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International Game Technology PLC Reports Second Quarter 2021 Results
- Delivered operating income of $244 million, highlighting impressive Global Lottery operating leverage and excellent progress on structural cost savings
- Net income of $365 million comprised of $39 million loss from continuing operations and income from discontinued operations of $404 million, including gain on sale of assets
- Adjusted EBITDA increases 170% to $442 million, among the highest in Company history
- Generated $500 million in cash from continuing operations and a record-level $380 million of free cash flow during the first half of the year
- $1.0 billion net debt reduction in first half; net debt leverage improved from 6.4x to 4.3x, reaching target six months early
- Raising 2021 outlook; now expect to exceed 2019 levels for key financial metrics this year
LONDON, Aug. 3, 2021 /PRNewswire/ -- International Game Technology PLC ("IGT") (NYSE:IGT) today reported financial results for the second quarter ended June 30, 2021. Today, at 8:00 a.m. EDT, management will host a conference call and webcast to present the results; access details are provided below.
"Impressive second quarter results highlight the vitality of our portfolio," said Marco Sala, CEO of IGT. "Outstanding Lottery performance, the progressive recovery in land-based Gaming, and strong increase in Digital & Betting activities drove substantial revenue and profit growth, delivering Adjusted EBITDA that is among the highest recorded in a quarterly period. On the strength of the first half performance, we are raising our outlook for the year and now expect to exceed 2019 levels for key financial metrics this year."
"Record free cash flow from continuing operations and proceeds from recent asset sales fueled significant debt reduction in the first half," said Max Chiara, CFO of IGT. "Our leverage profile improved substantially, reaching pre-pandemic levels well ahead of expectations, and improving our credit profile and overall financial condition."
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Overview of Consolidated Second Quarter 2021 Results |
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Quarter Ended |
Y/Y |
Constant |
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All amounts from continuing operations |
June 30, |
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2021 |
|
2020 |
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($ in millions, unless otherwise noted) |
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GAAP Financials: |
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Revenue |
|
|
|
|
|
|
Global Lottery |
725 |
|
460 |
58% |
50% |
|
Global Gaming |
316 |
|
140 |
126% |
120% |
|
Total revenue |
1,041 |
|
600 |
74% |
67% |
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|
|
|
|
|
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Operating income (loss) |
|
|
|
|
|
|
Global Lottery |
300 |
|
107 |
180% |
163% |
|
Global Gaming |
10 |
|
(111) |
NA |
NA |
|
Corporate support expense |
(26) |
|
(26) |
—% |
11% |
|
Other(1) |
(40) |
|
(43) |
7% |
7% |
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Total operating income (loss) |
244 |
|
(72) |
NA |
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Net cash provided by operating activities |
249 |
|
127 |
95% |
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Cash and cash equivalents |
639 |
|
1,338 |
(52)% |
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Non-GAAP Financial Measures: |
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Adjusted EBITDA |
|
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|
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Global Lottery |
414 |
|
221 |
87% |
76% |
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Global Gaming |
49 |
|
(36) |
NA |
NA |
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Corporate support expense |
(21) |
|
(20) |
(2)% |
12% |
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Total Adjusted EBITDA |
442 |
|
164 |
170% |
157% |
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Free cash flow |
176 |
|
73 |
140% |
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Net debt(2) |
6,312 |
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7,297 |
(13)% |
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(1) Primarily includes purchase price amortization |
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(2) Historical net debt recast to only reflect continuing operations |
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Note: Reconciliations of non-GAAP financial measures to the most directly comparable GAAP financial measures are provided at the end of this news release |
Key Highlights:
- Global Lottery delivers second-highest revenue and profit levels in segment history, driven by strong player demand
- Achieved approximately two-thirds of $200M+ 2021 OPtiMa savings targets year-to-date
- Global Gaming returns to profitability as progressive recovery continues; Digital & Betting revenue increases 41% in the quarter
- Growing adoption of IGT's best-in-class cashless solutions, most recently with Agua Caliente Casinos and Washington's Lottery
- Completed sale of Italy B2C gaming businesses; net proceeds used to partially fund full redemption, by make-whole call, of 4.750% Senior Secured Euro Notes due February 2023
- Announced 25th anniversary of Wheel of Fortune® Slots; deployed Wheel of Fortune®-themed Historical Horse Racing games at Churchill Downs in Kentucky
- Signed seven-year systems contract with Maryland Lottery connecting 11,500 Video Lottery Terminals and Electronic Table Games across six casinos
- Expanded availability of PeakSlant49™ cabinet, with high-performing core video content, under purchase model
- Recently won "Casino Supplier of the Year" award in 2021 Global Gaming Awards London
Financial highlights:
Consolidated revenue of $1.0 billion, up 74% from the prior year
- Global Lottery revenue rises 58% to $725 million, driven by 35% growth in same-store sales
- Global Gaming revenue totals $316 million, up 126% from the prior year and 19% sequentially on continued recovery trends
Operating income of $244 million compared to operating loss of $72 million in the prior year
- High profit flow-through of Global Lottery same-store sales growth
- Mix of high-margin Italy lottery sales
- Disciplined cost management and benefits from OPtiMa structural cost-savings program
Net interest expense of $91 million compared to $96 million in the prior year, driven by lower average debt balances and interest rates
Provision for income taxes of $32 million compared to a benefit from income taxes of $3 million in the prior year, on significant increase in operating profitability
Net loss of $39 million versus net loss of $268 million in the prior-year period, primarily driven by significant increase in revenue
Adjusted EBITDA of $442 million compared to $164 million in the prior-year period; Global Lottery delivers near record segment-level Adjusted EBITDA
Net debt of $6.3 billion, down over $1.0 billion from $7.3 billion at December 31, 2020; Net debt leverage of 4.3x, down from 6.4x at December 31, 2020, driven by strong financial results, cash flow generation, and proceeds from sale of Italy gaming businesses
Cash and Liquidity Update
- Total liquidity of $1.9 billion as of June 30, 2021; $639 million in unrestricted cash and $1.3 billion in additional borrowing capacity
- $748 million in net cash proceeds from sale of Italy gaming businesses used to fund redemption of 4.750% Euro bonds due 2023
- Executed amendment and extension of Term Loan Facility in July, increasing liquidity, extending debt maturities, and lowering interest costs
Outlook
- Second half 2021 revenue and operating income from continuing operations of $2.0 billion and $300 million, respectfully, meaningfully higher than prior year
- Global Lottery returns to more normal growth rates applied to higher levels of consumption; third quarter-to-date same-store sales up double digits versus 2019
- Global Gaming progressive recovery continues
- Second half 2021 compared to first half 2021
- Revenue, operating income, and cash from operations lower on normalization of lottery growth trends
