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International Game Technology PLC Reports First Quarter 2017 Results
- Continued growth in instant and draw-based lottery same-store revenue and in global gaming machine installed base
- Net loss of
$55 million , adjusted Net income of$59 million ; adjusted EBITDA of$371 million reflects comparison with unusually high base in prior year - Net debt of
$7,398 million , down from$7,569 million at 2016 year end - 2017 outlook updated for pending DoubleDown transaction and new gaming machine taxation in
Italy - Cash dividend declared of
$0.20 per ordinary share
"The first quarter of 2017 has been a dynamic period for us," said
"As we noted in March, a unique combination of elements affected first quarter revenue and profit comparisons, including record jackpot activity in 2016," said
Summary of Consolidated First Quarter 2017 Financial Results
Quarter Ended March 31, |
Change |
Constant |
||
2017 |
2016 |
(%) |
(%) |
|
(In $ millions, unless otherwise noted) |
||||
Revenue |
1,153 |
1,282 |
-10% |
-9% |
Operating Income |
119 |
188 |
-37% |
-33% |
Net (loss) income per diluted share |
(0.27) |
(0.46) |
41% |
NA |
Net debt |
7,398 |
7,722 |
-4% |
NA |
Adjusted EBITDA |
371 |
460 |
-19% |
-17% |
Adjusted Operating Income |
238 |
310 |
-23% |
-21% |
Adjusted net income per diluted share |
0.29 |
0.57 |
-49% |
NA |
Note: Adjusted EBITDA, adjusted operating income, and adjusted net income per diluted share are non-GAAP financial measures. Reconciliations of non-GAAP financial measures to the most directly comparable GAAP financial measures are provided at the end of this news release. |
Comparability of Results
All figures presented in this news release are prepared under U.S. GAAP, unless noted otherwise. Adjusted figures exclude the impact of items such as purchase accounting, impairment charges, restructuring expense, foreign exchange, and certain one-time, primarily transaction-related items. Reconciliations to the most directly comparable U.S. GAAP measures are included in the tables in this news release. Constant currency changes for 2017 are calculated using the same foreign exchange rates as the corresponding 2016 period.
Management believes that referring to certain constant currency or adjusted measures is a useful way to evaluate the Company's underlying performance.
Overview of Consolidated First Quarter Results
Consolidated revenue was
Global lottery same-store revenue, excluding
Gaming service revenue was impacted by lower DoubleDown revenue, and gaming product sales were down due to large system and software sales in the first quarter of 2016. The Company shipped 5,953 gaming machines worldwide during the first quarter, and the global installed base rose to 59,034.
Adjusted EBITDA of
Interest expense was
Net loss attributable to IGT was
In the first three months of the year, cash from operations was
Cash and cash equivalents were
Operating Segment Review
North America Gaming & Interactive
Revenue for North America Gaming & Interactive was
Service revenue was
Product sales were
Operating income for North America Gaming & Interactive was
North America Lottery
North America Lottery revenue was
Service revenue of
Product sales rose to
Operating income for North America Lottery was
International
International revenue was
Lottery same-store revenue was up 2.0% on broad-based strength in
Gaming service revenue was
Product sales revenue was lower due to large, high-margin gaming software sales in the first quarter of 2016. The segment shipped a total of 2,009 gaming machine units during the first quarter of 2017 compared to 1,744 units in the prior-year period. A portion of the new and expansion unit revenue was deferred and is expected to be recognized in the second quarter of 2017.
International operating income was below the prior-year period due to lower revenue; product sales mix and discounts; as well as unfavorable foreign exchange translation and bad debt expense.
Total Lotto wagers in the quarter were €1,873 million compared to €1,928 million in the prior-year period, reflecting significantly lower late numbers activity. 10eLotto performance remained strong, with wagers increasing 4% over the prior-year period. Instant-ticket wagers were essentially unchanged at €2,341 million.
Machine gaming service revenue was up over the first quarter of 2016 on increased vertical integration and higher installed units. Sports betting revenue declined during the first quarter of 2017 on higher payout, consistent with industry trends during the period.
Other Developments
As announced on
The board of directors of the Company appointed
Additionally, the Company's board of directors has declared a quarterly cash dividend of
Outlook
The Company updated its outlook to account for the closing of the DoubleDown transaction by the end of the second quarter and the impact of new taxation on gaming machines in
Adjusted EBITDA is a non-GAAP measure. Management uses non-GAAP financial measures to understand and compare operating results across accounting periods, for internal budgeting and forecasting purposes, and to evaluate the Company's financial performance. Management believes these Non-GAAP financial measures reflect the Company's ongoing business in a manner that allows for meaningful period-to-period comparisons and analysis of business trends.
