Inspired Entertainment has published its financial results for the three-month period ended June 30, announcing a 72% rise in revenue year-on-year.
The lottery and gaming provider recorded $71.3m in revenue during Q2 FY2022, a significant improvement on last year when the company’s revenue between April 1 and June 30 amounted to $41.5m.
Inspired’s virtual sports revenue played an integral role in this growth after increasing 71% YoY to a record $14m, while the firm’s net income in Q2 FY2022 was $7.5m, compared to a $43.8m loss during the same period last year.
Meanwhile, Inspired reported that its adjusted EBITDA increased by 227% YoY.
Lorne Weil, Executive Chairman of Inspired, commented: “This quarter’s underlying performance is a testament to the resiliency of our diversified business model, as well as what we perceive to be the continued strength in consumer spending across our segments – notwithstanding ongoing macro trends.”
Weil continued: “We are very excited about the current trends in our business and what’s to come, including our recent interactive launches in Ontario and particularly in Pennsylvania, where we are witnessing strong results with only one customer live and we have several additional customer launches to follow in the year, and the launch of Virtual Sports with the DC Lottery, our second North American lottery.”
Inspired also shared a number of highlights from Q2, including the launch of its first ilottery title Pharaon Reaction, which was among the top five Loto-Quebec ilottery games in the second quarter of 2022.
Stewart Baker, Executive Vice President and Chief Financial Officer, added: “We are particularly pleased with our second quarter results, given the prevailing perception of headwinds from the macro-economic environment as well as the impact from foreign exchange rates.
“Given our ongoing strong performance in the face of these headwinds, the long-term outlook of the company and the strength of our balance sheet, we have utilised our board-approved share buyback program to repurchase nearly 750,000 shares of Inspired common stock, as of August 9, at an average price of $9.73 per share (before trading expenses).
“Moving forward, we see continued pressure from FX rates, however our underlying business has maintained the same trend. We will continue to be disciplined in our approach to capital deployment, while also focused on executing on our strategic plan to deliver profitable growth, increase cash flows and maximise shareholder value.”