International Game Technology PLC (IGT) has delivered its financial results for the third quarter of 2024, signaling robust operational achievements and a steady financial position. This period marks a significant phase for IGT, as it transitions following the announcement of the sale of its Gaming & Digital business, which is classified as discontinued operations and is expected to close by the end of Q3 2025.
Sustained financial performance and strategic realignments:
IGT’s Q3 revenue reached $587 million, driven by consistent performance in Italy and an uptick in U.S. instant ticket and draw game wagers. The company reported an operating income of $110 million, inclusive of a $38 million restructuring charge aimed at optimizing operations. This restructuring is a continuation of IGT’s strategic transformation to streamline its focus on becoming a global lottery pure play entity. Adjusted EBITDA stood at $264 million, with an impressive margin of 44.9%, showcasing the lucrative profit profile of IGT’s streamlined lottery business.
“Our third-quarter and year-to-date performance underscores the strength and resilience of our business model marked by our scale, attractive margin structure, and strong cash generation,” stated Vince Sadusky, CEO of IGT in official filing (PDF) with the U.S. Securities and Exchange Commission (SEC). The company has generated $1.9 billion in revenue over the first nine months, led by growth in Italy and improved trends in the U.S.
The quarter witnessed several strategic initiatives including a 10-year facilities management contract extension with the North Carolina Education Lottery and the signing of significant instant ticket printing contracts in Europe, enhancing IGT’s partnership with prominent national lotteries.
Looking ahead, IGT introduced its Q4’24 and full-year outlook for continuing operations, projecting Q4 revenue between $640 million and $690 million, and adjusted EBITDA of $280 million to $300 million. For the full year, the revenue is expected to be between $2.50 billion and $2.55 billion, with adjusted EBITDA ranging from $1.16 billion to $1.18 billion.
Cybersecurity incident and proactive response:
Parallel to its financial disclosures, IGT reported a cybersecurity breach that affected portions of its internal information technology systems. According to a filing with the United States Securities and Exchange Commission, the company detected unauthorized access to certain systems on November 17th.
In response, IGT activated its cybersecurity incident response plan and commenced an investigation to assess and remediate the situation. “The group also took certain systems offline to help protect them,” and efforts are ongoing to bring the systems back online, as part of a broader strategy to mitigate disruptions and continue serving customers effectively, as reported by Asia Gaming Brief. IGT’s third quarter of 2024 illustrates a company at a pivotal juncture—successfully navigating operational challenges while moving towards a strategic realignment.
