Italian lottery and gaming operator Gruppo Lottomatica has released its financial results for the first nine months of 2008 showing an 83 percent rise in net income to $134.62 million from last year’s $73.67 million.
Revenues for the group over the nine months rose 15 percent to $1.77 billion from $1.54 billion in 2007 while earnings before tax increased to $725.56 million from $687.44 million last year.
The Rome-based firm also reported that it had secured $444.74 million in debt refinancing alongside signing a three-year contract extension with the Georgia Lottery through its American subsidiary, GTech Corporation. The Georgia Lottery has been a client since 1993 and the new agreement will commence in September of 2010 and could be worth approximately $125 million in revenues.
”Despite a huge upheaval in the world’s economies, the strategy that we have been executing for Lottomatica remains on course and is delivering very good results,” said Lorenzo Pellicioli, Chairman and Chief Executive Officer for Lottomatica.
“In Italy, we have once again delivered a very impressive performance in the third quarter across all product lines. At GTech, we have had an extremely successful quarter of commercial developments with new contract wins and extensions. Our strategy of global diversification affords us a natural hedge against market fluctuations and a broad perspective on opportunities. All of these factors, combined with our successful debt refinancing, is evidence of the sustainability of our business during unprecedented economic uncertainty.”
“Our business has performed very well in the third quarter,” said Stefano Bortoli, Chief Financial Officer for Lottomatica.
“Group revenues experienced double digit growth versus the same period the previous year. EBITDA made solid gains during a period when we are integrating a number of strategic acquisitions into the business. Earnings per share and net income have also shown remarkable growth and a major refinancing of our debt was successfully arranged, which demonstrates confidence in the resilience of our business.”