International Game Technology (IGT), the leading gaming and lottery company, has reported positive first quarter results for 2023, reinforcing its confidence in meeting full-year outlook. The company generated revenue of $1.06 billion, with 8% same-store sales growth in the Global Lottery sector and double-digit revenue growth in Global Gaming and PlayDigital. The 24.1% operating income margin met the high end of its outlook range due to strong Global Gaming performance, while adjusted EBITDA of $449 million and 42.3% adjusted EBITDA margin were among the highest levels in the company’s history.
IGT is focused on enhancing its financial flexibility and operational agility while remaining disciplined with costs. It aims to create value by executing its strategy to Grow, Innovate, and Optimize, which should enable the achievement of its 2025 margin and cash flow targets in the current uncertain macroeconomic context.
The strong start to the year includes significant cash flow generation and further improvement in IGT’s credit profile, with net debt leverage at the lowest level in its history, reinforcing the company’s conviction in accomplishing the lower end of the 2.5x – 3.5x target range by 2025.
Related Facts:
– Global Lottery same-store sales rose 8%, with Italy up over 10% on new games and portfolio optimization strategies.
– IGT won several awards including “Lottery Product of the Year” at International Gaming Awards, “Casino Supplier of the Year” at Global Gaming Awards London, and “Best Slot Machine” and “Best Diversity and Inclusion Employer” at European Casino Awards.
– It also achieved improved ESG score in 2022 S&P Global Corporate Sustainability Assessment and increased global environmental score from CDP.
Key Takeaway:
IGT’s strong first quarter results show the company is on track to achieve its full-year outlook, supported by compelling innovation and sustained strength in customer and player demand across its Global Lottery, Global Gaming and PlayDigital segments. The company’s focus on financial flexibility and operational agility while remaining disciplined with costs positions it well to achieve its 2025 goals.
Conclusion:
International Game Technology PLC’s positive first quarter results reflect the company’s ability to adapt and innovate in the gaming and lottery industry. Its strong performance puts it on track to meet its full-year outlook and reinforces its confidence in achieving its 2025 targets. By focusing on financial flexibility, operational agility, and disciplined costs, the company is well-positioned to generate value for its shareholders.
