls group plc 
and as a nonexecutive director of a number 
of private and public companies he is the 
founding partner of the cheshirebased 
accounting firm moors andrew thomas  
co llp  andrew is a member of the institute 
of chartered accountants in england  wales 
and a member of the institute of t axation
skills competences and experience
andrew combines many years detailed 
experience of advising on taxation 
matters with financial expertise both as a 
chartered accountant and sitting as a non
executive director of a number of publically 
listed companies 
board committees
andrew chairs the audit committee which 
oversees the work of the internal auditors and 
sits on the remuneration nomination and 
risk  compliance committees
he is also the senior independent non
executive director 44
playtech plc  
annual report and accounts 2013
g overnance
governan ce
dear shareholder
i am pleased on behalf of the board to present playtech’ s governance reports to shareholders at a time when breaches of corporate 
governance regularly appear in the news headlines and result in companies facing increasingly severe fines and regulatory scrutiny it is 
important that the group is managed with honesty and integrity the board recognises that high standards of corporate governance 
have become a necessary condition for sustainable success in business the group remains committed to supporting its licensees 
operating in regulated markets supporting operations in regulated jurisdictions and where required ourselves holding and maintaining 
regulatory licences requires sound governance and controls therefore a focus on ensuring that the group has an appropriate 
governance framework is a strategic imperative
our governance framework includes our code of conduct which was revised and updated during the year and a separate antibribery 
policy also adopted by the board are key to the way in which we work both in respect of our relationships with our customers and 
regulators and also with our colleagues across multiple jurisdictions these can both be found on our website at wwwplaytechcom
the board is therefore committed to maintaining high standards of corporate governance which it considers to be central to the 
effective stewardship of the business and to maintaining the confidence of stakeholders along with other companies in order to 
keep up the momentum of improving governance we need to move beyond simple compliance to ensuring that we have in place 
an appropriate governance structure that ensures the company protects the sustainability of its businesses and the communities in 
which it operates while maximising shareholder value and treating all shareholders fairly the board also sets the tone for the company 
the way in which it conducts itself its attitude to ethical matters its definitions of success and the assessment of appropriate risk all 
define the atmosphere within which the executive team works
in developing our framework for corporate governance and managing our business the board needs to strike a careful balance to 
ensure that shareholders and other stakeholders are appropriately protected by robust processes and procedures while providing an 
environment that fosters an entrepreneurial spirit that allows our senior management team and employees to continue to deliver the 
exceptional growth they have achieved over the recent past our approach therefore needs to enable us to clearly focus on the key 
risks facing the group and be flexible enough in our approach to accommodate changes resulting from developments in our strategy or 
changes in the regulatory environment
we have set out in the following sections how we seek to manage the principal risks and uncertainties facing the business more details 
on our governance framework and have sought to explain how our corporate governance practises support our strategy
alan jackson 
chairman 
20 february 2014
t he board recognises that high 
standards of corporate governance 
have become a necessary condition 
for sustainable success in business
alan jackson c hairman
❝
❞ f inancial statements
45
playtech plc  
annual report and accounts 2013
g overnance s trategic report
g overnance
directo rs’ go vernan ce repo rt
audit 
committee
remunerat ion 
committee
risk  
committee
discl osure  
committee
management  
committee
nominat ions 
committee
board
int roducti on
responsibility for corporate governance lies with the board which is committed to maintaining high standards of corporate governance 
and is ultimately accountable to shareholders in september 2012 the financial reporting council published the 2012 edition of the uk 
corporate governance code the “code” which contains broad principles and specific provisions to assist boards operate the code 
applied to playtech throughout the financial year ended 31 december 2013
co mpli ance st atement
we have made significant improvements during the year both to our board structure and our governance procedures and i am 
delighted to be able to report that many of the matters where we were not fully compliant as stated in our 2012 annual report no 
longer apply in particular since the retirement of roger withers and my appointment as chairman the company is considered to be 
fully in compliance with provision a31 of the code 
on the retirement of roger withers on 9 october 2013 hilary stewartjones was appointed as a nonexecutive director considered to 
be independent by the board ms stewartjones is a leading international expert in gambling law and has over 15 years’ experience 
advising companies on gambling related matters and is currently a partner in the firm of dla piper llp the “firm” although she has 
tendered her resignation from the partnership however she will remain at the firm as a parttime consultant the firm has provided 
regulatory and legal advice to the company from time to time however given the overall size of the firm and the relatively small scale of 
fees received this relationship is not considered to impact on her independence in addition in order to reinforce her independence it 
has been agreed that since her appointment hilary’ s remuneration from the firm would not be linked directly or indirectly to the receipt 
of fees from the group and that any potential residual conflicts will be managed carefully
in addition as disclosed in last year’ s report certain historic option awards made to executive directors all of which were made while 
the company was on the alternative investment market do not contain any performancerelated vesting conditions these awards 
have now almost entirely vested and been exercised the current policy of the remuneration committee as stated in its report 
on pages 57 to 69 is that vesting of all awards to directors and senior management should be dependent on the achievement of 
challenging performance criteria reflecting playtech’ s objectives including nonfinancial performance metrics where appropriate to align 
with the interests of shareholders generally
the company’ s auditor bdo llp  is required to review whether the above statement reflects the company’ s compliance with the 
code by the listing rules of the uk listing authority and to report if it does not reflect such compliance no such negative report has 
been made
the board is accountable to the company’ s shareholders for good governance and the statement set out below describes how the 
group applies the principles identified in the code
how we g overn the co mpany
our governance structure comprises the functions shown below supported by the group’ s policies and controls 46
playtech plc  
annual report and accounts 2013
g overnance
directo rs’ go vernan ce repo rt continued
t he board 
composition
as at 31 december 2013 the board comprised the nonexecutive chairman the chief executive officer the chief financial officer 
together with two independent nonexecutive directors the list of directors holding office during the year to 31 december 2013 their 
responsibilities are set out in the table below
all of the directors served throughout the financial year with the exception of roger withers who resigned on 9 october 2013 and 
hilary stewartjones who was appointed on the same date
the nonexecutive directors are all considered by the board to be independent of management and free of any relationship which 
could materially interfere with the exercise of their independent judgment as explained above 
the company secretary  legal counsel acts as secretary to the board and its committees and his appointment and removal is a 
matter for the board as a whole the company secretary  legal counsel is a member of group’ s senior management team and all 
the directors have access to his advice and services
board operati on
the roles of the chairman alan jackson and the chief executive officer mor weizer are separated clearly defined and their 
respective responsibilities are summarised below
chairman
•	 overall effectiveness of the running of the board
•	 ensuring the board as a whole plays a full part in the development and determination of the group’ s strategic objectives
•	 keeping the other directors informed of shareholders’ attitudes towards the company
•	 safeguarding the good reputation of the company and representing it both externally and internally
•	 acting as the guardian of the board’ s decision making processes and
•	 promoting the highest standards of integrity probity and corporate governance throughout the company and particularly at 
board level
chief executive officer
•	 executive leadership of the company’ s business on a day to day basis
•	 developing the overall commercial objectives of the group and proposing and developing the strategy of the group in conjunction 
with the board as a whole
•	 responsibility together with his senior management team for the execution of the group’ s strategy and implementation of 
board decisions
•	 recommendations on senior appointments and development of the management team and
•	 ensuring that the affairs of the group are conducted with the highest standards of integrity probity and corporate governance
director’s name t itle
alan jackson nonexecutive chairman
mor weizer executive director chief executive officer
ron hoffman executive director chief financial officer
hilary stewartjones nonexecutive director
andrew thomas nonexecutive senior independent director
roger withers nonexecutive chairman until 9 october 2013 financial statements
47
playtech plc  
annual report and accounts 2013
governance strategic report
month matters considered
february consideration of valuation to be put on the company’ s 29 interest in william hill online and agreement on a price of 
approximately £424 million
march approval of terms of agreements with ladbrokes plc
receiving the recommendation from the audit committee in respect of the effectiveness of the company’ s risk 
management and internal controls the adoption of the going concern statement impairment and reappointment of 
the auditors
review of the 2012 financial results and approval of the annual report  accounts
consideration of the final dividend
approval of notice of agm and resolutions to be put to the meeting
april consideration of the group’ s banking and treasury arrangements including in relation to proceeds of sale of the 
company’ s 29 interest in william hill online
consideration of potential acquisitions
approval of plans to restructure and increase the capacity of the group’ s software development capabilities
receive and approve plans for the implementation of new sales processes and restructuring of sales teams
consideration of the strategic plan for videobet
may consideration of potential partnership opportunities
preparation for the agm
approval of trading statement 
june consideration of recommendations from canaccord genuity regarding possible return of capital to shareholders and 
timing thereof
consideration of proposed acquisition of poker strategy and appointment of committee to finalise terms of the 
acquisition
review of potential opportunities in newly regulated markets and associated costs
july board succession
consideration and approval of proposals to establish a social gaming operation and associated budget impact
receive ceo’ s strategic update on the group’ s operations and opportunities
august finance review including consideration of the interim results
consideration of interim dividend
consideration of various acquisition opportunities
october directorate change
receiving reports on the progress of the agreements with ladbrokes plc
review of relationships with significant licensees
november consideration of the impact of changes in the uk gambling licensing and taxation regime on the group
consideration of various acquisition opportunities
consideration of proposed changes to listing rules in particular as these impacted the company’ s relationship 
agreement with brickington trading limited
approval of revised code of conduct and antibribery policy 48
playtech plc  
annual report and accounts 2013
g overnance
directo rs’ go vernan ce repo rt continued
how the board functi ons
in accordance with the code the board is collectively responsible for the longterm success of the company the board provides 
entrepreneurial leadership for the company within a framework of prudent and effective controls that enable risk to be assessed and 
managed the board sets the company’ s strategic aims and ensures that the necessary resources are in place for the company to 
meet its objectives and reviews management performance
the board meets regularly and frequently with 8 meetings scheduled and held in 2013 during the year it was also necessary for 
the board to hold an unscheduled board meeting by telephone in accordance with the articles of association in connection with the 
approval of the budget for 2013 the exercise by william hill plc of its option to acquire the company’ s 29 stake in william hill online 
the disposal of the group’ s shareholding in sportech plc and other matters 
during the year the chairman met the other nonexecutives in the absence of the executive directors to reconfirm and take account of 
their views all nonexecutive directors have sufficient time to fulfil their commitments to the company
in addition to receiving reports from the board’ s committees reviewing the financial and operational performance of the group and 
receiving reports on legal regulatory and investor relations matters at the board meetings the following other matters were considered 
by the board during 2013 are set out in the table on the previous page
board meetings are generally held at the registered office of the company on the isle of man though during the year a meeting was 
held in estonia giving the board an opportunity of reviewing the group’ s operations and facilities in t artu and t allin and a meeting was 
held in barcelona in conjunction with a major european gambling conference that gave the nonexecutive directors an opportunity to 
broaden their knowledge of the european gambling industry 
directors are provided with comprehensive background information for each meeting and all directors were available to participate fully 
and on an informed basis in the board decisions in addition certain members of the senior management team including the chief 
operating officer the general counsel the head of regulatory affairs and compliance and the head of investor relations are invited 
to attend the whole or parts of the meetings to deliver their reports on the business any specific actions arising during meetings are 
agreed by the board and a comprehensive followup procedure ensures their completion
details of the attendance of the directors at meetings of the board and its committees are set out in the table below
board audit remuneration nomination risk
number of meetings
roger withers
1
7 of 8 2 of 2 4 of 5 2 of 2 2 of 4
alan jackson 8 of 8 2 of 2 5 of 5 2 of 2 4 of 4
mor weizer 8 of 8    
ron hoffman 8 of 8    
andrew thomas 8 of 8 2 of 2 5 of 5 2 of 2 4 of 4
hilary stewartjones
2
2 of 8  1 of 5  2 of 4
1 resigned 9 october 2013
2 appointed 9 october 2013
res ponsibility and deleg ati on
the chairman is primarily responsible for the efficient functioning of the board he ensures that all directors receive sufficient relevant 
information on financial business and corporate issues prior to meetings the chief executive officer’ s responsibilities focus on 
coordinating the group’ s business and implementing group strategy regular interaction between the chairman and chief executive 
officer between meetings ensures the board remains fully informed of developments in the business at all times
there remains in place a formal schedule of matters specifically reserved for board consideration and approval which includes the 
matters set out below
•	 approval of the group’ s long term objectives and commercial strategy
•	 approval of the annual operating and capital expenditure budgets and any changes to them
•	 major investments or capital projects
•	 the extension of the group’ s activities into any new business or geographic areas or to cease any material operations
•	 changes in the company’ s capital structure or management and control structure
•	 approval of the annual report and accounts preliminary and halfyearly financial statements interim management statements and 
announcements regarding dividends financial statements
49
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annual report and accounts 2013
governance strategic report
•	 approval of treasury policies including foreign currency exposures and use of financial derivatives
•	 ensuring the maintenance of a sound system of internal control and risk management
•	 the entering into of agreements that are not in the ordinary course of business or material strategically or by reason of their size
•	 changes to the size composition or structure of the board and its committees and
•	 corporate governance matters
in addition the board has adopted a formal delegation of authorities’ memorandum which sets out levels of authority for employees in 
the business
the board has delegated certain of its responsibilities to a number of committees of the board to assist in the discharge of its duties 
the principal committees currently are the audit committee the remuneration committee the risk  compliance committee and 
the nomination committee the minutes of each of these committees are circulated to and reviewed by the board the company 
secretary  legal counsel is secretary to each of these committees the t erms of reference for each of the committees are available 
to view on the company’ s website wwwplaytechcom
audit c ommittee
the audit committee’ s key objectives are the provision of effective governance over the appropriateness of the group’ s financial 
reporting including the adequacy of related disclosures the performance of both the internal and external audit function and the 
management of the group’ s systems of internal control business risks and related compliance activities
the audit committee’ s report is set out on pages 54 to 56 and details the audit committee’ s membership activities during the year 
significant issues that it considered in relation to the financial statements and how those issues were addressed the report also 
contains an explanation of how the committee assessed the effectiveness of the external audit process and the approach taken in 
relation to the appointment or reappointment of the auditors
remune rati on c ommittee
the remuneration committee is responsible for making recommendations to the board on remuneration policy for the chairman 
executive directors and senior management 
the directors’ remuneration report is set out on pages 57 to 63 and details the remuneration committee’ s membership activities 
during the year and the policy on remuneration the chairman of the remuneration committee attends the agm to respond to any 
shareholder questions that might be raised on the remuneration committee’ s activities
risk  c ompli ance c ommittee report
under the code the board is responsible for determining the nature and extent of the significant risks it is willing to take in achieving its 
strategic objectives the board should maintain a sound system of risk management and internal control systems main principle c2
as part of its processes in connection with playtech’ s move from aim to a premium listing on the main market of the london stock 
exchange and ensuring compliance with the principles of the code the board conducted a review of its processes for identifying and 
managing the significant risks impacting on the business of the group following this review the board concluded that the remit of the 
previous risk committee of the board should be expanded to encompass a more significant review of the risks which could impact on 
the group’ s businesses arising from changes in the regulation of online gambling in the markets in which it and its licensees operate 
the revised risk  compliance committee was chaired by alan jackson up until his appointment as the chairman of the company 
when he stood down from the chair of the committee but remains a member hilary stewartjones took over as the chairman of 
the committee on her appointment on 9 october 2013 the other members of the committee are andrew thomas nonexecutive 
director david mcleish general counsel and ian ince head of regulatory affairs and compliance mr ince recently joined the 
company from sportingbet plc where he had been responsible for the regulatory and compliance function for over three years 
the company secretary  legal counsel paul wright is secretary to the committee 
in addition pwc llp  in their capacity as providers of internal audit services and executives of the group including jochanan 
sommerfeld chief information officer the chief executive officer chief financial officer and chief operating officer may be invited to 
attend meetings to present matters or for the committee to have the benefit of their experience
the primary responsibilities delegated to and discharged by the committee include 
•	 review management’ s identification and mitigation of key risks to the achievement of the company’ s objectives
•	 monitoring incidents and remedial activity
•	 agreeing and monitoring the risk assessment programme including in particular changes to the regulation of online gambling and 
the assessment of licensees’ suitability 50
playtech plc  
annual report and accounts 2013
g overnance
directo rs’ go vernan ce repo rt continued
•	 t o agree on behalf of the board and continually review a risk management strategy and relevant policies for the group including the 
employee code of conduct antibribery policy antimoney laundering policy and wider social responsibility issues and
•	 t o satisfy itself and report to the board that the structures processes and responsibilities for identifying and managing risks 
are adequate
a copy of the terms of reference of the risk  compliance committee is available from the company’ s website wwwplaytechcom 
the risk  compliance committee met four times during the year and a summary of the matters considered by the committee are set 
out below
•	 monitoring the regulatory position in a number of jurisdictions including those which are of relative importance to the group financially 
and those where changes may represent a risk or opportunity for the group
•	 consideration of the costs and regulatory requirements for the group to seek relevant licenses in newly regulating markets
•	 applications by or on behalf of the group for licenses in existing or newly regulated markets
•	 monitoring developments in relation to changes in the regulatory regime in the united kingdom and receiving reports in relation to 
the likely impact on the group and the need for entities within the group to apply for licenses
•	 consideration of the overall effectiveness of the compliance strategy and the regulatory risks to the group’ s operations and revenues
•	 receiving and considering reports on discussions with and the results of audits by regulators
•	 consideration and approval of proposed new code of conduct and antibribery policy and of plans for implementation of enhanced 
training in these areas
•	 reviewing reports by pwc as external advisers on risk management on its review and testing of internal security controls and 
processes in the group’ s key development centres including assessment of the risks of unauthorised access to the systems or loss 
of intellectual property assets and proposed steps to be taken to mitigate any risks identified
•	 reviewing reports by pwc as external advisers on risk management on its review of business continuity plans at the group’ s 
development facilities and proposals for the enhancement andor improvement of such plans and
•	 consideration of the risks identified from the group’ s risk register and of the effectiveness of actions taken to mitigate such risks
the committee has been kept informed of any changes to the regulatory position in any significant jurisdiction where the group 
through its licensees may be exposed and updated on progress in relation to agreed action items on a regular basis and the item is 
a standing agenda item for consideration at each board meeting it can also convene meetings on a more frequent basis or as when 
matters arise if it is determined that enhanced monitoring of a specific risk is warranted
princi pal risks
a table setting out the principal significant risks identified by the risk  compliance committee and the mitigating actions that have 
been undertaken by the group in relation to these is set out on pages 34 and 35 of this document
n omin ati on c ommittee
the board is required by the code to establish a nomination committee which should lead the process for board appointments and 
make recommendations for appointments to the board a majority of members of the nomination committee should be independent 
nonexecutive directors the nomination committee’ s key objective is to ensure that the board comprises individuals with the 
necessary skills knowledge and experience to ensure that it is effective in discharging its responsibilities 
the nomination committee comprises alan jackson chairman and all of the nonexecutive directors in office at the date of this 
report roger withers was chairman of the nomination committee until he retired on 9 october 2013
the nomination committee meets on an as needed basis and members’ attendance is set out in the table on the previous page 
the nominations committee reviews the structure size and composition of the board and its committees and makes 
recommendations with regard to any changes considered necessary in the identification and nomination of new directors the 
reappointment of existing directors and appointment of members to the board’ s committees it also assesses the roles of the existing 
directors in office to ensure that there continues to be a balanced board in terms of skills knowledge experience and diversity 
the nomination committee reviews the senior leadership needs of the group to enable it to compete effectively in the marketplace 
the nomination committee also advises the board on succession planning for executive director appointments although the board 
itself is responsible for succession generally financial statements
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the nominations committee met twice in 2013 one meeting focused on the consideration of candidates for the appointment of an 
additional nonexecutive director that led after a process involving the review of a number of potential candidates to the appointment 
of hilary stewartjones consideration was given to whether hilary would have sufficient time available to devote to her duties and 
her independence it was felt that hilary’ s extensive regulatory experience as a leading lawyer in the field of gambling would provide 
a valuable addition to the board in particular as roger withers was standing down from the board and so the board would lose his 
extensive industry experience in addition hilary would enhance the diversity of viewpoints around the boardroom table
in addition the committee considered the formal establishment of a management committee consisting of senior managers in the 
business it is considered that the establishment of a formal committee will assist in the identification and development of suitable 
candidates for executive roles within the company and the overall composition of the board and senior management team in terms 
of nationality gender experience independence and skillsets at this stage the nomination committee has not set itself any formal 
targets for diversity including gender and believes that appointments should be based on merit compared against objective criteria 
with the ultimate aim of ensuring the board has the right skills knowledge and experience that enable it to discharge its responsibilities 
properly consideration of the benefits of diversity on the board in all its aspects including gender will be an important part of 
this process 
discl osu re c ommittee
the disclosure committee ensures accuracy and timeliness of public announcements of the company and monitors the company’ s 
obligations under the listing rules and disclosure and transparency rules of the uk listing authority meetings are held as required 
at the date of this report the disclosure committee comprises andrew thomas chairman of the audit committee ron hoffman 
chief financial officer david mcleish general counsel paul wright company secretary  legal counsel and adam kay head of 
investor relations
man agement c ommittee
the senior management committee has recently been established to further improve the group’ s decision making processes and it is 
the key management committee for the group and comprises the executive directors of the company the members of the committee 
are mor weizer chief executive officer ron hoffman chief financial officer shay segev chief operating officer shimon akad vp 
operations david mcleish general counsel paul wright company secretary  legal counsel and ian ince head of regulatory 
affairs and compliance the committee considers and discusses plans coming from the operational side of the business and from the 
various product verticals in the light the group’ s strategy and capital expenditure and investment budgets including the implications 
of those plans in areas such as resources budget legal and compliance the committee either approves the plans or as necessary 
refers the proposal for formal board review and approval in accordance with the company’ s formal matters reserved for the board 
the formal minutes of the committee are circulated to the board after meetings
