NeoGames records FY21 revenue growth amid ‘unrivalled innovation’ in ilottery

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NeoGames has hailed the “unrivalled innovation” in its ilottery sector after publishing its Q4 and full-year results for 2021.

For the period ending December 31, 2021, the provider of end-to-end ilottery solutions declared an increase in revenue to $50.5m, up from $49.2m for the previous full year. This was achieved despite a drop in Q4 revenues to $12.3m, a $1.7m decrease from 2020.

However, its share of NeoPollard Interactive (NPi) revenues from its joint venture with Pollard Banknote doubled to $9m in Q4 2021. In addition, the company’s adjusted EBITDA was $33.4m during 2021, a year-on-year increase of 16.5% (FY2020: $28.7m).

Network Net Gaming Revenue (NGR) totalled $750m in 2021, compared to $448m for the prior year, representing an increase of 67% YoY.

Moti Malul, Chief Executive Officer of NeoGames, commented: “Sound commercial execution and unrivalled innovation in ilottery are continuing to drive growth for our customers.

“During the fourth quarter we saw growth in all of our key accounts with particular strength in our US accounts. Our combined revenues and share in NPI Revenues grew 5% sequentially, and over 40% for the full year.”

NeoGames did suffer a loss in its comprehensive income for Q4 ($3.6m) and its full-year figures fell from $6.5m ($0.29 per share) in 2020 to $4.7m ($0.18 per share).

This was attributed to several non-recurring items, including prospective acquisition related expenses, share based compensation expenses and the additional costs of being a publicly listed company for the entirety of 2021.

Crucially, Malul highlighted the importance of its proposed acquisition of Aspire Global, the Malta-based sports betting and gaming software provider, who NeoGames launched a ‘transformational’ €410m bid for in January.

“We carried our momentum into 2022 with our offer to acquire Aspire Global, which continues to be on track for closing in the first half of 2022,” Malul continued. “More and more we find our ilottery customers require a broad range of integrated gaming verticals. We firmly believe that combining NeoGames and Aspire Global will drive our strategy to be a leader in providing digital solutions to lotteries globally.

“We are already successfully collaborating with Aspire to launch their Pariplay content in Alberta and the early results are very encouraging. We remain focused on capitalising on an expanding market opportunity and continuing to create value for our shareholders.”

In January, NeoGames announced its first digital content partnership with the Atlantic Lottery Corporation (ALC), further expanding its reach in Canada.