Everi has lauded growth across its core games and fintech segments, as the land-based and digital casino gaming content provider rolls-out a raised financial outlook for the current year.
Despite this, the group adds that results for the three month period ending September 30, 2021, continued to reflect the impact of the COVID-19 pandemic, albeit to a lesser extent than recent quarterly periods.
Revenue for the year’s third quarter increased 25 per cent to $168.3m (2020: $134.6m), nudged along by a 31.8 per cent fintech uptick to $72.4m (2020: $54.9m) primarily driven by an increase in revenues from financial access services and software.
However, the group’s games segment surged 67.4 per cent to $95.8m (2020: $57.2m), due to growth in the installed base and in daily win per unit in gaming operations, as well as increased shipments of gaming machines.
Operating income more than doubled during the quarter to $55.1m (2020: $27.3m), with adjusted EBITDA secured a 40 per cent uptick to $90.6m (2020: $64.7m).
Michael Rumbolz, CEO of Everi, said: “The growth in our third quarter revenue, operating earnings and free cash flow demonstrate the substantial ongoing momentum in our financial performance.
“We expect that further growth across both our games and fintech segments will continue for the remainder of this year and into 2022 and beyond.
“We expect to continue to benefit from the expansion of our installed base of leased gaming units, growth in ship share, same-store increases in financial access transactions, and the ongoing organic growth of our loyalty and regulatory compliance solutions.
“We believe the ongoing strength across both businesses and our deep pipeline of new offerings will drive consistent earnings and revenue growth as well as the continued generation of significant free cash flow.”
For the year-to-date, revenue increased 81.7 per cent to $479.9m (2020: $264.1m), with its games segment doubling to reach $271.3m (2020: $135.3m) as fintech rose 62 per cent to $208.6m (2020: $128.7m).
Randy Taylor, Everi’s COO, commented: “Our strong quarterly financial results are directly correlated to the continued successful execution of our strategic growth initiatives, leading to consistent new demand for our products.
“A key driver of our operating momentum is the continued growth of our high-margin, recurring revenue streams, which increased to more than $131m, a quarterly record.
“This strength translates to improved cash flow, which provides additional capital we can allocate towards return-focused investments in product innovation to drive sustainable growth, as well as the flexibility to pursue and successfully integrate and scale accretive bolt-on acquisitions.”
Furthermore, Everi has also raised its previous net income guidance for the full-year to $98m-$100m, with adjusted EBITDA slated to come in at $342m-$346m.
The company says that this reflects continued year-on-year growth, as well as a recent increase in installed base and the additional growth anticipated in the later part of the fourth quarter.