INTERNATIONAL GAME TECHNOLOGY PLC REPORTS FOURTH QUARTER AND FULL YEAR 2024 RESULTS

Core Insights - IGT reported solid financial results for 2024, achieving its outlook with a focus on long-term growth and shareholder returns following the strategic review and sale of its Gaming & Digital business for $4.05 billion [2][4][8] Financial Performance Overview - Fourth Quarter 2024: - Revenue of $651 million, down 4% from $681 million in Q4 2023, attributed to prior year’s record product sales [3][4] - Operating income decreased to $179 million from $197 million, with a margin of 27.4% [3][4] - Income from continuing operations rose to $116 million, a 60% increase year-over-year, with a margin of 17.9% [3][4] - Adjusted EBITDA of $290 million, down 8% from $316 million, with a margin of 44.5% [3][4][7] - Full Year 2024: - Total revenue of $2.5 billion, consistent with the previous year [8] - Operating income of $686 million, down from $752 million, with a margin of 27.3% [8] - Income from continuing operations increased to $271 million, with a margin of 10.8% [8] - Adjusted EBITDA of $1.17 billion, down 4% from $1.21 billion, with a margin of 46.6% [8] Cash Flow and Liquidity - Net cash provided by operating activities was $689 million from continuing operations, down 25% from $916 million in the prior year [3][8] - Total liquidity stood at $1.9 billion as of December 31, 2024, including $584 million in unrestricted cash [9] Strategic Developments - The company announced the sale of its Gaming & Digital business, expected to close by Q3 2025, which is anticipated to enhance its focus on lottery solutions and innovative game content [2][6] - IGT secured several long-term contracts, including a seven-year facilities management contract with Colorado Lottery and extensions with various state lotteries [6] Market Performance - Strong growth in instant ticket and draw game sales was noted, particularly in the U.S. and Canada, contributing to overall revenue [5][6] - Same-store sales growth in Italy was reported at 7.0%, while U.S. multi-state jackpots saw a decline of 20.2% [6][28] Future Outlook - For 2025, IGT expects revenue between $2.55 billion and $2.65 billion, with low to mid-single-digit growth anticipated [11][23] - Adjusted EBITDA is projected to be between $1.10 billion and $1.15 billion, reflecting ongoing investments in business initiatives [11][23]