International Game Technology Releases 2016 Year End Results Displaying Mixed
International Game Technology released its full year 2016 results with the gaming provider expressing mixed results with its increasing revenues and decreasing social online gaming. Ok, the bad news first! IGT’s social gaming asset, Double Down Casino ended the gaming year with a loss of for the entire year. The third quarter was a loss for Double Down with it ending Q3 $26 million short. With the loss, it brought the full year figures down to $230 million. The reason for the decreasing amounts is due to fewer active users for daily play.
Chief Executive for IGT, Marco Sala commented that despite the negative results the group continued to impress with its challenges and milestones it accomplished this year. He said,
“We reinforced our No.1 position in lottery globally, achieving robust same-store revenue growth and securing valuable, multi-year contracts.”
The financial goals were achieved for 2016 says Alberto Fornaro, Group Chief Finance Officer. Fornaro said that,
“We expect 2017 to evolve as a year of two halves, with difficult comparisons in the first part of the year easing as we reach the second half.”
Some of the key or important highlights from the report and year include adjusted income up by 12% amounting at $1.2 billion, the company’s debt was down to $7.6 billion which is a 2% decrease and reported revenues were up by 10%.
- Fourth quarter net income of $233 million; adjusted EBITDA of $422 million reflects broad-based lottery growth and higher gaming product sales
- 2016 net income of $211 million; adjusted 2016 EBITDA of $1,755 million on strong North America and Italy performance
- Net debt of $7,569 million at year end
- Cash dividend declared of $0.20 per ordinary share