AGS revenue tops $89 million in third-quarter

Finance News

PlayAGS a designer and developer of equipment and services solutions for the global gaming industry, today reported operating results for the third quarter ended September 30, 2023.

Total revenue increased 14% Y/Y to $89.4 Million; strong growth achieved across all three segments.

Domestic EGM recurring revenue grew 6% Y/Y; Far outpacing market-wide GGR trends. Global EGM wsales increased more Than 30% Y/Y to 1,345 units. Interactive revenue reached a record $3.1 million; Y/Y growth surpassed 20%.Generated a modest net loss of $156 thousand.

Commenting upon the Company’s third quarter results, AGS President and Chief Executive Officer David Lopez said, “We delivered another solid quarter of execution in the third quarter, with our product momentum and focused team producing performance that far exceeded the trends observed across the broader domestic gaming landscape. Exiting our most exciting Global Gaming Expo to date, I believe our deeper and more diverse product portfolio, combined with our passionate team, position us to deliver on this theme of relative outperformance for many quarters to come.” 

Kimo Akiona, AGS Chief Financial Officer added, “Our record-setting Q3 2023 Adjusted EBITDA and free cash flow performance enabled us to reduce our net leverage to 3.4 times at quarter end, placing us inside of our targeted year-end range of 3.25 times to 3.50 times a full quarter ahead of schedule. We remain intently focused on leveraging our commitment to capex discipline and working capital efficiency to consistently generate free cash flow, which combined with our operating momentum, should allow for further net leverage reduction in the quarters ahead.”