- Capital expenditures of approximately $175 million, sequentially accelerating to support growth; full year capital expenditures below 2019 levels
- Depreciation and amortization stable
- Does not factor in any additional impact from COVID-19 restrictions
Conference Call and Webcast
August 3, 2021, at 8:00 a.m. EDT
Live webcast available under "News, Events & Presentations" on IGT's Investor Relations website at www.IGT.com; replay available on the website following the live event
Dial-In Numbers
- US/Canada toll-free dial-in number: +1 866 968-0344
- Outside the US/Canada toll-free number: +1 873 415-0264
- Conference ID/confirmation code: 8589154
- A telephone replay of the call will be available for one week
- US/Canada replay number: +1 800 585-8367
- Outside the US/Canada replay number: +1 416 621-4642
- ID/Confirmation code: 8589154
Note: Certain totals in the tables included in this press release may not add due to rounding
Comparability of Results
All figures presented in this news release are prepared under U.S. GAAP, unless noted otherwise. Adjusted figures exclude the impact of items such as purchase accounting, impairment charges, restructuring expense, foreign exchange, and certain one-time, primarily transaction-related items. Reconciliations to the most directly comparable U.S. GAAP measures are included in the tables in this news release. Constant currency changes for 2021 are calculated using the same foreign exchange rates as the corresponding 2020 period. Management uses non-GAAP financial measures to understand and compare operating results across accounting periods, for internal budgeting and forecasting purposes, and to evaluate the Company's financial performance. Management believes these non-GAAP financial measures reflect the Company's ongoing business in a manner that allows for meaningful period-to-period comparisons and analysis of business trends. These constant currency changes and non-GAAP financial measures should however be viewed in addition to, and not as an alternative for, the Company's reported results prepared in accordance with U.S. GAAP.
About IGT
IGT (NYSE:IGT) is the global leader in gaming. We deliver entertaining and responsible gaming experiences for players across all channels and regulated segments, from Gaming Machines and Lotteries to Sports Betting and Digital. Leveraging a wealth of compelling content, substantial investment in innovation, player insights, operational expertise, and leading-edge technology, our solutions deliver unrivalled gaming experiences that engage players and drive growth. We have a well-established local presence and relationships with governments and regulators in more than 100 countries around the world, and create value by adhering to the highest standards of service, integrity, and responsibility. IGT has approximately 11,000 employees. For more information, please visit www.IGT.com.
Cautionary Statement Regarding Forward-Looking Statements
This news release may contain forward-looking statements (including within the meaning of the Private Securities Litigation Reform Act of 1995) concerning International Game Technology PLC and its consolidated subsidiaries (the "Company") and other matters. These statements may discuss goals, intentions, and expectations as to future plans, trends, events, dividends, results of operations, or financial condition, or otherwise, based on current beliefs of the management of the Company as well as assumptions made by, and information currently available to, such management. Forward-looking statements may be accompanied by words such as "aim," "anticipate," "believe," "plan," "could," "would," "should," "shall", "continue," "estimate," "expect," "forecast," "future," "guidance," "intend," "may," "will," "possible," "potential," "predict," "project" or the negative or other variations of them. These forward-looking statements speak only as of the date on which such statements are made and are subject to various risks and uncertainties, many of which are outside the Company's control. Should one or more of these risks or uncertainties materialize, or should any of the underlying assumptions prove incorrect, actual results may differ materially from those predicted in the forward-looking statements and from past results, performance, or achievements. Therefore, you should not place undue reliance on such statements. Factors that could cause actual results to differ materially from those in the forward-looking statements include (but are not limited to) the factors and risks described in the Company's annual report on Form 20-F for the financial year ended December 31, 2020 and other documents filed from time to time with the SEC, which are available on the SEC's website at www.sec.gov and on the investor relations section of the Company's website at www.IGT.com. Except as required under applicable law, the Company does not assume any obligation to update these forward-looking statements. You should carefully consider these factors and other risks and uncertainties that affect the Company's business. Nothing in this news release is intended, or is to be construed, as a profit forecast or to be interpreted to mean that the financial performance of International Game Technology PLC for the current or any future financial years will necessarily match or exceed the historical published financial performance of International Game Technology PLC, as applicable. All forward-looking statements contained in this news release are qualified in their entirety by this cautionary statement. All subsequent written or oral forward-looking statements attributable to International Game Technology PLC, or persons acting on its behalf, are expressly qualified in their entirety by this cautionary statement.
Non-GAAP Financial Measures
Management supplements the reporting of financial information, determined under GAAP, with certain non-GAAP financial information. Management believes the non-GAAP information presented provides investors with additional useful information, but it is not intended to nor should it be considered in isolation or as a substitute for the related GAAP measures. Moreover, other companies may define non-GAAP measures differently, which limits the usefulness of these measures for comparisons with such other companies. The Company encourages investors to review its financial statements and publicly-filed reports in their entirety and not to rely on any single financial measure.
Adjusted EBITDA represents net income (loss) from continuing operations (a GAAP measure) before income taxes, interest expense, foreign exchange gain (loss), other non-operating expenses, depreciation, impairment losses, amortization (service revenue, purchase accounting and non-purchase accounting), restructuring expenses, stock-based compensation, litigation expense (income), and certain other non-recurring items. Other non-recurring items are infrequent in nature and are not reflective of ongoing operational activities. For the business segments, Adjusted EBITDA represents segment operating income (loss) before depreciation, amortization (service revenue, purchase accounting and non-purchase accounting), restructuring expenses, stock-based compensation, litigation expense (income) and certain other non-recurring items. Adjusted EBITDA – discontinued operations represents income (loss) from discontinued operations (a GAAP measure) before income taxes, interest expense, depreciation and amortization, and gain on sale of discontinued operations. Adjusted EBITDA – combined represents Total Adjusted EBITDA plus Adjusted EBITDA – discontinued operations. Management believes that the non-GAAP measures just mentioned are useful in providing period-to-period comparisons of the results of the Company's ongoing operational performance.
Net debt is a non-GAAP financial measure that represents debt (a GAAP measure, calculated as long-term obligations plus short-term borrowings) minus capitalized debt issuance costs and cash and cash and equivalents. Cash and cash equivalents are subtracted from the GAAP measure because they could be used to reduce the Company's debt obligations. Management believes that net debt is a useful measure to monitor leverage and evaluate the balance sheet.