board t enu re
in accordance with the articles of association every new director appointed in the year is required to stand for reelection by 
shareholders at the annual general meeting “agm” next following their appointment accordingly hilary stewartjones will stand for 
reelection at this year’ s agm also under the articles of association at each agm onethird of the directors excluding any director 
who has been appointed by the board since the previous agm or if their number is not an integral multiple of three the number 
nearest to onethird but not exceeding onethird shall retire from office but so that if there are fewer than three directors who are subject 
to retirement by rotation under the articles one shall retire 
notwithstanding the provisions of the articles of association the board has decided to comply with the code requirements that 
directors of companies in the ftse350 index submit themselves for reelection annually therefore all the directors are seeking their 
reappointment at this year’ s agm
the board has collectively agreed that the directors proposed for reelection at this year’ s agm have made significant contributions to 
the business since their last reelection and each has a key role to play in the formulation of the group’ s future strategy
in certain circumstances directors are entitled to seek independent professional advice under an agreed board procedure which 
would then be organised by the company secretary  legal counsel and in this regard the company would meet their reasonable 
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g overnance
directo rs’ go vernan ce repo rt continued
board effecti veness
board balance
the board comprises individuals with wide business experience gained in various industry sectors related to the group’ s current 
business and it is the intention of the board to ensure that the balance of the directors reflects the changing needs of the business 
with this in mind recognising the increasing importance of regulation of online gambling to the company and its licensees following 
the recommendation of the nominations committee hilary stewartjones was appointed to the board hilary has brought to board 
discussions a wealth of insight into regulatory matters and the potential strategic impact of changes in the legal and regulatory 
landscape of the gambling industry 
the board considers that it is of a size and has the balance of skills knowledge experience and independence that is appropriate for 
the group’ s current business while not having a specific policy regarding the constitution and balance of the board potential new 
directors are considered on their own merits with regards to their skills knowledge experience and credentials 
the nonexecutive directors continue to contribute their considerable collective experience and wideranging skills to the board and 
provide a valuable independent perspective where necessary constructively challenging proposals policy and practices of executive 
management in addition they help formulate the group’ s strategy 
evalu ati on
the board is committed to an ongoing evaluation process of itself and its committees to assess their performance and identify areas in 
which their effectiveness policies and processes might be enhanced prior to his departure as chairman roger withers in discussion 
with the senior nonexecutive director undertook a review of the performance of individual directors alan jackson as senior non
executive director considered the performance of mr withers taking into account the views of the executive directors there were no 
material areas of concern highlighted and the main outcome of the evaluation this year was to shape and define the board’ s objectives 
for the coming year continuing the focus on group strategy and ensuring the structures capabilities and reporting are in place to 
achieve the board’ s goals an external evaluation of the board has not been held in the past however it is the board’ s intention that an 
external facilitator will be used during the course of 2014
newly appointed directors can expect a detailed and systematic induction on joining the board they meet various members of senior 
management and familiarise themselves with all core aspects of the group’ s operations on request meetings can be arranged with 
major shareholders in 2013 following hilary stewartjones’ s appointment meetings were set up with the company’ s auditors and 
visits were arranged for her to the group’ s offices in estonia and the uk to better understand group operations and a trip to israel is 
planned for later in 2014
rel ati onshi p with sh areh olde rs
primary responsibility for effective communication with shareholders lies with the chairman but all the company’ s directors are 
available to meet with shareholders throughout the year following his appointment as chairman alan jackson met with a number of 
shareholders to discuss the company’ s business strategy in particular the chief executive officer and chief financial officer prepare 
a general presentation for analysts and institutional shareholders following the interim and preliminary announcements details of these 
presentations together with the group’ s financial statements and other announcements can be found on the investor relations section 
of the company’ s website further presentations are also prepared following significant acquisitions and whenever the board considers 
it beneficial to shareholders to do so regular meetings with shareholders and potential shareholders are also held by the head of 
investor relations and in conjunction with either the chief executive officer or the chief financial officer 
the company endeavours to answer all queries raised by shareholders promptly
the company’ s largest shareholder is brickington trading limited “brickington” brickington is a wholly owned subsidiary of a trust 
one of the ultimate beneficiaries of which is t eddy sagi one of the group’ s founders in connection with the company’ s admission 
to the main list the company canaccord genuity limited and brickington entered into a relationship agreement pursuant to which 
brickington has agreed that i it will vote its shares in such a manner so as to procure that each member of the group is capable of 
carrying on its business independently of brickington and its associates and ii it will not exercise any of the voting rights attaching to its  financial statements
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shares in such a manner so as to procure any amendment to the articles of association which would be inconsistent with undermine or 
breach any of the provisions of the relationship agreement brickington has also agreed that all transactions and relationships between 
it or any of its associates and the company will be on arm’ s length terms and on a normal commercial basis the board believes that 
the provisions of the relationship agreement provides reassurance that brickington will not seek to exercise its shareholding capriciously 
and reenforces the independence of the company
separately mr sagi has entered into an agreement with the company pursuant to which he will as and when requested to do so 
by the company provide advisory services to the company for a nominal fee of €100 per annum until either mr sagi ceases to be 
interested whether legally or beneficially in any ordinary shares or either party terminates the agreement following its fifth anniversary 
whichever is the earlier during the year the company has sought advisory services on occasion in relation to certain significant 
strategic opportunities and transactions
shareholders are encouraged to participate in the company’s annual general meeting at which the chairman will present 
the key highlights of the group’ s performance the board will be available at the annual general meeting to answer questions 
from shareholders
in vest or rel ati ons and c ommunic ati ons
the company has wellestablished investor relations “ir” processes which support a structured programme of communications 
with existing and potential investors and analysts executive directors and members of the ir team participated in a number of 
investor events attending industry conferences and regularly meet or are in contact with existing and potential institutional investors 
from around the world ensuring that group performance and strategy is effectively communicated within regulatory constraints 
other representatives of the board and senior management meet with investors from time to time the head of ir provides regular 
reports to the board on related matters issues of concern to investors and analyst’ s views and opinions 
whenever required the executive directors and the chairman communicate with the canaccord genuity to confirm shareholder 
sentiment and to consult on governance issues 
during 2013 fortynine regulatory announcements were released informing the market of acquisitions corporate actions important 
customer contracts financial results the results of annual general meetings and board changes copies of these announcements 
together with other ir information and documents are available on the group website wwwplaytechcom 
summ ary
in presenting this report and having monitored reviewed or approved all shareholder communications in 2013 and since the end of 
the financial year the board is confident that it has presented a balanced and understandable assessment of the company’ s position 
and prospects
alan jackson 
chairman 54
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g overnance
audit committ ee repo rt
co mpositi on
the audit committee comprises three independent nonexecutive directors and is chaired by andrew thomas who is a qualified 
chartered accountant and member of the institute of t axation therefore andrew has recent relevant financial experience in 
compliance with the code provision c31 and was appointed to chair the committee on his appointment to the board in june 
2012 the other members of the audit committee are alan jackson and hilary stewartjones both nonexecutive directors 
during the year while he was a nonexecutive director roger withers sat on the committee the code recommends that a minimum 
of three independent nonexecutive directors should serve on the audit committee and the company is now compliant with 
this recommendation
the chief financial officer attended all meetings of the audit committee by invitation and the group financial controller was invited 
to attend the meeting of the committee that considered the audited accounts and the interim statement as was the external auditor 
bdo llp “bdo” the members of the committee were also able to meet the auditors without any executive directors being present 
in order to receive feedback from them on matters such as the quality of interaction with management the chairman of the committee 
also met with bdo separately on several occasions to discuss matters involving the audit process
during the year the chairman of the audit committee met individually and in private with management in order to understand more 
fully the context and challenges of playtechs’ business operations and thereby ensure the committee’ s time was used most effectively 
he also visited various parts of the business and met informally with a number of members of management below board level to 
gain a deeper insight into areas relevant to the role of the committee the activities of the committee members during the last year 
have enabled it to gain a good understanding of the culture of the organisation the risks and challenges faced and the adequacy and 
timeliness of the action being taken to address them
res ponsibilities
the audit committee’ s primary function is to assist the board in fulfilling its financial oversight responsibilities the board is required 
by the code to establish formal and transparent arrangements for considering how it should apply required financial reporting 
standards and internal control principles and also for maintaining appropriate relationships with the company’ s external auditors bdo 
the committee’ s terms of reference can be viewed on the company’ s website wwwplaytechcom
in particular the code calls for the description of the work of the audit committee to include the significant issues considered in relation 
to the financial statements and how they were addressed how the committee assessed the effectiveness of the external audit 
process and the approach of the committee to appointing the auditors and how objectivity and independence are safeguarded relative 
to nonaudit services
the primary responsibilities delegated to and discharged by the committee included 
•	 monitoring and challenging the effectiveness of internal control and associated functions 
•	 approving and amending group accounting policies 
•	 reviewing and ensuring the integrity of interim and annual financial statements in particular the actions and judgments of 
management in relation thereto before submission to the board
•	 monitor the implementation of the company’ s code of business ethics “code of ethics” and compliance with their provisions
•	 review the company’ s arrangements for its employees to raise concerns anonymously or in confidence and without fear of 
retaliation about possible wrongdoing in financial reporting or other matters arising under the code of ethics
•	 review promptly all reports on the company from the internal auditors and reviewing and assess the annual internal audit plan
•	 monitoring and approving the scope and costs of audit and 
•	 ensuring audit independence and preapproving any significant nonaudit services to be provided by the auditor in accordance with 
the appropriate committee policy to limit the value of any nonaudit services provided by the auditors to 100 of the audit fees in the 
absence of any exceptional circumstances 
andrew t homas  
c hairman of audit c ommittee financial statements
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audit c ommittee acti vities
in 2013 the audit committee met formally twice and informally twice its work included reviewing the final and interim financial 
statements and matters raised by management and bdo these included consideration of the following key judgements applied in the 
preparation of the consolidated financial statements which are described in the relevant accounting policies and detailed in the notes to 
the financial statements on pages 79 to 110
revenue recognition
the audit committee reviewed the judgements made in respect of revenue recognition in particular to assess the recognition of 
revenue from turnkey and other contracts where the group is to be remunerated other than by way of a simple revenue share 
arrangement and undertook a review of key contracts following this review the committee concluded that the timing of revenue 
recognition continues to be in line with ifrs requirements bdo performed detailed audit procedures on revenue recognition and 
reported their findings to the committee which was satisfied as a result of the review process that the approach taken by the group in 
the financial statements was appropriate
goodwill  intangible assets
during the year the audit committee also considered the judgements made in relation to the valuation methodology adopted by 
management to support the carrying value of goodwill other intangible assets and the investments in subsidiaries to determine whether 
there was a risk of material misstatement in the carrying value of these assets and whether an impairment should be recognised 
the committee considered the assumptions estimates and judgements made by management to support the models that underpin 
the valuation of intangible assets in the balance sheet the key assumptions applied in the calculation relate to the future performance 
expectations of the business unit business plans and cashflow forecasts prepared by management supporting the future 
performance expectations used in the calculation were reviewed the committee received a report on the outcome of the impairment 
review performed by management the impairment review was also an area of focus for the external auditor who reported their findings 
to the committee the committee satisfied itself that no material impairments were required to the carrying value of investments 
goodwill or other intangible assets 
legal  regulatory
given the developing nature of the gambling sector in many countries across the world there is a risk that potential material legal or 
regulatory matters are not disclosed or provided for in the financial statements and therefore the committee considered with the  
group’ s compliance and legal departments whether there were any known instances of material breaches in regulatory and licence 
compliance that needed to be disclosed or other claims that required provisions to be made in the financial statements in particular the 
committee considered forthcoming changes in the regulatory environment in a number of jurisdictions in which the group’ s licensees  
operate in particular in the united kingdom where a new licensing regime is being introduced that will require the group to obtain 
regulatory licenses as a software provider and also to provide its poker and bingo networks the committee considered the control 
systems adopted to identify potential regulatory issues and the compliance control systems operating in the group discussions were 
held with both the head of regulatory affairs and compliance and the general counsel following this review the committee were 
satisfied that adequate provisions and disclosures were being made for any potential contingent liabilities
tax
the audit committee reviewed and approved the overall tax management and strategy of the group during the year in light of the 
external and internal advice sought by management and reviewed how the group considers tax as part of its overall business planning 
consideration was given to transfer pricing studies carried out on behalf of the group in the period and assessed in respect of earlier 
studies whether there had been any change in the basis of operations in the relevant territories 
other matters that were considered by the committee during the year included
•	 the valuation of available for sale investments held by the group
•	 the appropriate treatment for the proceeds arising from the sale of the group’ s interests in william hill online and sportech plc
•	 the management of the group’ s cash balances in particular the effectiveness of the group’ s treasury management and hedging 
practises and stability of the group’ s banking relationships
•	 the effectiveness of the group’ s system of internal controls and risk management
•	 updates on people risk and cybersecurity risks
•	 the results of internal audit reviews management action plans to resolve any issues arising and the tracking of their resolution and
•	 the group’ s policies for preventing fraud bribery its employee code of conduct and its business ethics and antibribery policy 56
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annual report and accounts 2013
g overnance
audit committ ee repo rt continued
inte rn al co nt rol
the company has established a cosourced internal audit function responsible for reviewing reporting and monitoring improvements in 
internal control performance across its operations involving pricewaterhousecoopers llp “pwc” and the group’ s chief information 
officer jochanan sommerfeld 
during the year pwc were engaged to perform a review of the organisation’ s centralised information security controls in place 
nonspecific to a location or product this work included a focus on the group’ s data loss prevention dlp tools static code analysis 
tools management of ddos distributed denial of service attacks and security incident and event monitoring in addition pwc 
undertook a workshop to provide an indication of the overall status and maturity of the business continuity framework within the 
group the output of these workstreams was considered by the audit committee along with the members of the risk  compliance 
committee and in the light of recommendations made by the internal auditor certain actions were agreed in mitigation of identified risks 
and to enhance existing processes further work being undertaken focuses on key risk processes and is intended to provide an on
going independent assurance that these key processes are effective 
the board confirms that any necessary action will be taken to remedy any significant failings or weaknesses identified from the 
review this system of internal controls and audit is designed to ensure local legal and regulatory compliance and manage rather than 
eliminate the risk of failure to achieve business objectives it can therefore only provide reasonable and not absolute assurance against 
material misstatement or loss 
audit or’s inde pendence
the audit committee on behalf of the board undertakes a formal assessment of the auditor’ s independence each year which includes
•	 a review of nonaudit related services provided by bdo and related fees
•	 discussion with the auditor of a written report detailing all relationships with the company and any other parties which could affect 
independence or the perception of independence
•	 a review of the auditor’ s own procedures for ensuring independence of the audit firm and partners and staff involved in the audit 
including the rotation of the audit partner
•	 obtaining written confirmation from the auditors that they are independent and
•	 a review of fees paid to the auditors in respect of audit and nonaudit services
during the year the auditors undertook certain specific pieces of nonaudit work none of which exceeded the nonaudit work threshold 
level referred to above and details of which are contained on page 93 of the financial statements
bdo were selected to undertake these tasks due to their familiarity with the gambling industry and in relation to taxation matters their 
alignment with work carried out under the audit in order to maintain bdo’ s independence and objectivity bdo undertook its standard 
independence procedures in relation to those engagements further detail of the nonaudit fees is included in note 6 to the financial 
statements on page 93
the audit engagement partner having acted in this role for five years would cease to act in this capacity in accordance with auditing 
practices board apb ethical standards as disclosed in the 2012 report  accounts the audit committee determined with the 
agreement of bdo llp  that it is necessary for the current audit engagement partner to continue in this role until the agm in 2014 
in order to safeguard audit quality as permitted by the apb ethical standard 3 revised this will allow him to sign the report and 
accounts for the year ended 31 december 2013 
the audit committee will continue to assess the effectiveness and independence of the external auditors in doing so the audit 
committee will consider a formal tender process in accordance with the provisions of the uk corporate governance code 2012 
the audit committee will comply with the competition commission order relating to the statutory audit market for ftse 350 
companies which is expected to come into effect from 1 october 2014 under the transitional arrangements the audit committee 
expects a formal tender process to be held no later than two years from the end of the current audit engagement partner rotation 
period as partner rotation is due in the year ended 31 december 2014 a tender process is expected to be held no later than 2018
andrew t homas  
chairman of audit committee financial statements
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g overnance
remun era tio n repo rt
dear shareholder
i am pleased to present the directors’ remuneration report for the year to 31 december 2013 to shareholders on behalf of the board 
this is my first report to shareholders as chairman of the remuneration committee having taken over from alan jackson on  
9 october 2013 and i would like to thank him for his contribution and for his support since stepping down
business performance 
this has been another important year in the development of playtech with the group receiving approximately £424 million for the 
group’ s stake in william hill online following completion of a valuation process this outcome delivered a cashoncash return of more 
than 35 times including the share of profits received and excluding software royalties in recognition of the significant value created by 
this transaction the board announced a special dividend to shareholders on 20 february 2014 
the underlying performance of the business has also been very strong in the year with revenues increasing 16 and adjusted ebitda 
for the year excluding the contribution from william hill online increasing by 17 well ahead of the targets set by the board at the 
outset of the financial year this exceptional outcome has been achieved through the efforts of a talented leadership team 
philosophy
our remuneration policy  which is set out in more detail in this report is designed to reward the contributions of senior management 
but also to incentivise them to maintain playtech’ s position as the software and services provider of choice to the gambling sector  as a 
company operating in the gambling sector  playtech takes its social responsibilities seriously and our remuneration policies reflect a 
continued commitment to responsible gambling through our own and industry initiatives remuneration is delivered via modest fixed 
remuneration and incentivebased remuneration enabling the executives to be rewarded for delivering superior financial performance and 
returns to shareholders the committee believes these measures reinforce the company’ s strategy to create a business with significant 
scale and a full product and service capability  underpinned by a preeminent technology platform
in common with many remuneration committees we have been particularly conscious of the environment for pay in listed companies 
we have monitored closely the policy statements received from our shareholders and have sought to respond to the government’ s 
consultations on executive pay this report as required by the uk corporate governance code introduced by the financial reporting 
council in june 2010 the “code” describes how the board has applied the principle of the code to director’ s remuneration 
on 1 october 2013 the department of business innovation and skills implemented new directors’ remuneration regulations in the 
uk which require companies incorporated in the uk to disclose additional information surrounding remuneration although playtech is 
an isle of man incorporated entity and as such is not required to comply with the new uk regulations we recognise the importance of 
shareholder transparency in that regard the company intends to comply with the new uk regulations and the report below is divided 
into a section that reports on the implementation of the company’ s stated remuneration policy and a section setting out the company’ s 
remuneration policy for approval
given the strong financial performance of the business the delivery of a substantial return on investment from william hill online and the 
other important strategic steps that the group has taken through the year the remuneration committee considered that the executive 
directors had satisfied both the financial targets and the other strategic objectives given to them for the year including strengthening the 
group’ s regulatory functions and ethical policies accordingly a maximum bonus has been approved by the committee no material 
changes are proposed to the remuneration policy from that presented last year further details of the company’ s remuneration policy 
and structure are provided in the report
we believe that the remuneration policy and incentive framework we are putting in place is working well to support the company’ s 
strategy in the current economic environment is helping to retain and motivate our management team and is helping to drive strong 
returns for our shareholders separate resolutions will be put to shareholders at the annual general meeting on 21 may 2014 inviting 
them to approve the remuneration policy and the implementation report 
hilary stewartjones 
on behalf of the remuneration committee
hilary stewartjones 
on behalf of the remuneration committee 58
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remun era tio n poli cy repo rt
remune rati on p olicy re port
the remuneration committee reviews the company’ s remuneration philosophy and structure each year to ensure that the 
remuneration framework remains effective in supporting the company’ s strategic objectives is in line with best practice and fairly 
rewards individuals for the contribution that they make to the business having regard to the international nature size and complexity of 
the group’ s operations and the need to attract and motivate employees of the highest calibre remuneration packages are designed to 
reward executive directors and members of the senior management team fairly for their contributions whilst remaining within the range 
of benefits offered by similar companies in the sector 
the committee believes that the individual contributions made by executive directors and senior executives are fundamental to the 
successful performance of the company the committee after discussion with the executive directors and its advisers new bridge 
street has therefore adopted a remuneration policy with the following objectives
•	 pay executives competitively recognising that they have highly marketable skills to companies already in and those considering 
entry to the online gambling industry but acknowledge local market levels and where appropriate practices
•	 incentivise and reward behaviours that will contribute to superior company performance
•	 avoid the need to make ad hoc payments outside the formal structure
•	 enable the company to attract and retain international executives at the required calibre particularly in potential new markets
•	 be simple and understandable 
•	 provide good lockin of key employees through deferred elements and
•	 avoid reward for failure
the committee believes that it’ s remuneration policy creates a coherent and appropriate framework for remunerating directors and 
senior executives of the company and draws a clearer link between performance and reward the details of this policy are clearly set 
out in the following pages a separate resolution will be put to shareholders at the annual general meeting on 21 may 2014 “agm” to 
