Everi Holdings said it is ‘strong start in 2021’ with net income almost four times higher than in the first quarter of 2019 before the pandemic took ahold with ‘product momentum is translating into improvement in both earnings and cash flow.’
Revenues rose to a first quarter record $139.1m compared to $123.8m in the 2019 first quarter. Net income improved to a quarterly record $20.5m, or $0.21 per diluted share, compared to $5.9m, or $0.08 per diluted share, in the 2019 first quarter. Adjusted EBITDA, a non-GAAP financial measure, increased to a quarterly record $75.4m compared to $61.3m in the 2019 first quarter. Free Cash Flow, a non-GAAP financial measure, was $43.5m compared to $21.2m in the 2019 first quarter.
Everi CEO Michael Rumbolz said: “We are off to a strong start in 2021 with first quarter record revenue; and all-time quarterly record net income, Adjusted EBITDA and Free Cash Flow. The substantial improvement in our operating results demonstrates the significant ongoing demand for our products in both our Games and FinTech segments. Our success in developing player-popular slot products and the industry attractiveness of our trusted financial and loyalty products are a direct reflection of our continued investment in the creation of new and enhanced products and services, as well as the talent and dedication of our entire Everi Team.
“Our Games segment momentum continues to reflect ongoing growth in our installed base of gaming operations units, in particular the consistent increases in placements of our higher-earning premium units that are helping to drive higher daily win per unit. We also believe that the ship share of our for-sale gaming units continues to expand.
“Our FinTech segment continues to benefit from our established leading share in the gaming FinTech market as well as strong demand for our newer loyalty products and services together with a high-level of interest in our cashless digital wallet solution. A key driver of the growth in our Games and FinTech business segments is our high-margin, recurring revenue streams, which we expect will help sustain our near- and long-term growth as the casino industry continues to recover.
“Importantly, our product momentum is translating into improvement in both our earnings and cash flow. This improvement enables us to continue to prudently invest in product innovation to sustain our growth, while also positioning Everi to return to our focus on reducing leverage. Our strong start to 2021, which has continued into the second quarter, is a great indication that we are already regaining our pre-pandemic momentum, including our expectation that 2021 full year results will exceed the levels achieved in 2019.”
Caption: Michael Rumbolz