Net debt leverage is a non-GAAP financial measure that represents the ratio of Net debt as of a particular balance sheet date to Adjusted EBITDA for the last twelve months ("LTM") prior to such date. Prior to the disposal of the Italian B2C gaming businesses in the second quarter of 2021, management calculated the Net debt leverage ratio as the ratio of Net debt as of a particular balance sheet date to the LTM of Adjusted EBITDA – combined prior to such date. Management believes that Net debt leverage is a useful measure to assess our financial strength and ability to incur incremental indebtedness when making key investment decisions.
Free cash flow is a non-GAAP financial measure that represents cash flow from operations (a GAAP measure) less capital expenditures. Management believes free cash flow is a useful measure of liquidity and an additional basis for assessing IGT's ability to fund its activities, including debt service and distribution of earnings to shareholders.
Constant currency is a non-GAAP financial measure that expresses the current financial data using the prior-year/period exchange rate (i.e., the exchange rates used in preparing the financial statements for the prior year). Management believes that constant currency is a useful measure to compare period-to-period results without regard to the impact of fluctuating foreign currency exchange rates.
A reconciliation of the non-GAAP measures to the corresponding amounts prepared in accordance with GAAP appears in the tables in this release. The tables provide additional information as to the items and amounts that have been excluded from the adjusted measures.
Contact:
Phil O'Shaughnessy, Global Communications, toll free in U.S./Canada +1 (844) IGT-7452; outside U.S./Canada +1 (401) 392-7452
Francesco Luti, +39 3485475493; for Italian media inquiries
James Hurley, Investor Relations, +1 (401) 392-7190
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Select Performance and KPI data: ($ in millions, unless otherwise noted) |
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Sequential |
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Constant |
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Change as |
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Q2'21 |
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Y/Y Change (%) |
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Currency |
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Reported |
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GLOBAL LOTTERY |
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Q2'20 |
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Change (%)(1) |
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Q1'21 |
(%) |
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Revenue |
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Service |
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Operating and facilities management contracts |
|
675 |
|
416 |
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62% |
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55% |
|
695 |
(3)% |
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Upfront license fee amortization |
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(53) |
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(48) |
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(9)% |
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—% |
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(52) |
(1)% |
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Operating and facilities management contracts, net |
|
623 |
|
367 |
|
70% |
|
62% |
|
643 |
(3)% |
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Other |
|
79 |
|
70 |
|
12% |
|
4% |
|
83 |
(4)% |
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Total service revenue |
|
702 |
|
438 |
|
60% |
|
53% |
|
725 |
(3)% |
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|
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Product sales |
|
23 |
|
22 |
|
6% |
|
3% |
|
23 |
(1)% |
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Total revenue |
|
725 |
|
460 |
|
58% |
|
50% |
|
749 |
(3)% |
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|
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|||
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Operating income |
|
300 |
|
107 |
|
180% |
|
163% |
|
337 |
(11)% |
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Adjusted EBITDA(1) |
|
414 |
|
221 |
|
87% |
|
76% |
|
447 |
(7)% |
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Global same-store sales growth (%) |
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Instant ticket & draw games |
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34.9% |
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(7.1)% |
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27.4% |
|
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Multi-jurisdiction jackpots |
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28.8% |
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(24.2)% |
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94.7% |
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Total |
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34.5% |
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(8.5)% |
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32.4% |
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North America & Rest of world same-store sales growth (%) |
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Instant ticket & draw games |
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20.5% |
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3.5% |
