By Simon Wright Aug 10, 2022
The Nasdaq listed and US headquartered the Inspired Entertainment Inc are celebrating posting what can only be described as impressive Quarter 2 results for 2022, which has seen their revenue increase 72% on the previous period last year to $72.3m.
The results reflect continued growth in the company’s online business with revenue derived from their ‘Virtual Sports’ business showing a record rise year on year.
Lorne Weil, Executive Chairman of Inspired commenting on the latest set of results posted, said: “This quarter’s underlying performance is a testament to the resiliency of our diversified business model as well as what we perceive to be the continued strength in consumer spending across our segments – notwithstanding ongoing macro trends.”
“Virtual Sports was, once again, the standout in the quarter, producing its fourth record-setting Revenue and Adjusted EBITDA quarter in a row, with online Virtual Sports doubling year-over-year versus strong comparatives, speaking to our strong product development and increased market penetration. Interactive revenue increased year-over-year on a functional currency basis as we increased our footprint through numerous integrations.”
” In our land-based business, we’re delighted to see that customer gross win per unit in betting shops and holiday parks was ahead of pre-COVID levels as consumers continue to frequent betting shops and pubs and are staying local for holidays.”
“The long-term fundamentals and health of the business are the strongest they have been in my tenure. The growth dynamics of our markets remain compelling as a wider audience engages with online betting and gaming and new jurisdictions open up, creating further opportunities.”
“With the return of our retail customer base, we remain confident that our diversification and proven ability to grow our business will enable us to deliver further progress against our strategy.”
Adding to Weil’s comments, Stewart Baker, Executive Vice President and Chief Financial Officer said of the results: “We are particularly pleased with our second quarter results, given the prevailing perception of headwinds from the macro-economic environment as well as the impact from foreign exchange rates.”
“Given our ongoing strong performance in the face of these headwinds, the long-term outlook of the Company and the strength of our balance sheet, we have utilised our board-approved share buyback program to repurchase nearly 750,000 shares of Inspired common stock, as of August 9th, at an average price of $9.73 per share (before trading expenses).”
“Moving forward, we see continued pressure from FX rates, however our underlying business has maintained the same trend. We will continue to be disciplined in our approach to capital deployment, while also focused on executing on our strategic plan to deliver profitable growth, increase cash flows and maximise shareholder value.”