- Legal States
Melanie Porter August 1, 2022 3 min read
Lottomatica Group Reaches Sixfold EBITDA and Quadruple Revenue Growth
Lottomatica Group is a relatively fresh entity on the Italian market. The group was born when multinational slot manufacturer International Game Technology decided to sell its Lottomatica-branded Business-to-Consumer operations to Gamesnet Group. The latter adopted the Lottomatica brand itself and later on created the enlarged Lottomatica Group with a merger between GoldBet Italia and Lotomattica Scommese. Thanks to other important decisions such as the migration of all online and retail products to a unique platform, the group recorded impressive revenue results for the first half of the fiscal year 2021.
The Effects of the Expanded Retail Portfolio
While the main reason behind the profit and revenue growth of up to 350% was the group-founding acquisition, the quadruple growth recorded by headline revenue was tied to the group’s expanded portfolio of retail products. The portfolio currently consists of 3,000 betting points, over 30 tracks that can host horse races, 67,000 amusement with prize machines (slot machines that offer a certain level of player interaction), and close to 20,000 video lottery terminals.
The group’s revenue went from €178 million ($182.6 million) in 2021 to over €800 million ($820 million) in the first half of the fiscal year 2022. Lotomattica’s gaming machines, betting shops, and online operations managed to make a full comeback as well. The company’s online revenue went from €128 million (131 million$) in 2021 to €164 million ($168 million) for the first six months of the year ending June 30. The growth signaled an increase of over 27.3%. At the same time, retail betting operations went up from €10 million ($10.25 million) in 2021 to €174 million ($178 million) in H1 2022. The group’s gaming machines also grew from €40 million ($41 million) in 2021 to €463 million ($475 million).
The Lack of Restrictions Led to a Sixfold Increase in EBITDA Results
The group also took advantage of the missing restrictions on its business and managed to score an earnings before interest, taxes, depreciation, and amortization rate of €233 million ($239 million) for H1 2022. The number showcases an incredible sixfold increase compared to the 2021 numbers of only €38 million ($40 million).
While the group recorded losses of €77 million ($79 million) triggered by the pandemic in 2021, Lottomatica reported its operating profits reached €98 million for H1. The group’s chief executive officer Guglielmo Angelozzi emphasized the way the successful Italian group managed to enter the “crucial second half of year” during which the company expects to fully transfer its online and retail operations into a unique platform. All Lotomattica betting shops will receive fresh virtual lottery terminal upgrades with brand-new virtual sports products. At the start of April, Elys Game Technology decided to partner with Lottomatica to expand its foothold in North America.
After finishing her master's in publishing and writing, Melanie began her career as an online editor for a large gaming blog and has now transitioned over towards the iGaming industry. She helps to ensure that our news pieces are written to the highest standard possible under the guidance of senior management.
Business August 1, 2022