Intralot SA highlighted its enhanced operational earnings and cash flow despite commercial adjustments that affected its revenue performance.
Releasing its H1 2023 interim trading results, the Athens-listed gambling technology group reported corporate revenues of €175m, a 14% decrease from the 2022 comparative results of €205m.
The decline in headline revenues was mainly due to Intralot discontinuing its Malta business, which impacted the performance of its Licensed Operations B2C unit.
Investors were notified that the termination of the Malta contract resulted in a revenue loss of approximately €43m for its Licensed Operations B2C unit, compared to H1 2022 figures.
B2C commercial setbacks were counterbalanced by Intralot’s B2B Technology Management unit, which recorded a 9% increase in H1 revenues, amounting to €156m (H1 2022: €142m).
The B2B Technology unit registered a €7.8m profit from managing its Turkish Bilyoner Sportsbook contract and an additional €5.5m revenue from Intralot’s dedicated INC operations in North America.
To offset B2C challenges, H1 trading revealed that Intralot reduced its group-wide operating expenditure to €46m (H1 2022: €49.5m).
Enhanced operational efficiencies led to an increase in operating cash flow from commercial activities (B2B/B2C) by €8.4m, reaching €50m – compared to the H1 2022 figure of €41m.
Concluding its H1 accounts, Intralot announced an underlying EBITDA of €63m, a 14% rise from the 2022 results of €55m. This was celebrated as a positive development, “strengthened by our US operations and Bilyoner’s improved performance”.
Chairman & CEO, Sokratis P. Kokkalis, reflected on the H1 performance, saying: “Intralot’s results for the first half of 2023 display a continuing EBITDA growth of 14.0% and robust cash flows as the company remains committed to higher profit margin activities and reduced leverage ratios.
“These advancements bolster our confidence in refinancing our upcoming maturities with a better credit profile and allow us to seize substantial opportunities in the US and worldwide.”