Barry Cottle, president and CEO of international gambling leader Light & Wonder has celebrated a strong start to 2022, as the firm notched “a number of significant achievements and strong momentum,” bringing in $572 million (€548 million).
In comments accompanying the firm’s financial results for the first quarter of the year, he stated that the company is delivering on its promises to create “great content cross-platform while expanding in high-growth digital markets and enabling a seamless player experience.”
Light & Wonder achieved a 26.3 per cent year-on-year revenue growth in the first three months of 2022.
This did not include the supplier’s lottery or sports betting operations, which it has agreed to sell, although they were still part of the business by the end of the quarter.
The sale of this lottery division was completed on 4th April 2022 for $5.6 billion (€5.37 billion), while the firm’s divestment of its sports betting business is expected to be completed in the third quarter of 2022.
Services revenue during Q1 amounted for $431 million (€413 million) of the overall total, representing an increase of 18.4 per cent compared to last year, while product sales revenue increased by an impressive 58.4 per cent in the same time-frame.
The company’s gaming segment contributed $355 million (€340 million) in revenue, up 45.5 per cent, as market recovery continued after the pandemic.
iGaming revenue during the quarter was 1.7 per cent higher than it was a year earlier, climbing to hit $49 million (€47 million), which Light & Wonder credited to continuing momentum in the US market, where revenue was up 63 per cent.
Costs also increased, with total operating expenses 18.5 per cent higher in 2022, at $532 million (€510 million), as the firm spent more across its business. Other costs totalled $104 million (€100 million), leaving a pre-tax loss of $64 million (€61 million), significantly lower than the $85 million (€81 million) recorded in Q1 2021.
The selling of the two aforementioned businesses brought the Light & Wonder into the black for the quarter, leaving a net profit of $26 million (€25 million).
Looking to the future, Mr Cottle added: “With the right assets, at the right time and with the right talent, Light & Wonder is fostering a high performance culture with all the pieces in place to deliver on our vision.
“We are very excited about the next phase of our journey and look forward to discussing our key strategies and the path to drive shareholder value at our upcoming investor day on 17th May.”
Las Vegas-based Light & Wonder (formerly Scientific Games Corporation), is a leading global provider of content, hardware and systems that aims to turn games into “expansive entertainment.”
It has a number of offices in Europe, including a major facility in Sliema, Malta.
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