approve the policy which if approved will take effect from the date of the agm and will apply until shareholders next consider and vote 
on the policy
the committee considers that the targets set for the different components of performance related remuneration are both appropriate 
and sufficiently demanding in the context of the business environment and the challenges with which the group is faced as well as 
complying with the provisions of the code
remune rati on p olicy f or executi ve direct ors
at a glance
element  maximum purpose and l ink to strategy operation maximum performance targets
salary ∙  t o attract retain and 
motivate high calibre 
individuals for the role and 
duties required
∙  t o provide market 
competitive salary relative 
to the external market
∙  t o reflect appropriate 
skills development and 
experience over time
∙  normally reviewed annually 
by the committee 
effective in june
∙  t akes account of the 
external market and other 
relevant factors including 
internal relativities and 
individual performance
∙  other than when an 
executive changes roles 
or where benchmarking 
indicates individual salaries 
require realignment 
annual increases will 
not exceed the general 
level of increases for the 
group’ s employees taking 
into account the country 
where the executive 
ordinarily works
∙  where benchmarking 
indicates that any 
individual salaries require 
realignment these 
may be spread over 
a period of time if the 
required adjustment is 
particularly large
∙  na financial statements
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element  maximum purpose and l ink to strategy operation maximum performance targets
bonus ∙  clear and direct 
incentive linked to annual 
performance targets
∙  incentivise annual delivery 
of financial measures and 
personal performance
∙  corporate measures 
selected consistent with 
and complement the 
budget and strategic plan
paid in cash normally 150 of salary 
for the ceo but 200 
in very exceptional 
circumstances as described 
below and 100 of 
salary for other executive 
directors but 150 in very 
exceptional circumstances
the additional limit will only 
be used in truly exceptional 
circumstances where 
performance significantly 
exceeds the targets already 
set for bonus and reflects 
the unique and challenging 
environment in which the 
company operates
based on a mixture of 
financial performance 
including adjusted ebitda 
and performance against 
strategic objectives
no less than 70 of the 
bonus will be dependent on 
financial performance
bonus is paid on a sliding 
scale of 0 for threshold 
increasing to 100 for 
maximum performance
l ong term 
incentive plan 
“lt ip”
∙  aligned to key strategic 
objective of delivering 
strong returns to 
shareholders and 
earnings performance
grant of performance 
shares restricted shares 
or options
awards may be 
subject to clawback in 
certain circumstances
150 and 100 of salary  
in performance shares for 
the ceo and cfo 
respectively
performance measured 
over three years
performance targets 
aligned with the group’s 
strategy of delivering strong 
returns to shareholders and 
earnings performance
25 of the awards vest for 
threshold performance
pension ∙  provide retirement  
benefits
provision of  
cash allowance
5 of salary na
other benefits ∙  t o help attract and retain 
high calibre individuals
provision of private 
medical permanent health 
insurance life insurance and 
rental and accommodation 
expenses on relocation
non pensionable
na na
share 
ownership 
guidelines
∙  the company has a policy 
of encouraging directors 
to build a shareholding in 
the company
executive directors are 
required to retain 50 of 
the net of tax outturn from 
the vesting of awards under 
the ltip until a shareholding 
with a minimum value has 
been achieved
na na
nonexecutive 
directors
∙  t o provide a competitive 
fee for the performance 
of ned duties sufficient 
to attract high calibre 
individuals to the role
fees are set in conjunction 
with the duties undertaken 
other than when an 
individual changes roles 
or where benchmarking 
indicates fees require 
realignment annual 
increases will not 
exceed the general 
level of increases for the 
group’ s employees
na 60
playtech plc  
annual report and accounts 2013
g overnance
remun eration p oli cy repo rt continued
expl an ati on of ch osen perf ormance me asu res and t arget setting
performance measures have been selected to reflect the key performance indicators which are critical to the realisation of our business 
strategy and delivery of shareholder returns
the performance targets are reviewed each year to ensure that they are sufficiently challenging when setting these targets the 
committee will take into account a number of different reference points including for financial targets the company’ s business plan 
and consensus analyst forecasts of the company’ s performance full vesting will only occur for what the committee considers to be 
stretching performance
policy on rec ruitment or promoti on of executi ve direct or
base salary levels will be set to reflect the experience of the individual appropriate market data and internal relativities the committee 
may feel it is appropriate to appoint a new director on a below market salary with a view to making above market and workforce annual 
increases over a number of years to reach the desired salary positioning subject to individual and company performance
normal policy will be for the new director to participate in the remuneration structure detailed above including the maximum incentive 
levels of 350 and 250 of salary for the chief executive officer and chief financial officer respectively the committee may 
decide that different performance criteria will apply to awards made in the year of appointment from those stated in the policy above 
the committee may also provide relocation expensesarrangements legal fees and costs
the variable pay elements that may be offered will be subject to the maximum limits stated in the policy table the committee may 
consider it necessary and in the best interests of the company and its shareholders to offer additional cash andor make a grant of 
shares including use of awards made under section 942 of the listing rules in order to compensate the individual for remuneration 
that would be forfeited from the current employer where possible such awards would be structured to mirror the value form and 
structure of the forfeited awards or to provide alignment with existing shareholders
in the case of an internal promotion any commitments entered into prior to the promotion shall continue to apply any variable pay 
elements shall be entitled to pay out according to its original terms on grant
for the appointment of a new chairman or nonexecutive director the fee arrangement would be set in accordance with the approved 
remuneration policy in force at that time
service co nt racts and exit p ayments
executive directors
the service agreements of the executive directors are with ptvb management limited a wholly owned isle of man incorporated 
subsidiary of the company the service agreement of the chief financial officer was entered into on 5 december 2012 and effective 
from 1 january 2013 and the service agreement of the chief executive officer was amended effective from 1 january 2013 
both service agreements are for an indefinite term and provide for formal notice of twelve months to be served to terminate the 
agreement either by the company or the director future service contracts will provide for a notice period of up to twelve months 
set out in the table below are the other key terms of the executive directors’ terms and conditions of employment
provision detail 
remuneration base salary and benefits
company car
private health insurance for director and dependents
life assurance
25 days’ paid annual leave in the case of the cfo and 30 days’ paid annual leave in the case of the ceo
participation in annual bonus plan subject to plan rules
participation in ltip  subject to rules plan
contribution equal to 5 of salary to personal pension plan
c hange of control no special contractual provisions apply in the event of a change of control
notice period 12 months’ notice on either side 
termination payment the company may make a payment in lieu of notice equal to basic salary plus benefits for the period of 
notice served
restrictive covenants during employment and for twelve months thereafter financial statements
61
playtech plc  
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governance strategic report
a bonus is not ordinarily payable unless the individual is employed and not under notice on the payment date however the 
remuneration committee may exercise its discretion to award a bonus payment for the notice period served not on garden leave
the ltip rules provide that other than in certain ‘good leaver’ circumstances awards lapse on cessation of employment where an 
individual is a ‘good leaver’ the committee’ s policy is for the award to vest on the normal vesting date or cessation of employment 
in the event of death following the application of performance targets and a prorata reduction to take account of the proportion of 
the vesting period that has elapsed the committee has discretion to partly or completely disapply prorating or to permit awards to 
vest on cessation of employment the committee acknowledges that director’ s leave for a variety of reasons that do not necessarily 
fall within the prescribed categories in the plan rules it therefore retains discretion to deem an individual to be a ‘good leaver’ in 
accordance with the plan rules and in making that decision will take into account the performance of the individual in office and their 
reason for leaving
nonexecutive directors
the nonexecutive directors each have specific letters of appointment rather than service contracts their remuneration is determined 
by the board within limits set by the articles of association and is set taking into account market data as obtained from independent 
nonexecutive director fee surveys and their responsibilities nonexecutive directors are appointed for an initial term of three years and 
under normal circumstances would be expected to serve for additional three year terms up to a maximum of nine years subject to 
satisfactory performance and reelection at the annual general meeting as required
on his appointment as chairman of the board being announced alan jackson entered into a new letter of appointment effective from 
9 october 2013 when roger withers announced his decision to retire as chairman of the board in august 2013 
the following is a summary of the key terms of the letters of appointment for the nonexecutive directors
name date term termination
alan jackson 290813 until third agm after appointment 
unless not reelected
120 days’ notice on either side or if not reelected 
disqualification or commits gross misconduct
andrew thomas 190612 until third agm after appointment 
unless not reelected
120 days’ notice on either side or if not reelected 
disqualification or commits gross misconduct
hilary stewartjones
1
91013 until third agm after appointment 
unless not reelected
90 days’ notice on either side or if not reelected 
disqualification or commits gross misconduct
1 hilary stewartjones was appointed to her position as a nonexecutive director on 9 october 2013 in accordance with provision b32 of the code the letters of 
appointment of the nonexecutive directors are available for inspection at the company’ s registered office and will be available before and after the annual general meeting 62
playtech plc  
annual report and accounts 2013
g overnance
remun eration p oli cy repo rt continued
remune rati on p olicy illust rati ons
the graphs above show an estimate of the remuneration that could be received by executive directors under the policy set out in this 
report each bar gives an indication of the minimum amount of remuneration payable remuneration payable at target performance and 
remuneration payable at maximum performance to each director under the policy
each of the bars is broken down to show how the total under each scenario is made up of fixed elements of remuneration the annual 
bonus and the ltip 
the assumptions underlying the chart in respect of the percentage of maximum opportunity are set out below
t hreshold target maximum
bonus 0 50 100
ltip 0 25 100
mor weizer ron hoffman
salary €534725 €238757
benefits €17583 €24604
pension €26736 €11783
co nside rati on of empl oyment co nditi ons else whe re
the remuneration committee when setting the policy for executive directors takes into consideration the pay and employment 
conditions through the company as a whole
in determining salary increases for executive directors the remuneration committee considers the general level of salary increase 
across the company t ypically salary increases will be aligned with those received elsewhere in the company unless the committee 
considers that specific circumstances require a different level of salary increase for executive directors
the company extends its annual bonus plan and share awards to senior management and other key members of the workforce as the 
committee feels that it is important to incentivise and retain these employees in order for the company to continue its development
t otal remuneration opportunity
13
26
17
ron h offman mor weizer
 fixed pay
 bonus
 ltip
€0
€500
€1000
€1500
€2000
€2500
€2183
€1181
€579
below target target
34
37
49
100
26
17
37
maximum
€753
€454
€275
below target target
26
32
61 36
100
13
32
maximum
€’000s financial statements
63
playtech plc  
annual report and accounts 2013
governance strategic report
co nside rati on of sh areh olde r views
the company is committed to engagement with shareholders and will seek major shareholders’ views in advance of making significant 
changes to its remuneration policies
l eg acy a rrangements
for the avoidance of doubt in approving the policy report authority is given to the company to honour any commitments previously 
entered into with current or former directors that have been disclosed previously to shareholders
the policy described above includes some flexibility to allow the remuneration committee discretion to increase the maximum bonus 
payment to an executive director it was considered that given the unique fastchanging and challenging environment in which the 
group operates the committee needed some discretion if acting fairly and reasonably it feels that the payout is inconsistent with the 
company’ s overall performance taking account of any factors it considers relevant the committee would expect to consult with major 
shareholders before any exercise of its discretion to increase the bonus outcome
disc reti ons vested in the co mmittee
the remuneration committee will operate the annual bonus and ltip according to their respective rules or relevant documents and 
in accordance with the listing rules where relevant the committee retains discretion consistent with market practice in a number of 
regards to the operation and administration of these plans these include but are not limited to the following in relation to the ltip
•	 the participants
•	 the timing of grant of an award
•	 the size of an award
•	 the determination of vesting
•	 discretion required when dealing with a change of control or restructuring of the group
•	 determination of the treatment of leavers based on the rules of the plan and the appropriate treatment chosen 
•	 adjustments required in certain circumstances eg rights issues corporate restructuring events and special dividends and
•	 the annual review of performance measures and weighting and targets for the ltip from year to year
in relation to the annual bonus plan the committee retains discretion over
•	 the participants
•	 the timing of a payment
•	 the determination of the amount of a bonus payment
•	 determination of the treatment of leavers and
•	 the annual review of performance measures and weighting and targets for the annual bonus plan from year to year 
in relation to both the company’ s ltip and annual bonus plan the committee retains the ability to adjust the targets andor set 
different measures if events occur eg material acquisition andor divestment of a group business which cause it to determine that 
the conditions are no longer appropriate and the amendment is required so that the conditions achieve their original purpose and 
are not materially less difficult to satisfy given the unique fastchanging and challenging environment in which the group operates 
the committee considers that it needs some discretion if acting fairly and reasonably it feels that the payout is inconsistent with 
the company’ s overall performance taking account of any factors it considers relevant any use of the above discretions would 
where relevant be explained in the annual report on remuneration and may as appropriate be the subject of consultation with the 
company’ s major shareholders 64
playtech plc  
annual report and accounts 2013
g overnance
annual r epo rt on r emun eration
1 directors’ emoluments in euros 
director   mor weizer   ron hoffman
4
2013 2012 2013 2012
salary
1
534725 571649 238757 na
bonus
2
802088 208518 238757 na
longterm incentives nil 100402 24747 na
benefits
3
17583 20009 24604 na
pension
4
26736 nil 11783 na
total emoluments 1381132 900578 538648 na
1 the basic salary of the executive directors did not increase between 2012 and 2013 any difference in the table above arises because the basic salary of the executive 
directors is determined in pounds sterling and the converted into euros at the average exchange rate applicable during the relevant financial year for the purpose of this report
2 the figure for bonuses in 2013 above represents a payment at the maximum opportunity for the executive directors given achievement of the financial and nonfinancial 
targets set for the executives at the start of the year details of the how the annual performance bonus for the executive directors has been determined as set out below
3 benefits include private medical insurance permanent health insurance car and life assurance in addition as ron hoffman was required to relocate from israel on his 
appointment and is now based in cyprus his rent and other accommodation expenses in cyprus are paid by the company
4 appointed to the board on 1 january 2013
2 nonexecutive directors’ emoluments in euros
director  fees  annual bonus  benefits   pension  total emoluments
2013 2012 2013 2012 2013 2012 2013 2012 2013 2012
alan jackson 246055 185072 nil nil nil nil nil nil 246055 185072
andrew thomas
1
106844 61520 nil nil nil nil nil nil 106844 61500
hilary  
stewartjones
2
45049 na nil nil nil nil nil nil 45049 na
roger withers
3
337847 537668 nil nil nil nil nil nil 337847 537668
1 andrew thomas was appointed on 19 june 2012 therefore the comparable figure for 2012 represents only part of the financial year
2 hilary stewartjones was appointed to the board on 9 october 2013 therefore the figure for 2013 only represents part of the year
3 roger withers retired from the board on 9 october 2013 as previously announced roger withers has been retained as a special adviser on industry matters until the end 
of september 2014
dete rmin ati on of 2013 bonus
in 2013 the ceo and cfo had the opportunity to earn a bonus of 150 and 100 of salary respectively as stated in the company’s 
remuneration policy the 2013 performance was against a mixture of financial and nonfinancial targets
the financial targets representing 70 of bonus opportunity were based on the achievement of adjusted ebitda of €1683 million 
payable on a scale of 90105 around this target with 0 of bonus payable below 90 of target and 100 of bonus payable over 
105 of target adjusted ebitda for the financial year ended 31 december 2013 was €1775 million and adjusted ebitda excluding 
the share of profit of who was €1594 million representing 17 increase on prior year
adjusted ebitda was selected as an appropriate measure as it is the key financial performance metric of the company most closely 
representing the underlying trading performance of the businesses and is calculated after adding back certain noncash charges 
cash expenses relating to professional costs on acquisitions gains on sale of investments and certain oneoff charges as set out in 
the financial statements on page 92 the nonfinancial performance targets were selected to underpin key strategic objectives of the 
group in particular recognising the challenges for the senior management team in obtaining a satisfactory price for the sale of the 
company’ s stake in william hill online and replacing the regulated revenue lost from the share of profitthe committee determined 
that the bonus payable for 2013 was €802088 for the ceo 100 of the maximum and a bonus of €238757 for the cfo 100 of 
the maximum 
these bonus payments were determined against corporate financial performance which was significantly ahead of budget and over 
100 of target and full achievement of personal objectives financial statements
65
playtech plc  
annual report and accounts 2013
governance strategic report
ltip awards
no awards have been made under the ltip to date
t ermination payments
as disclosed in last year’ s remuneration report the former cfo david mathewson was paid a sum of €276288 as a prorata 
payment of his bonus entitlement representing 75 of his maximum entitlement following the termination of his employment on 
31 december 2012 
remune rati on decisi ons made in 2013
salary and benefits in kind
the committee takes into account individual performance and experience the size and nature of the role the relative performance 
of the company pay policy within the company including the general pay and employment terms of all employees in the group and 
salaries in comparable companies while base salaries around the group rose by an average of 11 per cent during the financial year to 
31 december 2013 there were no increases to base salary for executive directors
the current basic salary levels of the executive directors are
•	 m weizer £450000 equivalent to €534725 at the average exchange rate between £ and € used in the accounts
•	 r hoffman £200000 equivalent to €238757 at the average exchange rate between £ and € used in the accounts
in october 2013 the board reviewed the fees payable to nonexecutive directors and decided that it was appropriate to increase the 
fee to £100000 per annum to reflect core responsibilities and additional duties as chair of a board committee
annual bonus
for 2014 bonuses for the executive directors will be based on the following
performance target weighting
adjusted ebitda commercially confidential 70
nonfinancial and strategic objectives commercially confidential 30
in setting the adjusted ebitda the committee was mindful of the impact of regulatory change in the uk the group’ s largest 
single market and the loss for the entire year of the profit contribution from william hill online and believe that the targets set are 
very challenging 
the level of bonus payable by reference to the financial performance of the company will be determined on a sliding scale based on the 
company’ s budget for the forthcoming financial year
longt erm incentive plan “ltip”
awards made to executive directors vest on the third anniversary of grant subject to i participants remaining in employment other than 
in certain ‘good leaver’ circumstances and ii achievement of challenging performance targets awards that are structured as options 
can be exercised up to ten years after the date of grant or such shorter period in respect of vested options held by a leaver 
awards granted in 2014 will be subject to the achievement of a mixture of performance conditions 70 of the award will be subject 
to a performance condition that the company’ s simple annual eps growth must match a threshold determined by the committee for 
25 of this portion of the award to vest increasing to full vesting for achieving a maximum performance level eps will be measured 
over three financial years commencing with the financial year in which the award is granted the remaining 30 of any award would 
be subject to a performance condition comparing the company’ s total shareholder return against a comparator group of other 
international gambling companies over three financial years commencing with the financial year in which the award is granted 
for median performance 25 of this portion of the award will vest increasing to full vesting for performance at the upper quartile 
the comparator group includes william hill 888 holdings bwin party ladbrokes snai igt  betfair group gtech intralot paddy 
power and scientific games and will be finalised prior to grant
at the time of preparing this report eps targets have not been determined by the remuneration committee the eps targets will be 
stretching and demanding and these targets will be set out in stock exchange announcements when these awards are made
awards made to executive directors will also be subject to clawback provisions for a period of three years following vesting 
the committee may decide to clawback awards in the event of misconduct or material misstatement of the group’ s financial results 
resulting in an award vesting to a greater degree than would otherwise have been granted 
awards may be satisfied by the issue of new shares market purchase shares or may be cashedout subject to the tax treatment in the 
hands of the recipient  66
playtech plc  
annual report and accounts 2013
g overnance
annual r epo rt on r emun eration continued
diluti on l imits
all of the company’ s equity based incentive plans other than the option plan which was established before the company’ s floatation 
in 2006 incorporate the current abi guidelines on headroom which provide that overall dilution under all plans should not exceed 10 
over a 10 year period in relation to the company’ s issued share capital or reissue of treasury shares with a further limitation of 5 in 
any 10 year period for executive plans the committee monitors the position and prior to the making of any award considers the effect 
of potential vesting of options or share awards to ensure that the company remains within these limits any awards which are required 
to be satisfied by market purchased shares are excluded from such calculations no treasury shares were held or utilised in the year 
ended 31 december 2013
review of pe rf ormance
the following graph shows the company’ s total shareholder return tsr performance over the past five years the company’ s tsr is 
compared with a broad equity market index the index chosen here is the ftse 350 travel  leisure index which is considered the 
most appropriate published index
 playtech
  ftse 350 
travel  leisure 
rebased

500
1000
1500
2000
3000
2500
dec13
t otal shareholder return t sr performance
dec10 dec08 dec11 dec09 dec12 j un11 j un09 j un12 j un10 j un13
the committee believes that the current executive director remuneration policy and the supporting reward structure provide a clear 
alignment with the strategic objectives and performance of the company t o maintain this relationship the committee constantly 
reviews the business priorities and the environment in which the company operates the table below shows mor weizer’ s total 
remuneration over the last five years and his achieved annual variable and long term incentive pay awards as a percentage of the 
plan maxima
year ending 31 december
2009 2010 2011 2012 2013
t otal remuneration £’000 € 636 € 826 € 808 € 800 € 1381
annual bonus  54 48 34 100
1
100
ltip vesting 
2
na na na na na
1  for the financial year ended 31 december 2012 mor weizer decided in light of his overall aggregate remuneration to waive approximately three quarters of his earned 
bonus for that year
2  as awards previously granted were share options without performance conditions under the regulations they are not required to be shown in this table financial statements
67
playtech plc  
annual report and accounts 2013
governance strategic report
percent age c h ange in remune rati on of c hief executi ve office r
in the financial year ended 31 december 2013 mor weizer received no increase in salary or taxable benefits and after waiving part 
of his 2012 bonus as disclosed below 174 bonus more than the equivalent amounts for the year ended 31 december 2012 
for the financial year ended 31 december 2012 mor weizer decided in light of his overall aggregate remuneration to waive €600000 
of his bonus representing approximately three quarters of the annual bonus that he would have been entitled to receive based on 
the financial and nonfinancial measures set out at the start of the year the average percentage changes for all ukbased fulltime 
employees were 5 salary increase 47 increase in benefits and 0 increase in bonus payments respectively the reason for the 
increase in benefits across the uk relates to the introduction of a harmonised benefits package across the group’ s uk operations 
including the provision of group stakeholder pension provision the uk workforce was chosen as a comparator group as the 
committee looks to benchmark the remuneration of the chief executive officer with reference mainly to the uk market albeit that he 
has a global role and responsibilities and remuneration packages across the group vary widely depending on local market practises 
and conditions 
rel ati ve import ance of spend on pay
the following table sets out the amounts paid in share buybacks dividends and total remuneration paid to all employees is as follows
payouts
2013
€m
2012
€m
c hange 

dividends
1
1885 673 180
share buybacks nil nil na
t otal employee remuneration
2
1110 999 10
1 the total dividend in respect of the year ended 31 december 2013 is calculated on the basis that the shareholders approve the proposed final dividend of 154 € cents per 
share and includes the special dividend declared as a second interim dividend of 341 pence sterling per share on 20 february 2014
2 t otal employee remuneration for continuing and discontinued operations includes wages and salaries social security costs sharebased payments and pension costs for 
all employees including the directors the average number of employees including directors and parttime employees in continuing and discontinued operations was 3261 
during the financial year to 31 december 2013
direct ors inte rests in o pti ons
number of options  
at 1 january 2013  
or date of 
appointment
12
date of grant exercise price 
exercised 
during the year
3
number of options  
at 31 december 2013 
or cessation of 
employment
expiry of exercise 
period
mor weizer 600000 16 may 2007 £379 600000 nil 16 may 2017
200000 6 november 2009 £370 200000 nil 6 november 2019