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20.9% |
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Multi-jurisdiction jackpots |
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28.8% |
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(24.2)% |
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94.7% |
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Total |
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21.1% |
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0.6% |
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27.8% |
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Italy same-store sales growth (%) |
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Instant ticket & draw games |
|
115.2% |
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(40.5)% |
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|
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|
52.2% |
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(1) Non-GAAP measures; see disclaimer and reconciliations to the most directly comparable GAAP measure included herein |
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Sequential |
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Constant |
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Change as |
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Q2'21 |
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Y/Y Change (%) |
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Currency |
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Reported |
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GLOBAL GAMING |
|
Q2'20 |
|
Change (%)(1) |
|
Q1'21 |
(%) |
|||||||
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Revenue |
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|||
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Service |
|
|
|
|
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Terminal |
|
108 |
|
25 |
|
325% |
|
323% |
|
90 |
20% |
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Systems, software, and other |
|
91 |
|
59 |
|
54% |
|
50% |
|
86 |
6% |
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Total service revenue |
|
199 |
|
84 |
|
136% |
|
132% |
|
175 |
13% |
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|
|
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|
|
|
|||
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Product sales |
|
|
|
|
|
|
|
|
|
|
|
|||
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Terminal |
|
86 |
|
44 |
|
97% |
|
91% |
|
62 |
40% |
|||
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Other |
|
31 |
|
12 |
|
160% |
|
147% |
|
29 |
7% |
|||
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Total product sales revenue |
|
117 |
|
56 |
|
110% |
|
103% |
|
91 |
29% |
|||
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Total revenue |
|
316 |
|
140 |
|
126% |
|
120% |
|
266 |
19% |
|||
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|||
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Operating income (loss) |
|
10 |
|
(111) |
|
NA |
|
NA |
|
(19) |
NA |
|||
|
Adjusted EBITDA(1) |
|
49 |
|
(36) |
|
NA |
|
NA |
|
19 |
158% |
|||
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|
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|
|
|
|
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Installed base units |
|
|
|
|
|
|
|
|
|
|
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|||
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Casino |
|
47,964 |
|
48,704 |
|
(2)% |
|
|
|
48,230 |
|
|||
|
Casino - L/T lease (2) |
|
1,136 |
|
930 |
|
22% |
|
|
|
1,135 |
|
|||
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Total installed base units |
|
49,100 |
|
49,634 |
|
(1)% |
|
|
|
49,365 |
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Installed base units (by geography) |
|
|
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|
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|
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|||
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US & Canada |
|
33,820 |
|
34,800 |
|
(3)% |
|
|
|
34,138 |
|
|||
|
Rest of world |
|
15,280 |
|
14,834 |
|
3% |
|
|
|
15,227 |
|
|||
|
Total installed base units |
|
49,100 |
|
49,634 |
|
(1)% |
|
|
|
49,365 |
|
|||
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|
|
|
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|||
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Yields (by geography)(3), in absolute $ |
|
|
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|
|
|
|
|
|
|
|||
|
US & Canada |
|
$38.41 |
|
$8.69 |
|
342% |
|
|
|
$32.27 |
|
|||
|
Rest of world |
|
$4.03 |
|
$0.49 |
|
NM |
|
|
|
$2.58 |
|
|||
|
Total yields |
|
$27.49 |
|
$6.21 |
|
343% |
|
|
|
$22.93 |
|
|||
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|
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Global machine units sold |
|
|
|
|
|
|
|
|
|
|
|
|||
|
New/expansion |
|
1,167 |
|
1,443 |
|
(19)% |
|
|
|
884 |
|
|||
|
Replacement |
|
5,168 |
|
1,538 |
|
236% |
|
|
|
3,521 |
|
|||
|
Total machine units sold |
|
6,335 |
|
2,981 |
|
113% |
|
|
|
4,405 |
|
|||
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|
|
|
|
|
|
|
|
|
|
|
|
|||
|
US & Canada machine units sold |
|
|
|
|
|
|
|
|
|
|
|
|||
|
New/expansion |
|
643 |
|
1,382 |
|
(53)% |
|
|
|
620 |
|
|||
|
Replacement |
|
3,485 |
|
1,330 |
|
162% |
|
|
|
2,276 |
|
|||
|
Total machine units sold |
|
4,128 |
|
2,712 |
|
52% |
|
|
|
2,896 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
(1) Non-GAAP measures; see disclaimer and reconciliations to the most directly comparable GAAP measure included herein |
|
|
|
|||||||||||
