Driven by double-digit gains in EGMs and Tables

AGS reports 13% year-over-year revenue growth in Q1

"Our EGM recurring revenue installed base grew 14% year-over-year to 27,308 units, driven by the inclusion of 2,500 EGMs from the Integrity acquisition, which we closed in February of this year," CEO David Lopez said.
2019-05-10
Reading time 1:53 min
Total revenue rose by 13% to $73.0 million during the first quarter ended on March 31. According to the company, this increase was driven by the continued growth in the firm's EGM and table products segment.

AGS reported Wednesday operating results for its first quarter ended March 31, 2019.

"I’m pleased to report another solid quarter of growth for AGS, with total revenue of $73 million up 13% year-over-year, driven by double-digit gains in EGMs and Tables," AGS Chief Executive Officer David Lopez said. The company reported EGM Units sold of 1,024, a 22% Year-Over-Year increase.

Quarterly recurring revenue was $52.9 Million, a 7% year-over-year rise. First quarter net loss attributable to PlayAGS was $0.1 million and improving from a net loss of $9.5 Million.

"Sold EGM units grew 22% year-over-year and our Tables Products segment reported its strongest quarter to date, driven by our award-winning progressive platforms. Our EGM recurring revenue installed base grew 14% year-over-year to 27,308 units, driven by the inclusion of 2,500 EGMs from the Integrity acquisition, which we closed in February of this year. With numerous levers to build momentum — including strategic investments in R&D to continue building a strong, diversified, and expanded product portfolio, as well as many new and underpenetrated domestic and international markets — AGS is well-positioned for continued long-term, meaningful growth," the CEO continued.

First Quarter 2019 Financial Highlights were as follows:

  • Total revenue increased 13% to $73.0 million, driven by continued growth in our EGM segment, primarily sold units in early-entry markets such as Michigan, Saskatchewan, Pennsylvania, and Massachusetts, as well as continued penetration into ramping markets such as Florida and California in addition to the contribution of leased EGMs acquired from Integrity Gaming Corp. (“Integrity”) in February 2019.
  • EGM equipment sales revenue increased 33% to $20.2 million, driven by the sale of 1,024 units, of which nearly 55% were sold into early-entry markets.
  • Record gaming operations revenue, or recurring revenue, grew to $52.9 million, or 7% year-over-year, driven by the acquisition of Integrity, growth and performance of our international installed base, and an increase in Table Products revenue.
  • Net loss attributable to PlayAGS, Inc. of $0.1 million improved year-over-year from a net loss of $9.5 million.
  • Total Adjusted EBITDA (non-GAAP) increased to $36.3 million, or 5%, driven by the increase in revenue, offset by increased adjusted operating expenses, primarily due to headcount related costs in SG&A and R&D as well as an additional $1.0 million of operating costs from iGaming.
  • Total Adjusted EBITDA margin (non-GAAP) decreased to 50% in the first quarter of 2019 compared to 53% in the prior year driven by several factors, including increased headcount related costs in SG&A and R&D, operating costs from iGaming, as well as the increased proportion of equipment sales as part of total revenues. The prior year also included a favorable state and local tax benefit of $0.9 million.

 

Leave your comment
Subscribe to our newsletter
Enter your email to receive the latest news
By entering your email address, you agree to Yogonet's Condiciones de uso and Privacy Policies. You understand Yogonet may use your address to send updates and marketing emails. Use the Unsubscribe link in those emails to opt out at any time.
Unsubscribe
EVENTS CALENDAR