Conference Call and Webcast
Today, at
About IGT
IGT (NYSE:IGT) is the global leader in gaming. We enable players to experience their favorite games across all channels and regulated segments, from Gaming Machines and Lotteries to Interactive and Social Gaming. Leveraging a wealth of premium content, substantial investment in innovation, in-depth customer intelligence, operational expertise and leading-edge technology, our gaming solutions anticipate the demands of consumers wherever they decide to play. We have a well-established local presence and relationships with governments and regulators in more than 100 countries around the world, and create value by adhering to the highest standards of service, integrity, and responsibility. IGT has over 12,000 employees. For more information, please visit www.IGT.com.
Cautionary Statement Regarding Forward-Looking Statements
This news release may contain forward-looking statements (including within the meaning of the Private Securities Litigation Reform Act of 1995) concerning
Contact:
International Game Technology PLC |
|||
Condensed Consolidated Statements of Operations |
|||
($ and shares in thousands, except per share data) |
|||
Unaudited |
|||
For the three months ended |
|||
March 31, |
|||
2017 |
2016 |
||
Service revenue |
1,026,945 |
1,135,121 |
|
Product sales |
125,639 |
146,440 |
|
Total revenue |
1,152,584 |
1,281,561 |
|
Cost of services |
624,294 |
648,763 |
|
Cost of sales |
114,336 |
121,776 |
|
Selling, general and administrative |
200,524 |
227,526 |
|
Research and development |
82,621 |
84,707 |
|
Restructuring expense |
9,267 |
9,418 |
|
Transaction expense, net |
2,321 |
1,474 |
|
Total operating expenses |
1,033,363 |
1,093,664 |
|
Operating income |
119,221 |
187,897 |
|
Interest income |
2,626 |
4,293 |
|
Other income (expense), net |
2,667 |
(7,326) |
|
Foreign exchange loss, net |
(46,837) |
(161,556) |
|
Interest expense |
(114,799) |
(118,415) |
|
Total non-operating expenses |
(156,343) |
(283,004) |
|
Loss before benefit from income taxes |
(37,122) |
(95,107) |
|
Benefit from income taxes |
(10,330) |
(8,658) |
|
Net loss |
(26,792) |
(86,449) |
|
Less: Net income attributable to non-controlling interests |
27,998 |
6,325 |
|
Net loss attributable to IGT PLC |
(54,790) |
(92,774) |
|
Net loss attributable to IGT PLC per common share - basic |
(0.27) |
(0.46) |
|
Net loss attributable to IGT PLC per common share - diluted |
(0.27) |
(0.46) |
|
Weighted-average shares - basic |
202,479 |
200,449 |
|
Weighted-average shares - diluted |
202,479 |
200,449 |
International Game Technology PLC |
|||
Condensed Consolidated Balance Sheets |
|||
($ thousands) |
|||
Unaudited |
|||
March 31, |
December 31, |
||
2017 |
2016 |
||
Assets |
|||
Current assets: |
|||
Cash and cash equivalents |
463,296 |
294,094 |
|
Restricted cash and investments |
262,696 |
247,222 |
|
Trade and other receivables, net |
818,944 |
947,237 |
|
Inventories |
361,067 |
347,494 |
|
Other current assets |
435,275 |
424,727 |
|
Income taxes receivable |
25,542 |
28,792 |
|
Total current assets |
2,366,820 |
2,289,566 |
|
Systems, equipment and other assets related to contracts, net |
