GGRAsia – Gaming Growth Pushes Everi to $ 168 Million in Q3 Revenue

Gaming growth takes Everi to 3Q revenue of $ 168 million

Casino equipment maker and financial technology (fintech) provider Everi Holdings Inc reported third quarter 2021 revenue of $ 168.3 million, down 2.5% from the previous quarter . Profit was up 50.1% from $ 112.1 million a year earlier, according to a press release on Wednesday.

The company cited strength in the gaming and fintech business segments as the reason for the “momentum” in its financial performance.

Net profit for the period decreased to US $ 6.7 million from US $ 36.2 million in the second quarter of 2021, but remains an improvement over loss of nearly US $ 1.0 million one year ago. Everi said its third quarter 2021 net income included US $ 34.4 million in pre-tax debt extinguishment costs associated with refinancing its outstanding debt during the period.

The group said adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) amounted to US $ 90.6 million in the third quarter, compared to US $ 92.5 million in the previous quarter. Everi’s adjusted EBITDA was US $ 59.8 million in the third quarter of 2020.

Everi’s free cash flow increased to a quarterly record of US $ 56.3 million during the period July to September, compared to US $ 39.2 million in the previous quarter and US $ 43.5 million. US dollars in the first quarter of 2021.

“The growth in our sales, operating income and free cash flow in the third quarter demonstrates the continued and substantial momentum in our financial performance. We expect continued growth in our gaming and fintech segments to continue through the end of the year and into 2022 and beyond, ”said Michael Rumbolz, group chief executive, in prepared remarks accompanying the publication of Wednesday’s results.

He added, “We expect to continue to benefit from the expansion of our installed base of leased gaming units, growth in the share of ships, increased same-store financial access transactions and the continued organic growth of our loyalty and regulatory compliance solutions. “

Regarding the gaming segment, the CEO said that “Everi’s newest content continues to increase with new, well-received themes introduced to the spectrum of premium video, premium mechanics, video standard, standard mechanics and progressive machines with a large surface “.

Gaming segment revenue was US $ 95.8 million, compared to US $ 99.3 million in the previous quarter and US $ 57.2 million a year earlier. The segment reported operating profit of US $ 30.2 million. The company said it sold 1,176 units of gaming machines during the period, up from 492 units a year earlier.

The statement quotes Randy Taylor, chief operating officer of Everi, as saying that the games segment “continues to benefit from placements” of the group’s highest paying premium units, “which reached a record 7,351 units during the year. quarter “, representing 45% of the total installed base of the company.

He added: “As the replacement cycle for electronic gaming machines returns to pre-pandemic levels, we believe that the investments we have made in our gaming business allow us to steadily move towards our new goal. 15% ship share over the next few months. years. “

In the FinTech segment, the company noted that its digital cashless wallet product is now deployed in four jurisdictions in 15 casinos with more than 32,000 machines.

Everi has also raised its previous guidance for full year 2021 results. The company now expects net income in the range of US $ 98-100 million, and adjusted EBITDA between US $ 342 million and US $ 346 million. US dollars.