International Game Tech (IGT) Tops Q4 EPS by 3c, provides guidance

International Game Tech (NYSE: IGT) reported Q4 EPS of $0.22, $0.03 better than the analyst estimate of $0.19. Revenue for the quarter came in at $651 million versus the consensus estimate of $660.07 million.

GUIDANCE:

International Game Tech sees FY 2025 revenue of $2.55-2.65 billion, versus the consensus of $2.545 billion.

Global same-store sales up low-single-digits
Higher product sales, driven by sustainable instant ticket services growth
H1\'25 impacted by an estimated $40 - $50 million from lower U.S. Multi-state Jackpot activity and associated LMA incentives, accounting for lower expected revenue in Q1\'25 versus Q1\'24

Adjusted EBITDA of $1.10 - $1.15 billion

Flow-through of lower U.S. Multi-state Jackpot activity and associated LMA incentives referenced above
$25 million of increased investment in the business (contract rebids and extensions, cloud-based solutions, network optimization), which are mostly concentrated in H1\'25 and are expected to deliver future capital expenditure efficiencies
Q1\'25 Adjusted EBITDA down approximately $70 million, primarily on lower U.S. Multi-state Jackpot activity and associated LMA incentives, in addition to unfavorable product mix and investment in the business; in the balance of the year, Adjusted EBITDA is aligned with the prior year, including growth in H2\'25

Net cash used in operating activities of approximately $300 million

Includes €800 million (approximately $850 million) related to first two installments of Italy Lotto upfront license fee (reflects 100% consolidation of Italy joint venture; minority partner contributions representing their pro rata share are recorded in cash flows from financing activities)
Ex-Lotto license fee and compared to FY\'24, cash flow performance impacted approximately one-third by the lower forecasted Adjusted EBITDA and two-thirds by the timing of certain working capital items

Capital expenditures of approximately $450 million; reflects increased investments related to contract wins, extensions, and upcoming bids

For earnings history and earnings-related data on International Game Tech (IGT) click here.

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