The CFO of Italian gaming operator Lottomatica said the operator will only consider acquisitions if it finds the right opportunity after the success of the second quarter has enabled the business to increase cash holdings and reduce debt. rice field.
Lottomatica in its current form is a relatively new entity. Created as a gaming multinational IGT, he sold his B2C business under the Lottomatica brand to Gamesnet Group, which has since adopted the Lottomatica brand.
As a result, much of the revenue and profit growth came from acquisitions.
Revenue increased by almost 350% to €801 million.
Online revenue increased from €128 million to €164 million in the six months to 30 June, an increase of 27.3%. Meanwhile, retail gambling increased from his €10 million to €174 million and the console segment increased from his €40 million to €463 million. The 2021 impact on the sector due to changes in consumer behavior during Covid times and government shutdowns of retail facilities increased tenfold.
The operator reported a profit of €61 million for the six months from 31 December 2021 to 30 June 2022, compared with €54 million and €67 million respectively for the previous two six months. There was a loss of
In the second quarter, the company posted earnings before interest, tax, depreciation and amortization (EBITDA) of €234 million, compared to an EBITDA of €125 million in the first quarter.
This growth was driven by both strong online growth and a recovery in corporate retail operations impacted by the covid-19 pandemic.
Online accounts accounted for 39% of total EBITDA, compared to 16% in the first half of 2019. This is a long-term trend accelerated by the social changes caused by the pandemic.
The report also heralded a positive outlook for regulation, with the Italian government’s decision on July 11 to extend Italy’s gaming concessions for another two years until 2024.
Rotomatica further noted the success of its integration efforts, which moved its retail and digital offerings onto a single platform, merged Rotomatica’s Scommesse and GoldBet divisions, and rolled out a single over-the-counter virtual wagering product.
Strong second-quarter results raised cash reserves and reduced debt, prompting questions about the company’s M&A ambitions on the earnings call.
“We are actively monitoring the market and are evaluating these assets with the same approach that we have previously described. We will make that clear to the market.”
Van Lancker continued to insist that the acquisition required a business case.
“We don’t want to buy for EBIDTA or growth. We want profitable, sustainable and disciplined growth under the right conditions. We continue to be very active in the field.”
