IGT
$23.62
International Game Technology
$.47
2.03%
Earnings Details
4th Quarter December 2016
Thursday, March 09, 2017 6:45:00 AM
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Summary

International Game Technology Beats

International Game Technology (IGT) reported 4th Quarter December 2016 earnings of $0.93 per share on revenue of $1.3 billion. The consensus earnings estimate was $0.52 per share on revenue of $1.3 billion. The Earnings Whisper number was $0.54 per share. Revenue fell 3.2% compared to the same quarter a year ago.

International Game Technology is a gaming company specializing in the design, development, manufacturing and marketing of casino-style gaming equipment, systems technology and game content across multiple platforms.

Results
Reported Earnings
$0.93
Earnings Whisper
$0.54
Consensus Estimate
$0.52
Reported Revenue
$1.32 Bil
Revenue Estimate
$1.33 Bil
Growth
Earnings Growth
Revenue Growth
Power Rating
Grade
Earnings Release

International Game Technology PLC Reports Fourth Quarter And Full Year 2016 Results

Fourth quarter net income of $233 million; adjusted EBITDA of $422 million reflects broad-based lottery growth and higher gaming product sales

2016 net income of $211 million; adjusted 2016 EBITDA of $1,755 million on strong North America and Italy performance

-- Net debt of $7,569 million at year end

-- Cash dividend declared of $0.20 per ordinary share

http://photos.prnewswire.com/prnvar/20150406/196736LOGO

International Game Technology PLC ("IGT") (IGT) today reported financial results for the fourth quarter and year ended December 31, 2016. Today, at 8:00 a.m. EST / 1:00 p.m. GMT / 2:00 p.m. CET, management will host a conference call and webcast to present the fourth quarter and full year 2016 results; access details are provided below.

"We reached many important milestones in 2016," said Marco Sala, CEO of IGT. "We reinforced our number one position in Lottery globally, achieving robust same-store revenue growth and securing valuable, multi-year contracts. We also made good progress with our Gaming turnaround, developing compelling new titles and hardware, in addition to expanding our International presence. We operate in growing global market segments and IGT has a long history of investing in innovation to create shareholder value."

"We achieved our financial goals for 2016 and ended the year in strong financial condition," said Alberto Fornaro, CFO of IGT. "Disciplined capital management enabled us to reduce our debt and improve our leverage profile despite the large upfront investment in the Italy Lotto. We expect 2017 to evolve as a year of two halves, with difficult comparisons in the first part of the year easing as we reach the second half."

Summary of Consolidated Fourth Quarter and Full Year Financial Results

Reported
Constant
Quarter Ended December 31,
2016
2015
Change Currency
(%)
Change
(%)
(In US $ millions, unless otherwise noted)
Revenue
1,321 1,365
-3%
-2%
Operating Income
138
132
5%
5%
Net income per diluted share
1.15
0.37
NM
NM
Net debt
7,569 7,707
-2%
-
Adjusted EBITDA
422
449
-6%
-6%
Adjusted Operating Income
281
293
-4%
-4%
Adjusted net income per diluted share
0.88
0.63
40%
NA
Reported
Pro forma
Constant
Year Ended December 31,
2016
2015
Change 2016
2015
Change Currency
(%)
(%)
Change (%)
(In US $ millions, unless otherwise noted)
Revenue
5,154 4,689
10%
5,154
5,088 1%
2%
Operating Income
660
540
22%
660
533
24%
24%
Net income (loss) per diluted share
1.05
(0.39) NM
1.05
NA
NA
NA
Net debt
7,569 7,707
-2%
7,569
7,707 -2%
-
Adjusted EBITDA
1,755 1,611
9%
1,755
1,704 3%
3%
Adjusted Operating Income
1,167 1,043
12%
1,167
1,069 9%
9%
Adjusted net income per diluted share
2.33
1.88
24%
2.33
NA
NA
NA
Note: Pro forma is defined as the combined results of GTECH and legacy IGT for period prior to the second quarter of 2015. Adjusted operating income, adjusted EBITDA, and adjusted net income per diluted share are non-GAAP financial measures.
Reconciliations of non-GAAP financial measures to the most directly comparable GAAP financial measures are provided at the end of this news release.

Comparability of Results

All figures presented in this news release are prepared under U.S. GAAP, unless noted otherwise.

As a result of the combination of GTECH S.p.A. ("GTECH") and International Game Technology ("legacy IGT"), which was completed on April 7, 2015, a number of items affect the comparability of reported results. Reported financial information for the full year 2016 includes the results of operations of IGT PLC for the entire period, while reported financial information for the full year 2015 period includes IGT PLC for the second, third, and fourth quarters and only GTECH operations in the first quarter. Pro forma figures represent the combined results of both companies.

Adjusted figures exclude the impact of items such as purchase accounting, impairment charges, restructuring expense, foreign exchange, and certain one-time, primarily transaction-related items. Reconciliations to the most directly comparable U.S. GAAP measures are included in the tables in this news release.

Reported 2016 results were impacted by the strengthening of the U.S. dollar compared to the euro; the daily average Euro to U.S. dollar foreign exchange rate was 1.08 in the fourth quarter of 2016 compared to 1.10 in the fourth quarter of 2015, and was 1.11 for the full year 2016 period compared to 1.11 in 2015. Constant currency changes for 2016 are calculated using the same foreign exchange rates as the corresponding 2015 period.

Management believes that referring to certain pro forma, constant currency, or adjusted measures is a more useful way to evaluate the Company’s underlying performance.

Overview of Consolidated Fourth Quarter Results

Consolidated revenue declined 3% to $1,321 million from $1,365 million in the fourth quarter of 2015, which included approximately $20 million of revenue benefits related to the catch-up reclassification of Stability Law taxes on gaming machines in Italy. Lower revenue reflects global lottery growth that was more than offset by lower gaming service revenue, mostly at DoubleDown.

Global lottery same-store revenue, excluding Italy, increased 2% during the fourth quarter while Italy lottery wagers increased 4%. Product sales rose 1% in the quarter on higher North America systems sales and the contribution from a recent intellectual property settlement. The Company shipped 10,320 gaming machines worldwide during the fourth quarter.

Adjusted EBITDA of $422 million was 6% below the fourth quarter of 2015. Operating income was $138 million compared to $132 million in the fourth quarter of 2015, and adjusted operating income was $281 million compared to $293 million in the prior year. The declines in adjusted EBITDA and adjusted operating income primarily reflect an incremental $14 million of Italy value-added tax ("VAT") credit in the prior-year period, in addition to higher selling, general and administrative expenses.

Interest expense was $116 million compared to $119 million in the prior-year period.