|
(2) Excluded from yield calculations due to treatment as sales-type leases |
|
|
|
|||||||||||
|
(3) Excludes Casino L/T lease units due to treatment as sales-type leases; comparability on a Y/Y basis hindered due to fewer active units |
|
|||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
Sequential |
|||
|
|
|
|
|
|
|
|
|
Constant |
|
|
Change as |
|||
|
|
|
Q2'21 |
|
|
|
Y/Y Change (%) |
|
Currency |
|
|
Reported |
|||
|
GLOBAL GAMING (Continued) |
|
Q2'20 |
|
Change (%)(1) |
|
Q1'21 |
(%) |
|||||||
|
Rest of world machine units sold |
|
|
|
|
|
|
|
|
|
|
|
|||
|
New/expansion |
|
524 |
|
61 |
|
NM |
|
|
|
264 |
|
|||
|
Replacement |
|
1,683 |
|
208 |
|
NM |
|
|
|
1,245 |
|
|||
|
Total machine units sold |
|
2,207 |
|
269 |
|
NM |
|
|
|
1,509 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
Average Selling Price (ASP), in absolute $ |
|
|
|
|
|
|
|
|
|
|
|
|||
|
US & Canada |
|
$13,900 |
|
$14,700 |
|
(5)% |
|
|
|
$13,900 |
|
|||
|
Rest of world |
|
$12,700 |
|
$14,000 |
|
(9)% |
|
|
|
$13,700 |
|
|||
|
Total ASP |
|
$13,400 |
|
$14,600 |
|
(8)% |
|
|
|
$13,800 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
Gaming Systems Revenue |
|
39 |
|
23 |
|
66% |
|
|
|
30 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
CONSOLIDATED |
|
|
|
|
|
|
|
|
|
|
|
|||
|
Revenue (by geography) |
|
|
|
|
|
|
|
|
|
|
|
|||
|
US & Canada |
|
561 |
|
369 |
|
52% |
|
51% |
|
542 |
4% |
|||
|
Italy |
|
353 |
|
146 |
|
141% |
|
122% |
|
348 |
1% |
|||
|
Rest of world |
|
127 |
|
84 |
|
51% |
|
40% |
|
124 |
2% |
|||
|
Total revenue |
|
1,041 |
|
600 |
|
74% |
|
67% |
|
1,015 |
3% |
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
Digital & Betting Revenue (2) |
|
61 |
|
44 |
|
41% |
|
34% |
|
58 |
5% |
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
(1) Non-GAAP measures; see disclaimer and reconciliations to the most directly comparable GAAP measure included herein |
|
|
|
|||||||||||
|
(2) Included within consolidated revenue |
|
|
|
|||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
International Game Technology PLC |
|||||||
|
Consolidated Statements of Operations |
|||||||
|
($ in millions and shares in thousands, except per share amounts) |
|||||||
|
Unaudited |
|||||||
|
|
|||||||
|
|
For the three months ended |
|
For the six months ended |
||||
|
|
June 30, |
|
June 30, |
||||
|
|
2021 |
|
2020 |
|
2021 |
|
2020 |
|
Service revenue |
901 |
|
522 |
|
1,802 |
|
1,178 |
|
Product sales |
140 |
|
78 |
|
254 |
|
236 |
|
Total revenue |
1,041 |
|
600 |
|
2,055 |
|
1,414 |
|
|
|
|
|
|
|
|
|
|
Cost of services |
438 |
|
361 |
|
880 |
|
776 |
|
Cost of product sales |
88 |
|
67 |
|
160 |
|
160 |
|
Selling, general and administrative |
207 |
|
168 |
|
393 |
|
332 |
|
Research and development |
61 |
|
31 |
|
116 |
|
92 |
|
Goodwill impairment |
— |
|
— |
|
— |
|
296 |
|
Restructuring |
— |
|
43 |
|
— |
|
47 |
|
Other operating expense |
1 |
|
1 |
|
1 |
|
2 |
|
Total operating expenses |
796 |
|
672 |
|
1,551 |
|
1,704 |
|
|
|
|
|
|
|
|
|
|
Operating income (loss) |
244 |
|
(72) |
|
504 |
|
(290) |
|
|
|
|
|
|
|
|
|
|
Interest expense, net |
91 |
|
96 |
|
185 |
|
196 |
|
Foreign exchange loss (gain), net |
90 |
|
74 |
|
(55) |
|
4 |
|
Other expense, net |
70 |
|
28 |
|
94 |
|
29 |
|
Total non-operating expenses |
251 |
|
198 |
|
224 |
|
229 |
|
(Loss) income from continuing operations before provision for (benefit from) income taxes |
(7) |
|
(271) |
|
280 |
|
(519) |
|
Provision for (benefit from) income taxes |
32 |
|
(3) |
|
181 |
|
(4) |
|
(Loss) income from continuing operations |
(39) |
|
(268) |
|
100 |
|
(515) |
|
Income (loss) from discontinued operations, net of tax |
13 |
|
(15) |
|
24 |
|
(1) |
|
Gain on sale of discontinued operations, net of tax |
391 |
|
— |
|
391 |
|
— |
|
Income (loss) from discontinued operations |
404 |
|
(15) |
|
415 |
|
(1) |
|
Net income (loss) |
365 |
|
(282) |
|
514 |
|
(516) |
|
Less: Net income attributable to non-controlling interests from continuing operations |
60 |
|
— |
|
119 |
|
15 |
|
Less: Net loss attributable to non-controlling interests from discontinued operations |
— |
|
(3) |
|
(2) |
|
(4) |
|
Net income (loss) attributable to IGT PLC |
306 |
|
(280) |
|
397 |
|
(528) |
|
|
|
|
|
|
|
|
|
|
Net loss from continuing operations attributable to IGT PLC per common share - basic & diluted |
(0.48) |
|
(1.31) |
|
(0.09) |
|
(2.59) |
|
Net income (loss) attributable to IGT PLC per common share - basic & diluted |
1.49 |
|
(1.37) |
|
1.94 |
|
(2.58) |
|
Weighted-average shares - basic & diluted |
205,096 |
|
204,748 |
|
204,977 |
|
204,591 |
|
International Game Technology PLC |
||||
|
Consolidated Balance Sheets |
||||
|
($ in millions) |
||||
|
Unaudited |
||||
|
|
|
|
|
|
|
|
|
June 30, |
|
December 31, |
|
|
|
2021 |
|
2020 |
|
Assets |
|
|
|
|
|
Current assets: |
|
|
|
|
|
Cash and cash equivalents |
|
639 |
|
907 |
|
Restricted cash and cash equivalents |
|
180 |
|
199 |
|
Trade and other receivables, net |
|
974 |
|
846 |
|
Inventories |
|
167 |
|
169 |
|
Other current assets |
|
627 |
|
480 |
|
Assets held for sale |
|
4 |
|
839 |
|
Total current assets |
|
2,591 |
|
3,440 |
|
Systems, equipment and other assets related to contracts, net |
|
990 |
|
1,068 |
|
Property, plant and equipment, net |
|
122 |
|
132 |
|
Operating lease right-of-use assets |
|
273 |
|
288 |
|
Goodwill |
|
4,688 |
|
4,713 |
|
Intangible assets, net |
|
1,499 |
|
1,577 |
|
Other non-current assets |
|
1,727 |
|
1,774 |
|
Total non-current assets |
|
9,300 |
|
9,552 |
|
Total assets |
|
11,891 |
|
12,992 |
|
|
|
|
|
|
|
Liabilities and shareholders' equity |
|
|
|
|
|
Current liabilities: |
|
|
|
|
|
Accounts payable |
|
1,113 |
|
1,126 |
|