1,277,898 |
1,199,674 |
|
Property, plant and equipment, net |
207,390 |
357,841 |
|
Goodwill, net |
6,819,062 |
6,810,012 |
|
Intangible assets, net |
2,763,959 |
2,874,031 |
|
Other non-current assets |
1,463,025 |
1,497,662 |
|
Deferred income taxes |
33,020 |
31,376 |
|
Total non-current assets |
12,564,354 |
12,770,596 |
|
Total assets |
14,931,174 |
15,060,162 |
|
Liabilities, redeemable non-controlling interests, and shareholders' equity |
|||
Current liabilities: |
|||
Accounts payable |
1,223,107 |
1,216,079 |
|
Other current liabilities |
1,022,788 |
1,097,045 |
|
Current portion of long-term debt |
530,250 |
77 |
|
Short-term borrowings |
52 |
- |
|
Income taxes payable |
58,858 |
28,590 |
|
Total current liabilities |
2,835,055 |
2,341,791 |
|
Long-term debt, less current portion |
7,331,266 |
7,863,085 |
|
Deferred income taxes |
714,563 |
761,924 |
|
Other non-current liabilities |
447,062 |
444,556 |
|
Total non-current liabilities |
8,492,891 |
9,069,565 |
|
Total liabilities |
11,327,946 |
11,411,356 |
|
Commitments and contingencies |
- |
- |
|
Redeemable non-controlling interests and shareholders' equity |
3,603,228 |
3,648,806 |
|
Total liabilities, redeemable non-controlling interests, and shareholders' equity |
14,931,174 |
15,060,162 |
International Game Technology PLC |
||||
Consolidated Statements of Cash Flows |
||||
($ thousands) |
||||
Unaudited |
||||
For the three months ended |
||||
March 31, |
||||
2017 |
2016 |
|||
Operating activities |
||||
Net loss |
(26,792) |
(86,449) |
||
Adjustments for: |
||||
Amortization |
116,241 |
125,496 |
||
Depreciation |
91,921 |
98,517 |
||
Amortization of upfront payments to customers |
49,399 |
27,409 |
||
Foreign exchange loss, net |
46,837 |
161,556 |
||
Debt issuance cost amortization |
4,678 |
4,511 |
||
Stock-based compensation expense |
849 |
9,302 |
||
Other, net |
2,964 |
3,552 |
||
Cash flows before changes in operating assets and liabilities |
286,097 |
343,894 |
||
Changes in operating assets and liabilities: |
||||
Trade and other receivables |
136,694 |
10,259 |
||
Inventories |
158 |
1,812 |
||
Accounts payable |
(14,946) |
(1,785) |
||
Other assets and liabilities |
(124,335) |
(148,575) |
||
Net cash flows from operating activities |
283,668 |
205,605 |
||
Investing activities |
||||
Capital expenditures |
(172,052) |
(97,671) |
||
Proceeds from sale of assets |
160,924 |
32,504 |
||
Purchases of jackpot annuity investments |
- |
(1,061) |
||
Proceeds from jackpot annuity investments |
- |
7,472 |
||
Other |
(2,570) |
(4,894) |
||
Net cash flows used in investing activities |
(13,698) |
(63,650) |
||
Financing activities |
||||
Principal payments on long-term debt |
(54,406) |
(318,832) |
||
Net (payments of) receipts from financial liabilities |
(27,154) |
49,564 |
||
Dividends paid - non-controlling interest |
(13,093) |
- |
||
Other |
(1,642) |
(2,964) |
||
Net cash flows used in financing activities |
(96,295) |
(272,232) |
||
Net increase (decrease) in cash and cash equivalents |
173,675 |
(130,277) |
||
Effect of exchange rate changes on cash |
(4,473) |
8,589 |
||
Cash and cash equivalents at the beginning of the period |
294,094 |
