Intralot cites new contracts and renewals as revenue rises in 2015

Intralot chief executive Antonios Kerastaris has highlighted the impact of new contracts and the renewal of existing deals as key reasons behind a year-on-year increase in revenue during the 12 months to December 31, 2015.

Full-year revenue totalled €1.9 billion ($2.2 billion), which represents growth of 3.3%, or €61.7 million, on the amount posted in the previous year.

Intralot cited strong growth within the Latin American market as one of the key reasons behind the increase, with revenue in the region up €103.3 million, but the firm did suffer a loss of €73.5 million in Australasia due to disposing of its Victorian licence and softer sales in Azerbaijan.

Elsewhere, adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) came in at €177.2 million, an increase of 1% on the €175.5 million posted last year, but up by 13.6% on a like-for-like basis.

However, Intralot also noted that increases in depreciation and foreign exchange meant that earnings before tax fell from €36.5 million to €25.7 million.

Gross profit margin also fell from 14.6% in 2014 to 13.7% in the 12-month period, partly due to an increase in payouts.

“Intralot’s financial performance in 2015 confirms our resilience and growth potential in challenging times, marked by sustainable revenue and EBITDA, along with positive free cash flow in the last quarter of the year,” Kerastaris said.

“New contracts and renewals in the US, the Netherlands, Morocco, Nigeria, and Kenya underscore our ability to sustain and grow our business through select markets across the globe.

“Going forward we expect accelerating revenue and EBITDA growth, propelled by a healthy pipeline of new contracts, coupled by an operating model that focuses on cash flow generation through a rationalisation of our cost base and balance sheet structure.”

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