Current portion of long-term debt |
|
— |
|
393 |
|
Other current liabilities |
|
908 |
|
847 |
|
Liabilities held for sale |
|
— |
|
250 |
|
Total current liabilities |
|
2,021 |
|
2,615 |
|
Long-term debt, less current portion |
|
6,959 |
|
7,857 |
|
Deferred income taxes |
|
404 |
|
333 |
|
Operating lease liabilities |
|
254 |
|
266 |
|
Other non-current liabilities |
|
322 |
|
360 |
|
Total non-current liabilities |
|
7,940 |
|
8,816 |
|
Total liabilities |
|
9,961 |
|
11,431 |
|
Commitments and contingencies |
|
|
|
|
|
IGT PLC's shareholders' equity |
|
1,216 |
|
777 |
|
Non-controlling interests |
|
714 |
|
784 |
|
Shareholders' equity |
|
1,930 |
|
1,561 |
|
Total liabilities and shareholders' equity |
|
11,891 |
|
12,992 |
|
International Game Technology PLC |
|||||||
|
Consolidated Statements of Cash Flows |
|||||||
|
($ in millions) |
|||||||
|
Unaudited |
|||||||
|
|
For the three months ended |
|
For the six months ended |
||||
|
|
June 30, |
|
June 30, |
||||
|
|
2021 |
|
2020 |
|
2021 |
|
2020 |
|
Cash flows from operating activities |
|
|
|
|
|
|
|
|
Net income (loss) |
365 |
|
(282) |
|
514 |
|
(516) |
|
Less: Income (loss) from discontinued operations |
404 |
|
(15) |
|
415 |
|
(1) |
|
Adjustments to reconcile net income (loss) from continuing operations to net cash provided by operating activities from continuing operations: |
|
|
|
|
|
|
|
|
Foreign exchange loss (gain), net |
90 |
|
74 |
|
(55) |
|
4 |
|
Depreciation |
83 |
|
88 |
|
165 |
|
173 |
|
Loss on extinguishment of debt |
67 |
|
28 |
|
91 |
|
28 |
|
Amortization of upfront license fees |
55 |
|
51 |
|
110 |
|
101 |
|
Amortization |
50 |
|
52 |
|
100 |
|
108 |
|
Stock-based compensation |
7 |
|
1 |
|
11 |
|
(12) |
|
Debt issuance cost amortization |
5 |
|
5 |
|
11 |
|
10 |
|
Goodwill impairment |
— |
|
— |
|
— |
|
296 |
|
Deferred income taxes |
(18) |
|
(13) |
|
82 |
|
(37) |
|
Other non-cash items, net |
4 |
|
4 |
|
5 |
|
(1) |
|
Changes in operating assets and liabilities, excluding the effects of acquisitions and dispositions: |
|
|
|
|
|
|
|
|
Trade and other receivables |
(48) |
|
(192) |
|
(134) |
|
88 |
|
Inventories |
1 |
|
10 |
|
5 |
|
(6) |
|
Accounts payable |
(91) |
|
175 |
|
24 |
|
(19) |
|
Other assets and liabilities |
81 |
|
111 |
|
(14) |
|
(67) |
|
Net cash provided by operating activities from continuing operations |
249 |
|
127 |
|
500 |
|
153 |
|
Net cash provided by (used in) operating activities from discontinued operations |
5 |
|
40 |
|
(31) |
|
172 |
|
Net cash provided by operating activities |
254 |
|
168 |
|
469 |
|
325 |
|
|
|
|
|
|
|
|
|
|
Cash flows from investing activities |
|
|
|
|
|
|
|
|
Capital expenditures |
(73) |
|
(54) |
|
(121) |
|
(140) |
|
Proceeds from sale of assets |
5 |
|
(1) |
|
11 |
|
5 |
|
Other |
2 |
|
— |
|
1 |
|
11 |
|
Net cash used in investing activities from continuing operations |
(66) |
|
(55) |
|
(108) |
|
(124) |
|
Net cash provided by (used in) investing activities from discontinued operations |
743 |
|
(6) |
|
734 |
|
(20) |
|
Net cash provided by (used in) investing activities |
677 |
|
(61) |
|
626 |
|
(144) |
|
|
|
|
|
|
|
|
|
|
Cash flows from financing activities |
|
|
|
|
|
|
|
|
Principal payments on long-term debt |
(1,035) |
|
(527) |
|
(2,422) |
|
(959) |
|
Payments in connection with the extinguishment of debt |
(63) |
|
(25) |
|
(85) |
|
(25) |
|
Net (payments of) receipts from financial liabilities |
(6) |
|
(14) |
|
3 |
|
36 |
|
Payments of debt issuance costs |
(1) |
|
(20) |
|
(7) |
|
(20) |
|
Proceeds from long-term debt |
— |
|
750 |
|
750 |
|
750 |
|
Net proceeds from (repayments of) short-term borrowings |
4 |
|
(35) |
|
3 |
|
75 |
|
Net proceeds from (repayments of) Revolving Credit Facilities |
84 |
|
(263) |
|
516 |
|
725 |
|
Dividends paid |
— |
|
— |
|
— |
|
(41) |
|
Dividends paid - non-controlling interests |
(20) |
|
(76) |
|
(89) |
|
(91) |
|
Return of capital - non-controlling interests |
(51) |
|
— |
|
(61) |
|
— |
|
Capital increase - non-controlling interests |
1 |
|
— |
|
11 |
|
2 |
|
Other |
(5) |
|
(4) |
|
(10) |
|
(6) |
|
Net cash (used in) provided by financing activities |
(1,091) |
|
(213) |
|
(1,392) |
|
446 |
|
|
|
|
|
|
|
|
|
|
Net (decrease) increase in cash and cash equivalents and restricted cash and cash equivalents |
(160) |
|
(106) |
|
(297) |
|
627 |
|
Effect of exchange rate changes on cash and cash equivalents and restricted cash and cash equivalents |
23 |
|
18 |
|
(13) |
|
8 |
|
Cash and cash equivalents and restricted cash and cash equivalents at the beginning of the period |
956 |
|
1,618 |
|
1,129 |
|
894 |
|
Cash and cash equivalents and restricted cash and cash equivalents at the end of the period |
819 |
|
1,530 |
|
819 |
|
1,530 |
|
Less: Cash and cash equivalents and restricted cash and cash equivalents of discontinued operations |
— |
|
19 |
|
— |
|
19 |
|
Cash and cash equivalents and restricted cash and cash equivalents at the end of the period of continuing operations |
819 |
|
1,511 |
|
819 |
|
1,511 |
|
|
|
|
|
|
|
|
|
|
Supplemental Cash Flow Information |
|
|
|
|
|
|
|
|
Interest paid |
53 |
|
49 |
|
219 |
|
231 |
|
Income taxes paid |
35 |
|
7 |
|
39 |
|
18 |
|
International Game Technology PLC |
||||
|
Net Debt |
||||
|
($ in millions) |
||||
|
Unaudited |
||||
|
|
|
|
|
|
|
|
|
June 30, |
|
December 31, |
|
|
|
2021 |
|
2020 |
|
6.250% Senior Secured U.S. Dollar Notes due February 2022 |
|
— |
|
1,004 |
|
4.750% Senior Secured Euro Notes due February 2023 |
|
— |
|
1,038 |
|
5.350% Senior Secured U.S. Dollar Notes due October 2023 |
|
61 |
|
61 |
|
3.500% Senior Secured Euro Notes due July 2024 |
|
591 |
|
610 |
|
6.500% Senior Secured U.S. Dollar Notes due February 2025 |
|
1,093 |
|
1,092 |
|