627,484 |
||
Cash and cash equivalents at the end of the period |
463,296 |
505,796 |
||
Supplemental Cash Flow Information: |
||||
Interest paid |
(210,936) |
(216,834) |
||
Income taxes paid |
(7,933) |
(16,319) |
International Game Technology PLC |
|||
Net Debt |
|||
($ thousands) |
|||
March 31, |
December 31, |
||
2017 |
2016 |
||
6.250% Senior Secured Notes due 2022 |
1,470,955 |
1,472,150 |
|
6.500% Senior Secured Notes due 2025 |
1,085,872 |
1,085,537 |
|
4.750% Senior Secured Notes due 2023 |
897,900 |
884,917 |
|
4.125% Senior Secured Notes due 2020 |
741,423 |
730,465 |
|
5.625% Senior Secured Notes due 2020 |
594,397 |
593,954 |
|
7.500% Senior Secured Notes due 2019 |
519,841 |
521,894 |
|
4.750% Senior Secured Notes due 2020 |
517,599 |
509,050 |
|
5.500% Senior Secured Notes due 2020 |
126,148 |
126,294 |
|
5.350% Senior Secured Notes due 2023 |
61,163 |
61,187 |
|
6.625% Senior Secured Notes due 2018 |
- |
521,556 |
|
Senior Secured Notes |
6,015,298 |
6,507,004 |
|
Term Loan Facilities due 2019 |
851,969 |
839,552 |
|
Revolving Credit Facilities due 2021 |
463,999 |
516,529 |
|
Long-term debt, less current portion |
7,331,266 |
7,863,085 |
|
6.625% Senior Secured Notes due 2018 |
530,210 |
- |
|
Other |
40 |
77 |
|
Current portion of long-term debt |
530,250 |
77 |
|
Short-term borrowings |
52 |
- |
|
Total debt |
7,861,568 |
7,863,162 |
|
Cash and cash equivalents |
463,296 |
294,094 |
|
Net debt |
7,398,272 |
7,569,068 |
International Game Technology PLC |
||||||||||||
Condensed Consolidated Statement of Operations |
||||||||||||
Reconciliation of Non-GAAP Financial Measures |
||||||||||||
($ and shares in thousands, except per share data) |
||||||||||||
Q1 2017 |
Adjustments |
Q1 2017 |
||||||||||
As |
Purchase |
Foreign |
Restructuring |
Transaction |
As |
|||||||
Reported |
Accounting |
Exchange |
Expense |
Expense, net |
Adjusted |
|||||||
Total revenue |
1,152,584 |
(178) |
- |
- |
- |
1,152,406 |
||||||
Cost of services |
624,294 |
(42,230) |
- |
- |
- |
582,064 |
||||||
Cost of sales |
114,336 |
(29,682) |
- |
- |
- |
84,654 |
||||||
Selling, general and administrative |
200,524 |
(34,928) |
- |
- |
- |
165,596 |
||||||
Research and development |
82,621 |
(201) |
- |
- |
- |
82,420 |
||||||
Restructuring expense |
9,267 |
- |
- |
(9,267) |
- |
- |
||||||
Transaction expense, net |
2,321 |
- |
- |
- |
(2,321) |
- |
||||||
Total operating expenses |
1,033,363 |
(107,041) |
- |
(9,267) |
(2,321) |
914,734 |
||||||
Operating income |
119,221 |
106,863 |
- |
9,267 |
2,321 |
237,672 |
||||||
Foreign exchange loss, net |
(46,837) |
- |
46,837 |
- |
- |
- |
||||||
Other income, net |
2,667 |
34 |
- |
- |
- |
2,701 |
||||||
Interest expense, net |
(112,173) |
1,088 |
- |
- |
- |
(111,085) |
||||||
Total non-operating expenses |
(156,343) |
1,122 |
46,837 |
- |
- |
(108,384) |
||||||
(Loss) income before (benefit from) provision for income taxes |
(37,122) |
107,985 |
46,837 |
9,267 |
2,321 |
129,288 |
||||||
(Benefit from) provision for income taxes (a) |
(10,330) |
38,229 |
10,668 |
3,172 |
853 |
42,592 |
||||||
Net (loss) income |
(26,792) |
69,756 |
36,169 |
6,095 |
1,468 |
86,696 |
||||||
