Supplier News
Greece – Bulgaria helps drive seven per cent increase for Intralot
By Phil - 30 March 2017
Intralot’s revenues increased by 7.1 per cent reaching €1,323.6m in 2016 due to increased sports betting revenues in Bulgaria and the consolidation of the recently acquired Bulgarian lottery company, Eurobet.
The company’s activities in Bulgaria helped its eastern European markets to increase by €155.4m in whilst its North America business was up €21.6m driven by the sale of self-service lottery terminals and the largest Powerball Jackpot in history.
These revenue increases were partially counterbalanced by decreased sales down €57.8m in Asia due to lower sales in Azerbaijan where the local currency suffered severe devaluation, and South America which was €36.9m down due to the considerable devaluation of the local Argentinian currency and softer sales in Jamaica and Brazil.
Numerical Games remain the largest contributors to Intralot’s top line, comprising 41.9 per cent of its revenues, followed by Sports Betting, which contributed 41.6 per cent to group turnover. Technology contracts accounted for 10.9 per cent whilst VLTs/AWPs represented three per cent of group turnover. Racing accounted for 2.6 per cent of total revenue.
Intralot systems handled €23.4bn of worldwide wagers, marking a one per cent year-on-year increase. Africa’s wagers increased by 23.6 per cent, North America’s wagers increased by 8.4 per cent East Europe’s by 1.7 per cent, and West Europe’s by 0.4 per cent while South American wagers decreased by 7.2 per cent, and Asia’s wagers decreased by 4.1 per cent.
During 2016 the Group completed three important M&A transactions in Peru, Italy and Bulgaria
Group CEO Antonios Kerastaris said: “The strongly positive results of 2016 in both growth and profitability reflect important transformations that have taken place over the past couple of years across operational capabilities, project management, cost structure, and Products and Services portfolio investments. A series of M&A transactions greatly enhanced our business development potential through strong local partnerships and diversified portfolio offering. The past year was also marked by tremendous improvements in Intralot’s financial structure in a way that secures future savings and a clear funding horizon until 2021 while affirming international investors’ confidence in future value creation.”
In March 2017, Intralot and Amelco announced the signing of a definitive agreement for a strategic partnership to develop a suite of next-generation sports betting products. The partnership will combine, in a single solution, Intralot’s strong retail expertise with Amelco’s state of the art online betting platform, which is currently used by numerous leading sports betting operators around the world. This is expected to provide Intralot’s sports betting product a significant boost in all of its betting operations, both B2C and B2B/ B2G.