ron hoffman 50000 18 april 2010 £512 25000 25000 18 april 2015
32500 11 march 2011 £352 nil 32500 11 march 2021
1 share options are granted for nil consideration
2 these options were granted in accordance with the rules of the playtech 2005 global share option plan the “option plan” options under the option plan are granted at 
market value and in the case of executive directors exclusively and the options vest and become exercisable on the third anniversary of the relevant grant date unexercised 
options expire ten years after the date of grant unless the relevant employee leaves the group’ s employment in which case the unvested options lapse and any vested 
options lapse three months after the date that the employment ends it is not intended that the option plan will be used for future share option grants for executive directors or 
for members of senior management
3 mor weizer exercised 800000 share options on 18 march 2013 in accordance with the rules of the option plan the company has in lieu of issuing new shares elected 
to pay the cash equivalent being the closing market value of the company’ s ordinary shares on the day immediately prior to the date of exercise of the option being £6465 
less the cost of exercise of the option resulting in an aggregate cash payment of £2158000 on the same date ron hoffman exercised 25000 options having an exercise 
price of £512 in accordance with the rules of the option plan the company has in lieu of issuing new shares elected to pay the cash equivalent being the closing market 
value of the company’ s ordinary shares on the day immediately prior to the date of exercise of the option being £6465 less the cost of exercise of the option resulting in an 
aggregate cash payment of £33625 68
playtech plc  
annual report and accounts 2013
g overnance
annual r epo rt on r emun eration continued
the share price on 31 december 2013 was 737p and the share price ranged between 4225p and 7615p during the year
none of the nonexecutive directors have any options over shares in the company
direct ors’ inte rests in ordin ary sh ares
   ordinary shares   share options total interests
31122013 31122012 31122013 31122012 31122013
executive directors
mor weizer nil nil nil 400000 nil
ron hoffman nil nil 57500
1
82500 57500
non executive directors
alan jackson 5000 5000 nil nil 5000
andrew thomas 7500 7500 nil nil 7500
hilary stewartjones nil na nil na nil
1 these options represent two grants options over 25000 ordinary shares vested and are exercisable and options over 32500 ordinary shares which will vest on 11 march 
2014 after which date they will be exercisable
role and membe rshi p
the remuneration committee is comprised entirely of three independent nonexecutive directors as defined in the code 
the committee was chaired by alan jackson until he took up the role of chairman of the board on 9 october 2013 after which 
hilary stewartjones took the chair on her appointment to the board the other members are andrew thomas and alan jackson 
who remains a member of the committee details of attendance at the committee are set out on page 48 and their biographies and 
experience on pages 42 and 43 
the committee operates within agreed terms of reference detailing its authority and responsibilities the committee’ s terms of reference 
were reviewed at the time of move to a premium listing and are available for inspection on the company’ s website wwwplaytechcom 
and include
•	 determining and agreeing the policy for the remuneration of the ceo the chairman and other senior management team
•	 review the broad policy framework for remuneration to ensure it remains appropriate and relevant
•	 review the design of and determine targets for any performancerelated pay and the annual level of payments under such plans
•	 review the design of and approve any changes to long term incentive or option plans and
•	 ensure that contractual terms on termination and payments made are fair to the individual and the company and that failure is 
not rewarded
the committee also considers the terms and conditions of employment and overall remuneration of executive directors the company 
secretary and members of the senior management team and has regard to the company’ s overall approach to the remuneration of all 
employees within this context the remuneration committee determines the overall level of share options salaries incentive payments 
and performance related pay due to executive directors and senior management the committee also determines the performance 
targets and the extent of their achievement for both annual and longterm incentive awards operated by the company and affecting the 
senior management no director is involved in any decisions as to hisher own remuneration
the committee takes advice from both inside and outside the group on a range of matters including the scale and composition of the 
total remuneration package payable to people with similar responsibilities skills and experience in comparable companies that have 
extensive operations inside and outside the uk 
during the year the committee received material assistance and advice from the chief executive officer and from the company 
secretary  legal counsel who is also secretary to the committee  financial statements
69
playtech plc  
annual report and accounts 2013
governance strategic report
the committee has a planned schedule of at least four meetings throughout the year with additional meetings held when necessary 
during the year the committee met 5 times and these meetings addressed wide variety of issues including
month principal activity
january ∙  approving the performance conditions applying to grants of longterm incentives if any during the year for the 
directors and senior managers
∙  approving the terms of a new contract of employment for the ceo
∙  approving the last exercise date from 5 years to 10 years in respect of certain historic grants of options under the 
share option plan
march ∙  t o approve the annual bonus payments to be made to the executive directors
april ∙  t o consider the payment of special bonus to certain senior employees in respect of the sale of the company’ s interest 
in william hill online
july ∙  t o consider proposals for the appointment of a new nonexecutive director and the remuneration arrangements for the 
nonexecutive directors
december ∙  t o receive a report from the company secretary and the committee’ s remuneration advisers on new reporting 
arrangements for remuneration committees
∙  t o consider the design of the company’ s remuneration policy and whether the same remained ‘fit for purpose’ with 
the committee’ s remuneration advisers
exte rn al ad vise rs
new bridge street a trading name of aon hewitt limited is the committee’ s independent adviser new bridge street does not provide 
any other services to the company new bridge street was paid €24498 in relation to advice provided during 2013
eng agement with sh areh olde rs and sh areh olde r voting
the committee is committed to ensuring open dialogue with shareholders in relation to remuneration and would normally consult with 
major shareholders regarding any significant future changes to remuneration policy or remuneration arrangements
the voting outcome at the annual general meeting on 8 may 2013 in respect of the directors’ remuneration report for the year ended 
31 december 2012 was as follows
for against withheld
t o approve the remuneration report for the year ended 31 december 2012 211225915 28910661 11171967
percentage of votes cast on the resolution 8796 1204 na
percentage of issued share capital at time of meeting 7225 989 382
by order of the board
hilary stewartjones
chair of the remuneration committee
20 february 2014 70
playtech plc  
annual report and accounts 2013
g overnance
directo rs’ repo rt
the directors are pleased to present to shareholders their report and the audited financial statements for the year ended 
31 december 2013
princi pal acti vities  business review
the group’ s principal activities are the development and licensing of software and the provision of ancillary services for the online and 
landbased gambling industries the company changed its name from playtech limited to playtech plc on 8 may 2013 following a 
special resolution passed at the annual general meeting on that date playtech plc is a public listed company listed on the london 
stock exchange it is incorporated and domiciled in the isle of man
the information that fulfils the requirement for a management report as required by rule 415 of the disclosure and transparency rules 
applicable to the company can be found in the strategic report on pages 4 to 41 which also includes an analysis using financial key 
performance indicators of the development performance and position of the company’ s business a statement of the key risks and 
uncertainties facing the business of the company at the end of the year is found on pages 34 and 35 of this report  accounts and 
details of the company’ s risk management objectives and policies and the use of financial instruments is set out in note 29 to of the 
financial statements
details of all important postbalance sheet events affecting the company and its subsidiaries are set out in note 30 to the 
financial statements
corporate g overn ance st atement
the disclosure and transparency rules require certain information to be included in a corporate governance statement in the directors’ 
report information that fulfils the requirements of the corporate governance statement can be found in the corporate governance 
report on pages 44 to 53 and is incorporated into this report by reference
discl aimer
the purpose of these financial statements including this report is to provide information to the members of the company the financial 
statements have been prepared for and only for the members of the company as a body and no other persons the company its 
directors and employees agents or advisers do not accept or assume responsibility to any other person to whom this document is 
shown or into whose hands it may come and any such responsibility or liability is expressly disclaimed 
the financial statements contain certain forwardlooking statements with respect to the operations performance and financial condition 
of the group by their nature these statements involve uncertainty since future events and circumstances can cause results and 
developments to differ materially from those anticipated the forwardlooking statements reflect knowledge and information available 
at the date of preparation of these financial statements and the company undertakes no obligation to update these forwardlooking 
statements nothing in this document should be construed as a profit forecast
results and di vidend
the results of the company and the group for the year ended 31 december 2013 are set out on pages 79 to 110 on 20 february 
2014 the board declared a second interim dividend of 341 pence sterling per share equivalent on that date to 411€ cents per 
share as a special dividend and recommended the payment of a final dividend for the year ended 31 december 2013 of 154€ cents 
per share which were both paid to shareholders on the register as at 28 february 2014 the payment of the final dividend requires 
shareholder approval which will be sought at the company’ s annual general meeting to be held at the sefton hotel loch promenade 
douglas isle of man on 21 may 2014 if approved the final dividend will be paid on 23 may 2014 and together with the interim 
dividend of 78€ cents per share paid on 28 october 2013 and the special dividends of 341 pence sterling per share paid on 11 march 
2014 makes a total dividend expressed in euros of 643€ cents per share for the year 
shareholders who wish to receive their final dividend in a currency other than euros will be required to return currency election forms 
to the company’ s registrars by 2 may 2014 currency election forms are contained with the notice of annual general meeting that 
accompanies the annual report and further copies available from the company’ s website wwwplaytechcom financial statements
71
playtech plc  
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governance strategic report
go ing c once rn
the following statement has been included in accordance with the listing rules 
based on the group’ s cash balances and normal business planning and control procedures the directors have a reasonable 
expectation that the company and the group has adequate resources to continue in operational existence for the foreseeable future 
for this reason the directors continue to adopt the going concern basis in preparing the accounts
direct ors and direct ors inte rests
the directors of the company who held office during the 2013 year and to date are
appointed resigned
roger withers 28032006 09102013
alan jackson 28032006
mor weizer 02052007
andrew thomas 1906 2012
ron hoffman 31122012
hilary stewartjones 09102013
the interests of the directors who held office during 2013 and to date in the share capital of the company are set out below
ordinary shares
as at 311213 as at 311212
no shares percentage
2
no shares percentage
3
mor weizer nil nil
ron hoffman nil nil
roger withers
1
19333 0008 19333 0008
alan jackson 5000 0002 5000 0002
andrew thomas 7500 0003 7500 0003
hilary stewartjones nil na
1 roger withers resigned from the board on 9 october 2013
2 based on 290236870 ordinary shares in issue on 31 december 2012
3 based on 293189408 ordinary shares in issue on 31 december 2013
 
details of the service agreements of the directors are shown in the remuneration committee report on pages 60 and 61 
no director had a material interest in any significant contract other than a service contract or contract for services with the company 
or any of its operating companies at any time during the year 
as at the date of this report indemnities are in place under which the company has agreed to indemnify alan jackson and roger 
withers who held office during the year ended 31 december 2013 to the extent permitted by law and by the company’ s articles of 
association in respect of all liabilities incurred in connection with the performance of their duties as a director of the company or its 
subsidiaries copies of these indemnities are available for review at the company’ s registered office
signific ant sh areh oldings
as of 20 february 2014 the company had been advised of the following significant shareholders each holding more than 3 of the 
company’ s issued share capital
shareholders 
1
no of ordinary shares
brickington trading limited 4899 143645782
capital research 605 17751675
greenlight capital 376 11029476
standard life investments 309 9049943
legal and general 306 8984257
1 based on 293198111 ordinary shares in issue on 31 january 2014
the persons set out in the table above have notified the company pursuant to rule 5 of the disclosure and transparency rules of their 
interests in the ordinary share capital of the company  72
playtech plc  
annual report and accounts 2013
g overnance
directo rs’ repo rt continued
cap it al st ructu re
as at 31 december 2013 and 31 january 2014 the company had 293189408 and 293198111 respectively issued shares of no par 
value the company has one class of ordinary share and each share carries the right to one vote at general meetings of the company 
and to participate in any dividends declared in accordance with the articles of association no person has any special rights of control 
over the company’ s share capital 
the authorities under the company’ s articles of association granted at the last annual general meeting for the directors to issue new 
shares for cash remains valid until the forthcoming annual general meeting when it is intended that a resolution will be put forward to 
shareholders to renew the authority to issue shares for cash the company did not acquire any of its shares during the year
articles of ass oci ati on
the company’ s articles of association do not contain any specific restrictions on the size of a shareholder’ s holding
voting rights
subject to any special rights or restrictions as to voting attached to any shares by or in accordance with the articles of association on a 
show of hands every member who is present in person or by proxy and entitled to vote has one vote and on a poll every member who 
is present in person or by proxy and entitled to vote has one vote for every share of which he is the holder
restrictions on voting
no member shall unless the board otherwise determines be entitled to vote at a general meeting or at any separate meeting of the 
holders of any class of shares either in person or by proxy in respect of any share held by him or to exercise any right as a member 
unless all calls or other sums presently payable by him in respect of that share have been paid to the company in addition any 
member who having been served with a notice by the company requiring such member to disclose to the board in writing within such 
reasonable period as may be specified in such notice details of any past or present beneficial interest of any third party in the shares or 
any other interest of any kind whatsoever which a third party may have in the shares and the identity of the third party having or having 
had any such interest fails to do so may be disenfranchised by service of a notice by the board
transfer
subject to the articles of association any member may transfer all or any of his or her certificated shares by an instrument of transfer 
in any usual form or in any other form which the board may approve the board may in its absolute discretion decline to register any 
instrument of transfer of a certificated share which is not a fully paid share or on which the company has a lien the board may also 
decline to register a transfer of a certificated share unless the instrument of transfer is i it is delivered for registration to the registered 
agent or at such other place as the board may decide for registration and ii accompanied by the certificate for the shares to be 
transferred except in the case of a transfer where a certificate has not been required to be issued by the certificate for the shares 
to which it relates andor such other evidence as the board may reasonably require to prove the title of the transferor and the due 
execution by him of the transferor if the transfer is executed by some other person on his behalf the authority of that person to do so 
provided that where any such shares are admitted to aim the official list maintained by the uk listing authority or another recognised 
investment exchange
amendment of the company’ s articles of association
any amendments to the company’ s articles of association may be made in accordance with the provisions of the isle of man 
companies act 2006 by way of special resolution 
appointment and removal of directors
unless and until otherwise determined by the company by ordinary resolution the number of directors other than any alternate 
directors shall not be less than two and there shall be no maximum number of directors
powers of directors
subject to the provisions of the isle of man companies act 2006 the memorandum and articles of association of the company and 
to any directions given by special resolution the business of the company shall be managed by the board which may exercise all the 
powers of the company financial statements
73
playtech plc  
annual report and accounts 2013
governance strategic report
appointment of directors
subject to the articles of association the company may by ordinary resolution appoint a person who is willing to act to be a director 
either to fill a vacancy or as an addition to the existing board and may also determine the rotation in which any directors are to retire 
without prejudice to the power of the company to appoint any person to be a director pursuant to the articles of association the 
board shall have power at any time to appoint any person who is willing to act as a director either to fill a vacancy or as an addition 
to the existing board but the total number of directors shall not exceed any maximum number fixed in accordance with the articles 
of association any director so appointed shall hold office only until the next annual general meeting of the company following such 
appointment and shall then be eligible for reelection but shall not be taken into account in determining the number of directors who are 
to retire by rotation at that meeting
retirement of directors
at each annual general meeting onethird of the directors excluding any director who has been appointed by the board since the 
previous annual general meeting or if their number is not an integral multiple of three the number nearest to onethird but not 
exceeding onethird shall retire from office but so that if there are fewer than three directors who are subject to retirement by rotation 
under this article one shall retire
removal of directors
the company may by ordinary resolution passed at a meeting called for such purpose or by written resolution consented to by 
members holding at least 75 per cent of the voting rights in relation thereto remove any director before the expiration of his period of 
office notwithstanding anything in the articles of association or in any agreement between the company and such director and without 
prejudice to any claim for damages which he may have for breach of any contract of service between him and the company may 
subject to the articles by ordinary resolution appoint another person who is willing to act as a director in his place a director may also 
be removed from office by the service on him of a notice to that effect signed by all the other directors
signific ant ag reements
there are no agreements or arrangements to which the company is a party that are affected by a change in control of the company 
following a takeover bid and which are considered individually significant in terms of their impact on the business of the group as 
a whole 
rel ated p arty tra ns acti ons
details of all related party transactions are set out in note 27 to the financial statements
politic al and c h arit able don ati ons
during the year ended 31 december 2013 the company made a charitable donation of £100000 to the great foundation and a 
donation of £70000 to gamcare charities that fund research into and treatment of problem gambling and made further smaller 
donations to a variety of charities operating in countries in which the company’ s subsidiaries are based 
the company made no political donations during this period 2012 nil
empl oyees
information with respect to the group’ s impact on the environment and other matters concerning sustainability can be found on 
pages 36 to 41 applications for employment by disabled persons are always fully and fairly considered bearing in mind the aptitude 
and ability of the applicant concerned the group places considerable value on the involvement of its employees and has continued 
to keep them informed of matters affecting them as employees and on the performance of the group and has run information days 
for employees in different locations across the group during the year many employees are stakeholders in the company through 
participation in share option plans information provided by the company pursuant to the disclosure and transparency rules is 
publically available via the regulatory information services and the company’ s website wwwplaytechcom
gr eenh ouse g as emissi ons
all disclosures concerning the group’ s greenhouse gas emissions are contained in the corporate responsibility report forming part of 
the strategic report on pages 36 to 41 74
playtech plc  
annual report and accounts 2013
g overnance
directo rs’ repo rt continued
branches
the company’ s subsidiaries playtech retail limited and pt turnkey services limited have established branch offices in the philippines
st atement of direct ors’ res ponsibilities
the directors have elected to prepare the financial statements for the company and the group in accordance with international 
financial reporting standards ifrss as adopted by the european union 
the directors are responsible under applicable law and regulation for keeping proper accounting records which disclose with 
reasonable accuracy at any time the financial position of the group for safeguarding the assets and for taking reasonable steps for the 
prevention and detection of fraud and other irregularities
international accounting standard 1 revised requires that financial statements present fairly for each financial year the group’ s financial 
position financial performance and cash flows this requires the faithful representation of the effects of transactions other events 
and conditions in accordance with the definitions and recognition criteria for assets liabilities income and expenses set out in the 
international accounting standards board’ s ’framework for the preparation and presentation of financial statements’ in virtually all 
circumstances a fair presentation will be achieved by compliance with all applicable international financial reporting standards a fair 
presentation also requires the directors to
•	 select and apply appropriate accounting policies
•	 present information including accounting policies in a manner that provides relevant reliable comparable and understandable 
information and
•	 provide additional disclosures when compliance with the specific requirements in ifrss is insufficient to enable users to understand 
the impact of particular transactions other events and conditions on the entity’ s financial position and financial performance
all of the current directors have taken all the steps that they ought to have taken to make themselves aware of any information needed 
by the group’ s auditors for the purposes of their audit and to establish that the auditors are aware of that information the directors are 
not aware of any relevant audit information of which the auditors are unaware
in addition the directors at the date of this report consider that the financial statements taken as a whole are fair balanced and 
understandable and provide the information necessary for shareholders to assess the company’ s performance business model 
and strategy
the financial statements are published on the group’ s website the maintenance and integrity of the group’ s website is the 
responsibility of the directors the directors’ responsibility also extends to the continued integrity of the financial statements 
contained therein financial statements
75
playtech plc  
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governance strategic report
direct ors’ st atement pu rsu ant t o the discl osu re and t rans parency rules
each of the directors whose names and functions are listed within the governance section on page 46 confirm that to the best of 
their knowledge
•	 the group financial statements which have been prepared in accordance with ifrss as adopted by the eu give a true and fair view 
of the assets liabilities financial position and profit of the group and
•	 the directors’ report includes a fair review of the development and performance of the business and the position of the group 
together with a description of the principal risks and uncertainties that it faces
annu al g ene ral meeting
the annual general meeting “agm” in 2013 was held in may in douglas isle of man all directors were present and made themselves 
available to answer questions from shareholders the agm provides an opportunity for the directors to communicate personally 
performance and future strategy to noninstitutional shareholders and for those shareholders to meet with and question the board 
all directors again plan to be present all results of proxy votes are read out made available for review at the meeting recorded in the 
minutes of the meeting and communicated to the market and via the group website
the annual general meeting for 2014 will be held at the sefton hotel loch promenade douglas isle of man im1 2rw on wednesday 
21 may 2014 at 1000am the notice convening the annual general meeting for this year and an explanation of the items of nonroutine 
business are set out in the circular that accompanies the annual report
audit ors
so far as each director is aware at the date of the approval of the financial statements there is no relevant audit information of which 
the company’ s auditors are unaware each director has taken all the steps that they ought to have taken as a director in order to make 
themselves aware of any relevant audit information and to establish that the company’ s auditors are aware of that information
a resolution to reappoint bdo llp as the company’ s auditors will be submitted to the shareholders at this year’ s agm
approved by the board and signed on behalf of the board
paul wright
company secretary  legal counsel
20 february 2014 76
playtech plc  
annual report and accounts 2013
financial statements
ind epend ent audi to rs’ repo rt to th e members 
of playt ech pl c
opinion on financial statements
in our opinion
•	 the financial statements give a true and fair view of the state of the group’ s and the company’ s affairs as at 31 december 2013 and 
of the group’ s profit for the year then ended
•	 the group  financial statements have been properly prepared in accordance with international financial reporting standards 
‘ifrss’  as adopted by the european union and
•	 the parent company financial statements have been properly prepared in accordance with ifrss as issued by the international 
accounting standards board and as applied in accordance with the provisions of the isle of man companies act 2006
we have audited the financial statements of playtech plc for the year ended 31 december 2013 which comprise the consolidated 
statement of comprehensive income the consolidated  and parent balance sheets the consolidated and company statements of 
changes in equity the consolidated and company statements of cashflows and the related notes the financial reporting framework 
that has been applied in their preparation is applicable law and ifrss as adopted by the european union
our assessment of risks of material misstatement and our audit approach to these risks
in preparing the financial statements the directors made a number of subjective judgements and significant accounting estimates 
that involved making assumptions and considering future events that are by their nature inherently uncertain see note 1 to the 
consolidated financial statements we primarily focussed our work in these areas by assessing the directors’ judgements against 
available evidence including the risk of management override and bias forming our own judgements and evaluating the disclosures in 