Less: Net income attributable to non-controlling interests |
27,998 |
25 |
- |
- |
- |
28,023 |
||||||
Net (loss) income attributable to IGT PLC |
(54,790) |
69,731 |
36,169 |
6,095 |
1,468 |
58,673 |
||||||
Net (loss) income per common share - diluted |
(0.27) |
0.29 |
||||||||||
Weighted-average shares - diluted |
202,479 |
203,052 |
||||||||||
(a) Provision for income taxes was determined based on the statutory tax rate in effect in the respective jurisdiction where the adjustment originated. |
International Game Technology PLC |
||||||||||||
Condensed Consolidated Statement of Operations |
||||||||||||
Reconciliation of Non-GAAP Financial Measures |
||||||||||||
($ and shares in thousands, except per share data) |
||||||||||||
Q1 2016 |
Adjustments |
Q1 2016 |
||||||||||
As |
Purchase |
Foreign |
Restructuring |
Transaction |
As |
|||||||
Reported |
Accounting |
Exchange |
Expense |
Expense, net |
Adjusted |
|||||||
Total revenue |
1,281,561 |
692 |
- |
- |
- |
1,282,253 |
||||||
Cost of services |
648,763 |
(45,804) |
- |
- |
- |
602,959 |
||||||
Cost of sales |
121,776 |
(29,664) |
- |
- |
- |
92,112 |
||||||
Selling, general and administrative |
227,526 |
(34,746) |
- |
- |
- |
192,780 |
||||||
Research and development |
84,707 |
(498) |
- |
- |
- |
84,209 |
||||||
Restructuring expense |
9,418 |
- |
- |
(9,418) |
- |
- |
||||||
Transaction expense, net |
1,474 |
- |
- |
- |
(1,474) |
- |
||||||
Total operating expenses |
1,093,664 |
(110,712) |
- |
(9,418) |
(1,474) |
972,060 |
||||||
Operating income |
187,897 |
111,404 |
- |
9,418 |
1,474 |
310,193 |
||||||
Foreign exchange loss, net |
(161,556) |
- |
161,556 |
- |
- |
- |
||||||
Other expense, net |
(7,326) |
2,832 |
- |
- |
- |
(4,494) |
||||||
Interest expense, net |
(114,122) |
2,038 |
- |
- |
- |
(112,084) |
||||||
Total non-operating expenses |
(283,004) |
4,870 |
161,556 |
- |
- |
(116,578) |
||||||
(Loss) income before (benefit from) provision for income taxes |
(95,107) |
116,274 |
161,556 |
9,418 |
1,474 |
193,615 |
||||||
(Benefit from) provision for income taxes (a) |
(8,658) |
40,571 |
36,277 |
3,126 |
294 |
71,610 |
||||||
Net (loss) income |
(86,449) |
75,703 |
125,279 |
6,292 |
1,180 |
122,005 |
||||||
Less: Net income attributable to non-controlling interests |
6,325 |
25 |
- |
- |
- |
6,350 |
||||||
Net (loss) income attributable to IGT PLC |
(92,774) |
75,678 |
125,279 |
6,292 |
1,180 |
115,655 |
||||||
Net (loss) income per common share - diluted |
(0.46) |
0.57 |
||||||||||
Weighted-average shares - diluted |
200,449 |
201,526 |
||||||||||
(a) Provision for income taxes was determined based on the statutory tax rate in effect in the respective jurisdiction where the adjustment originated. |
International Game Technology PLC |
||||
Adjusted EBITDA and Free Cash Flow |
||||
Reconciliations of Non-GAAP Financial Measures |
||||
($ thousands) |
||||
For the three months ended |
||||
March 31, |
||||
2017 |
2016 |
|||
Net loss |
(26,792) |
(86,449) |
||
Benefit from income taxes |
(10,330) |
(8,658) |
||
Non-operating expenses |
156,343 |
283,004 |
||
Amortization |
116,241 |
125,496 |
||
Depreciation |
91,921 |
98,517 |
||
Amortization of upfront payments to customers |
