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FIRST NINE MONTHS AT €1.2BN REVENUES AND €426M EBITDA, WITH SOLID Q3 RESULTS DRIVEN BY THE INCREASE IN THE ONLINE MARKET SHARE ACROSS ALL PRODUCT SEGMENTS AND BRANDS. 2023 GUIDANCE CONFIRMED.

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The Board of Directors of Lottomatica Group S.p.A. approved the Condensed Consolidated Interim Financial Statements for the nine months at 30 September 2023.

9M 2023 Results

  • Bets of €21.7 billion, +19% compared to the same period pro forma1 in 2022 (+34% reported)
  • GGR2 of €2,844.1 million, +7% compared to the same period pro forma in 2022 (+10% reported)

Total Online market share: at 21.2% in Q3 (+3.8pp versus FY 2022)

iSports market share: at 20.4% in Q3 (+3.1pp versus FY 2022)

iGaming market share: at 21.7% in Q3 (+4.5pp versus FY 2022)

  • Revenues at €1,194.9 million, +12% compared to the same period pro forma in 2022 (+17%

reported)

o Online at €374.0 million, +30% compared to 9M 2022 pro forma (+56% reported)

o Sports Franchise at €277.4 million, +10% compared to 9M 2022

o Gaming Franchise at €543.5 million, +3% compared to 9M 2022

  • Adjusted EBITDA3 at €426.4 million, +15% compared to the same period pro forma in 2022 (+25% reported)
  • Operating cash flow4 at €344.7 million
  • Net financial debt at €1,248.1 million equivalent to 2.2x on LTM run rate Adjusted EBITDA5
  • Guidance for fiscal year 2023 confirmed: €1,630 – 1,690 million of revenues, €570 – 590 million6 of Adjusted EBITDA, (c. 50% of Adjusted EBITDA contributed by the Online segment), c. €65 million of recurring capex, c. €45 million of concession capex, c. €30 million of one-off growth capex and c. €35 million of payable for potential deferred consideration.

Guglielmo Angelozzi, Chief Executive Officer of Lottomatica Group, commented: “In this third quarter we have consolidated our leadership position and our Online business has continued to grow market share across all product segments and brands. In the first nine months we reached €426 million of EBITDA, up 15% compared to the same period in 20227. We are on track to achieving our guidance for fiscal year 2023 and to continue to execute our strategy of organic and M&A growth.”

***

The Board of Directors of Lottomatica Group S.p.A. approved the Condensed Consolidated Interim Financial Statements for the nine months ended 30 September 2023.

 

Key consolidated results for 9M 2023

 

Please note that Betflag has been consolidated on the reported numbers (“rep”) since 1st December 2022. Thus, the first nine months of 2023 results are commented compared to the pro forma (“PF”) amounts for the same period of 2022 as if Betflag acquisition occurred on 1st January 2022.

 

Bets by segment

€ million; % 9M 2023 9M 2022 PF            9M 2022 rep YoY PF % YoY rep %
Online

 

Sports Franchise

 

Gaming Franchise

11,533

 

2,029

 

8,149

8,400                       6,303

 

1,769                       1,769

 

8,118                       8,118

+37%

 

+15%

 

+0%

+83%

 

+15%

 

+0%

Total Bets 21,711 18,287                      16,190 +19% +34%

 

In the first nine months of 2023, Lottomatica collected bets for €21.7 billion, +19% compared to the same period pro forma in 2022 (+34% reported). The Online segment continued to outperform with bets up 37% compared to the same period pro forma of 2022 (+83% reported).

 

Revenues by segment

€ thousands; % 9M 2023 9M 2022 PF           9M 2022 rep YoY PF % YoY rep %
Online

 

Sports Franchise

 

Gaming Franchise

373,978

 

277,447

 

543,518

288,185                   239,514

 

252,599                   252,599

 

525,691                   525,691

+30%

 

+10%

 

+3%

+56%

 

+10%

 

+3%

Revenues 1,194,943 1,066,475                1,017,804 +12% +17%

 

Revenues amounted to €1,194.9 million in the first nine months of 2023, compared to €1,066.5 million in the same period pro forma of 2022, with +12% increase pro forma (+17% reported). Excluding the impact of the unfavourable payout8, revenues in Q3 were up +11% compared to Q3 2022 pro forma, substantially in line with the growth rate of the first two quarters.

The Online segment totalled €374.0 million revenues in 9M 2023, +30% compared to the same period of 2022 pro forma (+56% reported), with a strong double-digit performance also in the third quarter driven by the market share growth across all product segments and brands. Excluding the impact of the unfavourable payout8, revenues in Q3 were up +40% compared to Q3 2022 pro forma.

The Sports Franchise segment reported €277.4 million in revenues in 9M 2023, up +10% compared to the same period of the previous year. Excluding the impact of the unfavourable payout7, revenues in Q3 were up +8% compared to Q3 2022 pro forma.

The Gaming Franchise segment revenues reached €543.5 million in 9M 2023, +3% compared to the same period of 2022. Revenues in Q3 decreased by -3% compared to Q3 2022, which benefited from the removal of Covid-related restrictions.