the financial statements
the risks of material misstatement that had the greatest effect on our group audit in the current year are noted below this is not a 
complete list of all risks or areas of audit focus identified by our audit we discussed these areas of focus with the audit committee 
their report on those matters that they considered to be significant issues in relation to the financial statements is set out on pages 54 
to 56 
•	 we focussed on the area of revenue recognition the main risks are the completeness existence accuracy and presentation in the 
statement of comprehensive income of amounts receivable relating to the share of net gambling revenue of customers and other 
revenue details of the accounting policies applied in respect of the various income streams earned by the group are given in note 2 
to the financial statements the group also makes certain judgements around the timing of revenue recognition and the treatment of 
contractual arrangements for revenue streams entered into 
we documented and tested the key it and manual general and application controls over the completeness and accuracy of the 
group’ s main gambling systems this included conducting test bets and testing the reconciliation between the main gaming 
systems and the nominal ledger we also undertook analytical and other substantive testing including it interrogation work over net 
gaming revenue and other revenue 
we reviewed key contracts related to revenue share agreements and other relevant documentation to assess whether the revenue 
recognised had been correctly treated and was in line with the group’ s stated accounting policies and whether any other terms 
within the contract had any material accounting or disclosure impacts we considered material contracts entered into by the group 
to confirm revenue was recognised correctly
we also assessed whether the revenue recognition policies adopted by the group comply with ifrs as adopted by the eu and 
industry standards
where revenue was recorded through journal entries we performed testing to establish whether a service had been provided in the 
financial year to support this recognition
•	 we focussed on the assessment of the additions to and carrying value of goodwill other intangible assets and the investments in 
subsidiaries held by the parent company to determine whether there was a risk of material misstatement in the carrying value of 
these assets and whether an impairment should be recognised
additions to intangible assets primarily comprise those intangible assets recognised on acquisitions and internally generated 
computer software enhancements the group holds material amounts related to these assets which they support that the carrying 
value is not impaired through compiling discounted cashflow models with assumptions estimates and judgements that have been 
reviewed by management key assumptions include discount rates perpetuity rates operating margins and growth rates and the 
number of years that projections will be extended for and sensitivity analysis
we documented and tested the key controls in respect of the capitalisation of intangible assets tested a sample of projects 
undertaken in the year against invoices from external suppliers and internal payroll costs and assumptions and evaluated the 
assessment by management as to whether the project spend met all the recognition criteria set out in ias 38 we considered 
whether there were any indications of impairment of intangible assets the audit team utilised our internal valuations team as part 
of the audit team and together we challenged management’ s assumptions used in the discounted cash flow models prepared to 
assess the impairment of goodwill other intangibles and the carrying value of investments in subsidiaries as described in note 2 of 
the group’ s financial statements this included reviewing all the key assumptions against external evidence where available and by 
reviewing the cash flow projections against board approved budgets and assessing the reasonableness of cash flow projections  77
playtech plc  
annual report and accounts 2013
governance financial statements strategic report
beyond that period against available evidence to support these including external information and studies we assessed the past 
ability of management to forecast with material accuracy we performed other sensitivity analyses on these models particularly 
where changes in key assumptions could have an impact on the headroom against a breakeven position we also reviewed the 
disclosures in the financial statements to conclude that these reasonably highlighted all key assumptions and judgements made and 
areas where there was less headroom in existence
•	 we focussed on legal and regulatory compliance and provisions given the developing nature of the gambling sector in many 
countries across the world there is a risk that potential material legal or regulatory matters are not disclosed or provided for 
we discussed with the group’ s compliance and legal department as to whether there were any known instances of material 
breaches in regulatory and licence compliance that needed to be disclosed or required provisions to be made in the financial 
statements the group have compliance obligations that range from administration of their licences to assessing the impact of 
countryspecific and panregional rules and regulations on its business we reviewed how the group monitors legal and regulatory 
developments and their assessment of the potential impact on the business and the appropriate internal and external advice taken 
in respect of these developments we also discussed matters with the group’ s dedicated regulatory and compliance teams that 
report directly to the board supported by the legal and management teams they also undertake inhouse compliance assessments 
and have external audits as required by their gaming licences that we reviewed the group makes certain provisions and disclosures 
required under ifrs for certain outstanding legal and regulatory disputes based on the directors best estimate where there is a 
probable outflow of economic benefits where the group do not consider the likelihood of a provision being probable the group 
will disclose the existence of a contingent liability unless it is remote we corroborated this by reviewing any correspondence from 
regulators and reviewed the conclusions from any external audits related to the group’ s licence compliance requirements we met 
with and  reviewed the litigation report provided by the group’ s legal counsel and discussed each of the material cases noted in the 
report to determine the group’ s assessment of the likelihood and magnitude of any liability that may arise we also reviewed where 
required any available external legal or regulatory advice sought by the group in their assessment we challenged the assessments 
made where needed and reviewed the calculation of any provisions made in the light of the external advice provided to the group 
we also reviewed all disclosures prepared by the group for these provisions and contingent liabilities 
•	 we focussed on tax including deferred tax given that due to the international nature of the group there was a risk that material tax 
exposures may not be reasonably disclosed or provided for in the financial statements  
we discussed with the group how they manage control and operate group companies in the countries in which they are 
registered we also reviewed how the group considers tax as part of the overall business planning and how they regularly monitor 
the rules and practices governing the taxation of ecommerce activity that is evolving in many countries the group seek external 
and internal advice on these matters in formulating the estimated amount of tax to be provided in certain jurisdictions we discussed 
with the group’ s finance team the provisions calculated by them in respect of each jurisdiction in which the group is registered 
or has a significant presence we critically reviewed the latest externally prepared advice received by management with regard to 
exposure to taxation in the major territories in which the group operates and any correspondence from tax authorities in those 
territories that may require additional disclosures or provisions we also considered the latest transfer pricing studies carried out 
on behalf of the group in the period and assessed in respect of earlier studies whether there had been any change in the basis 
of operations in the relevant territories we challenged the assessments made by management where needed and reviewed the 
disclosures prepared by the group for the tax provisions and contingent liabilities 
our application of materiality 
we apply the concept of materiality both in planning and performing our audit and in evaluating the effect of misstatements on our 
audit and on the financial statements  for planning we consider materiality to be the magnitude by which misstatements including 
omissions could influence the economic decisions of reasonable users that are taken on the basis of the financial statements in order 
to reduce to an appropriately low level the probability that any misstatements exceed materiality we use a lower materiality level 
performance materiality to determine the extent of testing needed  importantly misstatements below these levels will not necessarily 
be evaluated as immaterial as we also take account the nature of identified misstatements and the particular circumstances of their 
occurrence when evaluating their effect on the financial statements as a whole
we determined materiality for the financial statements as a whole to be €885 million in determining this we based our assessment 
on a level of 5 of adjusted ebitda for the year whilst having regard to those items that are charged or credited to arrive at profit 
for the year outside of adjusted ebitda  on the basis of our risk assessment together with our assessment of the group’ s control 
environment our judgment is that performance materiality for the financial statements should be 75 of planning materiality we agreed 
with the audit committee that we would report to the committee all audit differences individually in excess of €160000  we also agree 
to report differences below these thresholds that in our view warranted reporting on qualitative grounds
an overview of the scope of our group audit
at the planning stage of the audit the group auditors review the consolidated results broken down by subsidiary location as part of our 
requirements under isa 600 “special considerations  audit of group financial statements including the work of component auditors” 
we request that component auditors for components that are deemed significant components defined as those that are greater than 
15 of the group’ s revenue total assets or adjusted ebitda perform audits to component materiality set by the group audit team  78
playtech plc  
annual report and accounts 2013
financial statements
ind epend ent audi to rs’ repo rt to th e members 
of playt ech pl c continued
under group instructions and reporting other locations that do not meet these criteria are asked to perform reviews under isre 2410 
or reviews with selected audit procedures on certain balances such as cash or payroll based on their relative size risks in the business 
and our knowledge of those entities the materiality for group reporting for components performing audits or reviews to the group 
was €4 million and €2 million respectively based on the above scope we were able to conclude whether sufficient appropriate audit 
evidence had been obtained as a basis of our opinion on the group financial statements as a whole 
matters on which we are required to report by exception
under the isas uk and ireland we are required to report to you if in our opinion information in the annual report is
•	 materially inconsistent with the information in the audited financial statements or 
•	 apparently materially incorrect based on or materially inconsistent with our knowledge of the company acquired in the course of 
performing our audit or 
•	 is otherwise misleading
in particular we are required to consider whether we have identified any inconsistencies between our knowledge acquired during 
the audit and the directors’ statement that they consider the annual report is fair balanced and understandable and whether the 
annual report appropriately discloses those matters that we communicated to the audit committee which we consider should have 
been disclosed
under the listing rules we are required to review the part of the corporate governance statement on pages 44 to 53 relating to the 
company’ s compliance with the nine provisions of the uk corporate governance code specified for our review
we have nothing to report in respect of these matters
respective responsibilities of directors and auditors
as explained more fully in the statement of directors’ responsibilities on page 74 the directors’ are responsible for preparation of the 
financial statements and for being satisfied that they give a true and fair view our responsibility is to audit and express an opinion on the 
financial statements and in accordance with applicable law and international standards on auditing uk and ireland those standards 
require us to comply with the financial reporting council’ s ethical standards for auditors
scope of the audit of the financial statements performed in accordance with isas uk and ireland
an audit involves obtaining evidence about the amounts and disclosures in the financial statements sufficient to give reasonable 
assurance that the financial statements are free from material misstatement whether caused by fraud or error this includes an 
assessment of whether the accounting policies are appropriate to the group’ s circumstances and have been consistently applied 
and adequately disclosed the reasonableness of significant accounting estimates made by the directors and the overall presentation 
of the financial statements  in addition we read all the financial and nonfinancial information in the annual report to identify material 
inconsistencies within the audited financial statements and to identify any information that is apparently materially incorrect based on or 
materially inconsistent with the knowledge acquired by us in the course of performing the audit if we become aware of any apparent 
material misstatements or inconsistencies we consider the implications for our report 
t he purpose of this report and restrictions on its use by persons other than the members of the c ompany as a body
our report is made solely to the company’ s members as a body in accordance with section 80c of the isle of man companies 
act 2006 our audit work has been undertaken so that we might state to the company’ s members those matters that we are required 
to state to them in an auditor’ s report and for no other purpose t o the fullest extent permitted by law we do not accept or assume 
responsibility to anyone other than the company and the company’ s members as a body for our audit work for this report or for the 
opinions we have formed
kieran storan 
for and on behalf of bdo ll p
london 
united kingdom
20 february 2014
bdo llp is a limited liability partnership registered in england and wales with registered number oc305127 79
playtech plc  
annual report and accounts 2013
governance financial statements strategic report
financial statements
con solidat ed st at ement o f com prehensive in com e
for the year ended 31 december 2013
2013 2012
notes
actual 
€’000
adjusted
1
€’000
actual 
€’000
adjusted
1
€’000
revenues 4 367206 367206 317504 317504
distribution costs before depreciation and amortisation 178965 177903 156658 154841
administrative expenses before depreciation and amortisation 34478 29879 29630 26450
gain on sale of availableforsale investment 15 31088 – – –
operating profit before depreciation and amortisation 6 184851 159424 131216 136213
share of profit of associate 13a 16415 18086 44824 50553
amortisation of intangibles in associate 13a 1671 – 5729 –
income from associate 13a 18086 18086 50553 50553
gain on sale of share in associate 13a 340819 – – –
ebit da 543756 177510 181769 186766
depreciation and amortisation including amortisation of intangibles in 
associate 58783 18916 49493 17108
financing income 7 14390 14390 4096 4096
finance cost – movement in deferred and contingent consideration 2862 – 44184 –
finance cost – other 2527 1197 3112 3112
t otal financing cost 7 5389 1197 47296 3112
share of loss from joint ventures 13b 2717 2717 46 46
profit before taxation 491257 169070 89030 170596
t ax expense 8 2498 2498 2101 2101
profit for the year 488759 166572 86929 168495
other comprehensive income for the year
items that have been classified to profit or loss
reclassify to profit and loss on sale 15 31088 – – –
change in fair value of available for sale equity instruments 15 15444 15444 15227 15227
total items that will be classified to profit or loss 15644 15644 15227 15227
total comprehensive income for the year 473115 150927 102156 183722
profit for the year attributable to
owners of the parent 488578 166391 86755 168321
non–controlling interest 181 181 174 174
488759 166572 86929 168495
earnings per share for profit attributable to the owners of the parent 
during the year
basic cents 9 1670 569 300 581
diluted cents 9 1653 563 294 571
total comprehensive income attributable to
owners of the parent 472934 150746 101982 183548
noncontrolling interest 181 181 174 174
473115 150927 102156 183722
1 adjusted numbers relate to certain noncash and oneoff items including amortisation of intangibles on acquisitions amortisation of intangibles in associate professional 
costs on acquisitions finance costs on acquisitions costs of admission to a premium listing on the main market gain on sale of investment in associate and available for 
sale investments change in fair value of available for sale investments in the income statement oneoff provision against irrecoverable cash and additional various noncash 
charges the directors believe that the adjusted profit represents more closely the underlying trading performance of the business a full reconciliation between the actual and 
adjusted results is provided in note 5 80
playtech plc  
annual report and accounts 2013
financial statements
con solida t ed st at ement o f chang es in equit y
for the year ended 31 december 2013
additional  
paid in capital
available  
for sale reserve
retained 
earnings
total equity 
attributable to 
holders of 
parent
noncontrolling 
interest total equity
€’000 €’000 €’000 €’000 €’000 €’000
balance at 1 january 2012 307853 1995 168891 478739 49 478690
c hanges in equity for the year    
t otal comprehensive income for the year – 15227 86755 101982 174 102156
dividend paid – – 70440 70440 – 70440
issue of share capital net of issue costs 41 – – 41 – 41
exercise of options 3023 – – 3023 – 3023
acquisition of noncontrolling interest – – 1616 1616 – 1616
purchase of treasury shares 366 – 366 – – –
employee stock option scheme – – 2403 2403 – 2403
balance at 31 december 2012 310469 17222 186359 514050 125 514175
balance at 1 january 2013 310469 17222 186359 514050 125 514175
c hanges in equity for the year    
t otal comprehensive income for the year – 15644 488578 472934 181 473115
dividend paid – – 67872 67872 – 67872
exercise of options 12718 – – 12718 – 12718
purchase of share options – – 12135 12135 – 12135
employee stock option scheme 1326 1326 – 1326
acquisition of minority interest – – – – 306 306
balance at 31 december 2013 323187 1578 596256 921021 – 921021 81
playtech plc  
annual report and accounts 2013
governance financial statements strategic report
financial statements
con solidat ed bal an ce sheet 
as at 31 december 2013
notes
2013
€’000
2012
€’000
nonc urrent asset s 
property plant and equipment 11 21835 20304
intangible assets 12 393121 372387
investments in equity accounted associates  joint ventures 13 1633 156036
available for sale investments 15 33661 35333
other non–current assets 16 20517 5175
 470767 589235
curre nt asset s 
trade receivables 17 41336 47784
other receivables 18 26475 26560
 cash and cash equivalents 19 527394 120880
 595205 195224
to t al asset s 1065972 784459
eq uity 
additional paid in capital 323187 310469
available for sale reserve 15 1578 17222
retained earnings       596256 186359
equity attributable to equity holders of the parent 20 921021 514050
noncontrolling interest – 125
to t al eq uity 921021 514175
non c urrent l iabil it ies 
loans and borrowings 21 – 31250
other noncurrent liabilities  245 215
deferred revenues 7064 9092
deferred tax liability 23 5083 5232
deferred consideration 14 – 26735
progressive operators’ jackpots and security deposits 15000 –
contingent consideration 14 – 15826
 27392 88350
curre nt l iabil it ies 
loans and borrowings 21 – 37970
trade payables 22 21175 14522
progressiveoperators’ jackpots and security deposits 33544 31607
t ax liabilities 1720 1946
deferred revenues 4741 3679
deferred consideration 14 28630 69749
other payables 24 27749 22461
 117559 181934
 to t al eq uity and l iabil it ies 1065972 784459
the financial information was approved by the board and authorised for issue on 20 february 2014
mor weizer ron hoffman
c hief executive officer c hief financial officer 82
playtech plc  
annual report and accounts 2013
financial statements
con solida t ed st at ement o f cash flo ws
2013
€’000
2012
€’000
cash fl ows from operat ing act ivit ies 
profit after tax 488759 86929
adjustments to reconcile net income to net cash provided by operating activities see overleaf 285555 29041
income taxes paid 3170 3174
net cash provided by operating activities 200034 112796
cash fl ows from inv est ing act ivit ies 
long term deposits and loan advances 7789 2393
buyout of reseller agreement 11847 –
dividend received from equityaccounted associate 22167 47334
acquisition of property plant and equipment 10687 8007
proceeds from sale of investment in associate 492528 –
proceeds from sale of availablefor saleinvestments 57179 –
return on investment in joint ventures 1205 1027
acquisition of intangible assets 6706 2210
acquisition of subsidiaries net of cash acquired 128937 143148
capitalised development costs 19889 14851
investment in availableforsale investments 44190 7730
proceeds from sale of property plant and equipment 262 1046
acquisition of minority interest 306 –
net cash provided byused in investing activities 342990 128932
cash fl ows from financ ing act ivit ies 
dividends paid to the holders of the parent 67872 70440
purchase of share options 12136 1616
proceeds from bank borrowings – 75000
repayment of bank borrowings 69220 33783
exercise of options 12718 3023
net cash used in financing activities 136510 27816
inc reasedec rease in c ash and c ash eq uival ent s 406514 43952
cash and c ash eq uival ent s at beginn ing of year 120880 164832
cash and c ash eq uival ent s at end of year 527394 120880 83
playtech plc  
annual report and accounts 2013
governance financial statements strategic report
notes
2013
€’000
2012
€’000
adjustm ent t o rec onc il e net inc ome t o net c ash  
provided by operat ing act ivit ies
income and expenses not affecting operating cash flows
depreciation 9662 8118
amortisation including amortisation of intangibles in associate 49121 41375
income from associate 18086 50553
share of loss in joint ventures 2506 46
gain on sale of available for sale investments 31088 –
gain on sale of investment in associate 340819 –
decline in fair value of available for sale investment 4127 –
movement in deferred and contingent consideration 2864 44184
employee stock option plan expenses 1326 2403
income tax expense 2498 2101
other 71 74
c hanges in operating assets and liabilities 
increasedecrease in trade receivables 10340 17603
increase in other receivables 1655 3024
increase in trade payables 6998 1122
decreaseincrease in progressive operators jackpot and security deposits 16937 3034
increase in other payables 751 4966
decrease in deferred revenues 966 1134
 285555 29041
acquisition of subsidiary  net of cash acquired
2013
€’000
2012
€’000
a acquisition of pokerstrategycom limited 25a 37703 –
b acquisition of the nation traffic assets 25b 4700 –
c acquisition of geneity limited 26a – 18200
d acquisition of juego online ead 26b – 5996
e acquisition of intelligent gaming systems limited 734 952
f  acquisition of pt turnkey services limited 70000 118000
g acquisition of mobenga ab 15800 –
128937 143148 84
playtech plc  
annual report and accounts 2013
financial statements
notes to the financ ial st ateme nt s continued financial statements
not es to th e finan cial st at ement s
n ote 1 – gene ral
on 21 june 2012 playtech plc the “company” redomiciled as a company in the isle of man prior to this date it was a company 
domiciled in the british virgin islands and was incorporated on 12 september 2002 as an offshore company with limited liability
playtech plc and its subsidiaries ‘the group’ develop unified software platforms for the online and land based gambling industry 
targeting online and land based operators playtech’ s gaming applications – online casino poker and other p2p games bingo 
mobile live gaming landbased kiosk networks land based terminal and fixedodds games – are fully intercompatible and can be 
freely incorporated as standalone applications accessed and funded by the operators’ players through the same user account and 
managed by the operator by means of a single powerful management interface
basis of preparation
the directors consider that the group has adequate resources to continue in operational existence for the foreseeable future and that it 
is therefore appropriate to adopt the going concern basis in preparing its financial statements
the financial information set out in this document does not constitute the group’ s statutory accounts for the year ended 31 december 
2013 or 31 december 2012 the annual report and financial statements for the year ended 31 december 2013 were approved by the 
board of directors on 20 february 2014 the auditor’ s report on the statutory accounts for both the year ended 31 december 2013 
and 31 december 2012 was unqualified
n ote 2 – signific ant acc ounting policies
the significant accounting policies followed in the preparation of the financial information on a consistent basis are
accounting principles
this financial information has been prepared in accordance with international financial reporting standards international accounting 
standards and interpretations collectively ifrs issued by the international accounting standards board iasb as adopted by the 
european union “adopted ifrss” in the current year the group has adopted all of the new and revised standards and interpretations 
issued by the iasb and the international financial reporting interpretations committee ifric of the iasb as they have been adopted 
by the european union that are relevant to its operations and effective for accounting periods beginning on 1 january 2013
changes in accounting policies
a new standards interpretations and amendments effective from 1 january 2013
the following new standards interpretations and amendments applied for the first time from 1 january 2013 have had an effect on the 
financial information
•	 ifrs 7 amended – transfers of financial assets effective for annual periods beginning on or after 1 july 2012
•	 presentation of items of other comprehensive income amendments to ias 1 effective for annual periods beginning on or after 
1 july 2012 and
•	 ifrs 13 fair value measurement effective for annual periods beginning on or after 1 january 2013
none of the other new standards interpretations and amendments effective for the first time from 1 january 2013 which have been 
adopted in the year effect the financial information
b new standards interpretations and amendments not yet effective
the following new standards interpretations and amendments which have not been applied to these financial information will or may 
have an effect on the group’ s future financial information
•	 ifrs 10 consolidated financial information effective for annual periods beginning on or after 1 january 2014
•	 ifrs 11 joint arrangements effective for annual periods beginning on or after 1 january 2014
•	 ifrs 12 disclosure of interests in other entities effective for annual periods beginning on or after 1 january 2014
•	 ias 27 separate financial statements effective for annual periods beginning on or after 1 january 2014
•	 ias 28 investments in associates and joint ventures effective for annual periods beginning on or after 1 january 2014
•	 disclosures – offsetting financial assets and liabilities amendments to ifrs 7 effective for annual periods beginning on or after 
1 january 2013 and
•	 offsetting financial assets and financial liabilities amendments to ias 32 effective for annual periods beginning on or after 
1 january 2014
financial statements
not es to th e finan cial st at ement s 85
playtech plc  
annual report and accounts 2013
governance financial statements strategic report
the following new standards interpretations and amendments which have not yet been endorsed by the eu are effective for annual 
periods beginning on or after 1 january 2013
•	 annual improvements to ifrs 2009 – 2011 cycles effective for annual periods beginning on or after 1 january 2013
•	 consolidated financial statements joint arrangements and disclosure of interests in other entities transition guidance 
amendments to ifrs 10 ifrs 11 and ifrs 12 and
•	 ifrs 9 financial instruments effective for annual periods beginning on or after 1 january 2015
the group is currently assessing the impact if any that these standards will have on the presentation of its consolidated results
none of the other new standards interpretations and amendments which are effective for periods beginning after 1 january 2013 and 
which have not been adopted early are expected to have a material effect on the group’ s future financial information
foreign currency
the financial information of the company and its subsidiaries is prepared in euros the functional currency which is the currency that 
best reflects the economic substance of the underlying events and circumstances relevant to the group transactions and balances 
in foreign currencies are converted into euros in accordance with the principles set forth by international accounting standard ias 21 
“the effects of changes in foreign exchange rates” accordingly transactions and balances have been converted as follows
•	 monetary assets and liabilities – at the rate of exchange applicable at the balance sheet date and
