Supplier News
US – Gaming and digital boom for IGT as lottery slows
By Phil - 28 February 2023
A big increase in gaming and digital offset a downturn in lottery for International Game Technology, who generated revenue of $4.2bn during 2022, increasing three per cent, or eight per cent at constant currency, from $4.1bn in the prior-year period.
Global Lottery revenue of $2.6bn was down eight per cent as reported and two per cent at constant currency, as strong product sales and multi-jurisdiction jackpots were offset by lower Italy same-store sales and impact of Italian commercial services sale
Global Gaming revenue was up 28 per cent to $1.4bn on broad-based strength, including significantly higher US & Canada replacement machine unit sales and increased installed base yields
PlayDigital revenue rose to a record $209m, up 27 per cent from $165m, primarily driven by iGaming organic growth, market expansion, and contribution from iSoftBet acquisition.
“We achieved all our financial goals last year while strengthening product leadership positions across our Global Lottery, Global Gaming, and PlayDigital activities,” said Vince Sadusky, CEO of IGT. “Important strategic work executed over the last few years has transformed IGT into a company with higher growth prospects, a better profit profile, and a solid path to delivering on our long-term goals. It has also enabled record capital returns to shareholders in 2022. We enter 2023 from a position of strength with good momentum across business segments.”
“2022 was another year of significant financial accomplishments,” said Max Chiara, CFO of IGT. “With reduced interest expense and improvements to the effective tax rate, 2022 adjusted EPS highlights IGT’s significantly improved earnings power. We generated strong cash flow while funding increased investments for future growth. This, coupled with proceeds from sales of non-core businesses, allowed us to meaningfully reduce debt and leverage to the lowest levels ever. The Company’s enhanced credit profile and significant liquidity provide solid support and flexibility as we execute our multi-year plan.”
Durig the year, IGT was awarded multiple Lottery facilities management contract extensions including a four-year extension in New York, seven years in Georgia, 20 years in Rhode Island, and three years in Missouri. It also won a 10-year instant ticket printing and services contract in Texas. IGT reported extended cashless momentum with several deployments including an enterprise-wide adoption of Resort Wallet and IGTPay at Station Casinos. It launched high-performing IGT PlayCasino games in West Virginia, expanding digital footprint to five US states, and in Ontario, as market expands to include commercial operators. It also copleted the acquisition of iSoftBet; a leading iGaming content provider and third-party aggregator.
The fourth quarter generated revenue of $1.1bn, an increase of four per cent, or eight per cent at constant currency, from $1bn in the prior-year period.