Net income attributable to IGT was $233 million in the fourth quarter of 2016, reflecting the impact of $196 million in primarily non-cash foreign exchange gains and the favorable settlement of discrete tax items. On an adjusted basis, net income attributable to IGT was $179 million. The Company reported net income per diluted share of $1.15 and earned $0.88 per diluted share on an adjusted basis.

Cash from operations was $985 million in the full-year period and capital expenditures were $557 million. The Company made two of three upfront installment payments for the new Lotto concession in Italy during the year.

Cash and cash equivalents were $294 million as of December 31, 2016, compared to $627 million as of December 31, 2015. Net debt was $7,569 million as of December 31, 2016.

Operating Segment Review

North America Gaming & Interactive Revenue for the North America Gaming & Interactive segment was $368 million compared to $378 million in the fourth quarter of 2015.

Gaming service revenue was $230 million compared to $263 million in the prior-year period, primarily driven by fewer daily active users ("DAU") at DoubleDown and a year-on-year decrease in the installed base.

Product sales rose 20% to $138 million in the quarter primarily driven by large systems sales; the contribution from a recent intellectual property settlement; and, as previously communicated, revenue associated with certain gaming machines shipped in the third quarter of 2016. The segment shipped 5,419 units in the period compared to 6,597 units in the fourth quarter of 2015, which included an additional 1,100 Canada video lottery terminals ("VLT").

Operating income for North America Gaming & Interactive was $101 million compared to $106 million in the fourth quarter of 2015. The decline is primarily due to lower DoubleDown and gaming service revenue, partially offset by higher product sales.

North America Lottery North America Lottery revenue was $284 million, up 6% from the fourth quarter of 2015.

Service revenue of $267 million increased 5%. Lottery same-store revenue rose 1.5%, supported by the third consecutive year of strong instant tickets performance. Multi-state Jackpot game performance was modestly below the prior year’s level after several quarters of above-average results.

Product sales were $17 million, compared to $14 million in the fourth quarter of 2015, primarily due to increased instant ticket printing activity.

Operating income for North America Lottery increased 54% to $65 million compared to the fourth quarter of 2015. Higher revenues, in addition to lower depreciation and amortization expense associated with recent lottery contract extensions, contributed to the substantial profit growth.

International International revenue was $220 million compared to $265 million in the fourth quarter of 2015. On a constant currency basis, International revenue declined 15%.

International lottery same-store revenue increased 2.6% on broad-based geographical strength that was tempered by weakness in the United Kingdom.

International gaming service revenue rose 6% on a constant currency basis, primarily due to growth in the commercial gaming installed base, and despite approximately 600 units that were converted to product sales. The installed base grew in Eastern Europe, South Africa and Mexico.

Product sales were below the prior-year period, mostly on lottery product sales, which reflect the natural variability of that business. Gaming terminal sales declined slightly on lower unit volume. Systems sales increased double-digits year-over-year. The segment shipped a total of 4,901 gaming machines compared to 4,965 last year.

International operating income was $44 million compared to $55 million in the fourth quarter of 2015, reflecting lower revenue.

Italy Italy revenue was $449 million compared to $455 million in the fourth quarter of 2015. At constant currency, revenue was in line with the prior year. The fourth quarter comparisons are impacted by an approximately $20 million catch-up Stability Law reclassification booked in the prior-year period, in addition to one month of amortization of the new Lotto upfront concession fee.

Total Lotto wagers in the quarter were EUR 2,141 million, 15% greater than the EUR 1,855 million achieved in the prior-year period. Strong Lotto performance was a result of significant late number activity and high single-digit growth in 10eLotto. Excluding late numbers, Lotto wagers increased 2% over the same period last year. Instant-ticket wagers were EUR 2,289 million versus EUR 2,391 million in the fourth quarter of 2015.

Machine gaming service revenue was down given the prior-year Stability Law reclassification. Sports betting wagers increased 6% on growth in live wagers.

Operating income for the Italy segment was $130 million compared to $132 million in the fourth quarter of 2015. At constant currency, operating income was stable as strong Lotto growth compensated for the VAT credit in the prior year.

Overview of Consolidated Full Year 2016 Results

Reported consolidated revenue was $5,154 million compared to $4,689 million in 2015. On a pro forma, constant currency basis, consolidated revenue increased 2%, primarily reflecting growth in lottery service revenue that was partially offset by lower DoubleDown performance and gaming product sales.

During the year, the Company shipped 33,147 gaming machines worldwide and global lottery same-store revenue, excluding Italy, increased 8%. Italy lottery wagers rose 6% in 2016.

On a reported basis, adjusted EBITDA of $1,755 million was 9% greater than the 2015 level. On a pro forma, constant currency basis, adjusted EBITDA increased 3%.

Reported operating income was $660 million compared to $540 million in 2015. On a pro forma, constant currency basis, adjusted operating income was 9% greater than 2015, primarily reflecting higher lottery service revenue that was partially offset by lower lottery product sales.

Interest expense was $469 million compared to $458 million in the prior-year period.

Net income attributable to IGT was $211 million in 2016. On an adjusted basis, net income was $472 million. The Company reported earnings per diluted share of $1.05 and earned $2.33 per diluted share on an adjusted basis in 2016.

Other Developments

In a separate news release issued today, the Company announced that Heather J. McGregor was appointed as an independent director to its board of directors.

Additionally, the Company’s board of directors has declared a quarterly cash dividend of $0.20 per ordinary share. The dividend is payable on April 6, 2017 to all shareholders of record as of the close of business on March 23, 2017.

Outlook

The Company currently expects to achieve adjusted EBITDA of $1,680-$1,760 million for the full year 2017 period, as operational growth compensates for the Powerball and late numbers benefits recorded in 2016, in addition to new Lotto concession impacts in 2017.

Maintenance capital expenditures are expected to be $525-$575 million, including approximately $100 million related to the timing of the new Florida Lottery contract. Growth capital expenditures will be approximately $100 million.

The Italy Lotto renewal will require an outlay of approximately $320 million ($195 million net, after minority partner contribution), relating to the final upfront concession payment and associated network and infrastructure upgrades. Net debt is expected to be $7,600-$7,800 million at the end of 2017.

The Company’s outlook assumes an average euro/dollar exchange rate of 1.10.