•	 income and expense items – at exchange rates applicable as of the date of recognition of those items nonmonetary items are 
converted at the rate of exchange used to convert the related balance sheet items ie at the time of the transaction exchange gains 
and losses from the aforementioned conversion are recognised in the consolidated statement of comprehensive income
basis of consolidation
where the company has the power either directly or indirectly to govern the financial and operating policies of another entity or 
business so as to obtain benefits from its activities it is classified as a subsidiary the consolidated financial information presents the 
results of the company and its subsidiaries ‘the group’ as if they formed a single entity intercompany transactions and balances 
between group companies are therefore eliminated in full
revenue recognition
revenue represents income receivable from contracting parties comprising a percentage of the revenue generated by the contracting 
party from use of the group’ s intellectual property in online gaming activities and land based gaming operations and from fees charged 
for services rendered revenue is recognised in the accounting periods in which the gaming transactions occur or the services 
are rendered royalty and other income receivable under fixed–term arrangements are recognised as revenue over the term of the 
agreement on a straight line basis
distribution costs
distribution costs represent the direct costs of the function of providing services to customers costs of the development function and 
advertising costs
sharebased payments
certain employees participate in the group’ s share option plans which commenced with effect from 1 december 2005 the fair value 
of the equity settled options granted is charged to the consolidated statement of comprehensive income on a straight line basis over 
the vesting period and the credit is taken to equity based on the group’ s estimate of shares that will eventually vest fair value is 
determined by the blackscholes and binomial valuation model the share options plan does not have any performance conditions 
other than continued service where equity settled share options are settled in cash at the group’ s discretion the debit is taken to equity
income taxes and deferred taxation
provision for income taxes is calculated in accordance with the tax legislations and applicable tax rates in force at the balance sheet 
date in the countries in which the group companies have been incorporated
deferred tax assets and liabilities are recognised where the carrying amount of an asset or liability in the consolidated balance sheet 
differs from its tax base except for differences arising on
•	 the initial recognition of goodwill
•	 the initial recognition of an asset or liability in a transaction which is not a business combination and at the time of the transaction 
affects neither accounting or taxable profit and
•	 investments in subsidiaries and jointly controlled entities where the group is able to control the timing of the reversal of the difference 
and it is probable that the difference will not reverse in the foreseeable future 86
playtech plc  
annual report and accounts 2013
financial statements
notes to the financ ial st ateme nt s continued the amount of the asset or liability is determined using tax rates that have been enacted or substantively enacted by the reporting date 
and are expected to apply when the deferred tax liabilitiesassets are settledrecovered
deferred tax assets and liabilities are offset when the group has a legally enforceable right to offset current tax assets and liabilities and 
the deferred tax assets and liabilities relate to taxes levied by the same tax authority on either
•	 the same taxable group company or
•	 different group entities which intend either to settle current tax assets and liabilities on a net basis or to realise the assets and settle 
the liabilities simultaneously in each future period in which significant amounts of deferred tax assets or liabilities are expected to be 
settled or recovered
dividend distribution
final dividends are recorded in the group’ s financial information in the period in which they are approved by the group’ s shareholders 
interim dividends are recognised when paid
property plant and equipment
property plant and equipment comprise computers and gaming machines leasehold improvements office furniture and equipment 
and motor vehicles and are stated at cost less accumulated depreciation carrying amounts are reviewed on each balance sheet date 
for impairment where the carrying amount of an asset is greater than its estimated recoverable amount it is written down immediately 
to its recoverable amount
depreciation is calculated to write off the cost of fixed assets on a straight line basis over the expected useful lives of the assets 
concerned the principal annual rates used for this purpose which are consistent with those of the previous years are

computers and gaming machines 33
office furniture and equipment 720
building and leasehold improvements 1020 or over the length of the lease
motor vehicles 15
subsequent expenditures are included in the asset carrying amount or recognised as a separate asset as appropriate only when it is 
probable that future economic benefits will flow to the group and the cost of the item can be measured reliably all other repairs and 
maintenance are charged to the income statement during the financial period in which they are incurred
gains and losses on disposals are determined by comparing proceeds with carrying amount and are included in the consolidated 
statement of comprehensive income
business combinations
the consolidated financial information incorporate the results of business combinations using the purchase method in the consolidated 
balance sheet the acquiree’ s identifiable assets liabilities and contingent liabilities are initially recognised at their fair values at the 
acquisition date the results of acquired operations are included in the consolidated statement of comprehensive income from the date 
on which control is obtained
investments in subsidiary undertakings
investments in subsidiary undertakings are recognised at cost less if any provision for impairment
intangible assets
intangible assets comprise externally acquired patents domains and customer lists intangible assets also include internally generated 
capitalised software development costs all such intangible assets are stated at cost less accumulated amortisation where intangible 
assets are acquired as part of a business combination they are recorded initially at their fair value carrying amounts are reviewed on 
each balance sheet date for impairment where the carrying amount of an asset is greater than its estimated recoverable amount it is 
written down to its recoverable amount 87
playtech plc  
annual report and accounts 2013
governance financial statements strategic report
amortisation is calculated at annual rates estimated to write off the costs of the assets over their expected useful lives and is charged to 
operating expenses from the point the asset is brought into use the principal annual rates used for this purpose which are consistent 
with those of the previous years are

domain names nil
internally generated capitalised development costs 33
t echnology ip 2033
customer lists 7125
affiliate contracts 5125
patents and licenses over the expected useful lives 1033
intangible assets identified under the investment in equity accounted associates are

software 10
customer relationships 71
affiliate contracts 52
wh brands 7
purchased assets brands 10
covenant not to compete 20
management believes that the useful life of the domain names is indefinite domain names are reviewed for impairment annually
expenditure incurred on development activities including the group’ s software development is capitalised only where the expenditure 
will lead to new or substantially improved products the products are technically and commercially feasible and the group has sufficient 
resources to complete development
subsequent expenditure on capitalised intangible assets is capitalised only where it clearly increases the economic benefits to be 
derived from the asset to which it relates all other expenditure including that incurred in order to maintain an intangible assets current 
level of performance is expensed as incurred
goodwill
goodwill represents the excess of the cost of a business combination over in the case of business combinations completed prior to 
1 january 2010 the group’ s interest in the fair value of identifiable assets liabilities and contingent liabilities acquired and in the case of 
business combinations completed on or after 1 january 2010 the total acquisition date fair value of the identifiable assets liabilities and 
contingent liabilities acquired
for business combinations completed prior to 1 january 2010 cost comprised the fair value of assets given and liabilities assumed 
plus any direct costs of acquisition changes in the estimated value of contingent consideration arising on business combinations 
completed by this date were treated as an adjustment to cost and in consequence resulted in a change in the carrying value 
of goodwill
for business combinations completed on or after 1 january 2010 cost comprises the fair value of assets given and liabilities assumed 
plus the amount of any noncontrolling interests in the acquired business contingent consideration is included in cost at its acquisition 
date fair value and in the case of contingent consideration classified as a financial liability remeasured subsequently through profit or 
loss for combinations completed on or after 1 january 2010 direct costs of acquisition are recognised immediately as an expense in 
the consolidated statement of comprehensive income within administrative costs
goodwill is capitalised as an intangible asset with any impairment in carrying value being charged to the consolidated income 
statement goodwill is not amortised and is reviewed for impairment annually or more specifically if events or changes in circumstances 
indicate that the carrying value may be impaired
impairment
impairment tests on goodwill and other intangible assets with indefinite useful economic lives are undertaken annually at the financial 
year end other nonfinancial assets are subject to annual impairment tests whenever events or changes in circumstances indicate that 
their carrying amount may not be recoverable where the carrying value of an asset exceeds its recoverable amount ie the higher of 
value in use and fair value less costs to sell the asset is written down accordingly
where it is not possible to establish the recoverable amount of an individual asset the impairment test is carried out on the asset’ s 
cash generating unit ie the lowest group of assets in which the asset belongs for which there are separately identifiable cash flows 
goodwill is allocated on initial recognition to each of the group’ s cash generating units that are expected to benefit from the synergies of 
the combination giving rise to the goodwill 88
playtech plc  
annual report and accounts 2013
financial statements
notes to the financ ial st ateme nt s continued impairment charges are included in the administrative expenses line item in the consolidated statement of comprehensive income 
except to the extent they reverse gains previously recognised in the consolidated statement of comprehensive income an impairment 
loss recognised for goodwill is not reversed
associates
where the group has the power to participate in but not control the financial and operating policy decisions of another entity it is 
classified as an associate associates are initially recognised in the consolidated balance sheet at cost the group’ s share of post
acquisition profits and losses is recognised in the consolidated statement of comprehensive income except that losses in excess of the 
group’ s investment in the associate are not recognised unless there is an obligation to make good those losses
profits and losses arising on transactions between the group and its associates are recognised only to the extent of unrelated investors’ 
interests in the associate the investor’ s share in the associate’ s profits and losses resulting from these transactions is eliminated against 
the carrying value of the associate
any premium paid for an associate above the fair value of the group’ s share of the identifiable assets liabilities and contingent liabilities 
acquired is capitalised as goodwill and included in the carrying amount of the associate the carrying amount of investment in associate 
is subject to impairment in the same way as goodwill arising on a business combination described above
joint ventures
the group’ s investment in a jointly controlled entity is included in the financial information under the equity method of accounting 
the group includes the assets it controls its share of any income and the liabilities and expenses of jointly controlled operations and 
jointly controlled assets in accordance with the terms of the underlying contractual arrangement
financial assets
the group classifies its financial assets into one of the categories discussed below depending on the purpose for which the asset was 
acquired the group has not classified any of its financial assets as held to maturity the group does not hold any financial assets at fair 
value through profit and loss
loans and receivables
these assets are nonderivative financial assets with fixed or determinable payments that are not quoted in an active market they arise 
principally through the provision of services to customers eg trade receivables but also incorporate other types of contractual 
monetary asset they are initially recognised at fair value plus transaction costs that are directly attributable to their acquisition or issue 
and are subsequently carried at amortised cost using the effective interest rate method less provision for impairment
the group’ s receivables comprise trade and other receivables cash and cash equivalents and loans to customers in the 
balance sheet
trade receivables which principally represent amounts due from licensees are carried at original invoice value less an estimate made 
for bad and doubtful debts based on a review of all outstanding amounts at the yearend an estimate for doubtful debts is made 
when there is objective evidence that the group will not be able to collect amounts due according to the original terms of receivables 
bad debts are written off when identified
cash and cash equivalents includes cash in hand deposits held at call with banks and other short term highly liquid investments with 
original maturities of three months or less where cash is on deposit with maturity dates greater than three months it is disclosed within 
other receivables
loans to customers are in respect of formal loan agreements entered into between the group and its customer which are carried at 
original advanced value less provision for impairment they are classified between current and noncurrent assets in accordance with 
the contractual repayment terms of each loan agreement
availableforsale financial assets
nonderivative financial assets classified as availableforsale comprise the group’ s strategic investments in entities not qualifying as 
subsidiaries associates or jointly controlled entities they are carried at fair value with changes in fair value generally recognised in other 
comprehensive income and accumulated in the available for sale reserve in accordance with ias 39 a significant or prolonged decline 
in the fair value of an availableforsale financial asset is recognised in the consolidated statement of comprehensive income
purchases and sales of availableforsale financial assets are recognised on settlement date with any change in fair value between trade 
date and settlement date being recognised in the available for sale reserve on sale the amount held in the availableforsale reserve 
associated with that asset is removed from equity and recognised in the consolidated statement of comprehensive income
changes in fair value are recognised in other comprehensive income and accumulated in the availableforsale reserve except to the 
extent that any decrease in value in excess of the credit balance on the availableforsale reserve or reversal of such a transaction is 
recognised in profit or loss 89
playtech plc  
annual report and accounts 2013
governance financial statements strategic report
share capital
ordinary shares are classified as equity and are stated at the proceeds received net of direct issue costs
financial liabilities
trade payables and other shortterm monetary liabilities are initially recognised at fair value and subsequently carried at amortised cost 
using the effective interest method
several of the group’ s licensees participate in progressive jackpot games each time a progressive jackpot game is played a preset 
amount is added to a cumulative jackpot for that specific game the accrual for the jackpot at the consolidated balance sheet date is 
included in progressive jackpot and other operator’ s jackpot liabilities
loans and bank borrowings are initially recognised at fair value net of any transaction costs directly attributable to the issue of the 
instrument such interest bearing liabilities are subsequently measured at amortised cost using the effective interest rate method 
which ensures that any interest expense over the period to repayment is at a constant rate on the balance of the liability carried in the 
consolidated balance sheet interest expense in this context includes initial transaction costs and premia payable on redemption as well 
as any interest or coupon payable while the liability is outstanding
fair value measurement hierarchy
ifrs 7 requires certain disclosure which require the classification of financial assets and financial liabilities measured at fair value using 
a fair value hierarchy that reflects the significance of the inputs used in making the fair value measurement see note 30 the fair value 
hierarchy has the following levels
a quoted prices unadjusted in active markets for identical assets or liabilities level 1
b inputs other than quoted prices included within level 1 that are observable for the asset or liability either directly ie as prices or 
indirectly ie – derived from prices level 2 and
c inputs for the asset or liability that are not based on observable market data unobservable inputs level 3
the level in the fair value hierarchy within which the financial asset or financial liability is categorized is determined on the basis of the 
lowest level input that is significant to the fair value measurement financial assets and financial liabilities are classified in their entirety 
into only one of the three levels the group measures its availableforsale investments at fair value – refer to note 15 for more detailed 
information in respect of the fair value measurement
long term liabilities
long term liabilities are those liabilities that are due for repayment or settlement in more than twelve months from balance sheet date
provisions
provisions which are liabilities of uncertain timing or amount are recognised when the group has a present obligation as a result of 
past events if it is probable that an outflow of funds will be required to settle the obligation and a reliable estimate of the amount of the 
obligation can be made
leases
where substantially all of the risks and rewards incidental to ownership are not transferred to the group an “operating lease” the 
total rentals payable under the lease are charged to the consolidated statement of comprehensive income on a straightline basis over 
the lease term the aggregate benefit of lease incentives is recognised as a reduction of the rental expense over the lease term on a 
straightline basis
noncontrolling interests
noncontrolling interest is recognised at the present ownership instruments’ proportionate share in the recognised amounts of the 
acquiree’ s identifiable net assets the total comprehensive income of nonwholly owned subsidiaries is attributed to owners of the 
parent and to the noncontrolling interests in proportion to their relative ownership interests
n ote 3 – c ritic al acc ounting estim ates and judgements
the preparation of financial information in conformity with generally accepted accounting principles requires the use of estimates and 
assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of 
the financial information and the reported amounts of revenues and expenses during the reporting period although these estimates are 
based on management’ s best knowledge of current events and actions actual results ultimately may differ from those estimates
the areas requiring the use of estimates and critical judgments that may potentially have a significant impact on the group’ s earnings 
and financial position are impairment of goodwill the recognition and amortisation of development costs and other intangible assets 
and the useful life of property plant and equipment the fair value of availableforsale investments share based payments legal 
proceedings and contingent liabilities determination of fair values of intangible assets acquired in business combinations income tax 
and determination of fair value of contingent consideration 90
playtech plc  
annual report and accounts 2013
financial statements
notes to the financ ial st ateme nt s continued estimates and assumptions
impairment of goodwill
the group is required to test on an annual basis whether goodwill has suffered any impairment the recoverable amount is 
determined based on value in use calculations the use of this method requires the estimation of future cash flows and the choice of a 
discount rate in order to calculate the present value of the cash flows such estimates are based on management’ s experience of the 
business but actual outcomes may vary more details including carrying values are included in note 12
amortisation of development costs and other intangible assets and the useful life of property plant and equipment
intangible assets and property plant and equipment are amortised or depreciated over their useful lives useful lives are 
based on management’ s estimates of the period that the assets will generate revenue which are periodically reviewed for 
continued appropriateness
changes to estimates can result in significant variations in the amounts charged to the consolidated statement of comprehensive 
income in specific periods more details including carrying values are included in notes 11 and 12
fair value of availableforsale investments
the group determines the fair value of availableforsale investments that are not quoted using valuation techniques those techniques 
are significantly affected by the assumptions used including discount rates and estimates for future cash flows in that regard the 
derived fair value estimates cannot always be substantiated by comparison with independent markets and in many cases may not be 
capable of being realised immediately
the methods and assumptions applied and the valuation techniques used are disclosed in note 15
share based payments
the group has share based remuneration schemes for employees the fair value of share options is estimated by using the black
scholes and binomial models on the date of grant based on certain assumptions those assumptions are described in note 10 and 
include among others the dividend growth rate expected share price volatility expected life of the options and number of options 
expected to vest
legal proceedings and contingent liabilities
management regularly monitors the key risks affecting the group including the regulatory environment in which the group operates 
a provision will be made where there is a present obligation from a past event a transfer of economic benefits is probable and the 
amount of costs of the transfer can be estimated reliably in instances where the criteria are not met a contingent liability may be 
disclosed in the notes to the financial information more details are included in note 32
determination of fair value of intangible assets acquired
the fair value of the intangible assets acquired is based on the discounted cash flows expected to be derived from the use of the asset 
further information in relation to the determination of fair value of intangible assets acquired is given in notes 25 and 26
income taxes
the group is subject to income tax in jurisdictions in which it is registered and judgment is required in determining the provision for 
income taxes during the ordinary course of business there are transactions and calculations for which the ultimate tax determination 
is uncertain as a result the group recognises tax liabilities based on estimates of whether additional taxes and interest will be due 
the group believes that its accruals for tax liabilities are adequate for all open audit years based on its assessment of many factors 
including past experience and interpretations of tax law more details are included in note 8
determination of the fair value of contingent consideration
the fair value of contingent consideration is based on the probability of expected cash flow outcomes and the assessment of present 
values using appropriate discount rates further information in relation to the determination of the fair value of contingent consideration 
is given in note 26 91
playtech plc  
annual report and accounts 2013
governance financial statements strategic report
n ote 4 – segment inf ormati on
management considers that the group’ s activity as a single source supplier of online gaming solutions constitutes one operating and 
reporting segment as defined under ifrs 8
management review the performance of the group by reference to groupwide profit measures and the revenues derived from six  
2012 five main product groupings
•	 casino
•	 services
•	 bingo
•	 sport
•	 poker
•	 videobet
the groupwide profit measures are adjusted net profit and adjusted ebitda see note 5 management believes the adjusted profit 
measures represent more closely the underlying trading performance of the business no other differences exist between the basis of 
preparation of the performance measures used by management and the figures in the group financial information
there is no allocation of operating expenses profit measures assets and liabilities to individual product groupings accordingly the 
disclosures below are provided on an entitywide basis
revenue by product
2013
€’000
2012
€’000
casino 189216 151745
services 111116 106326
bingo 18464 17954
sport 17100 10626
poker 14680 17840
videobet 12275 10761
other 4355 2252
t otal revenues 367206 317504
in the current year there were two licensees who individually accounted for more than 10 of the total revenue of the group  
2012 three licensees revenue from these licensees in the current year totalled €1295 million 2012 €1622 million
geographical analysis of revenues by jurisdiction of gaming license
analysis by geographical regions is made according to the jurisdiction of the gaming license of the licensee this does not reflect the 
region of the end users of the group’ s licensees whose locations are worldwide
2013 
€’000
2012
1
€’000
gibraltar 88924 78739
antigua 86271 91721
philippines 55638 48321
rest of world 42844 24619
alderney 39125 36991
curacao 28182 14822
italy 14479 11562
malta 11743 10729
total revenues 367206 317504
1 comparable amounts were adjusted in order to better reflect actual segmentation 92
playtech plc  
annual report and accounts 2013
financial statements
notes to the financ ial st ateme nt s continued geographical analysis of noncurrent assets
2013
€’000
2012
€’000
british virgin islands 215742 351727
isle of man 184937 187901
cyprus 28805 17889
sweden 18791 19081
estonia 7819 7349
israel 7685 1015
uk 3508 3544
rest of world 3480 729
470767 589235
n ote 5 – adjusted items
the following tables give a full reconciliation between adjusted and actual results
2013
€’000
2012
€’000
distribution costs before depreciation and amortisation – actual 178965 156658
employee stock option expenses 1062 1817
distribution costs before depreciation and amortisation – adjusted 177903 154841
administrative expenses before depreciation and amortisation – actual 34478 29630
employee stock option expenses 264 586
professional fees on acquisitions 208 496
decline in fair value of available for sale investment note 15 4127 –
admission to premium listing on main market – 2098
t otal adjusted items 4599 3180
administrative expenses before depreciation and amortisation – adjusted 29879 26450
depreciation – distribution costs 8243 6913
depreciation – administrative costs 1419 1205
amortisation – distribution costs 9254 8990
depreciation and amortisation – adjusted 18916 17108
amortisation of intangibles on acquisitions – distribution costs 38196 26656
amortisation of intangibles in associate 1671 5729
t otal depreciation and amortisation including amortisation of intangibles in associate 58783 49493
ebitda 543756 181723
decline in fair value of available for sale investments 4127 –
employee stock option expenses 1326 2403
professional fees on acquisitions 208 496
admission to a premium listing on the main market – 2098
gain on sale of investment in associate 340819 –
gain on sale of available for sale investments 31088 –
adjusted ebitda 177510 186720
profit for the year – attributable to owners of the parent 488578 86755
decline in fair value of available for sale investments 4127 –
employee stock option expenses 1326 2403
professional fees on acquisitions 208 496
admission to a premium listing on the main market – 2098
amortisation of intangibles on acquisitions including amortisation on investment in associate 39867 32385
gain on sale of investment in associate 340819 –
gain on sale of available for sale investment 31088 –
oneoff provision against irrecoverable cash 1330 –
movement in deferred and contingent consideration 2862 44184
adjusted profit for the year – attributable to owners of the parent 166391 168321 93
playtech plc  
annual report and accounts 2013
governance financial statements strategic report
n ote 6 – operating profit
operating profit is stated after charging
2013
€’000
2012
€’000
directors’ compensation
short term benefits of directors 1590 1821
share based benefits of directors 25 231
bonuses to executive directors 1403 392
3018 2444
auditor’s remuneration
audit services
parent company and group audit 290 225
audit of overseas subsidiaries 238 221
t otal audit 527 446
nonaudit services
other acquisition and assurance services 129 357
t axation compliance 11 22
140 379
development costs including capitalised development costs of €198 million 2012 €148 million 44704 34657
