Supplier News

US – Everi begins roll-out of Dynasty Vue cabinet as revenues increase 14 per cent

Everi generated revenues for the three-month period ended March 31, 2023 of $200.5m, increasing increased 14 per cent to compared to the year-ago quarter.

Organic revenues increased 10 per cent, or $18.2m, while revenues from acquisitions completed in 2022 contributed $6.7m, or four per cent of the year-over-year growth. Recurring revenues increased 11 per cent to $148.9m from $134.4m in the prior-year period driven by growth in both the Games and FinTech segments. Revenues from one-time sales grew 25 per cent to $51.6m from $41.2m a year ago, primarily driven by a 34 per cent increase in FinTech hardware sales and a 15 per cent increase in gaming equipment sales.

Randy Taylor, Chief Executive Officer of Everi, said, “Overall, our first quarter results continued to demonstrate our consistent growth profile, as we further execute on our organic growth initiatives and benefit from several acquisitions we completed over the last twelve months. As a result, and despite the uncertainty of the macroeconomic environment and higher interest rates, we continue to be favorably positioned to deliver solid top-line growth that we expect will generate at least $92m of net income and at least $150m in Free Cash Flow this year.

“Revenues for our Games segment rose nine per cent year over year, reflecting a 15 per cent increase in our gaming equipment revenues in the quarter even, as expected, customer demand slowed ahead of the launch of our new Dynasty Vue cabinet. Customer deliveries of this new cabinet began on schedule and early customer and player feedback has been encouraging, as we are seeing strong initial demand. Dynasty Vue is just the first of several new cabinets in our pipeline, as we expect to showcase two new premium, lease-specific cabinets on the Dynasty platform this summer. We expect our expanded cabinet offering combined with the increase in our game content and our ability to address a growing number of market opportunities, such as Historical Horse Racing machines, will help us progress toward our longer-term goal of 15 per cent unit ship share.

“In our FinTech segment, we achieved another quarter of strong double-digit growth in revenue, operating income and Adjusted EBITDA. Solid same-store growth in transactional activity led to player funding that exceeded $11bn on a quarterly basis for the first time and drove revenue growth in financial access services. This growth, combined with even higher growth in hardware and software and other revenues, helped drive an all-time quarterly record in FinTech revenues.

“Our financial results continue to benefit from our capital allocation priorities, including our focus on high-value internal product development efforts and our ability to execute on strategic tuck-in acquisitions for businesses that we expect to scale and optimize, such as our recent acquisition of the assets of Video King, a leading provider of integrated electronic bingo gaming tablets and systems, that closed on May 1. With our anticipated strong Free Cash Flow generation, we expect to continue returning capital to our shareholders through our increased share repurchase program, while we focus on integrating recent acquisitions that provide incremental growth opportunities in 2023 and beyond.”