Conference Call and Webcast

Today, at 8:00 a.m. EST / 1:00 p.m. GMT / 2:00 p.m. CET, management will host a conference call to present the fourth quarter and full year 2016 results. Listeners may access a live webcast of the conference call along with accompanying slides under "News, Events and Presentations" on IGT’s Investor Relations website at www.IGT.com. A replay of the webcast will be available on the website following the live event. To listen by telephone, the dial-in number is +44 (0) 20 3427 1904 for participants in the United Kingdom and +1-646-254-3362 for listeners outside the United Kingdom. The conference ID/confirmation code is 6623346. A telephone replay of the call will be available for one week at +44 (0) 20 3427 0598 or +1-347-366-9565 using the conference ID/confirmation code 6623346.

About IGT IGT (IGT) is the global leader in gaming. We enable players to experience their favorite games across all channels and regulated segments, from Gaming Machines and Lotteries to Interactive and Social Gaming. Leveraging a wealth of premium content, substantial investment in innovation, in-depth customer intelligence, operational expertise and leading-edge technology, our gaming solutions anticipate the demands of consumers wherever they decide to play. We have a well-established local presence and relationships with governments and regulators in more than 100 countries around the world, and create value by adhering to the highest standards of service, integrity, and responsibility. IGT has over 12,000 employees. For more information, please visit www.IGT.com.

Cautionary Statement Regarding Forward-Looking Statements This news release may contain forward-looking statements (including within the meaning of the Private Securities Litigation Reform Act of 1995) concerning International Game Technology PLC and other matters. These statements may discuss goals, intentions and expectations as to future plans, trends, events, dividends, results of operations or financial condition, or otherwise, based on current beliefs of the management of International Game Technology PLC as well as assumptions made by, and information currently available to, such management. Forward-looking statements may be accompanied by words such as "aim," "anticipate," "believe," "plan," "could," "would," "should," "shall," "continue," "estimate," "expect," "forecast," "future," "guidance," "intend," "may," "will," "possible," "potential," "predict," "project" or the negative or other variations of them. These forward-looking statements are subject to various risks and uncertainties, many of which are outside International Game Technology PLC’s control. Should one or more of these risks or uncertainties materialize, or should any of the underlying assumptions prove incorrect, actual results may differ materially from those predicted in the forward-looking statements and from past results, performance or achievements. Therefore, you should not place undue reliance on the forward-looking statements. Factors that could cause actual results to differ materially from those in the forward-looking statements include (but are not limited to) the possibility that the businesses of International Game Technology (Nevada) and GTECH S.p.A. will not be integrated successfully, or that the combined companies will not realize estimated cost savings, synergies, growth or other anticipated benefits or that such benefits may take longer to realize than expected; unanticipated costs of integration of International Game Technology (Nevada) and GTECH S.p.A.; the possibility that International Game Technology PLC will be unable to pay future dividends to shareholders or that the amount of such dividends may be less than anticipated; the possibility that International Game Technology PLC may not obtain its anticipated financial results in one or more future periods; reductions in customer spending; a slowdown in customer payments and changes in customer demand for products and services as a result of changing economic conditions or otherwise; unanticipated changes relating to competitive factors in the industries in which International Game Technology PLC operates; International Game Technology PLC’s ability to hire and retain key personnel; the impact of the consummation of the business combination on relationships with third parties, including customers, employees and competitors; International Game Technology PLC’s ability to attract new customers and retain existing customers in the manner anticipated; reliance on and integration of information technology systems; changes in legislation or governmental regulations affecting International Game Technology PLC, including as a consequence of the announced withdrawal of the U.K. from the EU; international, national or local economic, social or political conditions that could adversely affect International Game Technology PLC or its customers; conditions in the credit markets; changes in the top management team; risks associated with assumptions International Game Technology PLC makes in connection with its critical accounting estimates; the resolution of pending and potential future legal, regulatory or tax proceedings and investigations; and International Game Technology PLC’s international operations, which are subject to the risks of currency fluctuations and foreign exchange controls. The foregoing list of factors is not exhaustive. You should carefully consider the foregoing factors and the other risks and uncertainties that affect International Game Technology PLC’s business, including those described in International Game Technology PLC’s annual report on Form 20-F for the financial year ended December 31, 2015 and other documents filed from time to time with the Securities and Exchange Commission (the "SEC"), which are available on the SEC website at www.sec.gov and on the investor relations section of International Game Technology PLC’s website at www.IGT.com. Except as required under applicable law, International Game Technology PLC does not assume any obligation to update the forward-looking statements. Nothing in this news release is intended, or is to be construed, as a profit forecast or to be interpreted to mean that earnings per International Game Technology PLC share for the current or any future financial years will necessarily match or exceed the historical published earnings per International Game Technology PLC share, as applicable. All forward-looking statements contained in this news release are qualified in their entirety by this cautionary statement. All subsequent written or oral forward-looking statements attributable to International Game Technology PLC, or persons acting on its behalf, are expressly qualified in their entirety by this cautionary statement.

Contact: Robert K. Vincent, Corporate Communications, toll free in U.S./Canada +1 (844) IGT-7452; outside U.S./Canada +1 (401) 392-7452 James Hurley, Investor Relations, +1 (401) 392-7190 Simone Cantagallo, +39 06 51899030; for Italian media inquiries

