Group operating losses reduced as revenues grow
US gambling supplies, games and equipment provider Scientific Games issued a trading update this week detailing a reduction in operating losses and improved revenues in the last quarter of 2016.
Highlights of the update included:
* FY-2016 revenue grew by 4.5 percent y-o-y to $2.9 billion;
* Operating income was $130.6 million compared to an operating loss of $1 billion in 2015;
* Net loss for the full year narrowed to US$354 million (2015: $1.4 billion;
* Q4 revenue up y-o-y 2 percent to $752 million;
* 52 percent y-o-y growth in revenues from social B2C gaming;
* 37 percent rise in revenue from table products;
* Attributable EBITDA flat at $291 million;
* Operating loss $12 million, down significantly from last year when it was $54 million; the Q4-2016 numbers included a $69 million non-cash goodwill impairment charge, along with restructuring; and other charges of $36 million;
* Net loss for the final quarter ended December 2016 fell by 13 percent y-o-y to $111 million;
* The gaming division reported total revenue down almost 2 percent to $460 million, with gaming machine sales revenue slipping 3 percent y-o-y to $170 million;
* Total interactive division revenue grew 52 percent to $92 million;
CEO Kevin Sheehan commented:
"Our gaming division continues to lead with innovation and strong execution, including the launch of the Gamescape platform, which in the fourth quarter helped drive the first quarterly sequential increase in our wide-area progressive (WAP) premium-participation installed base in more than three years, as well as the initial very promising performance of our innovative TwinStar J43 for-sale gaming cabinet."
Online Casino News Courtesy of Infopowa
