American gaming products and services giant Scientific Games Corporation has released its financial results for the twelve months to the end of December showing an almost 7% increase year-on-year in overall revenues to $3.08 billion thanks to improvements in takings from each of its business segments. Scientific Games Corporation revealed that its services division posted a 7% rise year-on-year in annual revenues to $1.52 billion while full-year takings for its product sales branch increased by nearly 9.2% to hit $978.6 million. It stated that there was also a roughly 3.4% swell in twelve-month revenues from its instant games department to $582.3 million with its company-wide interest expenses dropping by some $51.7 million.
Las Vegas-based Scientific Games Corporation explained that operating income for 2017 advanced by over 200% year-on-year to stand at $393.1 million, which included a goodwill impairment of $69 million, while net loss improved from $353.7 million a year ago to stand at $242.3 million on December 31. “For 2018, we believe the company is well positioned to continue to grow and build on the success attained in the past year,” read a Wednesday statement (pdf) from Kevin Sheehan, President and Chief Executive Officer for Scientific Games Corporation. The firm moreover declared that last year saw it earn $507.1 million from operating activities, which compared with $419 million over the course of 2016, while its free-cash-flow rose by some 49.5% year-on-year to $179.5 million.
However, Scientific Games Corporation proclaimed that all of these improvements had been ‘partially offset’ by a loss of $38.1 million on its debt financing transactions as well as a decline of $139.5 million in an income tax provision that was chiefly related to ‘a valuation allowance recorded against certain domestic deferred tax assets’. “Our improved performance and strong future prospects enabled us to successfully refinance a portion of our capital structure in 2017 and 2018 that significantly lowers our cost of capital and increases future cash flow,” read a statement from Michael Quartieri, Chief Financial Officer for Scientific Games Corporation. “We believe there is potential to achieve further improvements in 2018 and beyond and we remain committed to our path of deleveraging and growing our business.”