n ote 7 – fin ancing inc ome and c osts
2013
€’000
2012
€’000
a finance income
interest received 2448 71
dividend received from available for sale investments 5058 3625
exchange differences 6884 400
14390 4096
b finance cost
finance cost – movement in deferred and contingent consideration 2862 44184
oneoff provision against irrecoverable cash 1330 –
bank charges and interest paid 1197 3112
5389 47296
net financing expense 9001 43200
n ote 8 – t axati on
2013
€’000
2012
€’000
current income tax
income tax on profits of subsidiary operations 3321 3562
deferred tax note 24 823 1461
t otal tax charge 2498 2101
the tax charge for the year can be reconciled to accounting profit as follows
2013
€’000
2012
€’000
profit before taxation 491257 89030
t ax at effective rate in isle of man – –
higher rates of current income tax in overseas jurisdictions 2498 2101
the group is tax registered managed and controlled from the isle of man where the corporate tax rate is set to zero the majority of 
profits arise in isle of man which is the company’ s country of incorporation the group’ s subsidiaries are located in different jurisdictions 
the subsidiaries are taxed on their residual profit
the deferred tax is due to the reversal of temporary differences arising on the acquisition of certain businesses in the current and prior year  94
playtech plc  
annual report and accounts 2013
financial statements
notes to the financ ial st ateme nt s continued n ote 9 – earnings per sh are
a earnings per share have been calculated using the weighted average number of shares in issue during the relevant financial periods 
the weighted average number of equity shares in issue and the earnings being profit after tax is as follows
2013 2012
actual
€’000
adjusted
€’000
actual
€’000
adjusted
€’000
profit for the year attributable to owners of the parent 488578 166391 86755 168321
basic cents 1670 569 300 581
diluted cents 1653 563 294 571
number
2013
number 
2012
denominator – basic
weighted average number of equity shares 292618598 289416759
denominator – diluted
weighted average number of equity shares 292618598 289416759
weighted average number of option shares 3010556 5296536
weighted average number of shares 295629154 294713295
as at 31 december 2013 out of the entire share options outstanding 10667 2012 4616691 have been excluded from the 
calculation of diluted eps as their exercise price is greater than the weighted average share price during the year ie they are out of  
the money and therefore it would not be advantageous for the holders to exercise those options the total number of options in issue 
is disclosed in note 10
n ote 10 – empl oyee benefits
t otal staff costs comprise the following
 
2013
€’000
2012
€’000
salaries and employee related costs 121479 98973
employee stock option costs 1326 2403
122805 101376
average number of employees
distribution 3054 2630
general and administration 207 183
3261 2813
the group has the following employee share option plans “esop” for the granting of nontransferable options to certain employees
•	 playtech 2005 share option plan “the plan” and israeli subplans options granted under the plans vest on the first day on which 
they become exercisable which is typically between one to four years after grant date and
•	 gts 2010 company share option plan “csop” options granted under the plan vest on the first day on which they become 
exercisable which is three years after grant date
the overall term of the esop is five to ten years these options are settled in equity once exercised option prices are either 
denominated in us dollars or pounds sterling depending on the option grant terms
during 2012 the group amended some of the rules of the plan the amendments allow the group at the option holders consent 
to settle fully vested and exercisable options for cash instead of issuing shares as disclosed in the remuneration report some of the 
executive directors during the year received cash instead of shares 95
playtech plc  
annual report and accounts 2013
governance financial statements strategic report
at 31 december 2013 options under these schemes were outstanding
2013
number
2012
number
shares vested on 30 november 2008 at an exercise price of 25 per share – 135734
shares vested on 30 november 2008 at an exercise price of £145 per share 46366 304915
shares vested between 1 december 2006 and 6 february 2009 at an exercise price of 450 per share – 25000
shares vested between 1 december 2006 and 6 february 2009 at an exercise price of £255 per share – 410000
shares vested between 21 june 2007 and 21 june 2009 at an exercise price of 575 per share 7333 11000
shares vested between 21 june 2007 and 21 june 2009 at an exercise price of £316 per share 10000 60334
shares vested between 11 december 2007 and 11 december 2009 at an exercise price of 435 
per share 25000 25000
shares vested between 11 december 2007 and 11 december 2009 at an exercise price of £221 
per share 22334 182668
shares vested between 16 may 2008 and 16 may 2010 at an exercise price of 750 per share – 20000
shares vested between 16 may 2008 and 16 may 2010 at an exercise price of £379 per share 20000 890000
shares vested between 18 june 2008 and 18 june 2010 at an exercise price of 779 per share 7667 8501
shares vested between 18 june 2008 and 18 june 2010 at an exercise price of £396 per share 16966 97768
shares vested between 18 june 2008 and 18 june 2010 at an exercise price of £330 per share – 10000
shares vested between 31 december 2008 and 31 december 2010 at an exercise price  
of 768 per share 3000 18000
shares vested between 31 december 2008 and 31 december 2010 at an exercise price  
of £386 per share 12667 34000
shares vested between 10 october 2008 and 10 october 2011 at an exercise price of £351 per share 75000 92500
shares vested between 20 november 2008 and 20 november 2011 at an exercise price  
of 719 per share – 30000
shares vested between 31 december 2008 and 31 december 2011 at an exercise price  
of £31725 per share – 200000
shares vested between 25 april 2009 and 25 april 2012 at an exercise price of £435 per share 282500 522667
shares vested between 21 may 2009 and 21 may 2012 at an exercise price of £531 per share – 500000
shares vested between 28 november 2009 and 28 november 2012 at an exercise price  
of £320 per share 86194 1311786
shares vested on 22 may 2012 at an exercise price of £4155 per share 95000 740000
shares vested on 6 november 2012 at an exercise price of £37 per share 40000 870000
shares vest between 18 april 2012 and 18 april 2013 at an exercise price of £512 per share 196500 844000
shares vest between 3 june 2012 and 3 june 2013 at an exercise price of £484 per share 27500 220000
shares vest between 26 august 2012 and 26 august 2013 at an exercise price of £416 per share 107346 225780
shares will vest on 26 august 2013 at an exercise price of £416 per share – 158642
shares will vest on 10 march 2014 at an exercise price of £35225 per share 1499850 1562850
shares will vest on 25 august 2014 at an exercise price of £30325 per share – 100000
shares will vest on 16 december 2014 at an exercise price of £230 per share 60000 120000
shares will vest on 23 june 2015 at an exercise price of £348 per share 380000 380000
3021223 10111145
t otal number of shares exercisable as of 31 december 2013 was 1081373 2012 7262253
the following table illustrates the number and weighted average exercise prices of share options for the esop
2013
number of 
options
2012
number of 
options
2013
weighted 
average 
exercise price
2012
weighted 
average 
exercise price
outstanding at the beginning of the year 10111145 12843596 436 £370 458 £359
granted during the year – 420000 – £3478
forfeited 116922 1538261 £396 676 £374
exercised 6973000 1614190 421 £375 444 £255
outstanding at the end of the year 3021223 10111145 436 £370 436 £370 96
playtech plc  
annual report and accounts 2013
financial statements
notes to the financ ial st ateme nt s continued included in the number of options exercised during the year is 4020462 2012 591668 where a cash alternative was received
the weighted average share price at the date of exercise of options was £629 2012 £408
share options outstanding at the end of the year have the following exercise prices
expiry date exercise price 2013
number
2012
number
between 25 april 2013 and 31 december 2013 435 and between £317 and £531 – 357800
1 december 2015 250 and between £145 and £232 46366 440649
between 6 february 2016 and 11 december 2016 between 435 and 575 and between £172 
and £316
64667 714002
between 15 may 2017 and 31 december 2017 between 719 and 779 and between £339 
and £396
135300 1200769
between 25 april 2018 and 31 december 2018 435 and between £317 and £531 368694 2176653
between 22 may 2019 and 6 november 2019 between £370 and £416 135000 1610000
between 18 april 2020 and 26 august 2020 between £416 and £512 331346 1448422
between 10 march 2021 and 16 december 2021 between £230 and £352 1559850 1782850
21 june 2022 £348 380000 380000
3021223 10111145
the fair value of the options granted under the esop is estimated as at the date of grant using the binomial model the following table 
gives the assumptions made during the year ended 31 december 2012
for options granted on 21 june 2012
dividend yield 295
expected volatility 4888
risk free interest rate 182
weighted average exercise price £34775
option life 10 years
the volatility assumption measured at the standard deviation of expected share price return is based on a statistical analysis of daily 
share price over a period starting from the initial date of flotation through to the grant date
n ote 11 – property  pl ant and equi pment
c omputers and 
gaming  
machines
office furniture 
and equipment
motor vehicles building and 
l easehold 
improvements
total
€’000 €’000 €’000 €’000 €’000
c ost
at 1 january 2012 26567 1588 328 6602 35085
additions 5764 490 96 1657 8007
acquired through business combinations 26 – – – 26
disposals 1403 97 121 202 1823
at 31 december 2012 30954 1981 303 8057 41295
accumulated depreciation
at 1 january 2012 11933 601 119 884 13537
charge 7350 206 72 490 8118
disposals 352 63 47 202 664
at 31 december 2012 18931 744 144 1172 20991
net book value
at 31 december 2012 12023 1237 159 6885 20304 97
playtech plc  
annual report and accounts 2013
governance financial statements strategic report
c omputers and 
gaming 
machines
office furniture 
and equipment
motor vehicles building and 
l easehold 
improvements
total
€’000 €’000 €’000 €’000 €’000
c ost
at 1 january 2013 30954 1981 303 8057 41295
additions 9133 693 143 718 10687
acquired through business combinations 187 249 129 134 699
disposals 697 38 84 – 819
at 31 december 2013 39577 2885 491 8909 51862
accumulated depreciation
at 1 january 2013 18931 744 144 1172 20991
charge 8481 369 61 751 9662
disposals 517 40 69 – 626
at 31 december 2013 26895 1073 136 1923 30027
net book value
at 31 december 2013 12682 1812 355 6986 21835
n ote 12 – int angible assets
patents 
domain names 
and license
technology ip development 
costs
c ustomer l ist 
 affiliates
goodwill total
€’000 €’000 €’000 €’000 €’000 €’000
c ost
as of 1 january 2012 8941 12423 34283 196957 164720 417324
additions 2130 – 14753 – – 16883
assets acquired on previous year 
business combinations – – – – 178 178
reclassification – 2300 2300 – – –
assets acquired on business  
combinations 4514 3528 – 400 17329 25771
disposals – 308 – – – 308
as of 31 december 2012 15585 17943 46736 197357 182227 459848
accumulated amortisation
as of 1 january 2012 2693 4556 14918 29956 – 52123
provision 935 3627 6787 24297 – 35646
disposals – 308 – – – 308
as of 31 december 2013 3628 7875 21705 54253 – 87461
net book value
as of 31 december 2013 11957 10068 25031 143104 182227 372387 98
playtech plc  
annual report and accounts 2013
financial statements
notes to the financ ial st ateme nt s continued patents 
domain names 
and licenses
technology ip development 
costs
c ustomer l ists 
 affiliates
goodwill total
€’000 €’000 €’000 €’000 €’000 €’000
c ost
as of 1 january 2013 15585 17943 46736 197357 182227 459848
additions 5406 1411 19778 – – 26595
assets acquired on previous years 
business combinations – – – – 98 98
assets acquired on business 
combinations 1585 1527 – 23496 15079 41687
as of 31 december 2013 22576 20881 66514 220853 197208 528032
accumulated amortisation
as of 1 january 2013 3628 7875 21705 54253 – 87461
provision 3054 2471 6910 35015 – 47450
as of 31 december 2013 6682 10346 28615 89268 – 134911
net book value
as of 31 december 2013 15894 10535 37899 131585 197208 393121
management believes that domain names with a carrying value of €02 million 2012 €02 million have an indefinite life due to their 
nature amortisation of intangible assets is included in distribution costs
in accordance with ias 36 the group regularly monitors the carrying value of its intangible assets including goodwill goodwill is 
allocated to 9 2012 8 cash generating units “cgu” management determines which of those cgus are significant in relation to the 
total carrying value of goodwill as follows
•	 carrying value exceeds 10 of total goodwill or
•	 acquisition during the year or
•	 contingent consideration exists at the balance sheet date
based on the above criteria management has concluded that the following cgus are significant
•	 services with a carrying value of €981 million 2012 €934 million
•	 casino product with a carrying value of €271 million 2012 €271 million and
•	 pokerstrategy with carrying value of €103 million
the recoverable amounts of all the above cgus have been determined from value in use calculations based on cash flow projections 
from formally approved budgets covering a four year period to 31 december 2017 beyond this period management has applied an 
annual growth rate of 2 based on the underlying economic environment in which the cgu operates management has applied a 
discount rate to the cash flow projections of 152 2012 155 for services geneity pokerstrategy and the nation traffic and 13 
2012 155 for mobenga
the results of the review indicated that there was no impairment of goodwill at 31 december 2013 management has also reviewed the 
key assumptions and forecasts for the customer lists brands and affiliates applying the above same key assumptions the results of 
the reviews indicated that there was no impairment of the intangible assets at 31 december 2013
n ote 13 – in vestments in equity acc ounted ass oci ates  j oint ventu res
2013
€’000
2012
€’000
investment in equity accounted associates and joint ventures comprise
a investment in william hill online – 150692
b investment in international t erminal leasing 1633 5344
1633 156036
a investment in william hill online “wh online”
the investment in wh online was accounted for using the equity method in the consolidated financial information and was recognised 
initially at cost being the group’ s 29 share of the fair value of the total net assets of the associate together with the goodwill on 
acquisition in accordance with ias 28 profits distributed to the group in proportion of their respective shareholding were recognised 
as share of profits of associates software license royalty fees charged to wh online have been recognised as revenues in the 
group accounts 99
playtech plc  
annual report and accounts 2013
governance financial statements strategic report
on 15 april 2013 william hill plc exercised its call option to acquire the group’ s 29 stake in wh online for a total consideration of 
€4965 million £4238 million less working capital adjustment of €41 million
the group’ s gain on sale of the investment in wh online was calculated as follows
€’000
sale proceeds 496466
less working capital adjustment 4074
492392
less directly attributable costs 3938
less carrying value of investment 147635
340819
b investment in international t erminal leasing
on 8 march 2011 the group entered into an agreement with scientific games to form a partnership called international t erminal 
leasing “itl” which relates to the strategic partnership with scientific games corporation
the group’ s future profit share from this joint venture varies depending on the commercial arrangements in which itl and its partners 
enter into with third parties however the group’ s share of profit is expected to be between 2050
the group received a return on initial investments of €12 million during the year 2012 €09 million
movements in the carrying value of the investment during the year are as follows
€’000
investment in joint venture at 31 december 2012 5343
share of loss in joint venture 2506
return of initial investment 1204
investment in joint venture at 31 december 2013 1633
aggregated amounts relating to the itl joint venture are as follows
2013
€’000
2012
€’000
t otal noncurrent assets 4766 24859
t otal current assets 8547 2356
t otal current liabilities 3155 614
revenues 11555 4388
profit 11262 634
c ladbrokes software and services agreement
in march 2013 the group entered into a landmark transaction with ladbrokes plc which includes two significant agreements 
covering software licensing and advisory services
as part of the advisory services agreement the group through its marketing division will have significant influence over the financial and 
operational decision making of the ladbrokes digital business playtech will receive a share of profit based on the ebitda performance 
of the ladbrokes digital business over and above that achieved in the financial year ended 31 december 2012 as adjusted the “base 
ebitda” the profit share will be equal to 275 of the increase in adjusted ebitda multiplied by the then evebitda multiple of the 
ladbrokes group interim instalments fall due on the achievement of uplifts in ebitda of £35 million £70 million and £100 million in an 
earlier year 75 of any share of profit is payable in cash with the balance payable in ladbrokes plc shares the group can elect to 
receive a greater proportion of the profit share in ladbrokes plc shares
at 31 december 2013 the group had not incurred any costs of investment and was not entitled to any share of profit 100
playtech plc  
annual report and accounts 2013
financial statements
notes to the financ ial st ateme nt s continued n ote 14 – defe rred and c ontingent c onside rati on
2013
€’000
2012
€’000
noncurrent deferred consideration consists
acquisition of pt turnkey services limited – 26735
– 26735
c urrent deferred consideration consists
acquisition of pt turnkey services limited 27911 69015
acquisition of intelligent gaming systems limited 719 734
28630 69749
noncurrent contingent consideration consists
acquisition of intelligent gaming systems limited – 400
acquisition of mobenga ab – 15426
– 15826
n ote 15 – avail able f orsale in vestments
2013
€’000
2012
€’000
investment in availableforsale investments at 1 january 35333 12376
additions 44190 7730
disposals 57179 –
diminution charged to income statement in the year 19986
unrealised valuation movement in the year 4342 15227
gains on sale to income statement 31088 –
decline in fair value of availableforsale investment transferred to income statement 4127 –
investment in availableforsale investments at 31 december 33661 35333
on disposal of availableforsale investments in the year a gain of €311 million was reclassified to profit and loss
2013
€’000
2012
€’000
availableforsale financial assets include the following
quoted
equity securities – uk 30057 17148
equity securities – asia 3604 5672
unquoted
equity securities – asia – 12513
33661 35333
the fair value of quoted investments is based on published market prices the fair value of unquoted investments was based on the 
dividend income approach in valuing the investment management applied a discount rate of 28 to future dividend income with an 
annual growth rate of 2
the maximum exposure to credit risk at the reporting date is the carrying value of the financial assets classified as availableforsale 101
playtech plc  
annual report and accounts 2013
governance financial statements strategic report
n ote 16 – othe r n on cu rrent assets
2013
€’000
2012
€’000
loan to customer 6316 221
loan to affiliate 566 2255
rent and car lease deposits 2260 642
guarantee for gaming licenses 1000 –
buyout of reseller agreement 7534 –
other 2841 2057
20517 5175
n ote 17 – t rade recei vables
2013
€’000
2012
€’000
customers 40253 45981
related parties note 27 1083 1803
41336 47784
n ote 18 – othe r recei vables
2013
€’000
2012
€’000
prepaid expenses 6273 6120
vat and other taxes 2930 2064
short term deposits 5847 6490
advances to suppliers 297 389
related parties note 27 454 6203
loan to customer – 530
loan to affiliate 400 3390
loan to supplier 3934 –
buyout of reseller agreement 4313 –
other receivables 2027 1374
26475 26560
n ote 19 – c ash and c ash equi valents
2013
€’000
2012
€’000
cash at bank 131279 96473
deposits 396115 24407
527394 120880
the group held cash balances which include monies held on behalf of operators in respect of operators’ jackpot games and poker and 
casino operations the balances held at the yearend are set out below and the liability is included in trade payables
2013
€’000
2012
€’000
funds attributed to jackpots 16629 15339
security deposits 31915 16268
other 483 430
49027 32037 102
playtech plc  
annual report and accounts 2013
financial statements
notes to the financ ial st ateme nt s continued n ote 20 – sh areh olde rs’ equity
a share capital
share capital is comprised of no par value shares as follows
2013
number of 
shares
2012
number of 
shares
authorised na
1
na
1
issued and paid up 293189408 290236870
1 the group has no authorised share capital but is authorized under its memorandum and article of association to issue up to 1000000000 shares of no par value
b share options exercised
during the year 2952538 2012 1022522 share options were exercised the group also cashsettled 4020462 share options 
during the period 2012 891668 this resulted in a cash payment of €98 million 2012 €19 million
c distribution of dividend
in may 2013 the group distributed €45044837 as a final dividend for 2012
in october 2013 the group distributed €22827018 as an interim dividend for 2013
d reserves
the following describes the nature and purpose of each reserve within owner’ s equity
reserve description and purpose
additional paid in capital share premium ie amount subscribed for share capital in excess 
of nominal value
availableforsale reserve changes in fair value of availableforsale investments note 15
retained earnings cumulative net gains and losses recognised in the consolidated 
statement of comprehensive income
n ote 21 – l oans and borrowings
2013
€’000
2012
€’000
current bank borrowings – 37970
noncurrent bank borrowings – 31250
– 69220
the loan outstanding at 31 december 2012 was fully repaid in may 2013
the group had undrawn uncommitted borrowing facilities available at 31 december 2013 of €350 million 2012 €350 million
n ote 22 – t rade payables
2013
€’000
2012
€’000
suppliers 13887 12259
customer liabilities 1804 1373
related parties note 27 1515 23
other 3969 867
21175 14522 103
playtech plc  
annual report and accounts 2013
governance financial statements strategic report
n ote 23 – defe rred t ax li ability
the deferred tax liability is due to temporary differences on the acquisition of certain businesses
the movement on the deferred tax liability is as shown below
2013
€’000
2012
€’000
at the beginning of the year 5232 5287
arising on the acquisitions during the year note 25a 674 1406
reversal of temporary differences recognised in the consolidated statement of comprehensive income 823  1461
5083 5232
n ote 24 – othe r payables
2013
€’000
2012
€’000
payroll and related expenses 15125 11750
accrued expenses 8632 7165
related parties note 27 – 506
other payables 3992 3040
27749 22461
n ote 25 – acquisiti ons du ring the ye ar
a acquisition of pokerstrategy
on 11 july 2013 the group acquired 100 of the shares of pokerstrategycom limited and certain of its fellow subsidiaries 
“pokerstrategy”
pokerstrategy operates one of the world’ s largest poker affiliate businesses targeting european markets and utilising an online poker 
school and player community with the goal to ultimately increase player value
the group paid total cash consideration of €388 million including working capital adjustment
details of the fair value of identifiable assets and liabilities acquired purchase consideration and goodwill which are all provisional are 
as follows
book value 
prior to 
acquisition
adjustments fair value on 
acquisition
€’000 €’000 €’000
property plant and equipment 285 – 285
intangible assets 368 26608 26976
trade receivables 3892 – 3892
other receivables 636 – 636
cash and cash equivalents 1049 – 1049
trade payables 1492 – 1492
noncurrent payables 1813 – 1813
deferred tax liability 388 674 1062
other payables 52 – 52
net identified assets 2485 25934 28419
goodwill 10333
fair value of consideration 38752
cash purchased 1049
net cash paid 37703 104
playtech plc  
annual report and accounts 2013
financial statements
notes to the financ ial st ateme nt s continued adjustments to fair value include the following
amount
€’000
amortisation

customer list 23496
over 10 years in 
line with projected 
cash flows
brand 1585 10
ip t echnology 1527 10
t otal intangible assets 26608
the main factor leading to the recognition of goodwill is the market participant synergies expected to be created by the combined 
highly complementary business activities in accordance with ias36 the group will regularly monitor the carrying value of its interest in 
the pokerstrategy business
the key assumptions used by management to determine the value in use of the customer list brand and ip t echnology within 
pokerstrategy business are as follows
•	 the income approach in particular the relief of royalty approach was applied for the valuation considering projected revenues 
derived from the business
•	 the royalty rate was based on a third party market participant assumption for use of the ip t echnology considering market 
competition quality absolute and relative profitability
•	 the discount rate assumed is equivalent to the wacc for the the customer relationships brand and ip t echnology and
•	 the growth rates and attrition rates were based on market analysis
since the acquisition date pokerstrategy contributed €130 million to group revenues and €58 million to group profit the combined 
group revenues as if the pokerstrategy acquisition had occurred on 1 january 2013 would have been higher by €161 million and the 
combined group net profit would have been higher by €85 million
b acquisition of assets from the nation traffic ltd
on 1 august 2013 the group entered into an asset purchase agreement with the nation traffic ltd “tnt” a provider of marketing 
services for the online gaming market in cash consideration the group paid a total of €47 million
details of the fair value of identifiable assets and liabilities acquired purchase consideration and goodwill which are all provisional are 
as follows
book value 
prior to 
acquisition
adjustments fair value on 
acquisition
€’000 €’000 €’000
property plant and equipment 414 – 414
other noncurrent receivables 18 – 18
other receivables 79 – 79
other payables 557 – 557
net identified assets 46 – 46
provisional goodwill 4746
fair value of consideration 4700
the main factor leading to the recognition of goodwill is knowhow advantage in the provision of marketing services to the online 
gaming market in accordance with ias36 the group will regularly monitor the carrying value of its interest in tnt 
management have not disclosed tnt’ s contribution to the group profit since the acquisition date nor have they disclosed the impact 
the acquisition would have had on the group’ s revenue and profits if it occurred on 1 january 2013 because the amounts are 
not material 105
playtech plc  
annual report and accounts 2013
governance financial statements strategic report
n ote 26 – acquisiti ons in prior ye ar
a acquisition of geneity limited
on 23 january 2012 the group acquired 100 of the shares of geneity limited “geneity” a provider of egaming software products 
focused primarily on the sportsbook and lottery sectors
the group paid an initial consideration including working capital adjustment of €151 million £114 million in cash of which 
€47 million £40 million is held in escrow for 30 months a further €47 million £40 million was also being held in escrow and to be 
released subject to certain agreed deliverables being met these deliverables were met in september 2012
b acquisition of juego online ead
on 27 december 2012 the group acquired 100 of the shares of juego online ead “juego” a provider of online gaming services 
for the spanish market
the group paid consideration including working capital adjustment of €109 million of which €62 million was paid in cash and the 
remaining amount was paid by conversion of a prior year loan to juego’ s ultimate parent company
n ote 27 – rel ated parties and sh areh olde rs
parties are considered to be related if one party has the ability to control the other party or exercise significant influence over the other 
party’ s making of financial or operational decisions or if both parties are controlled by the same third party
netplay tv plc skywind holdings limited “skywind” safecharge limited and anise development limited “anise” are related by 
virtue of a common significant shareholder
sportech plc was related by virtue of a common nonexecutive director until stepping down from his position at the end of september 
2013 dla piper uk llp “dla” is related by virtue of a common nonexecutive director starting from october 2013 wh online 
sciplay and international t erming leasing “itl” were or are associates of the group
the following transactions arose with related parties
2013
€’000
2012
€’000
revenue including income from associate
sportech plc 1188 1311
skywind 11585 120
netplay tv plc 4423 3366
wh online 26095 82806
share of lossprofit in joint venture
itl 2506 155
sciplay – 164
operating expenses
safecharge limited 504 397
anise 916 538
dla 56 –
skywind net of capiltalised cost 6547 3333
additions to property plant and equipment
anise – 396
the following are yearend balances
skywind – 20
netplay tv plc 1083 484
sportech plc – 31
wh online – 7471
total related party receivables 1083 8006
skywind 1515 –
total related party payables 1515 –
sportech plc note 15b – 17148
total investment in related party – 17148
the details of key management compensation being the remuneration of the directors are set out in note 6 106
playtech plc  
annual report and accounts 2013
financial statements
notes to the financ ial st ateme nt s continued n ote 28 – subsidi aries
