Scientific Games upbeat after strong performance
Scientific Games third-quarter profit was US$14 million, compared to a loss of US$352 million in the same quarter a year ago.
“Net income was driven by growth in revenue and a US$19-million gain on remeasurement of euro-denominated debt versus a US$4 million loss in the prior-year period,” said the United States-based firm in a press release.
The prior-year period had included “US$339-million in restructuring and other charges primarily related to the verdict in the Shuffle Tech legal matter,” added Scientific Games, referring to litigation involving a card shuffler maker and slot machine brand previously absorbed by the group.
Free cash flow generated by Scientific Games in the three months to September 30 – a financial indicator outside the scope of U.S. generally-accepted accounting principles (GAAP) – was US$53 million.
The firm said that net debt for the 12 months to September 30, stood at just under US$8.60 billion, a reduction of US$241 million on the nearly US$8.84 billion a year earlier.
Barry Cottle, President and Chief Executive Officer of Scientific Games, said, “Each of our business segments is growing on both the top and bottom line, enabling us to continue on our path to 5.5x net debt leverage by the end of 2020. We showcased our great games and products at G2E which demonstrated our industry leading position as a one-stop solution across platforms and key content. This positioning will allow us to enhance partner operations, grow in existing markets and win in emerging markets.”
Michael Quartieri, Chief Financial Officer of Scientific Games, added, “Our products grew the top-line, and operating leverage was driven by business improvements. We believe there are a number of avenues for further growth driven by share gains and new market opportunities. We remain firmly committed to maximize cash flows and delever our balance sheet.”