Australian slot giant Aristocrat Leisure has reported record earnings for the full year ended 30 September 2017, with revenue up 15.3 per cent to AU$2.45bn and EBITDA increasing by 24.2 per cent to hit the AU$1bn mark.
Net profit after tax and before amortisation of acquired intangibles (NPATA) for the year was $543m, representing growth of 36 per cent in reported terms and 40% in constant currency, compared to
the $398 million delivered in the twelve months to 30 September 2016. This result reflected the
strong performance delivered across the Group’s global portfolio, in particular outstanding
momentum in the Americas, significant growth in the Digital and International CIII segments and
sustained strength in Australian markets.
Revenue increased by more than 15 per cent in reported terms and over 18 per cent in constant
currency compared to the PCP, to a new record of over $2.45bn. Earnings before interest, tax and depreciation and amortisation (EBITDA) increased over 24 per cent in reported terms and almost 28 per cent in constant currency, demonstrating Aristocrat’s sustained ability to grow revenue and leverage value through the P&L. EBITDA margins increased from 38 per cent to 41 per cent over the period.
Aristocrat confirmed that it anticipates continued growth in the 2018 fiscal year with more growth in the North American Class III gaming operations installed base with a stable average fee per day relative to FY2017.
Maintenance of industry-high ARPDAU levels in the Digital business, with strong growth in DAUs due largely to further penetration by Cashman Casino and launch of Fafafa Gold
It is expecting increased share in a flat North American outright sales market as a result of moving into new adjacent market opportunities.
Maintenance of ship share will be in line with market-leading 2017 levels in a flat ANZ market.
Growth in Class II gaming operations installed base driven by the rollout of OvationTM and a
stable fee per day.
Moderating performance in the International Class III segment driven by a reduction in new
casino openings in FY2018 while maintaining our leading ship share positions.
An increase in D&D investment in dollar terms while remaining stable as a percentage of
Aristocrat Chief Executive Officer and Managing Director, Trevor Croker, said: “Aristocrat delivered
high quality results over the 2017 fiscal year, against a backdrop of mostly flat markets and
increasing competitive pressure. Industry leading content, hardware and technology, coupled with
effective execution focused on our highest value opportunities once again underpinned our
“Further growth in our core recurring revenue segments of gaming operations and digital social
casino was particularly pleasing, with 52 per cent of Group revenues deriving from recurring sources
during the year as well as growth in outright sales over the period,. This represents further
progress in ensuring Aristocrat delivers sustainable returns and cashflow over time, consistent with
our strategy and shareholders’ interests.
“During the reporting period, Aristocrat invested behind our core business while also making
progress in unlocking attractive growth opportunities in adjacent markets and segments. Going
forward, Aristocrat will continue to target high quality growth, with the benefit of our established
performance momentum, broadening capabilities, strong balance sheet and growing recurring
revenue base” Mr Croker concluded.