GROUPE PARTOUCHE: Annual Income 2024/2025 - Strong results achieved through investments and arbitrage in the portfolio

Core Insights - Groupe Partouche reported strong financial results for the fiscal year ending October 31, 2025, with significant growth in both turnover and profitability metrics, driven by strategic investments and operational improvements [2][4][8]. Financial Performance - Gross Gaming Revenue (GGR) increased by 5.1% to €748.3 million in 2025, up from €712.3 million in 2024, with slot machines GGR rising by 3.6% and table gaming GGR by 9.6% [2]. - Net Gaming Revenue (NGR) rose by 4.0% to €352.4 million, while income excluding PNJ increased by 12.4% to €110.7 million [3]. - Consolidated turnover grew by 6.0% to €460.2 million, compared to €434.3 million in 2024 [4][8]. - EBITDA reached €94.4 million, a 27.8% increase from €73.9 million the previous year, representing 20.5% of turnover [5][8]. - Current operating income (COI) surged by 56.6% to €30.8 million, with the casino sector's COI increasing by 33.4% to €41.0 million [6][8]. Cost and Expense Management - Purchases and external expenses rose by 3.8% to €152.5 million, with taxes and duties increasing by 6.1% to €18.7 million [7][8]. - Personnel expenses remained stable at €182.6 million, with a slight increase due to the integration of new teams and contractual wage agreements [10]. - Depreciation and amortization on fixed assets increased by 17.5% to €60.8 million, reflecting ongoing investments and renovations [11]. Non-Current Operating Income - Non-current operating income (NCOI) was €56.1 million, a significant recovery from a loss of €4.4 million in 2024, primarily due to asset sales [12][29]. - Operating income for 2025 reached €86.9 million, compared to €15.2 million in 2024, indicating a strong operational turnaround [13][29]. Tax and Net Income - The Group's tax expense amounted to €22.8 million, significantly higher than €7.5 million in 2024, driven by improved operating results and non-recurring tax bases [15]. - Groupe Partouche generated a profit of €52.7 million, a substantial increase from €4.1 million in 2024, with the Group's share amounting to €51.1 million [16][29]. Financial Structure - The Group's equity increased to €410.5 million, up by €45.5 million, while gross financial debt rose to €418.6 million, reflecting a healthy financial structure with a gearing ratio of 0.4x and leverage of 2.1x [18][19]. - Current assets increased by €55.1 million, primarily due to positive cash flow generation [18]. Future Outlook - Groupe Partouche plans to increase dividends for the 2024/2025 financial year, with details to be announced for shareholder approval [20]. - The company is continuing its investment strategy, including renovations and expansions across its casino portfolio, with significant projects scheduled for completion in 2026 [25][28].