Aristocrat expects expansion in land-based and digital business

Slot machine manufacturer Aristocrat Leisure said it expects to see continued expansion across its land-based gaming operations and digital business in the 2020 fiscal year. 

The comments were made by Aristocrat CEO Trevor Croker during an Annual General Meeting held on Thursday. 

“In Land-Based Outright sales, we anticipate further incremental gains in attractive North American adjacencies. We expect to maintain market-leading share positions across key for sale segments globally.” 

Aristocrat also said it expects continued expansion across its total Gaming Operations installed base.

In its digital business, which has become a significant part of its earnings base, Aristocrat said it expects further growth in Digital bookings supported by the scaling of recently released new games.

Aristocrat’s 2019 results, which were reported in November, saw the company record high-quality profit growth. NPATA grew 23 percent compared to the prior-year period. 

Digital operations delivered over 40 percent of total group revenue, while land-based gaming operations and outright sales each contributed around 30 percent of group revenue. 

That being said, its International Class III revenue and profit took a hit, down 7 and 13 percent respectively. This was due mainly to challenging trading conditions in the Asia Pacific, partly offset by growth in EMEA. 

Regarding the COVID-19 outbreak, Aristocrat said it does not see any material adverse impacts on its business, given no direct operations in mainland China and relatively small exposure to the Asian region.

The company, however, has temporarily suspended travel in the region.