Home > Finance > Lottomatica increases FY guidance increase after strong Q2
Lottomatica reported €820.0m in revenue for H1 2023, up by 20.3% year-on-year, with Q2 results spurring the operator to revise its FY23 guidelines upwards.
Revenue was €397.8m for the second quarter, up by 20.7% year-on-year but down from Lottomatica’s record €422.2m revenue in Q1.
Lottomatica now expects its revenue for 2023 to lie between €1.63bn and €1.69bn, up from the previous guidance of €1.57bn to €1.67bn.
Adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) is now expected to reach between €570m and €590m, as opposed to the previous guidance of €550m-€570m.
Second quarter results
The second quarter revenue was made up substantially from gaming franchise revenue, which was €180.5m. Online revenue for the three months was €122.7m, while sports franchise revenue hit €94.4m.
A total of €7.2m was made in bets in Q2, with much of this – €3.8m – coming from online.
“The key driver is clearly online,” said Guglielmo Angelozzi, CEO of Lottomatica.
Angelozzi explained the online growth was aided by Lottomatica’s “omnichannel approach, which is coupled with continuous product expansion and technology developments”.
Much of the total revenue for H1 came from Lottomatica’s gaming franchise, which generated €368.2m during the six months. Its online segment made up €246.9m of the total, while its sports franchise accounted for the remaining €204.8m.
Adjusted EBITDA for the half year totalled at €299.0m, a rise of 28.3%. Following depreciation and amortisation costs at €49.0m, adjusted pre-tax earnings hit €250.0m.
Combined, financial costs and income tax expense came to €131.0m. This brought the adjusted net profit for the period to €118.0m.
Following other costs, IPO and refinancing adjustments and depreciation and amortisation related to purchase price allocation, the profit for the period was €19.0m.
However, after taxes at €26.0m, the final net profit totalled at €45.0m.
Lottomatica prepares for Euronext IPO
In April, Lottomatica announced an initial public offering (IPO) on the Euronext Milan exchange. This aimed to raise €425m, which Lottomatica said would be used to finance debt.
Later that month, Lottomatica said the IPO price range would be set between €9 and €11. This would imply a market capitalisation of €2.67bn.
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