Inspired Entertainment Inc has published its Q3 financial report for the period ended September 30, revealing continued growth across its operations after recovering from the pandemic.
Total revenue for the period increased 29% year-on-year to $77.6m, compared to $60.1m in the same period last year. Net income increased to a quarterly record of $25m, compared to $0.5m, while adjusted EBITDA increased by 20.4% year-on-year to $30.1m from $25m in the previous year.
Executive Chairman Lorne Weil commented: “I am very pleased with our third-quarter results, as they reflect that we have emerged from the pandemic a much stronger, leaner and more efficient company with significant momentum and increased growth opportunities.
“Our evolution this year, compared to pre-pandemic periods, is being driven by consistent growth in the operating performance of our capital-efficient Interactive and Virtual Sports segments, demonstrating the substantial demand that exists for our products as well as an acceleration in general industry trends.”
During Q3, Inspired saw its Interactive revenue grow 73.4% year-over-year to a record $6.1m from $3.5m, due to the consistent launch of new content across the estate, growth in the customer base in new, emerging and core markets and increased promotional activity through exclusive deals with tier-one customers.
This performance led to the Interactive segment operating income increasing 44.9% year-on-year to $2.3m, primarily due to the increase in revenue and partly offset by an increase in cost of sales and third-party platform provider costs in line with the revenue increase.
Throughout Q3, Inspired has strengthened its foothold in the lottery sector, elevating its partnership with Loto-Quebec to launch its first suite of ilottery games.
Furthermore, it has struck a deal with the Greek lottery operator, OPAP, to launch its virtual sports products as it seeks to improve its position globally.
Weil added: “We have been actively pursuing online gaming supplier licenses in several additional jurisdictions and announced Loto-Quebec as our first ilottery customer, which we believe is an underpenetrated sector. We continue to see significant opportunities in the North American gaming landscape, and we believe we are well-positioned based on our content-driven strategy and depth of relationships.”