Digital casino products and player loyalty solutions provider Everi Holdings Inc maintained its strong recent momentum into the June 2023 quarter, with consolidated revenues up 6% year-on-year and 4% quarter-on-quarter to US$208.7 million, primarily thanks to its FinTech segment.
According to information released overnight, the FinTech segment saw revenues grow 13% year-on-year to $95.6 million, reflecting a 26% increase in software and other revenues, a 9% rise in financial access revenues and a 6% increase in hardware revenues.
The Games segment saw revenues increase slightly to US$113.1 million, with a 5% rise in gaming operations partially offset by an 8% decline in gaming equipment and systems sales revenues.
Recurring revenues grew 9% to US$151.6 million and represented 73% of total revenues.
Operating income for the quarter fell by 2% to US$53.3 million although Adjusted EBITDA increased by 2% to US$96.1 million.
Everi said it now expects to report net income for FY23 of between US$98 million and $106 million, Adjusted EBITDA of between US$380 million and US$386 million and Free Cash Flow of between US$147 million and US$153 million.
“Our second quarter results include 6% year over year revenue growth,” explained Everi CEO, Randy Taylor.
“Revenues for both our FinTech and Games segment grew as we continue to benefit from our investments in new product development as well as from several tuck-in acquisitions we completed since the beginning of 2022. Importantly, despite the impact from higher interest rates and inflationary pressures, we continued to generate strong Free Cash Flow, which positions the company to invest in our growth initiatives and return capital to shareholders through share repurchases.”