Scientific Games reports 63% year-on-year increase in Q2 revenue
Scientific Games has reported its results for the quarter ending 30 June 2021. The supplier's consolidated revenue has risen 63% year-on-year, with sequential growth across all businesses. The second quarter highlights for the fiscal year show $880m in revenue compared to $539m. Another recent highlight for the company was the acquisition of Sydney-based slot developer Lightning Box.
Alongside gaming revenue, adjusted EBITDA also benefitted by $38m due to the recovery of fixed-odds betting terminals (FOBT). The second quarter saw free cash flow stand at $133m in the quarter (inclusive of FOBT recovery).
Michael Eklund, Executive Vice President and CFO of Scientific Games, said: “In concert with our board, we announced a strategic action plan to transform our company and unlock value. We are taking decisive steps to optimise our portfolio, de-lever our balance sheet and invest to grow.
“I am very encouraged by the interest and discussions we are having around our proposed divestitures, and we are making great progress as we move quickly to unlock shareholder value. We are proud of the team as they continue to execute during this exciting time, delivering a quarter with strong revenue, profit and cash flow growth. The team is laser focused on maintaining discipline to drive balance sheet strength and operational efficiency and we are energized for the future.”
Scientific Games’ consolidated adjusted EBITDA during its second quarter was one of the highest in the company’s history. Showing at $383m compared to $121m, this was up 217% from the previous year.
The supplier’s net income reached $113m compared to a net loss of $198m in the prior year. This was due to strong revenues in the gaming business that had been significantly impacted by the Covid-19 repercussions and disruptions to the industry.
Barry Cottle, President and CEO of Scientific Games, said: “I am very pleased we continue to make tremendous progress on all of our key strategic pillars while also driving significant growth in the quarter. We have emerged from the pandemic a much stronger company with significant momentum.
“All of our businesses grew sequentially on both the top and bottom lines in the quarter. Gaming delivered its highest revenue quarter since the fourth quarter of 2019, lottery and digital achieved record results and SciPlay delivered its second highest revenue quarter in its history.
“Following our strategic review, we will be singularly focused on becoming a leading cross-platform global game company with focus on content and digital markets. We are moving rapidly to transform our company and I have never been more optimistic about our path forward.”
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