49,399 |
27,409 |
||
Restructuring expense |
9,267 |
9,418 |
||
Transaction expense, net |
2,321 |
1,474 |
||
Stock-based compensation expense |
849 |
9,302 |
||
Non-cash purchase accounting (excluding D&A) |
(183) |
631 |
||
Bad debt recovery |
(17,873) |
- |
||
Adjusted EBITDA |
371,163 |
460,144 |
||
Cash flows from operating activities |
283,668 |
205,605 |
||
Capital expenditures |
(172,052) |
(97,671) |
||
Free Cash Flow |
111,616 |
107,934 |
International Game Technology PLC Segment Performance |
||||||||||
Revenue Detail |
||||||||||
($ millions) |
||||||||||
INTERNATIONAL GAME TECHNOLOGY PLC |
Quarter Change |
|||||||||
2016 |
2017 |
Percentage |
Constant FX |
|||||||
Q1 |
Q1 |
Q1 |
Q1 |
|||||||
Gaming |
Total Revenue |
631 |
596 |
-5.5% |
-4.2% |
|||||
Gaming Services |
500 |
487 |
-2.5% |
-0.8% |
||||||
Terminal |
315 |
323 |
2.4% |
4.3% |
||||||
Social (DDI) |
80 |
68 |
-15.3% |
-14.7% |
||||||
Other |
104 |
96 |
-7.6% |
-5.7% |
||||||
Product Sales |
131 |
109 |
-17.0% |
-16.8% |
||||||
Terminal |
79 |
77 |
-2.6% |
-1.9% |
||||||
Other |
52 |
32 |
-38.9% |
-39.2% |
||||||
Lottery |
Total Revenue |
565 |
484 |
-14.3% |
-12.8% |
|||||
Lottery Services |
550 |
470 |
-14.6% |
-13.0% |
||||||
FM/Concessions |
492 |
433 |
-12.0% |
-10.0% |
||||||
LMA |
39 |
32 |
-17.6% |
-17.6% |
||||||
Other Services |
19 |
4 |
-76.9% |
-84.2% |
||||||
Product Sales |
15 |
14 |
-4.3% |
-3.6% |
||||||
Terminal |
0 |
0 |
0.0% |
0.0% |
||||||
Systems/Other |
15 |
14 |
-5.2% |
-4.6% |
||||||
Other |
Total Revenue |
86 |
73 |
-15.5% |
-13.5% |
|||||
Service Revenue |
86 |
70 |
-18.0% |
-16.3% |
||||||
Product Sales |
0 |
2 |
1662.2% |
1833.8% |
||||||
Consolidated |
Revenue |
1,282 |
1,153 |
-10.1% |
-8.6% |
|||||
Operating Income: |
||||||||||
Segment Total |
359 |
269 |
-25.1% |
-23.0% |
||||||
Purchase Accounting |
(111) |
(107) |
-4.1% |
-4.0% |
||||||
Corporate Support |
(59) |
(42) |
-28.3% |
-26.3% |
||||||
Total |
188 |
119 |
-36.5% |
-33.2% |
||||||
NORTH AMERICA GAMING & INTERACTIVE |
Quarter Change |
|||||||||
2016 |
2017 |
Percentage |
Constant FX |
|||||||
Q1 |
Q1 |
Q1 |
Q1 |
|||||||
Gaming |
Total Revenue |
339 |
305 |
-9.8% |
-9.7% |
|||||
Gaming Services |
258 |
234 |
-9.0% |
-8.9% |
||||||
Terminal |
134 |
126 |
-6.5% |
-6.6% |
||||||
Social (DDI) |
80 |
68 |
-15.3% |
-14.7% |
||||||
Other |
43 |
41 |
-5.3% |
-5.4% |
||||||
Product Sales |
81 |
71 |
-12.2% |
-12.2% |
||||||
Terminal |
50 |
51 |
2.5% |
2.5% |
||||||
Other |
31 |
20 |
-35.8% |
-35.8% |
||||||
Total |
Revenue |
339 |
305 |
-9.8% |
-9.7% |
|||||
Operating Income |
89 |
66 |
-26.1% |
-27.9% |
||||||
NORTH AMERICA LOTTERY |
Quarter Change |
|||||||||
2016 |
2017 |
Percentage |
Constant FX |
|||||||
Q1 |
Q1 |
Q1 |
Q1 |
|||||||
Gaming |
Total Revenue |
37 |
36 |
-3.7% |
-4.0% |
|||||
Gaming Services |
37 |
36 |
-3.9% |
-4.2% |
||||||
Terminal |
25 |
25 |
-2.2% |
-2.2% |
||||||
Social (DDI) |
0 |
0 |
0.0% |
0.0% |
||||||
Other |
12 |
11 |
-7.4% |
-8.3% |
||||||
Product Sales |
0 |
0 |
710.8% |
710.8% |
||||||
Terminal |
(0) |
0 |
-101.3% |
-101.3% |
||||||
Other |
0 |
0 |
109.2% |
109.2% |
||||||
Lottery |
Total Revenue |
278 |
245 |
-11.9% |
