Despite a slight decrease in revenue for the first three quarters and a net loss of 3.1 million euros, the management of Intralot remains confident, stating that they are fully capable of achieving the annual financial targets. The company pointed out that strong foreign exchange fluctuations are the main factor affecting the year-on-year data, and the newly acquired Bally's international business will provide significant support for the consolidated performance. More detailed industry financial analysis reports are available on the PASA official website.
Financial Performance in the First Three Quarters
By the end of September, Intralot's revenue reached 242.5 million euros, a decrease of 2.9% compared to the same period last year, but actually a slight increase of 0.3% when calculated at constant exchange rates. The gross margin dropped to 83.7 million euros, and the adjusted EBITDA slightly declined to 90.1 million euros, but the profit margin increased from 36.7% to 37.2%, indicating an improvement in profit space. Ultimately, the company reported a net loss of 3.1 million euros, compared to a profit of 6.5 million euros in the same period last year, which is indeed a bit of a gap.
Performance of Various Business Segments
B2B and B2G businesses remain the absolute main force, accounting for 95.1% of total revenue. Different regional markets performed differently, with the United States, Australia, and Argentina all achieving growth at constant exchange rates, especially Argentina's B2C revenue increased by 12.4%, but Turkey, due to the application of malignant inflation accounting, did not look good. From the product type perspective, lottery games contributed 53.6% of the revenue, sports betting accounted for 21.6%, video lottery terminals and IT product services accounted for 13% and 11.8% respectively.
Bally's Acquisition and Future Outlook
The company recently completed the acquisition of Bally's international interactive business, a transaction worth 2.7 billion euros, which is of great significance. Management has provided a consolidated full-year outlook, expecting total revenue of about 1.1 billion euros, adjusted EBITDA of about 435 million euros, and a consolidated profit margin of 40.65%. CEO Reeves emphasized that the merger of the two companies will better address market challenges and achieve synergistic effects.
Response to UK Tax Increase Measures
In response to the announced increase in gambling taxes in the UK, Intralot admits that the increase is higher than expected, but they are ready with an "aggressive" response plan. The company plans to limit the impact of the tax increase by reducing promotions, cutting marketing, and accelerating synergistic effects, although this may delay the growth plan by one year. However, the EBITDA guidance for 2026 is still set between 420 million and 440 million euros, showing management's confidence in the future.
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This article is from "PASA-Global iGaming Leader" gambling industry news channel:https://t.me/pasa_news
Original in-depth gambling channel:https://t.me/gamblingdeep
Free data reports: @pasa_research
PASA Matrix: @pasa002_bot
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