Scientific Games Corporation (SGC) has published a trade update for Q1, informing about stable corporate results and quotations in Q1 2021.
Scientific Games Corp. with a report on a strong 1st quarter in 2021
By publishing a trade update for Q1, Scientific Games Corporation (SGC) registered Group revenue increase by 1% down $ 729 million compared with Q1 2020 ($ 725 million) , according to Nasdaq business purposes of the company.
The most significant increase in revenue is with the group's SciPlay brand with 28%, and its lottery division with 17%. SciPlay revenues increased from $ 118 million down $ 151 million . Digital revenues increased by PLN 12
USD 77 million to USD 86 million . The lottery segment generated the most, $ 248 million. Meanwhile, SGC's gaming division saw a significant decline 23% ($ 244M revenues compared to Q1 2020 ($ 318 million) as the global situation continues to affect the industry. The pandemic saw the 5% drop in revenues from the group's overall operations.
President and CEO of Scientific Games Barry Cottle said he was pleased with the group's progress in the first quarter. He said that despite the current global challenges, the team is focused, dedicated and able to capitalize on last year's profits.
Cottle said: “We delivered another strong quarter, enabling us to return to growth in both the top and bottom lanes. "
SGC recently announced that the OpenSports betting platform has provided its sports betting customers with over 50 million bets for the Great National Horse Racing Festival in the UK.
SGC will remain "laser focused" to increase cash flow
In the first quarter of 2021, SGC posted a net loss of $ 9 million compared to $ 155 million for the same quarter of the previous year, which is a significant result considering its slowdown in games due to the pandemic. However, these two quarters are not comparable due to the additional ones $ 91 million goodwill write-offs in Q1 2020 .
Operating activities improved with $ 120 million a year ago to $ 123 million now due to improved operating results, partially offset by quarterly interest payments and an adverse movement in working capital accounts. At the end of the first quarter, SGC had $ 1.3 billion cash and cash equivalent, despite USD 150 million the company has voluntarily repaid its revolving loan.
Cottle said these results demonstrate the power of the corporate franchise, engaging content and platform. He stated that management and the executive team are working together to optimize SGC's portfolio and growth in key areas.
Vice President and Chief Financial Officer of SGC Michael Eklund He said: "The team has made significant progress in implementing our key initiatives."
He also said the company would stay "Laser oriented" towards growth and strengthening the balance sheet by operating effectively and increasing cash flow. Eklund shared his excitement for the future of the Science Games, stating that it would accelerate towards a higher level of development.