As it continues to focus on global lottery operations, Allwyn is seeing positive quarterly results.
Last week, the lottery company Allwyn International reported a 5% year-over-year rise in revenue for Q2 of 2024.
With its recent acquisition of 70% of Instant Win Gaming (IWG), Allwyn is taking steps to become a bigger player in states with online lotteries across the US.
IWG gets Allwyn access to 6 new US online lottery markets
One of the big highlights of the quarter was Allwyn completing its 70% acquisition of Instant Win Gaming.
IWG supplies 25 international lotteries and has over 250 online instant win games to its credit.
Already working with multiple US online lotteries, the IWG acquisition gives Allwyn a bigger footprint in North America and the US.
Allwyn is keeping IWG co-founders Rhydian Fisher and Simon Bucknall on to help run the company following the acquisition. Fisher will remain CEO and Bucknall will retain his role as COO.
Allwyn CEO Robert Chvatal addressed the move’s impact during the company’s Q2 webcast:
“Following the end of the quarter, we are very pleased to have completed our planned investment in a 70% interest in Instant Win Gaming, a leading supplier of online instant win games, expanding our footprint and capabilities.”
The Illinois online lottery is run by Allwyn, which has been a successful partnership. Through three quarters of FY24, iLottery sales in Illinois were $503.8 million, up 17.6% from what was budgeted for the year. They were also up 30.2% year over year.
With the IWG partnership, Allwyn will now have access to online lotteries in Georgia, Kentucky, Michigan, New Hampshire, Pennsylvania, and Virginia. This will allow Allwyn to make headway with its competitors in the US online lottery industry.
New Hampshire’s iLottery sales grew from $37.5 million in FY23 to $47.2 million in FY24. That was nearly 26% growth year over year.
Pennsylvania recently reported its online instant games increased in sales for FY24 by $103 million, or 12%, to $975.8 million.
Allwyn revenue strong for beginning of 2024
Allwyn was coming off a Q1 that had $2.28 billion in revenue. That was up 28% YoY.
Now, Q2’s reported revenue was 2.15 billion Euros, which translates to $2.37 billion. That was an increase of 5% from Q2 of 2023.
Adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) was down 11% for the quarter, but the company was able to tie that to the start of its operation of the UK National Lottery. Excluding UK operations, EBITDA was up 4%.
Chvatal was happy with the numbers when he spoke during the company’s Q2 webcast:
“I am pleased to report another quarter of continued progress and solid financial performance, reflecting the continued execution of our growth strategies.”
Photo by vectorfusionart via Shutterstock
Graphics from Allwyn and IWG
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