IGT revenue up 4% as lower lottery offsets strong gains in gaming, online

IGT, gaming

International Game Technology said 1Q22 revenue rose 4 percent as weaker lottery sales offset a strong performance from its gaming and igaming segments.

The company posted revenue of $1.1 billion. Global gaming revenue jumped 42 precent to $325 million, while igaming revenue was up 24 percent to $47 million. The company said its lottery revenue dropped to $680 million from $749 million.

However, the prior year-figure included about $95 million in one-off benefits. Stripping out those gains, revenue would have been 4 percent higher. 

Net income slipped to $117 million versus $138 million in the prior-year period, driven by a reduction in foreign exchange gains, partially offset by lower income taxes and cost of debt.

“The first quarter results clearly reflect the power of our portfolio,” said Vince Sadusky, CEO of IGT, “The quarter’s strong margin profile highlights the long-term recovery of the gaming business as well as increased levels of lottery play from pre-COVID periods. The Company’s initiatives around a simplified corporate structure have resulted in strong liquidity as we continue to invest in product development and return capital to shareholders.”

The company is reaffirming 2022 revenue targets in a range of $4.1 billion to $4.3  billion and an operating income margin of between 20 and 22 percent.