Scientific Games digital revenue rises despite full-year downturn

Finance News

Scientific Games has reported fourth-quarter loss of $84 million. Net loss widened due to lower revenue partially offset by lower interest expense reflecting the favorable impact of 2019 refinancing activities.

Revenues for the quarter dropped to $762 million from $863 million last year, as as gaming business was impacted by COVID-19 restrictions for casinos globally while Lottery, SciPlay and Digital businesses delivered growth.

Barry Cottle, CEO and President of Scientific Games, said, “While 2020 certainly had unforeseen challenges, I couldn’t be more proud of our team for successfully navigating through them.

The strong execution coupled with the diversity of our business enabled positive cash flow. As we start off the year, I am truly excited about the team, products, and game franchises that should enable share gains, deal wins, and opportunities to enter new genres. The executive team and our Board are working purposefully to transform our Company, capitalize on the evolving industry trends and deliver outsized returns to our Shareholders.”

Michael Eklund, Chief Financial Officer of Scientific Games, added, “We continued to execute, having driven cash flow improvements in the fourth quarter despite a number of COVID-19 related restrictions to our land-based business. The focus remains on disciplined cost and balance sheet management. I’m confident in the opportunities for operational and business process improvements that will drive increased cash flow conversion and deleveraging, leading to increased stakeholder value.”