Scientific Games reports slight revenue increase and cuts losses in Q1
Scientific Games has announced a 3% year-on-year revenue rise to $837m for Q1, while net company losses decreased to $24m during Q1 2019, falling from $202m.
This was down to the company’s ability to pay off debt, after an initial public offering of a 17.4% minority interest in its social gaming business, SciPlay. Scientific Games received $301m from the offering.
SG Gaming’s revenue saw a 5% drop, to $422m.
Revenues from social saw an increase of 22% to $118m. This was due to Scientific Games’ new partnership with Wynn Resorts, which has helped to support its launch of gaming and sports in the US.
The company’s net cash provided by operating activities rose from $30m to $167m year-on-year.
Company operating income rose dramatically from Q1 2018, increasing from $49m to $123m.
Michael Quartieri, Scientific Games CFO, said: “This quarter, we paid down $145m in debt and completed a major refinancing that lowered our borrowing costs and extended our debt maturities.
“As a result of the SciPlay IPO, we expect to continue our deleveraging path and the efficient deployment of our resources to generate the returns needed to enhance our free cash flow.”
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