Browse articles by topic

IGT reduces net loss despite revenue decline in 2019

News

International Game Technology (IGT) has announced a lower net loss in 2019, despite also reporting a year-on-year decline in consolidated revenue for the year.

Consolidated revenue for the 12 months to 31 December 2019 totalled $4.79bn, down 1.5% from $4.83bn in the previous year.

IGT said global service revenue was impacted by higher gaming machine taxes in Italy, as well as the conclusion of its contract with the Illinois Lottery and what it described as exceptional North American jackpot activity in the prior year.

However, despite the slight decline in revenue, IGT noted significant growth in global gaming product sales, sports betting and Italian commercial services.

In terms of operating expenses, IGT spent 0.72% less than in 2018, with total costs amounting to $4.15bn for the year. Cost of services was by far the main outgoing for IGT, but spend here was down 2.9% to $2.38bn.

Product sales expenses were up 12.7% year-on-year to $553.3m, while selling, general and administrative costs were up slightly to $856.0m. Spending on research and development also increased from $263.3m to $266.2m.

IGT, however, was able to make some savings elsewhere, with other operating expenses down from $17.3m to $3.7m, while it benefited from a lower goodwill impairment of $99m, compared to $118.0m.

Read the full story on iGB.