- IGT registers $103.2 million in net profits
- Q1, 2019 results strong despite drop in revenue
- Slots shipment goes up 20 per cent in the first three months of 2019
IGT’s profit over Q1, 2019 has reached a decent performance despite steady debt and a drop in installations of slot machines.
IGT’s Net Profit Grows
International Game Technology (IGT) posted a net profit totaling $40.3 million over the first quarter. The Q1, 2019 eclipsed the year-over-year performance with the company posting an eye-watering $103.2-million loss in the first three months of 2018.
Despite another five per cent drop in revenue, IGT soared back to considerable profitability in the period. Total revenue ended up $1.14 billion. EBITDA also took a small dip and the company reported a four per cent reduction. As the results stood, IGT posted $416.67 million.
Trading on the stock exchange hasn’t improved with IGT’s shares taking a small devaluation hit and finishing $13.83 on Monday, May 20. Despite some of the results falling short of the year-over-year performance, the company’s exec, Marco Sala, commented that IGT had kept its growth targets in line:
Our first quarter results confirm the consistent growth profile of our global lottery business and the progress we’ve made in sales of gaming machines.
Italy has been a good investment for the company which brought it $437 million in Q1. Despite the good figure, revenue took a hit of 9.5 per cent over the three fist months in Italy. Internationally, revenue reached $172 million, thanks to the division that oversees Asia and other foreign markets.
The company recently revealed a number of new products at G2E Asia 2019, including various slot machines for existing and potential customers.
Slot Machines Installations Shrink
Amid the soaring profits, IGT continued to post some less attractive figures. For example, first quarter slot machine installations fell by 17.4 per cent. The withdrawal from the brick-and-mortar sector can be explained with a soaring interest in online gaming solutions.
Still, IGT managed to sell more slots than it did in Q1, 2018. Shipment for gaming machine went up 20 per cent, which was another good milestone and indicator for the company. The company’s debt is still unchanged with IGT reporting $7.71 billion.
Shareholders can expect a $0.20 dividend pay out for every share they own on June 17. The lottery market in North America has been developing well as well, the company reported. Once again the United States has been the main driver of growth for the company.