4.125% Senior Secured U.S. Dollar Notes due April 2026 |
|
743 |
|
— |
|
3.500% Senior Secured Euro Notes due June 2026 |
|
885 |
|
913 |
|
6.250% Senior Secured U.S. Dollar Notes due January 2027 |
|
745 |
|
744 |
|
2.375% Senior Secured Euro Notes due April 2028 |
|
590 |
|
608 |
|
5.250% Senior Secured U.S. Dollar Notes due January 2029 |
|
743 |
|
743 |
|
Senior Secured Notes |
|
5,450 |
|
6,813 |
|
|
|
|
|
|
|
Euro Term Loan Facility due January 2023 |
|
1,014 |
|
1,044 |
|
Euro Revolving Credit Facility B due July 2024 |
|
495 |
|
— |
|
Long-term debt, less current portion |
|
6,959 |
|
7,857 |
|
|
|
|
|
|
|
Euro Term Loan Facility due January 2023 |
|
— |
|
393 |
|
Current portion of long-term debt |
|
— |
|
393 |
|
|
|
|
|
|
|
Short-term borrowings |
|
4 |
|
— |
|
Total debt |
|
6,963 |
|
8,250 |
|
|
|
|
|
|
|
Less: Cash and cash equivalents |
|
639 |
|
907 |
|
Less: Debt issuance costs, net - Revolving Credit Facilities due July 2024 |
|
12 |
|
24 |
|
Net debt |
|
6,312 |
|
7,319 |
|
|
|
|
|
|
|
Note: Net debt is a non-GAAP financial measure |
|
|
|
|
|
International Game Technology PLC |
||||||||||
|
Reconciliation of Non-GAAP Financial Measures |
||||||||||
|
($ in millions) |
||||||||||
|
Unaudited |
||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the three months ended June 30, 2021 |
||||||||
|
|
|
|
|
|
|
Business |
|
|
|
|
|
|
|
Global |
|
Global |
|
Segment |
|
Corporate |
|
Total IGT |
|
|
|
Lottery |
|
Gaming |
|
Total |
|
and Other |
|
PLC |
|
Loss from continuing operations |
|
|
|
|
|
|
|
|
|
(39) |
|
Provision for income taxes |
|
|
|
|
|
|
|
|
|
32 |
|
Interest expense, net |
|
|
|
|
|
|
|
|
|
91 |
|
Foreign exchange loss, net |
|
|
|
|
|
|
|
|
|
90 |
|
Other non-operating expense, net |
|
|
|
|
|
|
|
|
|
70 |
|
Operating income (loss) |
|
300 |
|
10 |
|
310 |
|
(66) |
|
244 |
|
Depreciation |
|
49 |
|
35 |
|
83 |
|
— |
|
83 |
|
Amortization - service revenue (1) |
|
55 |
|
— |
|
55 |
|
— |
|
55 |
|
Amortization - non-purchase accounting |
|
9 |
|
1 |
|
10 |
|
1 |
|
11 |
|
Amortization - purchase accounting |
|
— |
|
— |
|
— |
|
39 |
|
39 |
|
Stock-based compensation |
|
2 |
|
2 |
|
3 |
|
4 |
|
7 |
|
Other (2) |
|
— |
|
— |
|
— |
|
1 |
|
1 |
|
Adjusted EBITDA |
|
414 |
|
49 |
|
463 |
|
(21) |
|
442 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Income from discontinued operations |
|
|
|
|
|
|
|
|
|
404 |
|
Gain on sale of discontinued operations |
|
|
|
|
|
|
|
|
|
(396) |
|
Provision for income taxes |
|
|
|
|
|
|
|
|
|
— |
|
Interest expense, net |
|
|
|
|
|
|
|
|
|
— |
|
Depreciation |
|
|
|
|
|
|
|
|
|
— |
|
Amortization |
|
|
|
|
|
|
|
|
|
— |
|
Adjusted EBITDA - discontinued operations |
|
|
|
|
|
|
|
|
|
9 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA - combined |
|
|
|
|
|
|
|
|
|
451 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from operating activities - continuing operations |
|
|
|
|
|
|
|
|
|
249 |
|
Capital expenditures |
|
|
|
|
|
|
|
|
|
(73) |
|
Free Cash Flow |
|
|
|
|
|
|
|
|
|
176 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Includes amortization of upfront license fees |
||||||||||
|
(2) Primarily includes transaction-related costs |
||||||||||
|
International Game Technology PLC |
||||||||||
|
Reconciliation of Non-GAAP Financial Measures |
||||||||||
|
($ in millions) |
||||||||||
|
Unaudited |
||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the three months ended June 30, 2020 |
||||||||
|
|
|
|
|
|
|
Business |
|
|
|
|
|
|
|
Global |
|
Global |
|
Segment |
|
Corporate |
|
Total IGT |
|
|
|
Lottery |
|
Gaming |
|
Total |
|
and Other |
|
PLC |
|
Loss from continuing operations |
|
|
|
|
|
|
|
|
|
(268) |
|
Benefit from income taxes |
|
|
|
|
|
|
|
|
|
(3) |
|
Interest expense, net |
|
|
|
|
|
|
|
|
|
96 |
|
Foreign exchange loss, net |
|
|
|
|
|
|
|
|
|
74 |
|
Other non-operating expense, net |
|
|
|
|
|
|
|
|
|
28 |
|
Operating income (loss) |
|
107 |
|
(111) |
|
(4) |
|
(69) |
|
(72) |
|
Depreciation |
|
50 |
|
37 |
|
87 |
|
— |
|
88 |
|
Amortization - service revenue (1) |
|
51 |
|
— |
|
51 |
|
— |
|
51 |
|
Amortization - non-purchase accounting |
|
7 |
|
2 |
|
9 |
|
1 |
|
10 |
|
Amortization - purchase accounting |
|
— |
|
— |
|
— |
|
42 |
|
42 |
|
Restructuring |
|
5 |
|
35 |
|
40 |
|
3 |
|
43 |
|
Stock-based compensation |
|
— |
|
— |
|
— |
|
1 |
|
1 |
|
Other (2) |
|
— |
|
— |
|
— |
|
1 |
|
1 |
|
Adjusted EBITDA |
|
221 |
|
(36) |
|
184 |
|
(20) |
|
164 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss from discontinued operations |
|
|
|
|
|
|
|
|
|
(15) |
|
Benefit from income taxes |
|
|
|
|
|
|
|
|
|
(8) |
|
Interest expense, net |
|
|
|
|
|
|
|
|
|
— |
|
Depreciation |
|
|
|
|
|
|
|
|
|
12 |
|
Amortization |
|
|
|
|
|
|
|
|
|
14 |
|
Adjusted EBITDA - discontinued operations |
|
|
|
|
|
|
|
|
|
4 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA - combined |
|
|
|
|
|
|
|
|
|
167 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from operating activities - continuing operations |
|
|
|
|
|
|
|
|
|
127 |
|
Capital expenditures |
|
|
|
|
|
|
|
|
|
(54) |
|
Free Cash Flow |
|
|
|
|
|
|
|
|
|
73 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Includes amortization of upfront license fees |
||||||||||
|
(2) Primarily includes transaction-related costs |
||||||||||
|
International Game Technology PLC |
||||||||||
|
Reconciliation of Non-GAAP Financial Measures |
||||||||||
|
($ in millions) |
||||||||||
|
Unaudited |
||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the six months ended June 30, 2021 |
||||||||
|
|
|
|
|
|
|
Business |
|
|
|
|
|
|
|
Global |
|
Global |
|
Segment |
|
Corporate |
|
Total IGT |
|
|
|
Lottery |
|
Gaming |
|
Total |
|
and Other |
|
PLC |
|