 

Adjusted EBITDA and margin by segment

€ thousands, % 9M 2023 9M 2022 PF                     9M 2022 rep YoY PF % YoY rep

         %        

+56%

 

+1%

 

+4%

Online

 

Sports Franchise

 

Gaming Franchise

217,855        58.3%

 

79,939        28.8%

 

128,587        23.7%

168,768        58.6%          139,548        58.3%

 

79,169        31.3%            79,169        31.3%

 

123,612        23.5%          123,612        23.5%

+29%

 

+1%

 

+4%

Adj EBITDA 426,381        35.7% 371,549        34.8%          342,329        33.6% +15% +25%

 

Adjusted EBITDA reached €426.4 million in the first nine months of 2023, +15% compared to the same period pro forma of 2022 (+25% reported). Adjusted EBITDA margin reached 35.7% on revenues, compared to 34.8% in the same period pro forma of 2022 (33.6% reported) driven by the higher contribution of the Online business.

Excluding the impact of the unfavourable payout7, Adjusted EBITDA in Q3 was up +18% compared to Q3 2022 pro forma, in sequential acceleration compared to the first two quarters.

 

Operating cash flow

€ thousands 9M 2023 9M 2022 rep
Adjusted EBITDA 426,381 342,329
Recurring capex

 

Concession capex

(46,073)

 

(35,582)

(44,503)

 

Operating cash flow 344,726 297,826

 

Operating cash flow in the first nine months was €344.7 million, compared to €297.8 million for the same period in 2022, as a result of the increase in Adjusted EBITDA partially offset by concession payments.

 

Net financial debt

 

€ milion                                                       30 June 2023

Pro forma

 

30 Sept 2023

 

Gross Financial Debt                                                       1,539

 

EUR 550m FRNs due 2028                                                  550

 

EUR 565m SSNs due 2028                                                  565

 

EUR 350m SSNs due 2027                                                  350

 

IFRS 16 (leases)                                                                     74

 

1,542

 

550

 

565

 

350

 

77

Cash                                                                                   (323) (294)
 

Net Financial Debt                                                            1,216

 

1,248

LTM run rate Adjusted EBITDA                                             559 572
  2.2x

 

Net leverage                                                                        2.2x

 

Net financial debt amounted to €1,248 million as of 30 September 2023, equivalent to a net leverage of 2.2x on LTM run rate Adjusted EBITDA9.

***

Management will hold a conference call at 10:00 CET on 31 October 2023 to comment the consolidated results to the market. The event can be followed:

  • Via phone: +39 02 802 09 11 or +44 121 281 80 04 or +1 718 705 87 96
  • Via  Webcast

The manager in charge of preparing the company’s accounting documents, Laurence Lewis Van Lancker, declares, pursuant to paragraph 2 of Article 154-bis of the Consolidated Finance Act, that the accounting information contained in this press release corresponds to the documented results, books and accounting records.

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OMEN VALORANT Challengers South Asia 2024: Split 1 – Cup 2 Grand Finals To Be Hosted In Vegas Mall Dwarka In Delhi

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Leading gaming and esports media company NODWIN Gaming and renowned video game publisher Riot Games has announced that the upcoming OMEN VALORANT Challengers South Asia 2024: Split 1 – Cup 2 LAN Finals will be hosted in Delhi. This announcement follows the successful conclusion of Cup 1 in Pune.

The decision to host the finals in Delhi is part of a strategic effort to expose a broad audience to high-stakes esports competition, capitalizing on the region’s rising enthusiasm for esports. The inaugural Cup of the  OMEN VALORANT Challengers South Asia 2024: Split 1 successfully captured significant attention, drawing an impressive crowd of over 25,000 attendees who watched the champions being crowned at the venue. The event also enjoyed robust online engagement, accumulating more than 700,000 views and more than 100,000 hours of gameplay streamed across various digital platforms. OMEN by HP served as the tournament’s title partner and Philips as the styling partner.

OMEN VALORANT Challengers South Asia 2024: Split 1 – Cup 2 Finals will be held on 18th and 19th May, featuring the top 4 teams, True Rippers, Revenant Esports, MLT Esports and GrayFox Esports battling it on LAN in Vegas Mall, Dwarka in Delhi. The event will be live streamed on NODWIN Gaming’s YouTube channel. Like Cup 1, the grand finals will be a LAN event aimed at providing a thrilling esports experience to the attendees.

Akshat Rathee, Co-Founder and Managing Director of NODWIN Gaming, commented on the choice of Delhi, “The successful completion of the Split 1 is a testament to the growing popularity of esports in the region. We are excited to host Cup 2 Grand Finals in Delhi and aim to provide fans in the region a top notch esports competition where the best teams from across regions compete for the championship title. I would like to sincerely thank our partners for their continued support and for sharing our vision to elevate esports in the region.”

Sukamal Pegu, Esports Lead, India & South Asia, Riot Games, said “The OMEN VCSA is an important platform for us to identify top VALORANT Esports talent from India and showcase them. This year we have seen the competition get more intense with international athletes such as SK Rossi playing in the circuit, giving the fans non-stop entertainment and excitement. The Delhi event will be a cracker!”

