Athens-listed gambling technology and lottery systems provider Intralot SA has announced its financial results for the 12-month period ended December 31 2019, revealing a year-on-year revenue decrease of 8.1%.
In addition to the 8.1% year on year fall, the organisation also saw a 4.7% decrease on its revenues as a result of constant foreign exchange which saw it post final figures of €720.6m compared to 2018’s €870.8m.
Moreover, the Greek organisation’s financial results also unveiled a 25.4% year-on-year EBITDA slide of €87.8m compared to €116.5 at the same point last year, as well as a 21% year-on-year drop in its adjusted EBITDA at €68.7m when compared to €106.7m last year.
Sokratis P Kokkalis, INTRALOT Group Chairman, noted: “2019 has been a transition year for INTRALOT. I have set the cornerstones of the transformation of the Group by implementing a restructuring of our project portfolio through divestments of non-core assets; renewing existing contracts and winning new business with a focus in North America; launching our new products; and optimizing our cost structure.
“With the appointment of Mr Christos Dimitriadis as Group CEO in 2020, INTRALOT is enabled towards technology-driven evolution, leveraging his long experience and global expertise to achieve growth and value creation.”
Despite the slowdown in revenue and EBITDA, Intralot posted a 21% year-on-year increase of €18.3bn from its handling of worldwide wagers, with North America achieving a 51.1% increase. East Europe saw growth of 17%, with Africa, Asia, West Europe and South America also registering increases of 13.3%, 9.3%, 3.6% and 0.6% respectively.
Moreover, the financial figures released also revealed that lottery games was the group’s largest contributor to its top line, comprising 44.4% of its revenue, followed by sports betting which contributed to 42.7% of its turnover.
Technology contracts (6%), VLTs (4.4%) and Racing (2.5%) accounted for the remainder of the group’s FY19 total revenue.
Group CEO Christos K Dimitriadis concluded: “In 2019 we have completed the sale of our shares in Gamenet Spa in Italy, Totolotek in Poland and Hellenic Lotteries in Greece, strengthening the company’s liquidity and improving its capability for strategic investments. We are particularly satisfied with the successful launch of our brand-new product LOTOS X at OPAP, as well as at the National Dutch Lottery (NLO) with the Eurojackpot game.
“We are also proud for the launch of our landmark gaming system and services project with CAMELOT in Illinois, as well as for capturing sports betting opportunities with US State Lotteries in the District of Columbia, Montana and New Hampshire.
“The signing of a new Lottery contract with the British Columbia Lottery Corporation in Canada is a great achievement proving the execution of our growth strategy in North America. We have also successfully implemented a cost saving program at HQ resulting in €11m of savings that have partly offset adverse developments related to the loss of the Turkish land based sports betting contract, the negative impact of the regulatory changes in online betting in Turkey and one-time cost overruns.
“Looking into the future and as we go through the fourth industrial revolution, we are prepared to capitalize on our recent investments in building state-of-the-art products and in achieving economies of scale. The transformative power of our technology will play a key role in business innovation and value creation, together with an even more customer-centric new organizational structure.”