Income from continuing operations |
|
|
|
|
|
|
|
|
|
100 |
|
Provision for income taxes |
|
|
|
|
|
|
|
|
|
181 |
|
Interest expense, net |
|
|
|
|
|
|
|
|
|
185 |
|
Foreign exchange gain, net |
|
|
|
|
|
|
|
|
|
(55) |
|
Other non-operating expense, net |
|
|
|
|
|
|
|
|
|
94 |
|
Operating income (loss) |
|
637 |
|
(9) |
|
628 |
|
(124) |
|
504 |
|
Depreciation |
|
96 |
|
70 |
|
166 |
|
(1) |
|
165 |
|
Amortization - service revenue (1) |
|
110 |
|
— |
|
110 |
|
— |
|
110 |
|
Amortization - non-purchase accounting |
|
17 |
|
3 |
|
19 |
|
2 |
|
21 |
|
Amortization - purchase accounting |
|
— |
|
— |
|
— |
|
79 |
|
79 |
|
Restructuring |
|
(1) |
|
1 |
|
— |
|
— |
|
— |
|
Stock-based compensation |
|
2 |
|
3 |
|
5 |
|
6 |
|
11 |
|
Other (2) |
|
— |
|
— |
|
— |
|
1 |
|
1 |
|
Adjusted EBITDA |
|
862 |
|
67 |
|
929 |
|
(37) |
|
892 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Income from discontinued operations |
|
|
|
|
|
|
|
|
|
415 |
|
Gain on sale of discontinued operations |
|
|
|
|
|
|
|
|
|
(396) |
|
Provision for income taxes |
|
|
|
|
|
|
|
|
|
4 |
|
Interest expense, net |
|
|
|
|
|
|
|
|
|
— |
|
Depreciation |
|
|
|
|
|
|
|
|
|
— |
|
Amortization |
|
|
|
|
|
|
|
|
|
— |
|
Adjusted EBITDA - discontinued operations |
|
|
|
|
|
|
|
|
|
23 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA - combined |
|
|
|
|
|
|
|
|
|
915 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from operating activities - continuing operations |
|
|
|
|
|
|
|
|
|
500 |
|
Capital expenditures |
|
|
|
|
|
|
|
|
|
(121) |
|
Free Cash Flow |
|
|
|
|
|
|
|
|
|
380 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Includes amortization of upfront license fees |
||||||||||
|
(2) Primarily includes transaction-related costs |
||||||||||
|
International Game Technology PLC |
||||||||||
|
Reconciliation of Non-GAAP Financial Measures |
||||||||||
|
($ in millions) |
||||||||||
|
Unaudited |
||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the six months ended June 30, 2020 |
||||||||
|
|
|
|
|
|
|
Business |
|
|
|
|
|
|
|
Global |
|
Global |
|
Segment |
|
Corporate |
|
Total IGT |
|
|
|
Lottery |
|
Gaming |
|
Total |
|
and Other |
|
PLC |
|
Loss from continuing operations |
|
|
|
|
|
|
|
|
|
(515) |
|
Benefit from income taxes |
|
|
|
|
|
|
|
|
|
(4) |
|
Interest expense, net |
|
|
|
|
|
|
|
|
|
196 |
|
Foreign exchange loss, net |
|
|
|
|
|
|
|
|
|
4 |
|
Other non-operating expense, net |
|
|
|
|
|
|
|
|
|
29 |
|
Operating income (loss) |
|
251 |
|
(117) |
|
135 |
|
(425) |
|
(290) |
|
Goodwill impairment |
|
— |
|
— |
|
— |
|
296 |
|
296 |
|
Depreciation |
|
96 |
|
77 |
|
173 |
|
1 |
|
173 |
|
Amortization - service revenue (1) |
|
101 |
|
— |
|
101 |
|
— |
|
101 |
|
Amortization - non-purchase accounting |
|
14 |
|
3 |
|
17 |
|
2 |
|
19 |
|
Amortization - purchase accounting |
|
— |
|
— |
|
— |
|
89 |
|
89 |
|
Restructuring |
|
5 |
|
36 |
|
41 |
|
6 |
|
47 |
|
Stock-based compensation |
|
(4) |
|
(5) |
|
(9) |
|
(3) |
|
(12) |
|
Other (2) |
|
— |
|
— |
|
— |
|
2 |
|
2 |
|
Adjusted EBITDA |
|
464 |
|
(6) |
|
458 |
|
(33) |
|
425 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss from discontinued operations |
|
|
|
|
|
|
|
|
|
(1) |
|
Benefit from income taxes |
|
|
|
|
|
|
|
|
|
(4) |
|
Interest expense, net |
|
|
|
|
|
|
|
|
|
— |
|
Depreciation |
|
|
|
|
|
|
|
|
|
25 |
|
Amortization |
|
|
|
|
|
|
|
|
|
28 |
|
Adjusted EBITDA - discontinued operations |
|
|
|
|
|
|
|
|
|
48 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA - combined |
|
|
|
|
|
|
|
|
|
473 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from operating activities - continuing operations |
|
|
|
|
|
|
|
|
|
153 |
|
Capital expenditures |
|
|
|
|
|
|
|
|
|
(140) |
|
Free Cash Flow |
|
|
|
|
|
|
|
|
|
13 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Includes amortization of upfront license fees |
||||||||||
|
(2) Primarily includes transaction-related costs |
||||||||||
The following table summarizes Adjusted EBITDA and Adjusted EBITDA - discontinued operations for the actual period end dates and LTM, and the respective net debt leverage calculations:
|
($ in millions) |
|
|
|
Q3'20 |
|
|
Q4'20 |
|
|
Q1'21 |
|
|
Q2'21 |
|
|
Adjusted EBITDA |
|
287 |
|
|
295 |
|
|
450 |
|
|
442 |
|
||
|
Adjusted EBITDA - discontinued operations |
|
65 |
|
|
26 |
|
|
14 |
|
|
9 |
|
||
|
Adjusted EBITDA - combined |
|
352 |
|
|
321 |
|
|
464 |
|
|
451 |
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LTM Adjusted EBITDA (1) |
|
1,078 |
|
|
1,008 |
|
|
1,196 |
|
|
1,474 |
|
||
|
LTM Adjusted EBITDA - combined (1)(2) |
|
1,260 |
|
|
1,146 |
|
|
1,305 |
|
|
1,588 |
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net debt |
|
|
|
7,243 |
|
|
7,319 |
|
|
7,069 |
|
|
6,312 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net debt leverage |
|
|
|
|
|
|
|
|
|
|
|
|
||
|
LTM Adjusted EBITDA (3) |
|
|
|
|
|
|
|
|
|
|
4.3x |
|
||
|
LTM Adjusted EBITDA - combined (4) |
|
5.7x |
|
|
6.4x |
|
|
5.4x |
|
|
4.0x |
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Adjusted EBITDA was $164 million, $261 million, and $365 million for the quarters ended June 30, 2020, March 31, 2020, and December 31, 2019, respectively. |
||||||||||||||||
|
(2) Adjusted EBITDA - discontinued operations was $4 million, $44 million, and $69 million for the quarters ended June 30, 2020, March 31, 2020, and December 31, 2019, respectively. |
||||||||||||||||
|
(3) Net debt / LTM Adjusted EBITDA |
||||||||||||||||
|
(4) Net debt / LTM Adjusted EBITDA - combined |
View original content to download multimedia:https://www.prnewswire.com/news-releases/international-game-technology-plc-reports-second-quarter-2021-results-301346834.html
SOURCE International Game Technology PLC