International Game Technology PLC
Condensed Consolidated Statements of Operations
($ and shares in thousands, except per share data)
Unaudited
For the three months ended
December 31,
2016
2015
Service revenue
1,061,669
1,109,029
Product sales
259,547
255,928
Total revenue
1,321,216
1,364,957
Cost of services
641,649
674,302
Cost of sales
179,240
180,021
Selling, general and administrative
236,547
242,997
Research and development
87,182
84,552
Restructuring expense
6,420
35,326
Impairment loss
31,162
12,497
Transaction expense, net
1,030
3,701
Total operating expenses
1,183,230
1,233,396
Operating income
137,986
131,561
Interest income
2,553
4,765
Other income (expense), net
23,359
(2,074)
Foreign exchange gain, net
195,587
91,105
Interest expense
(115,520)
(119,334)
Total non-operating income (expenses)
105,979
(25,538)
Income before provision for income taxes
243,965
106,023
(Benefit from) provision for income taxes
(5,387)
22,990
Net income
249,352
83,033
Less: Net income attributable to non-controlling interests
16,034
9,533
Net income attributable to IGT PLC
233,318
73,500
Net income attributable to IGT PLC per common share - basic
1.15
0.37
Net income attributable to IGT PLC per common share - diluted1.15
0.37
Weighted-average shares - basic
202,324
199,862
Weighted-average shares - diluted
203,146
200,731
International Game Technology PLC
Condensed Consolidated Statements of Operations
($ and shares in thousands, except per share data)
Unaudited
For the year ended
December 31,
2016
2015
Service revenue
4,375,586
3,977,693
Product sales
778,310
711,363
Total revenue
5,153,896
4,689,056
Cost of services
2,553,479
2,417,315
Cost of sales
582,358
520,343
Selling, general and administrative
945,824
795,252
Research and development
343,531
277,401
Restructuring expense
27,934
76,896
Impairment loss
37,744
12,497
Transaction expense, net
2,590
49,396
Total operating expenses
4,493,460
4,149,100
Operating income
660,436
539,956
Interest income
12,840
17,681
Other income (expense), net
18,365
(122,295)
Foreign exchange gain, net
101,040
5,611
Interest expense
(469,268)
(457,984)
Total non-operating expenses
(337,023)
(556,987)
Income (loss) before provision for income taxes
323,413
(17,031)
Provision for income taxes
59,206
38,896
Net income (loss)
264,207
(55,927)
Less: Net income attributable to non-controlling interests
52,870
19,647
Net income (loss) attributable to IGT PLC
211,337
(75,574)
Net income (loss) attributable to IGT PLC per common share - basic
1.05
(0.39)
Net income (loss) attributable to IGT PLC per common share - diluted1.05
(0.39)
Weighted-average shares - basic
201,511
192,398
Weighted-average shares - diluted
202,214
192,398
International Game Technology PLC
Condensed Consolidated Balance Sheets
($ thousands)
Unaudited
December 31,
2016
2015
ASSETS
Current assets:
Cash and cash equivalents
294,094
627,484
Restricted cash and investments
247,222
169,101
Trade and other receivables, net
947,237
959,592
Inventories
347,494
269,982
Other current assets
424,727
423,701
Income taxes receivable
28,792
35,514
Total current assets
2,289,566
2,485,374
Systems, equipment and other assets related to contracts, net 1,199,674
1,127,518
Property, plant and equipment, net
357,841
349,677
Goodwill, net
6,810,012
6,830,499
Intangible assets, net
2,874,031
3,335,633
Other non-current assets
1,497,662
937,917
Deferred income taxes
31,376
48,074
Total non-current assets
12,770,596
12,629,318
Total Assets
15,060,162
15,114,692
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Accounts payable
1,216,079
1,057,860
Other current liabilities
1,097,045
922,586
Current portion of long-term debt
77
160
Income taxes payable
28,590
30,020
Total current liabilities
2,341,791
2,010,626
Long-term debt, less current portion
7,863,085
8,334,013
Deferred income taxes
761,924
941,418
Other non-current liabilities
444,556
462,493
Total non-current liabilities
9,069,565
9,737,924
Total Liabilities
11,411,356
11,748,550
Commitments and contingencies
-
-
Shareholders’ and mezzanine equity
3,648,806
3,366,142
Total liabilities and shareholders’ equity
15,060,162
15,114,692
International Game Technology PLC
Consolidated Statements of Cash Flows
($ thousands)
Unaudited
For the year ended December 31,
2016
2015
Operating activities
Net income (loss)
264,207
(55,927)
Adjustments for:
Amortization
492,021
410,264
Depreciation
390,448
369,564
Amortization of upfront payments to customers
116,980
107,812
Impairment loss
37,744
12,497
Stock-based compensation expense
26,346
36,067
Debt issuance cost amortization
18,347
40,366
Foreign exchange gain, net
(101,040)
(5,611)
Loss on extinguishment of debt
-
73,806
Other, net
(142)
50,626
Cash flows before changes in operating assets and liabilities
1,244,911
1,039,464
Changes in operating assets and liabilities:
Trade and other receivables
(23,758)
83,218
Inventories
(61,026)
72
Accounts payable
(27,123)
(53,762)
Other assets and liabilities
(147,661)
(282,995)
Net cash flows from operating activities
985,343
785,997
Investing activities
Upfront payments to customers
(665,260)
-
Capital expenditures
(557,238)
(402,634)
Purchases of jackpot annuity investments
(2,596)
(6,799)
Proceeds from jackpot annuity investments
16,565
36,215
Proceeds from sale of assets
185,798
230,587