Arun Rajappa, Country Manager, India & South Asia, Riot Games, said “We are absolutely elated by the support and enthusiasm that the fans, players and teams of the region have shown to VALORANT. After an exciting Cup 1, we are thrilled to bring Cup 2 to Delhi. We are committed to the growth of esports in the region by fostering the ecosystem and providing more opportunities to fans and players alike.”

This announcement coincides with the conclusion of the VCT Game Changers South Asia Split 1, also hosted by NODWIN Gaming, where MLT Esports was victorious. This tournament is part of a broader initiative to promote inclusivity and provide competitive opportunities for women and other marginalized genders within the VALORANT community.

The Delhi grand finals promise to be a highlight for the VALORANT esports community, offering another chapter of high-level competition in the region.

For further updates and information about the VALORANT Challengers South Asia, follow NODWIN Gaming on social media:YouTube/Instagram/Twitter/Facebook

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Golden Matrix Group Joins Rio Grande do Sul Flood Relief Program

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Golden Matrix Group (NASDAQ: GMGI), a leading B2B and B2C gaming technology company utilizing proprietary technology and operating globally across 17 regulated markets, today announced its participation in the global coalition initiative for flood relief efforts in Rio Grande do Sul, Brazil.

This partnership aims to provide substantial support to the communities in this Brazilian state that have been most devastated by the recent severe flooding.

This initiative is part of the gaming industry’s larger collaboration with local NGOs and humanitarian organizations, marking a significant expansion of our intensive CSR efforts, which saw over 225 community impact campaigns last year alone, primarily through the actions of its subsidiary Meridianbet.

The past week has witnessed unprecedented rainfall in Rio Grande do Sul, turning streets into rivers and isolating entire towns. The current situation remains dire, with hundreds of individuals still unaccounted for, while rescue operations have successfully evacuated over 200,000 residents using boats and helicopters.

The floods have wreaked havoc on infrastructure, with numerous bridges destroyed, severely disrupting access to Porto Alegre. The aftermath of the disaster has also led to looting in supermarkets during the night, adding to the urgency of the relief efforts.

Golden Matrix Group invites its stakeholders and the global community to contribute to this cause.

About Golden Matrix Group

Golden Matrix Group, based in Las Vegas, Nevada, is a leading B2B and B2C gaming technology company utilizing proprietary technology and operating globally across 17 regulated markets. The B2B division of Golden Matrix develops and licenses branded gaming platforms for its extensive list of clients, and RKings, its B2C division, operates a high-volume eCommerce site enabling end users to enter paid-for competitions on its proprietary platform in authorized markets. The Company also owns and operates MEXPLAY, a regulated online casino in Mexico. In 2024, Golden Matrix completed the acquisition of MeridianBet, a well-established and B2B and B2C sports betting and gaming platform operating and regulated in multiple markets in Europe, Africa and LatAm, providing the combined entity with additional international operations.

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Sky Vegas to sponsor new ITV reality show

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Sky Vegas has been announced as the headline sponsor of The Fortune Hotel, a brand new ITV1 reality entertainment show hosted by comic actor, Stephen Mangan, and produced by Tuesday’s Child.

The new series, set in a five-star resort in the Caribbean, is a gripping new format which sees contestants work in pairs to compete against other hotel guests and get their hands on a briefcase containing a life changing amount of money.

10 pairs of contestants will arrive at The Fortune Hotel, where they will be given an all-important briefcase. Inside one case is the ultimate jackpot of £250,000 in cash, while eight are empty, and one contains the dreaded Early Checkout Card – whichever pair is left holding that case at the end of each show will see their stay brought to a dramatic, premature end.

​​G​uests will attempt to figure out who is in possession of the cash case, whilst trying to keep the contents of their own a secret, and viewers will be treated to a blend of suspense, subterfuge and glamour as the duos compete over eight episodes.

Airing on Monday 13 May on ITV1 and ITVX (and STV in Scotland), Sky Vegas’ sponsorship includes 80” of accreditations per episode, spanning Monday-Thursday over a two-week period.

The ​​​​sponsorship deal also includes 10” bumpers around free programme streaming ​ ​content on the ITVX and STV Player, including website and mobile ​​apps*.

​​​Sky Vegas also has rights to include The Fortune Hotel logo and reference to the sponsorship across​ their own​ platforms​,​ including website and social media.

Commenting on the sponsorship, a Sky Vegas ​​spokesperson said: “​The F​ortune ​​Hotel has the potential to be the next big TV hit, and we are incredibly excited that we are going to be a part of this new show with ITV.

“Our customers enjoy fun and entertaining games, so this sponsorship opportunity just made sense. We’re looking forward to watching the show and enjoying all of its twists and turns with the rest of the ​​​​nation.”

Bhav Chandrani, Director of BE Studios, added: “It’s brilliant to be bringing a brand new format to screens and The Fortune Hotel is real shout-at-the-telly fun. It’s going to be full of twists and turns as we get to watch the gameplay unfold.”

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