International Game Technology Plc has released its financial information for the third quarter and things could have been better. Its consolidated revenue for the July-September period dipped by 5.4% year-on-year, coming in at $1.16 billion. During the same period last year, it had reported consolidated revenue of $1.22 billion. The good news is that its net income was $22.3 million, compared to a loss of around $803.6 during the period last year.
The company continued by stating that its debt had increased by the end of the quarter. As opposed to debt of $7.34 billion in 2017, it now has $7.57 billion in debt. Operating income came in at $200 million, while the period produced a loss of $556.1 million last year.
IGT’s adjusted earnings before EBITDA (earnings before interest, taxation, debt and amortization) were reported to be $443.3 million, an increase of just under 3.5% year-on-year. This increase was attributed to “strong Italy and global lottery performance,” according to the company.
IGT CEO Marco Sala stated in a press release, “Solid performance and important, long-term contracts drove very good third quarter and year-to-date results…The installed base of gaming machines was up, and unit shipments of gaming machines increased 10 percent… We are firmly on track to achieve our 2018 financial and operational goals.”
As a result of the performance, the company’s chief financial officer, Alberto Fornaro, indicated that IGT has adjusted its outlook for this year. He stated that the EBITDA forecast would be narrowed to between $1.74 billion and $1.78 billion, adding that this remained in the “top half of the prior range.”
Per the results, Deutsche Bank Securities announced that IGT had “delivered a significant third-quarter 2018 adjusted EBITDA beat” in comparison to market expectations. The firm’s Carlo Santarelli added, “We see IGT as a solid fundamental story with rock bottom valuation.”
Sala added, “We have also had a great success with high profile license properties, such as The Voice and Wheel of Fortune, which we’ll leverage across the IGT franchise. The vision of our new printing press at the beginning of the year has driven a 20% increase in the number of games printed. We have recently secured instant ticket printing contract extensions in Texas, New York and Idaho.”
No information was provided for its Asian operations.