Acquisition of IGT, net of cash acquired
-
(3,241,415)
Other
2,735
22,523
Net cash flows used in investing activities
(1,019,996)
(3,361,523)
Financing activities
Principal payments on long-term debt
(357,513)
(2,714,867)
Dividends paid
(161,179)
(209,589)
Return of capital - non-controlling interest
(35,407)
(30,568)
Dividends paid - non-controlling interest
(32,717)
(29,156)
Debt issuance costs paid
(10,825)
(84,859)
Payments for accelerated stock awards
(3,489)
(14,867)
Proceeds from stock options
12,699
10,672
Net receipts from (payments of) financial liabilities
30,595
(21,539)
Capital increase - non-controlling interest
256,455
9,049
Payments in connection with note consents
-
(29,022)
Payments on bridge facility
-
(51,409)
Payments in connection with the early extinguishment of debt
-
(79,526)
Payments to withdrawing shareholders
-
(407,759)
Proceeds from interest rate swaps
-
67,773
Proceeds from issuance of long-term debt
-
6,521,991
Other
(10,758)
(16,158)
Net cash flows (used in) provided by financing activities
(312,139)
2,920,166
Net (decrease) increase in cash and cash equivalents
(346,792)
344,640
Effect of exchange rate changes on cash
13,402
(34,262)
Cash and cash equivalents at the beginning of the period
627,484
317,106
Cash and cash equivalents at the end of the period
294,094
627,484
Supplemental Cash Flow Information:
Interest paid
(450,655)
(365,479)
Income taxes paid
(183,278)
(199,195)
International Game Technology PLC
Net Debt
($ thousands)
December 31,
2016
2015
Long-term debt, less current portion
6.250% Senior Secured Notes due 2022 1,472,150
1,468,875
6.500% Senior Secured Notes due 2025 1,085,537
1,084,249
4.750% Senior Secured Notes due 2023 884,917
912,418
4.125% Senior Secured Notes due 2020 730,465
752,212
5.625% Senior Secured Notes due 2020 593,954
592,245
7.500% Senior Secured Notes due 2019 521,894
530,009
6.625% Senior Secured Notes due 2018 521,556
533,915
4.750% Senior Secured Notes due 2020 509,050
520,649
5.500% Senior Secured Notes due 2020 126,294
126,833
5.350% Senior Secured Notes due 2023 61,187
61,303
Senior Secured Notes
6,507,004
6,582,708
Term Loan Facilities due 2019
839,552
866,785
Revolving Credit Facilities due 2021 516,529
834,968
Capital Securities
-
49,472
Other
-
80
Long-term debt, less current portion 7,863,085
8,334,013
Current portion of long-term debt
77
160
Total debt
7,863,162
8,334,173
Cash and cash equivalents
294,094
627,484
Net debt
7,569,068
7,706,689
International Game Technology PLC
Adjusted EBITDA and Free Cash Flow
Reconciliations of Non-GAAP Financial Measures
($ thousands)
For the three months ended
December 31,
2016
2015
Net income
249,352
83,033
(Benefit from) provision for income taxes
(5,387)
22,990
Non-operating (income) expenses
(105,979)
25,538
Amortization
114,858
124,000
Depreciation
97,164
109,888
Amortization of upfront payments to customers
31,820
26,634
Impairment loss
31,162
12,497
Restructuring expense
6,420
35,326
Stock-based compensation expense
1,844
3,335
Transaction expense, net
1,030
3,701
Non-cash purchase accounting (excluding D&A)
(126)
1,865
Adjusted EBITDA
422,158
448,807
Cash flows from operating activities
364,346
315,003
Capital expenditures
(185,741)
(113,891)
Upfront payments to customers
(274,870)
-
Free Cash Flow
(96,265)
201,112
International Game Technology PLC
Adjusted EBITDA and Free Cash Flow
Reconciliations of Non-GAAP Financial Measures
($ thousands)
For the year ended
December 31, 2016
December 31, 2015
As Reported
Legacy IGT
Pro Forma
Net income (loss)
264,207
(55,927)
(13,085)
(69,012)
Provision for (benefit from) income taxes
59,206
38,896
(4,126)
34,770
Non-operating expenses
337,023
556,987
10,057
567,044
Amortization
492,021
410,264
6,107
416,371
Depreciation
390,448
369,564
28,960
398,524
Amortization of upfront payments to customers
116,980
107,812
3,556
111,368
Impairment loss
37,744
12,497
6,100
18,597
Restructuring expense
27,934
76,896
-
76,896
Stock-based compensation expense
26,346
36,067
5,951
42,018
Transaction expense, net
2,590
34,529
18,782
53,311
Non-cash purchase accounting (excluding D&A)
795
23,099
-
23,099
Other
-
-
30,956
30,956
Adjusted EBITDA
1,755,294
1,610,684
93,258
1,703,942
Cash flows from operating activities
985,343
785,997
82,698
868,695
Capital expenditures
(557,238)
(402,634)
(26,096)
(428,730)
Upfront payments to customers
(665,260)
-
-
-
Free Cash Flow
(237,155)
383,363
56,602
439,965
International Game Technology PLC
Condensed Consolidated Statement of Operations
Reconciliation of Non-GAAP Financial Measures
($ and shares in thousands, except per share data)
Adjustments
Q4 2016
Impairment/
Transaction
Q4 2016
As
Purchase
Foreign
Restructuring
(Income)
As
Reported
Accounting
Exchange
Expense
Expense
Adjusted
Total revenue
1,321,216
244
-
-
-
1,321,460
Cost of services
641,649
(44,186)
-
-
-
597,463
Cost of sales
179,240
(29,845)
-
-
-
149,395
Selling, general and administrative
236,547
(29,468)
-
-
-
207,079
Research and development
87,182
(277)
-
-
-
86,905
Restructuring expense
6,420
-
-
(6,420)
-
-
Impairment loss
31,162
(30,000)
-
(1,162)
-
-
Transaction expense, net
1,030
-
-
-
(1,030)
-
Total operating expenses
1,183,230
(133,776)
-
(7,582)
(1,030)
1,040,842
Operating income
137,986
134,020
-
7,582
1,030
280,618
Foreign exchange gain, net
195,587
-
(195,587)