-11.9% |
|||||
Lottery Services |
267 |
232 |
-13.2% |
-13.2% |
||||||
FM/Concessions |
201 |
166 |
-17.1% |
-17.1% |
||||||
LMA |
39 |
32 |
-17.6% |
-17.6% |
||||||
Other Services |
27 |
33 |
21.9% |
21.9% |
||||||
Product Sales |
11 |
13 |
19.8% |
19.9% |
||||||
Terminal |
0 |
0 |
0.0% |
0.0% |
||||||
Systems/Other |
11 |
13 |
19.3% |
19.4% |
||||||
Total |
Revenue |
315 |
281 |
-10.9% |
-11.0% |
|||||
Operating Income |
88 |
69 |
-21.3% |
-21.7% |
||||||
INTERNATIONAL |
Quarter Change |
|||||||||
2016 |
2017 |
Percentage |
Constant FX |
|||||||
Q1 |
Q1 |
Q1 |
Q1 |
|||||||
Gaming |
Total Revenue |
97 |
78 |
-19.5% |
-17.2% |
|||||
Gaming Services |
47 |
41 |
-12.9% |
-9.1% |
||||||
Terminal |
13 |
12 |
-7.6% |
-6.2% |
||||||
Social (DDI) |
0 |
0 |
0.0% |
0.0% |
||||||
Other |
34 |
29 |
-15.0% |
-10.2% |
||||||
Product Sales |
50 |
37 |
-25.6% |
-24.8% |
||||||
Terminal |
29 |
26 |
-11.4% |
-9.6% |
||||||
Other |
21 |
12 |
-45.1% |
-45.8% |
||||||
Lottery |
Total Revenue |
70 |
67 |
-4.0% |
-0.7% |
|||||
Lottery Services |
66 |
66 |
0.0% |
3.3% |
||||||
FM/Concessions |
51 |
49 |
-3.5% |
0.3% |
||||||
LMA |
0 |
0 |
0.0% |
0.0% |
||||||
Other Services |
15 |
16 |
12.0% |
13.9% |
||||||
Product Sales |
4 |
2 |
-64.5% |
-62.3% |
||||||
Terminal |
0 |
0 |
0.0% |
0.0% |
||||||
Systems/Other |
4 |
1 |
-66.7% |
-64.5% |
||||||
Other |
Total Revenue |
18 |
19 |
6.7% |
6.1% |
|||||
Service Revenue |
18 |
17 |
-5.8% |
-7.6% |
||||||
Product Sales |
0 |
2 |
1662.2% |
1833.8% |
||||||
Total |
Revenue |
185 |
164 |
-11.1% |
-8.8% |
|||||
Operating Income |
33 |
8 |
-76.4% |
-64.0% |
||||||
ITALY |
Quarter Change |
|||||||||
2016 |
2017 |
Percentage |
Constant FX |
|||||||
Q1 |
Q1 |
Q1 |
Q1 |
|||||||
Gaming |
Total Revenue |
158 |
176 |
11.1% |
15.2% |
|||||
Gaming Services |
158 |
176 |
11.3% |
15.3% |
||||||
Terminal |
143 |
160 |
12.5% |
16.7% |
||||||
Social (DDI) |
0 |
0 |
0.0% |
0.0% |
||||||
Other |
15 |
15 |
-0.1% |
3.2% |
||||||
Product Sales |
0 |
0 |
-46.9% |
-46.1% |
||||||
Terminal |
0 |
0 |
-100.0% |
-100.0% |
||||||
Other |
0 |
0 |
-46.1% |
-45.3% |
||||||
Lottery |
Total Revenue |
217 |
172 |
-20.7% |
-17.8% |
|||||
Lottery Services |
217 |
172 |
-20.7% |
-17.8% |
||||||
FM/Concessions |
240 |
217 |
-9.5% |
-6.2% |
||||||
LMA |
0 |
0 |
0.0% |
0.0% |
||||||
Other Services |
(23) |
(45) |
94.2% |
101.2% |
||||||
Product Sales |
0 |
0 |
0.0% |
0.0% |
||||||
Terminal |
0 |
0 |
0.0% |
0.0% |
||||||
Systems/Other |
0 |
0 |
0.0% |
0.0% |
||||||
Other |
Total Revenue |
68 |
54 |
-21.2% |
-18.6% |
|||||
Service Revenue |
68 |
54 |
-21.2% |
-18.6% |
||||||
Product Sales |
0 |
0 |
0.0% |
0.0% |
||||||
Total |
Revenue |
444 |
402 |
-9.4% |
-6.2% |
|||||
Operating Income |
148 |
125 |
-15.2% |
-11.6% |
||||||
Consolidated Key Performance Indicators (KPIs) |
||||
First Quarter |
||||
Period Ended March 31 |
2017 |
2016 |
% change |
|
Installed base (end of period) |
||||
Casino |
34,364 |
34,214 |
0.4% |
|
VLT - Government Sponsored (ex-Italy) |
15,627 |
15,581 |
0.3% |
|
VLT - Italy Supplier (B2B) |
9,043 |
8,270 |
9.3% |
|
Total installed base |
59,034 |
58,065 |
1.7% |
|
Yield (average revenue per unit per day - $0.00) |
30.89 |
