IGT revenue drops 6% in Q3

"Our strong third quarter performance reflects the scope and balance of our business," said Marco Sala, CEO of IGT. "Our largest global Lottery operations are growing steadily and acceptance of our newest gaming machines is expanding around the world. The significant increase in Gaming and Lottery product sales demonstrates clear interest in our systems and technology solutions. We expect our sustained investment in innovation, led by a customer-first, player-centric focus, to drive continued momentum in both Lottery and Gaming."

"Thanks to a favorable product sales mix and reduced operating expenses, Adjusted EBITDA improved from the prior-year period, after considering certain non-comparable items, such as the DoubleDown sale," explained Alberto Fornaro, CFO of IGT. "Based on the year-to-date results and current exchange rates, we expect to achieve Adjusted EBITDA of $1,640-$1,680 million for the full-year period."

Among the key aspects included in the financial report are:

• Global lottery same-store revenue, excluding Italy, grew 6.8% in the third quarter.
• Adjusted EBITDA was $428 million compared to $430 million in the third quarter of 2016.
• Global gaming product revenue increased 9% from the prior-year period.
• Interest expense was $114 million compared to $118 million in the prior-year period.
• Cash from operations was $601 million in the first nine months of the year and capital expenditures were $552 million.
• Revenue for North America Gaming & Interactive was $262 million compared to $317 million in the thirf quarter of 2016.
• North America Lottery revenue was $307 million in line with the prior-year period.
• International revenue increased 9% to $234 million, and was up 8% on a constant currency basis.

Adjusted operating income was $258 million compared to $286 million in the prior-year period. Adjusted EBITDA was $428 million compared to $430 million in the third quarter of 2016.