-
-
-
Other income, net
23,359
11,672
-
-
-
35,031
Interest expense, net
(112,967)
2,084
-
-
-
(110,883)
Total non-operating income (expenses)
105,979
13,756
(195,587)
-
-
(75,852)
Income before provision for income taxes
243,965
147,776
(195,587)
7,582
1,030
204,766
(Benefit from) provision for income taxes (a)
(5,387)
51,662
(50,323)
13,230
356
9,538
Net income
249,352
96,114
(145,264)
(5,648)
674
195,228
Less: Net income attributable to non-controlling interests
16,034
26
-
-
-
16,060
Net income attributable to IGT PLC
233,318
96,088
(145,264)
(5,648)
674
179,168
Net income per common share - diluted
1.15
0.88
Weighted-average shares - diluted
203,146
203,146
(a) Provision for income taxes was determined based on the statutory tax rate in effect in the respective jurisdiction where the adjustment originated.
International Game Technology PLC
Condensed Consolidated Statement of Operations
Reconciliation of Non-GAAP Financial Measures
($ and shares in thousands, except per share data)
Adjustments
Q4 2015
Impairment/
Transaction
Q4 2015
As
Purchase
Foreign
Restructuring
and Refinancing
As
Reported
Accounting
Exchange
Expense
Expense
Adjusted
Total revenue
1,364,957
1,622
-
-
-
1,366,579
Cost of services
674,302
(44,064)
-
-
-
630,238
Cost of sales
180,021
(29,897)
-
-
-
150,124
Selling, general and administrative
242,997
(34,295)
-
-
-
208,702
Research and development
84,552
(466)
-
-
-
84,086
Restructuring expense
35,326
-
-
(35,326)
-
-
Impairment loss
12,497
-
-
(12,497)
-
-
Transaction expense, net
3,701
-
-
-
(3,701)
-
Total operating expenses
1,233,396
(108,722)
-
(47,823)
(3,701)
1,073,150
Operating income
131,561
110,344
-
47,823
3,701
293,429
Interest expense, net
(114,569)
3,531
-
-
-
(111,038)
Other (expense) income, net
(2,074)
13,540
-
-
-
11,466
Foreign exchange gain, net
91,105
-
(91,105)
-
-
-
Total non-operating expenses
(25,538)
17,071
(91,105)
-
-
(99,572)
Income before provision for income taxes
106,023
127,415
(91,105)
47,823
3,701
193,857
Provision for income taxes (a)
22,990
40,283
(22,895)
16,165
414
56,957
Net income
83,033
87,132
(68,210)
31,658
3,287
136,900
Less: Net income attributable to non-controlling interests
9,533
25
-
-
-
9,558
Net income attributable to IGT PLC
73,500
87,107
(68,210)
31,658
3,287
127,342
Net income per common share - diluted
0.37
0.63
Weighted-average shares - diluted
200,731
200,731
(a) Provision for income taxes was determined based on the statutory tax rate in effect in the respective jurisdiction where the adjustment originated.
International Game Technology PLC
Condensed Consolidated Statement of Operations
Reconciliation of Non-GAAP Financial Measures
($ and shares in thousands, except per share data)
Year to date
Adjustments
Year to date
December 2016
Impairment/
December 2016
As
Purchase
Foreign
Restructuring
Transaction
As
Reported
Accounting
Exchange
Expense
Expense
Adjusted
Total revenue
5,153,896
1,576
-
-
-
5,155,472
Cost of services
2,553,479
(181,552)
-
-
-
2,371,927
Cost of sales
582,358
(118,936)
-
-
-
463,422
Selling, general and administrative
945,824
(134,325)
-
-
-
811,499
Research and development
343,531
(1,736)
-
-
-
341,795
Restructuring expense
27,934
-
-
(27,934)
-
-
Impairment loss
37,744
(30,000)
-
(7,744)
-
-
Transaction expense, net
2,590
-
-
-
(2,590)
-
Total operating expenses
4,493,460
(466,549)
-
(35,678)
(2,590)
3,988,643
Operating income
660,436
468,125
-
35,678
2,590
1,166,829
Foreign exchange gain, net
101,040
-
(101,040)
-
-
-
Other income, net
18,365
15,553
-
-
-
33,918
Interest expense, net
(456,428)
8,231
-
-
-
(448,197)
Total non-operating expenses
(337,023)
23,784
(101,040)
-
-
(414,279)
Income before provision for income taxes
323,413
491,909
(101,040)
35,678
2,590
752,550
Provision for income taxes (a)
59,206
174,000
(26,892)
20,948
658
227,920
Net income
264,207
317,909
(74,148)
14,730
1,932
524,630
Less: Net income attributable to non-controlling interests
52,870
102
-
-
-
52,972
Net income attributable to IGT PLC
211,337
317,807
(74,148)
14,730
1,932
471,658
Net income per common share - diluted
1.05
2.33
Weighted-average shares - diluted
202,214
202,214
(a) Provision for income taxes was determined based on the statutory tax rate in effect in the respective jurisdiction where the adjustment originated.
International Game Technology PLC
Condensed Consolidated Statement of Operations
Reconciliation of Non-GAAP Financial Measures
($ and shares in thousands, except per share data)
Year to date
Adjustments
Year to date
Year to date
December 2015
Impairment/
Transaction
December 2015
December 2015
As
Purchase
Foreign
Restructuring
and Refinancing
As
Pro Forma
Pro forma
Reported
Accounting
Exchange
Expense
Expense
Adjusted
Adjustments
and Adjusted
Total revenue
4,689,056
15,541
-
-
-
4,704,597
399,387
5,103,984
Cost of services
2,417,315
(148,750)
-
-
-
2,268,565
113,306
2,381,871
Cost of sales
520,343
(96,661)
-
-
-
423,682
63,355
487,037
Selling, general and administrative
795,252
(101,319)
-
-
-
693,933
134,166
828,099
Research and development
277,401
(2,159)
-
-
-
275,242
62,760
338,002
Restructuring expense
76,896
-
-
(76,896)
-
-
-
-
Impairment loss
12,497
-
-
(12,497)
-
-
-
-
Transaction expense, net
49,396
-
-
-
(49,396)
-
-
-
Total operating expenses
4,149,100
(348,889)
-
(89,393)
(49,396)
3,661,422
