Global lottery and gaming products and services innovator Scientific Games Corporation has released its financial results for the three months to the end of June showing a 5% increase year-on-year in overall revenues to $766.3 million.
Las Vegas-based Scientific Games Corporation stated that this second-quarter rise was significantly helped by a 3.5% improvement year-on-year in total gaming revenues to $457.2 million and came despite an $8 million hit from unfavorable foreign exchange rates.
For the three months to June 30, the firm also declared that operating income rose by in excess of 98% year-on-year to $117.3 million due to “revenue growth, a more effective organizational structure and lower depreciation and amortization” and helped to push its net loss down by 24% to $39.1 million.
Scientific Games Corporation further explained that its attributable earnings before interest, tax, depreciation and amortization for the second quarter swelled by 13% year-on-year to $314.8 million off of a margin. This improved by 3.3 percentage points to 41.1% to leave it with cash and equivalents worth $198.2 million, which was a 72% advance when compared with its standing at the end of 2016.
“Second quarter results represent our seventh quarter of consecutive year-on-year growth, including $169 million of cash flow from operating activities, as a result of ongoing improvements in our gaming, lottery and interactive operations,” read a statement from Kevin Sheehan, Chief Executive Officer for Scientific Games Corporation. “We achieved year-on-year revenue growth in global gaming machine sales, gaming systems, table products and interactive as well as in United States instant games revenues.”
For the six months to the end of June, Scientific Games Corporation moreover reported that its overall revenues had grown by 5.7% year-on-year to reach $1.49 billion with takings from the gaming segment reaching $863.6 million.
“Across the company, we are maintaining a laser focus on executing our strategies and capitalizing on our many opportunities,” read the statement from Sheehan, who only assumed his current position last year after working as Chief Executive Officer for Norwegian Cruise Line Holdings Limited. “I am proud of all of our dedicated team members who daily commit themselves to empower our customers with the best gaming and lottery experiences in the world while remaining focused on delivering our financial goals.”
Finally, Scientific Games Corporation detailed that its half-year operating income had hit $205.3 million, which represented an increase of 87.6% year-on-year, while its net loss for the six-month period had improved by just over 2.8% to $139.9 million.
“Our focus on innovative new products, continuous process improvement and fiscal discipline has enabled us to grow operating income and cash flow, leading to a reduction in our net debt,” read a statement from Michael Quartieri, Chief Financial Officer for Scientific Games Corporation. “This has resulted in our net debt leverage ratio at June 30, 2017, declining to 6.8 times twelve-month attributable earnings before interest, tax, depreciation and amortization. With our strengthened performance, we are well positioned to further improve our capital structure and lower our cost of capital.”