details of the group’ s principal subsidiaries as at 31 december 2013 are set out below
name c ountry of incorporation proportion of 
voting  
rights and 
ordinary  
share capital held
nature of business
playtech software limited british virgin islands 100 main trading company of the group owns the intellectual property 
rights and licenses the software to customers
ou playtech estonia estonia 100 designs develops and manufactures online software
t echplay marketing limited israel 100 marketing and advertising
video b holding limited british virgin islands 100 trading company for the videobet software owns the intellectual 
property rights of videobet and licenses it to customers
ou videobet estonia 100 develops software for fixed odds betting terminals and casino 
machines as opposed to online software
playtech bulgaria bulgaria 100 designs develops and manufactures online software
ptvb management limited isle of man 100 management
evermore trading limited british virgin islands 100 holding company
genuity services limited british virgin island 100 holder of investment in wh online
playtech services cyprus limited cyprus 100 activates the ipoker network in regulated markets owns the 
intellectual property of gts ash and geneity businesses
vb video cyprus limited cyprus 100 trading company for the videobet product to 
romanian companies
t echplay sa software limited israel 100 develops online software
t echnology trading iom limited isle of man 100 owns the intellectual property rights of virtue fusion business
gaming t echnology solutions limited uk 100 holding company of vs gaming and vs t echnology
vs gaming limited uk 100 develops software and casino games
vs t echnology limited uk 100 develops edge platform
virtue fusion alderney limited alderney 100 online bingo and casino software provider
virtue fusion cm limited uk 100 chat moderation services provider to end users of vf licensees
vb cms ou estonia 100 develops software for fixed odds betting terminals and 
casino machines
playtech software alderney limited alderney 100 t o hold the company’ s alderney gaming license
intelligent gaming systems limited uk 100 casino management systems to land based businesses
vf 2011 limited alderney 100 holds license in alderney for online gaming
pt turnkey services limited british virgin islands 100 holding company of the turnkey services group
pt turnkey eu services limited cyprus 100 turnkey services for eu online gaming operators
pt entretenimiento online ead bulgaria 100 poker  bingo network for spain
pt marketing services limited british virgin islands 100 marketing services to online gaming operators
pt operational services limited british virgin islands 100 operational  hosting services to online gaming operators
t ech hosting limited alderney 100 alderney hosting services
paragon international customer 
care limited
british virgin islands 
 branch office in 
the philippines
100 english customer support chat fraud finance dedicated 
employees services to parent company
csms limited bulgaria 100 consulting and online technical support data mining processing 
and advertising services to parent company
tcsp limited serbia 100 operational services for serbia
st ech limited british virgin islands 
 branch office in 
the philippines
100 live games services to asia
pt advisory services limited british virgin islands 100 holds pt processing advisory ltd
pt processing advisory limited british virgin islands 100 advisory services for processing  cashier to online 
gaming operators
pt processing eu advisory limited cyprus 100 advisory services for processing  cashier for eu online 
gaming operators
pt network management limited british virgin islands 100 manages the ipoker network 107
playtech plc  
annual report and accounts 2013
governance financial statements strategic report
name c ountry of incorporation proportion of 
voting  
rights and 
ordinary  
share capital held
nature of business
playtech mobile cyprus limited cyprus 100 holds the ip of mobenga ab
playtech holding sweden ab sweden 100 holding company of mobenga ab
mobenga ab sweden 100 mobile sportsbook betting platform developer
ash gaming limited uk 100 develops interactive gambling and betting games
geneity limited uk 100 develops sportsbook and lottery software
factime limited cyprus 100 holding company of juego
juego online ead bulgaria 100 gaming operator holds a license in spain
playlot limited british virgin islands 100 distributing lottery software
pokerstrategy limited gibraltar 100 operates poker community business
n ote 29 – fin anci al inst ruments and risk man agement
the group is exposed to a variety of financial risks which results from its financing operating and investing activities the objective of 
financial risk management is to contain where appropriate exposures in these financial risks to limit any negative impact on the group’ s 
financial performance and position the group’ s financial instruments are its cash availableforsale financial assets trade receivables 
loan receivables bank borrowings accounts payable and accrued expenses the main purpose of these financial instruments is to 
raise finance for the group’ s operation the group actively measures monitors and manages its financial risk exposures by various 
functions pursuant to the segregation of duties and principals the risks arising from the group’ s financial instruments are credit risk and 
market price risk which include interest rate risk currency risk and equity price risk the risk management policies employed by the 
group to manage these risks are discussed below
a interest rate risk
interest rate risk is the risk that the value of financial instruments will fluctuate due to changes in market interest rates the group’ s 
income and operating cash flows are substantially independent of changes in market interest changes the management monitors 
interest rate fluctuations on a continuous basis and acts accordingly
where the group has generated a significant amount of cash it will invest in higher earning interest deposit accounts these deposit 
accounts are short term and the group is not unduly exposed to market interest rate fluctuations
during the year the group advanced loans to affiliates and customers for a total amount of €23 million 2012 €23 million the average 
interest on the loans is 5
a 1 change in deposit interest rates would impact on the profit before tax by €23 thousands
as at 31 december 2013 the group held undrawn credit facilities of €350 million 2012 €350 million
b credit risk
credit risk arises when a failure by counterparties to discharge their obligations could reduce the amount of future cash inflows from 
financial assets on hand at the balance sheet date
the group closely monitors the activities of its counterparties and controls the access to its intellectual property which enables it to 
ensure the prompt collection of customers’ balances
the group’ s main financial assets are cash and cash equivalents as well as trade and other receivables and represent the group’ s 
maximum exposure to credit risk in connection with its financial assets trade and other receivables are carried on the balance 
sheet net of bad debt provisions estimated by the directors based on prior year experience and an evaluation of prevailing 
economic circumstances 108
playtech plc  
annual report and accounts 2013
financial statements
notes to the financ ial st ateme nt s continued wherever possible and commercially practical the group invests cash with major financial institutions that have a rating of a as defined 
by standard  poors the group maintains monthly operational balances with banks that do not meet this credit rating in israel 
bulgaria philippines and cyprus to meet local salaries and expenses these balances are kept to a minimum and typically do not 
exceed €1 million at any time during the monthly payment cycle also the group holds €1131 million in financial institutions that have a 
rating of bbb as part of the group treasury policy the group holds approximately 28 of its funds 2012 14 in financial institutions 
below arate
total financial 
institutes with 
a and above 
rating
financial 
institutes below 
a rating
€’000 €’000 €’000
at 31 dec 2013 527394 379669 147725
at 31 dec 2012 120880 84710 36170
the ageing of trade receivables that are past due but not impaired can be analysed as follows
total not past due 12 months overdue more than 2 months past 
due
€’000 €’000 €’000 €’000
at 31 dec 2013 41336 27602 7279 6455
at 31 dec 2012 47784 27840 15788 4156
the above balances relate to customers with no default history
a provision for doubtful debtors is included within trade receivables that can be reconciled as follows
2013
€’000
2012
€’000
provision at the beginning of the year 829 1829
charged to income statement 1566 29
utilised 1463 1029
provision at end of year 932 829
related party receivables included in note 17 are not past due
c currency risk
currency risk is the risk that the value of financial instruments will fluctuate due to changes in foreign exchange rates
foreign exchange risk arises because the group has operations located in various parts of the world however the functional currency 
of those operations is the same as the group’ s primary functional currency euro and the group is not substantially exposed to 
fluctuations in exchange rates in respect of assets held overseas
foreign exchange risk also arises when group operations are entered into in currencies denominated in a currency other than the 
functional currency
the group’ s policy is not to enter into any currency hedging transactions
d equity price risk
the group’ s balance sheet is exposed to market risk by way of holding some investments in other companies on a short term basis 
note 15 variations in market value over the life of these investments have or will have an impact on the balance sheet and the 
income statement
the directors believe that the exposure to market price risk is acceptable in the group’ s circumstances
the group’ s balance sheet at 31 december 2013 includes available for sale investments with a value of €337 million 
2012 €353 million which are subject to fluctuations in the underlying share price
a change of 1 in shares price will have an impact of €03 million on the consolidated statement of comprehensive income and the fair 
value of the available for sale investments will change by the same amount
e capital disclosures
the group seeks to maintain a capital structure which enables it to continue as a going concern and which supports its business 
strategy the group’ s capital is provided by equity and debt funding the group manages its capital structure through cash flow from 
operations returns to shareholders primarily in the form of dividends and the raising or repayment of debt
the group had in 2012 net cash and cash equivalents at the balance sheet date of €521 million which included loans and borrowings 
of €688 million during 2013 the group repaid the entire balance of the loans and borrowings 109
playtech plc  
annual report and accounts 2013
governance financial statements strategic report
f  liquidity risk
liquidity risk arises from the group’ s management of working capital and the financial charges on its debt instruments
the group’ s policy is to ensure that it will have sufficient cash to allow it to meet its liabilities when they become due
the following are the contractual maturities representing undiscounted contractual cash flows of the group’ s financial liabilities
total
€’000
within 1 year
€’000
12 years
€’000
25 years
€’000
2013
trade payables 22546 22546 – –
other accounts payable 26378 26378 – –
progressive and other operators’ jackpots 48544 33544 15000 –
deferred consideration 28630 28630 – –
other noncurrent liabilities 245 – – 245
2012
trade payables 14522 14522 – –
loans and borrowings 69220 37970 31250 –
other accounts payable 22461 22461 – –
progressive and other operators’ jackpots 31607 31607 – –
deferred consideration 98000 70000 28000 –
contingent consideration 16950 737 413 15800
other noncurrent liabilities 424 – – 424
g t otal financial assets and liabilities
the fair value together with the carrying amount of the financial assets and liabilities shown in the balance sheet are as follows
2013
€’000
fair value
2013
€’000
c arrying 
amount
2012
€’000
fair value
2012
€’000
c arrying  
amount
cash and cash equivalent 527394 527394 120880 120880
availableforsale investments 33661 33661 35333 35333
other assets 76481 76481 79619 79619
deferred consideration 28630 28630 95750 95750
contingent consideration – – 16560 16560
loan and borrowings – – 69220 69220
other liabilities 67777 67777 56796 56796
availableforsale investments are measured at fair value using level 1 and level 3 unquoted equity securities all unquoted equity 
securities were disclosed of during the year refer to note 15 for further detail these are the group’ s only financial assets and liabilities 
which are measured at fair value
n ote 30 – post bal ance sheet events
acquisition of euro live t echnologies limited
on 31 january 2014 the group acquired 100 of the issued share capital of euro live t echnologies limited “eurolive” a live 
game provider in europe for an initial consideration of €10 million and additional consideration of €35 million which shall be paid 
on 31 january 2018 conditional on one of the following occurring a achieving target ebitda during any calendar year prior to the 
31 january 2018 or b achieving certain performance targets
acquisition of psiclone games limited
on 3 february 2014 the group acquired 100 of the issued share capital of psiclone games limited “psiclone” a uk based 
provider of all aspects of game production including design art sounds profiling and integrating to all major platforms for an initial 
cash consideration of £10 million subject to a working capital adjustment and additional consideration capped at £12 million in cash 
will be payable subject to the achievement of certain operational targets
as of the approval date of the financial information by the board the group had not completed the valuation of the fair value of the 
intangible assets and liabilities acquired and accordingly these disclosures are not provided in the financial statements 110
playtech plc  
annual report and accounts 2013
financial statements
notes to the financ ial st ateme nt s continued n ote 31 – c ontingent li abilities
the group is not a gambling operator and does not provide gambling services to players as part of the board’ s ongoing regulatory 
compliance process the board continues to monitor legal and regulatory developments and their potential impact on the group
management is not aware of any contingencies that may have a significant impact on the financial position of the group
n ote 32 – operating le ase c ommitment
the group has a variety of leased properties the terms of property leases vary from country to country although they tend to be tenant 
repairing with rent reviews every 2 to 5 years and many have break clauses
the total future value of minimum lease payments is due as follows
2013
€’000
2012
€’000
not later than one year 7831 5246
later than one year and not later than five years 21985 13380
later than five years 7574 10184
37390 28810 111
playtech plc  
annual report and accounts 2013
g overnance f inancial statements s trategic report
parent company financial statements
co mpany bal an ce sheet
as at 31 december 2013
notes
2013
€’000
2012
€’000
nonc urrent asset s 
property plant and equipment 107 87
intangible assets 233 261
investments 1 209971 208642
availableforsale investments 2 30057 29661
other noncurrent assets 447 241
240815 238892
c urrent asset s
trade receivables and other receivables 3 211773 275994
cash and cash equivalents 4 402114 32096
613887 308090
t ot al asset s 854702 546982
eq uity 
additional paid in capital 323187 310469
availableforsale reserve 1578 19280
retained earnings       474847 29539
equity attributable to equity holders of the parent 5 799612 359288
non c urrent l iabil it ies 
loans and borrowings 6 – 31250
deferred consideration 7 – 26735
– 57985
curre nt l iabil it ies 
loans and borrowings 6 – 37970
trade payables and other payables 8 27179 22724
deferred consideration 7 27911 69015
55090 129709
to t al eq uity and l iabil it ies 854702 546982
  112
playtech plc  
annual report and accounts 2013
parent company financial statements
co mpany st at ement o f chang es in equit y
for the year ended 31 december 2013
additional  
paid in capital
available  
for sale reserve
retained 
earnings
total equity 
attributable to 
holders of 
parent
€’000 €’000 €’000 €’000
balance at 1 january 2012 307853 1995 52593 362441
c hanges in equity for the year    
t otal comprehensive income for the year – 17285 46233 63518
dividend paid – – 70440 70440
issue of share capital net of issue costs 41 – – 41
exercise of options 3023 – – 3023
acquisition of noncontrolling interest – – 1616 1616
purchase of treasury shares 366 – 366 –
employee stock option scheme – – 2403 2403
balance at 31 december 2012 310469 19280 29539 359288
balance at 1 january 2013 310469 19280 29539 359288
c hanges in equity for the year     
t otal comprehensive income for the year – 17702 523989 506287
dividend paid – – 67872 67872
exercise of options 12718 – – 12718
purchase of share options – – 12135 12135
employee stock option scheme – – 1326 1326
 
balance at 31 december 2013 323187 1578 474847 799612 113
playtech plc  
annual report and accounts 2013
g overnance f inancial statements s trategic report
parent company financial statements
co mpany st at ement o f cash flo ws
2013
€’000
2012
€’000
c ash fl ows from operat ing act ivit ies   
net profit 523989 46233
adjustments to reconcile net income to net cash provided by operating activities see below 39607 46993
net cash provided by operating activities 563596 93226
cash fl ows from inv est ing act ivit ies   
acquisition of property plant and equipment 59 71
investment in availableforsale investments 44190 –
proceeds from sale of availableforsale investments 57180 –
acquisition of subsidiaries net of cash acquired 70000 118000
net cash used in investing activities 57069 118071
cash fl ows from financ ing act ivit ies   
dividends paid to the holders of the parent 67872 70440
purchase of share options 12135 1616
proceeds from bank borrowings – 75000
repayment of bank borrowings 69220 33783
exercise of options 12718 3023
net cash used in financing activities 136509 27816
inc reasedec rease in c ash and c ash eq uival ent s 370018 52661
c ash and c ash eq uival ent s at beginn ing of year 32096 84757
c ash and c ash eq uival ent s at end of year 402114 32096
   
 
2013
€’000
2012
€’000
adjustm ent t o rec onc il e net inc ome t o net c ash  
provided by operat ing act ivit ies  
income and expenses not affecting operating cash flows  
depreciation 39 48
amortisation including amortisation of intangibles in associate 28 28
gain on sale of availableforsale investments 31088 –
movement in deferred and contingent consideration 2161 39764
employee stock option plan expenses – 2324
other 3 41
c hanges in operating assets and liabilities   
increasedecrease in trade receivables 64221 765
increase in other receivables 206 234
increase in other payables 4455 5869
 39607 46993 114
playtech plc  
annual report and accounts 2013
parent company financial statements
not es to th e finan cial st at ement s
n ote 1 – in vestments
2013
€’000
2012
€’000
investment in subsidiary undertaking – cost 209971 208642
details of investments in subsidiary undertakings as at the end of the year are set out below
name c ountry of incorporation proportion of voting 
rights and ordinary share 
capital held
nature of business
playtech software limited british virgin islands 100 main trading company of the group owns 
the intellectual property rights and licenses 
the software to customers
video b holding limited british virgin islands 100 trading company for videobet software 
owns the intellectual property rights of 
videobet and licenses it to customers
ptvb management limited isle of man 100 management
t echnology trading iom limited isle of man 100 owns the intellectual property rights of the 
virtue fusion business
pt turnkey services limited british virgin islands 100 holding company of the turnkey services 
group
playtech holding sweden 
ab limited
sweden 100 holding company of mobenga ab
playlot limited british virgin islands 100 distributing lottery software 
n ote 2 – avail able f or sale in vestments
available for sale investments comprise
2013
€’000
2012
€’000
investment in availableforsale investments at 1 january 29661 12376
additions 26896 –
disposals 39886 –
diminution charged to income statement in the year 19280 –
unrealised valuation movement in the year 1578 17285
gains on sale to income statement 31088 –
investment in availableforsale investments at 31 december 30057 29661
2013
€’000
2012
€’000
availableforsale financial assets include the following
quoted equity securities – uk 30057 17148
unquoted equity securities – asia – 12513
30057 29661
the fair value of quoted investments is based on published market prices the fair value of unquoted investments was based on the 
dividend income approach in valuing the investment management applied a discount rate of 28 to future dividend income with 
an annual growth rate of 2 the maximum exposure to credit risk at the reporting date is the carrying value of the financial assets 
classified as availableforsale
n ote 3 – t rade and othe r recei vables
2013
€’000
2012
€’000
other receivables 345 284
amounts due from subsidiary undertakings 211428 275710
211773 275994 115
playtech plc  
annual report and accounts 2013
governance financial statements strategic report
n ote 4 – c ash and c ash equi valents
2013
€’000
2012
€’000
cash at bank 22322 20977
deposits 379792 11119
402114 32096
n ote 5 – sh areh olde rs’ equity
2013
number of 
shares
2012
number of 
shares
authorised na
1
na
1
issued and paid up 293189408 290236870
1 the group has no authorised share capital but is authorised under its memorandum and article of association to issue up to 1000000000 shares of  
no par value 
a share option exercised 
during the year 2952538 2012 1022522 share options were exercised 
b distribution of dividend 
in may 2013 the group distributed €45044837 as a final dividend for 2012 
in october 2013 the group distributed €22827018 as an interim dividend for 2013
in may 2012 the group distributed €47889585 as a final dividend for 2011 
in october 2012 the group distributed €22550631 as an interim dividend for 2012 
c reserves
the following describes the nature and purpose of each reserve within owner’ s equity
reserve description and purpose
additional paid in capital share premium ie amount subscribed for share capital in excess of nominal value
availableforsale reserve changes in fair value of availableforsale investments note 15 page 100
retained earnings cumulative net gains and losses recognised in the consolidated statement of comprehensive income
n ote 6 – l oans and borrowings
2013
€’000
2012
€’000
current bank borrowings – 37970
noncurrent bank borrowings – 31250
– 69220
the loan outstanding at 31 december 2012 was fully repaid in may 2013
the company had undrawn uncommitted borrowing facilities available at 31 december 2013 of €350 million 31 december 
2012 €350 million
n ote 7 – defe rred and c ontingent c onside rati on
2013
€’000
2012
€’000
noncurrent deferred consideration consists
acquisition of pt turnkey services limited – 26735
c urrent deferred consideration consists
acquisition of pt turnkey services limited 27911 69015 116
playtech plc  
annual report and accounts 2013
parent company financial statements
notes to the financial st ateme nt s continued n ote 8 – t rade payables
2013
€’000
2012
€’000
suppliers and accrued expenses 3721 2418
payroll and related expenses 7485 5970
amounts owed to group undertakings 15973 14336
27179 22724
copyright
front cover
© marvel
page 18
kong the 8th wonder of the world 
universal studios’ king kong movie © 
universal studios kong the 8th wonder of 
the world © universal studios licensed by 
universal studios licensing lllp  all rights 
reserved
page 24
© marvel
page 40
© 2014 gaming intelligence  2013 
€m
2012 
€m
2011 
€m
2010 
€m
2009 
€m
income statement
t otal revenues 3672 3175 2075 1423 1148
associate income william hill online 181 506 361 308 225
gross income 3853 3681 2436 1731 1373
adjusted ebitda 1775 1867 1255 1031 937
adjusted net profit 1664 1683 1128 932 894
balance sheet
noncurrent assets 4708 5892 5649 2928 2520
current assets 5952 1952 2061 913 751
current liabilities 1176 1819 1102 643 321
noncurrent liabilities 274 884 1821 198 251
net assets 9210 5142 4787 3000 2699
equity
additional paidin capital 3232 3105 3079 1897 1836
availableforsale reserve 16 172 20 — 10
retained earnings 5963 1864 1689 1103 853
statistics
basic adjusted eps in euro cents 569 581 462 385 373
diluted adjusted eps in euro cents 563 571 457 371 360
ordinary dividend per share in euro cents 232 232 165 190 183
share price lowhigh 4225p7615p 26225p435p 210p42475p 3805p552p 2655p552p
five–year finan cial summ ary
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playtech plc annual report and accounts 2013


Summary:
 13
playtech plc  
annual report and accounts 2013
governance financial statements s trategic report
strategic report
chai rman’ s st at ement
giving a total 2013 ordinary dividend of 232 € 
cents per share 2012 232 € cents per share 
maintaining the level distributed for 2012 as the 
board committed to at the time of playtech’ s 
interim results announcement
t ogether the total distribution of ordinary 
dividends in respect of 2013 and the special 
dividend equate to a return of capital to 
shareholders of approximately €1885 million
subject to shareholder approval of the final 
dividend at the annual general meeting to 
be held on 21 may 2014 the dividend will be 
payable on 23 may 2014 to those shareholders 
on the company’ s register as at the record date 
of 28 february 2014 the exdividend date is 
26 february 2014
for any shareholders who elect to receive 
their final dividend in sterling the conversion 
exchange rate from euros into sterling will be 
set on 7 may 2014 and election forms should 
be returned to the company’ s registrars by 
2 may 2014
the company’ s dividend policy going forward 
remains to pay out 40 of adjusted net profit 
supported by strong underlying growth in 
earnings and cash generation
while there are a number of anticipated 
regulatory and fiscal developments in our core 
market place playtech’ s leading position in a 
global growing industry means the board is 
confident of the company’ s prospects both 
in 2014 and in the longer term in summary 
playtech has reported another excellent year 
and continues to deliver on its clear strategy 
and strong balance sheet 
alan jackson
chairman 
20 february 2014
in my first presentation as chairman of playtech 
i am delighted to report that the year ending 
31 december 2013 was another exceptional 
period in playtech’ s development one of the 
most significant highlights was the completion 
of the sale of our stake in william hill online 
this transformational transaction delivered a 
substantial return of over 35 times the original 
investment playtech also signed two landmark 
agreements with ladbrokes to revolutionise the 
bookmaker’ s digital offering until 2017
the company has a proven ability to generate 
value through successful acquisitions and 
management is confident that this will continue 
the board with its advisers continues to review 
the most effective use of the company’ s cash 
resources assessing the potential for further 
valueenhancing acquisitions joint ventures 
and partnerships particularly focusing on 
regulated markets
playtech is the clear market leader in the 
provision of software and services to the global 
online gambling industry its offering includes a 
full product suite leadingedge management 
system full integration across all player 
interfaces and distribution channels and a broad 
range of marketing services and techniques that 
enable licensees to maximise the potential of 
their online gambling business
during 2013 a number of additional jurisdictions 
either became or made significant progress 
towards becoming regulated markets creating 
significant further opportunities for playtech 
management continues to monitor the evolving 
regulatory environment closely and will continue 
to leverage its leading position and establish 
itself in such regulated markets which make the 
most commercial sense 
following high growth in mobile gambling a key 
focus for 2013 was the continued development 
of playtech’ s mobile platform which has 
propelled the company to global leader 
status in the mobile gambling space we see 
continued development of our mobile offering as 
a means to drive our competitive position and to 
set standards across the industry
another rapidly developing market for the 
company is sports betting where a significant 
number of achievements have been made over 
the period sports betting remains a key focus 
for growth in 2014 and beyond 
gov ern ance and risk m an agement
playtech is committed to the highest levels 
of corporate governance as previously 
announced on 10 october 2013 roger 
withers retired as chairman and as a director of 
playtech and i would like to thank roger for his 
invaluable leadership since we both joined the 
board at the company’ s ipo in 2006 
following the announcement of roger withers’ 
intention to retire at the time of the interim 
results the board set about finding a strong 
independent nonexecutive director and was 
delighted to welcome hilary stewartjones to 
the board effective 9 october 2013 hilary is 
a leading international expert in gambling law 
and has over 15 years’ experience advising 
companies on gambling related issues
dividends
in light of the company’ s substantial cash 
assets and following discussions with 
shareholders the board has decided to pay 
a special dividend of £100 million to be paid 
in sterling to shareholders on the register on 
28 february 2014 and payable on 11 march 
2014 as a second interim dividend in respect 
of the financial year ended 31 december 2013 
the exdividend date for the special dividend will 
be 26 february 2014
in addition the board has today recommended 
a final dividend of 154 € cents per share 
playtech has reported another excellent year 
and continues to deliver on its clear strategy 
and strong balance sheet t ogether the total 
distribution of ordinary dividends in respect  
of 201 3 and the special dividend equate to  
a return of capital to shareholders of 
approximately €1885 million
alan jackson c hairman
❝
❞