373,587
4,035,009
Operating income
539,956
364,430
-
89,393
49,396
1,043,175
25,800
1,068,975
Interest expense, net
(440,303)
3,530
-
-
-
(436,773)
Other (expense) income, net
(122,295)
19,581
-
-
117,877
15,163
Foreign exchange gain, net
5,611
-
(5,611)
-
-
-
Total non-operating expenses
(556,987)
23,111
(5,611)
-
117,877
(421,610)
(Loss) income before provision for income taxes
(17,031)
387,541
(5,611)
89,393
167,273
621,565
Provision for income taxes (a)
38,896
132,298
(3,127)
29,165
41,529
238,761
Net (loss) income
(55,927)
255,243
(2,484)
60,228
125,744
382,804
Less: Net income attributable to non-controlling interests
19,647
102
-
-
-
19,749
Net (loss) income attributable to IGT PLC
(75,574)
255,141
(2,484)
60,228
125,744
363,055
Net (loss) income per common share - diluted
(0.39)
1.88
Weighted-average shares - diluted
192,398
193,559
(a) Provision for income taxes was determined based on the statutory tax rate in effect in the respective jurisdiction where the adjustment originated.
International Game Technology PLC Segment Performance (Pro forma)
Revenue Detail
($ millions)
INTERNATIONAL GAME TECHNOLOGY PLC
Quarter Change
YTD Change
2015
2016
Percentage Constant FX Percentage Constant FX
Q4
YTD
Q4
YTD
Q4
Q4
YTD
YTD
Gaming
Total Revenue
762
2,725
730
2,667
-4.3%
-3.3%
-2.2%
-1.4%
Gaming Services
547
2,036
492
1,976
-9.9%
-8.5%
-3.0%
-1.9%
Terminal
359
1,343
325
1,282
-9.6%
-8.6%
-4.6%
-3.7%
Social (DDI)
84
317
61
279
-27.6% -27.4%
-12.0%
-12.0%
Other
104
375
107
415
3.1%
6.8%
10.5%
13.1%
Product Sales
216
690
237
691
10.0%
9.9%
0.2%
0.2%
Terminal
154
482
157
449
1.9%
1.9%
-6.7%
-6.8%
Other
62
208
81
242
30.0%
29.6%
16.4%
16.5%
Lottery
Total Revenue
521
2,046
514
2,170
-1.3%
-0.8%
6.1%
6.6%
Lottery Services
484
1,930
494
2,086
1.9%
2.5%
8.0%
8.6%
FM/Concessions
430
1,717
444
1,829
3.1%
4.5%
6.5%
7.3%
LMA
35
128
37
174
5.0%
5.0%
36.3%
36.3%
Other Services
19
85
13
82
-30.8% -49.8%
-3.9%
-6.9%
Product Sales
36
115
20
85
-44.6% -44.1%
-26.5%
-26.2%
Terminal
15
41
1
11
-96.5% -96.5%
-74.4%
-74.1%
Systems/Other
22
74
20
74
-9.2%
-8.3%
0.2%
0.6%
Other
Total Revenue
82
318
78
317
-4.7%
-4.1%
-0.2%
1.1%
Service Revenue
78
312
76
314
-2.8%
-2.7%
0.8%
1.8%
Product Sales
4
5
2
3
-43.5%
-32.1%
-53.2%
-42.2%
Consolidated
Revenue
1,365
5,088
1,321
5,154
-3.2%
-2.4%
1.3%
2.0%
Operating Income:
Segment Total
336
1,245
340
1,374
1.0%
1.5%
10.4%
10.9%
Purchase Accounting (110)
(372)
(134)
(468)
21.5%
21.6%
25.9%
26.0%
Corporate Support
(94)
(340)
(68)
(246)
-28.3% -26.3%
-27.7%
-26.2%
Total
132
533
138
660
4.9%
4.6%
23.9%
23.9%
NORTH AMERICA GAMING & INTERACTIVE
Quarter Change
YTD Change
2015
2016
Percentage Constant FX Percentage Constant FX
Q4
YTD
Q4
YTD
Q4
Q4
YTD
YTD
Gaming
Total Revenue
378
1,413
368
1,373
-2.5%
-2.6%
-2.8%
-2.7%
Gaming Services
263
1,025
230
975
-12.3% -12.2%
-4.8%
-4.8%
Terminal
137
571
126
525
-7.8%
-7.8%
-8.1%
-8.0%
Social (DDI)
84
317
61
279
-27.6% -27.4%
-12.0%
-12.0%
Other
42
137
44
171
3.2%
3.2%
25.3%
25.3%
Product Sales
115
388
138
398
19.8%
19.5%
2.7%
2.8%
Terminal
80
267
85
250
6.4%
6.0%
-6.4%
-6.4%
Other
35
121
53
148
50.2%
50.2%
23.0%
23.2%
Total
Revenue
378
1,413
368
1,373
-2.5%
-2.6%
-2.8%
-2.7%
Operating Income
106
335
101
344
-5.3%
-8.6%
2.8%
-0.7%
NORTH AMERICA LOTTERY
Quarter Change
YTD Change
2015
2016
Percentage Constant FX Percentage Constant FX
Q4
YTD
Q4
YTD
Q4
Q4
YTD
YTD
Gaming
Total Revenue
37
149
35
146
-7.0%
-6.9%
-1.6%
-1.5%
Gaming Services
37
148
35
146
-5.9%
-5.9%
-1.0%
-0.9%
Terminal
25
103
24
100
-5.6%
-5.6%
-2.8%
-2.8%
Social (DDI)
0
0
0
0
0.0%
0.0%
0.0%
0.0%
Other
12
45
11
46
-6.6%
-6.4%
3.2%
3.5%
Product Sales
0
1
(0)
0
0.0%
0.0%
-86.9%
-86.6%
Terminal
(0)
0
0
(0)
0.0%
0.0%
0.0%
0.0%
Other
0
1
(0)
0
0.0%
0.0%
-84.4%
-84.1%
Lottery
Total Revenue
232
916
250
1,047
7.7%
7.7%
14.3%
14.3%
Lottery Services
219
864
232
982
6.3%
6.3%
13.6%
13.6%
FM/Concessions
161
636
159
686
-1.1%
-1.1%
7.9%
7.9%
LMA
35
128
37
174
5.0%
5.0%
36.3%
36.3%
Other Services
22
101
36
122
62.0%
62.0%
21.1%
21.1%
Product Sales
13
52
17
65
31.1%
31.2%
25.7%
25.8%
Terminal
0
5
0
10
-28.0% -27.9%
79.0%
79.0%
Systems/Other
13
46
17
55
32.3%
32.4%
19.5%
19.6%
Total
Revenue
269
1,065
284
1,194
5.7%
5.7%
12.1%
12.1%
Operating Income
43
195
65
300
53.8%
53.6%
54.4%
54.0%
INTERNATIONAL
Quarter Change
YTD Change
2015
2016
Percentage Constant FX Percentage Constant FX
Q4
YTD
Q4
YTD
Q4
Q4
YTD
YTD
Gaming
Total Revenue
148
502
144
473
-3.0%
0.5%
-5.8%
-2.0%
Gaming Services
47
197
44
181
-5.5%
5.5%
-8.4%
1.3%
Terminal
13
59
12
51
-1.6%
13.0%
-14.5%
2.4%
Social (DDI)
0
0
0
0
0.0%
0.0%
0.0%
0.0%
Other
34
138
32
130
-7.0%
2.8%
-5.8%
0.8%
Product Sales
101
305
99
293
-1.8%
-1.8%
-4.1%
-4.1%
Terminal
74
214
72
199
-2.7%
-2.5%
-6.9%
-7.0%
Other
27
91
28
93
0.9%
0.0%
2.5%
2.5%
Lottery
Total Revenue
95
342
59
282
-38.2%
-37.5%
-17.4%
-14.4%
Lottery Services
72
279
56
263
-22.2% -21.5%
-5.6%
-2.1%
FM/Concessions
55
206
51
206
-6.1%
0.4%
0.3%
6.1%
LMA
0
0
0
0
0.0%
0.0%
0.0%
0.0%
Other Services
17
73
4
57
-74.6% -93.0%
-22.3%
-25.3%
Product Sales
23
63
3
19
-87.6% -86.8%
-69.3%
-68.7%
Terminal
15
36
0
1
-97.8% -97.8%
-97.4%
-97.1%
Systems/Other
9
27
3
18
-70.6% -68.6%
-32.5%
-31.6%
Other
Total Revenue
22
78
18
72
-20.8%
-21.1%
-8.6%
-3.8%
Service Revenue
18
73
15
69
-15.9%
-18.8%
-5.2%
-0.9%
Product Sales
4
5
2
3