32.79 |
-5.8% |
|
Additional Italian Network Details: |
||||
VLT - Operator (B2C) |
10,961 |
11,120 |
-1.4% |
|
AWP |
58,746 |
55,991 |
4.9% |
|
Machine units shipped |
||||
New/Expansion |
1,752 |
1,087 |
61.2% |
|
Replacement |
4,201 |
4,608 |
-8.8% |
|
Total machines shipped |
5,953 |
5,695 |
4.5% |
|
Global lottery same-store revenue growth |
||||
Instants & draw games |
1.9% |
|||
Multistate Jackpots |
-56.3% |
|||
Total lottery same-store revenue growth (ex-Italy) |
-10.7% |
|||
Italy lottery revenue growth |
-17.7% |
|||
North America KPIs |
||||
First Quarter |
||||
Period Ended March 31 |
2017 |
2016 |
% change |
|
Installed base (end of period) |
||||
Casino |
23,701 |
24,958 |
-5.0% |
|
VLT - Government Sponsored |
15,009 |
15,331 |
-2.1% |
|
Total installed base |
38,710 |
40,289 |
-3.9% |
|
Machine units shipped |
||||
New/Expansion |
1,157 |
902 |
28.3% |
|
Replacement |
2,787 |
3,049 |
-8.6% |
|
Total machines shipped |
3,944 |
3,951 |
-0.2% |
|
DoubleDown |
||||
Revenue ($ Thousands) |
67,893 |
80,133 |
-15.3% |
|
Mobile penetration |
58% |
54% |
8.4% |
|
DAU (Daily Active Users) 1 |
1,455 |
1,859 |
-21.8% |
|
MAU (Monthly Active Users) 1 |
3,525 |
4,310 |
-18.2% |
|
Bookings per DAU ($0.00) 1 |
$ 0.52 |
$ 0.47 |
10.6% |
|
Lottery same-store revenue growth |
||||
Instants & draw games |
1.5% |
|||
Multistate Jackpots |
-59.5% |
|||
Total lottery same-store revenue growth |
-14.0% |
|||
1As a single application with multiple games, active users equal unique users |
||||
International KPIs |
||||
First Quarter |
||||
Period Ended March 31 |
2017 |
2016 |
% change |
|
Installed base (end of period) |
||||
Casino |
10,663 |
9,256 |
15.2% |
|
VLT - Government Sponsored |
618 |
250 |
147.2% |
|
Total installed base |
11,281 |
9,506 |
18.7% |
|
Machine units shipped |
||||
New/Expansion |
595 |
185 |
221.6% |
|
Replacement |
1,414 |
1,559 |
-9.3% |
|
Total machines shipped |
2,009 |
1,744 |
15.2% |
|
Lottery same-store revenue growth |
||||
Instants & draw games |
3.2% |
|||
Multistate Jackpots |
-13.1% |
|||
Total lottery same-store revenue growth |
2.0% |
|||
Italy KPIs |
||||
First Quarter |
||||
Period Ended March 31 |
2017 |
2016 |
% change |
|
(In € millions, except machines) |
||||
Lottery |
||||
Lotto wagers |
1,873 |
1,928 |
-2.8% |
|
10eLotto |
1,243 |
1,193 |
4.2% |
|
Core |
525 |
559 |
-6.0% |
|
Late Numbers |
106 |
176 |
-40.1% |
|
Scratch & Win Wagers |
2,341 |
2,355 |
-0.6% |
|
Italy lottery revenue growth |
-17.7% |
|||
Gaming |
||||
Installed base (end of period) |
||||
VLT - Operator (B2C) |
10,961 |
11,120 |
-1.4% |
|
VLT - Supplier (B2B) |
9,043 |
8,270 |
9.3% |
|
AWP |
58,746 |
55,991 |
4.9% |
|
Total Installed Base |
78,750 |
75,381 |
4.5% |
|
Wagers |
||||
VLT - Operator (B2C) |
1,415 |
1,398 |
1.2% |
|
AWP |
1,009 |
1,080 |
-6.6% |
|
Interactive Wagers (Gaming) |
468 |
424 |
10.3% |
|
Other |
||||
Sports Betting Wagers1 |
257 |
221 |
16.7% |
|
Sports Betting Payout (%)1 |
89.4% |
80.9% |
8.5 pp |
|
1Includes Virtual Wagers and Pools & Horses |
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/international-game-technology-plc-reports-first-quarter-2017-results-300463812.html
SOURCE