-43.5%
-32.1%
-53.2%
-42.2%
Total
Revenue
265
923
220
827
-17.1%
-14.9%
-10.3%
-6.8%
Operating Income
55
165
44
144
-20.1%
-13.3%
-12.7%
-1.7%
ITALY
Quarter Change
YTD Change
2015
2016
Percentage Constant FX Percentage Constant FX
Q4
YTD
Q4
YTD
Q4
Q4
YTD
YTD
Gaming
Total Revenue
201
678
183
676
-8.8%
-7.6%
-0.3%
-0.1%
Gaming Services
200
676
183
674
-8.8%
-7.6%
-0.2%
0.0%
Terminal
185
610
162
606
-12.1% -11.0%
-0.7%
-0.5%
Social (DDI)
0
0
0
0
0.0%
0.0%
0.0%
0.0%
Other
16
66
20
68
29.8%
32.7%
3.8%
4.5%
Product Sales
0
2
0
1
0.0%
0.0%
-30.8%
-30.7%
Terminal
0
1
0
0
0.0%
0.0%
-98.6%
-98.6%
Other
0
1
0
1
0.0%
0.0%
3.9%
4.1%
Lottery
Total Revenue
194
787
205
840
5.8%
7.0%
6.7%
6.8%
Lottery Services
194
787
205
840
5.8%
7.0%
6.7%
6.8%
FM/Concessions
215
876
233
937
8.5%
9.8%
7.0%
7.1%
LMA
0
0
0
0
0.0%
0.0%
0.0%
0.0%
Other Services
(21)
(89)
(27)
(97)
33.7%
35.8%
9.5%
9.8%
Product Sales
0
0
0
0
0.0%
0.0%
0.0%
0.0%
Terminal
0
0
0
0
0.0%
0.0%
0.0%
0.0%
Systems/Other
0
0
0
0
0.0%
0.0%
0.0%
0.0%
Other
Total Revenue
60
239
60
245
1.2%
2.2%
2.6%
2.7%
Service Revenue
60
239
60
245
1.2%
2.2%
2.6%
2.7%
Product Sales
0
0
0
0
0.0%
0.0%
0.0%
0.0%
Total
Revenue
455
1,704
449
1,761
-1.3%
-0.1%
3.4%
3.5%
Operating Income
132
550
130
586
-2.1%
-0.9%
6.5%
6.5%
Key Performance Indicators (KPIs)
Consolidated Key Performance Indicators (KPIs)
Fourth Quarter
Full Year
Periods Ended December 31
2016
2015
% change
2016
2015
% change
Installed base (end of period)
Casino
34,653
34,568
0.2%
34,653
34,568
0.2%
VLT - Government Sponsored (ex-Italy)
15,150
15,491
-2.2%
15,150
15,491
-2.2%
VLT - Italy Supplier (B2B)
8,840
8,291
6.6%
8,840
8,291
6.6%
Total installed base
58,643
58,350
0.5%
58,643
58,350
0.5%
Yield (average revenue per unit per day - $0.00)
30.27
32.71
-7.5%
31.92
33.74
-5.4%
Additional Italian Network Details:
VLT - Operator (B2C)
11,036
11,115
-0.7%
11,036
11,115
-0.7%
AWP
58,937
58,328
1.0%
58,937
58,328
1.0%
Machine units shipped
New/Expansion
3,073
2,640
16.4%
7,922
6,821
16.1%
Replacement
7,247
8,922
-18.8%
25,225
28,338
-11.0%
Total machines shipped
10,320
11,562
-10.7%
33,147
35,159
-5.7%
Global lottery same-store revenue growth
Instants & draw games
2.3%
3.8%
Multistate Jackpots
-2.9%
40.7%
Total lottery same-store revenue growth (ex-Italy)
1.8%
8.1%
Italy lottery revenue growth
7.4%
7.0%
North America KPIs
Fourth Quarter
Full Year
Periods Ended December 31
2016
2015
% change
2016
2015
% change
Installed base (end of period)
Casino
24,472
25,418
-3.7%
24,472
25,418
-3.7%
VLT - Government Sponsored
14,878
15,241
-2.4%
14,878
15,241
-2.4%
Total installed base
39,350
40,659
-3.2%
39,350
40,659
-3.2%
Machine units shipped
New/Expansion
1,733
2,191
-20.9%
5,929
4,389
35.1%
Replacement
3,686
4,406
-16.3%
13,842
16,993
-18.5%
Total machines shipped
5,419
6,597
-17.9%
19,771
21,382
-7.5%
DoubleDown
Revenue ($ Thousands)
61,702
83,598
-26.2%
280,010
316,999
-11.7%
Mobile penetration
58%
53%
9.4%
55%
48%
15.4%
DAU (Daily Active Users) 1
1,406
1,897
-25.9%
1,610
1,879
-14.3%
MAU (Monthly Active Users) 1
3,369
4,411
-23.6%
3,839
4,526
-15.2%
Bookings per DAU ($0.00) 1
$
0.48 $
0.47 2.0%
$
0.48 $
0.47 1.4%
Lottery same-store revenue growth
Instants & draw games
1.9%
3.9%
Multistate Jackpots
-1.5%
48.7%
Total lottery same-store revenue growth
1.5%
9.7%
1As a single application with multiple games, active users equal unique users
International KPIs
Fourth Quarter
Full Year
Periods Ended December 31
2016
2015
% change
2016
2015
% change
Installed base (end of period)
Casino
10,181
9,150
11.3%
10,181
9,150
11.3%
VLT - Government Sponsored
272
250
8.8%
272
250
8.8%
Total installed base
10,453
9,400
11.2%
10,453
9,400
11.2%
Machine units shipped
New/Expansion
1,340
449
198.4%
1,993
2,432
-18.1%
Replacement
3,561
4,516
-21.1%
11,383
11,345
0.3%
Total machines shipped
4,901
4,965
-1.3%
13,376
13,777
-2.9%
Lottery same-store revenue growth
Instants & draw games
3.5%
3.7%
Multistate Jackpots
-9.1%
-3.3%
Total lottery same-store revenue growth
2.6%
3.2%
Italy KPIs
Fourth Quarter
Full Year
Periods Ended December 31
2016
2015
% change
2016
2015
% change
(In EUR
millions, except machines)
Lottery
Lotto wagers
2,141
1,855
15.4%
8,093
7,077
14.4%
10eLotto
1,239
1,147
7.9%
4,716
4,287
10.0%
Core
577
638
-9.6%
2,227
2,447
-9.0%
Late Numbers
326
70
367.0%
1,150
343
235.6%
Scratch & Win Wagers
2,289
2,391
-4.3%
8,935
9,016
-0.9%
Italy lottery revenue growth
7.4%
7.0%
Gaming
Installed base (end of period)
VLT - Operator (B2C)
11,036
11,115
-0.7%
11,036
11,115
-0.7%
VLT - Supplier (B2B)
8,840
8,291
6.6%
8,840
8,291
6.6%
AWP
58,937
58,328
1.0%
58,937
58,328
1.0%
Total Installed Base
78,813
77,734
1.4%
78,813
77,734
1.4%
Wagers
VLT - Operator (B2C)
1,428
1,440
-0.8%
5,460
5,433
0.5%
AWP
1,087
1,159
-6.2%
4,188
4,388
-4.6%
Interactive Wagers (Gaming)
443
414
7.1%
1,659
1,672
-0.8%
Other
Sports Betting Wagers1
250
236
5.9%
855
864
-1.1%
Sports Betting Payout (%)1
85.9%
84.6%
1.3 pp
84.0%
83.7%
0.3 pp
1Includes Virtual Wagers and Pools & Horses

To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/international-game-technology-plc-reports-fourth-quarter-and-full-year-2016-results-300421063.html

SOURCE International Game Technology PLC

https://rt.prnewswire.com/rt.gif?NewsItemId=LA30896&Transmission_Id=201703090645PR_NEWS_USPR_____LA30896&DateId=20170309