Pollard Banknote Q2 2023 report: Net income triples to $7.5m

August 11, 2023
Leer en Español

Meanwhile, the company's EBITDA rose by 49%.

Pollard Banknote reported its Q2 2023 financial results, which showed its net income had tripled from $2.5m to $7.5m year-on-year.

The company also saw an increase in revenue from Q2 2022, rising 12% to $130.3m in Q2 2023. The statement clarified that, "This growth was due to increased sales of licensed products, digital and loyalty products, retail merchandising products and distribution services."

EBITDA rose 49% to $23.5m and adjusted EBITDA also increased to $22.1m, up 17% from the second quarter of 2022. 

However, despite the increases in EBITDA, revenue and net income, cost of sales increased 16% to $110.2m and gross profit dipped by 4% down to $20.1m.

The increase in cost of sales was, "Primarily the result of the accumulated impact of inflationary cost increases incurred throughout 2022 on raw materials and other manufacturing inputs. In addition, higher exchange rates on the US dollar also contributed to the increase in cost of sales as compared to 2022." 

This decrease in gross profit was the result of lower instant ticket sales. The company stated in the report how it continued to experience significantly higher manufacturing costs, caused by the impact of accumulated inflation on the costs of inputs to its instant ticket production.

The graph shows the decrease in ticket sales which led to a dip in profit.

Pollard’s share of income from its 50% owned iLottery joint venture, NPi, increased to minus $9.2m in the second quarter of 2023 from minus $5.1m in the second quarter of 2022. 

Doug Pollard, Co-CEO, commented,  “Overall the strong demand experienced in all of our markets provides the foundation for continued growth throughout 2023 and beyond. In charitable gaming, eGaming systems and iLottery we achieved solid earnings, and remain confident these results will continue as we move through 2023. 

“While high input costs remain in our instant ticket business, a better mix of higher margin work, and slowly increasing selling prices, generated improved results within this important business line.”


Product Spotlight

Bragg Gaming Group

Bragg Gaming Group is a global content-driven iGaming technology provider, serving online and land-based gaming operators with its proprietary and exclusive content and cutting-edge technology.

John Connelly - Interblock preparing to launch online by the end of year

John Connelly, the Global CEO of Interblock, joins the Huddle to talk about:
- The company's conversion to the online space
- The performance of ETGs
- Interblock's new philanthropic efforts
- The trend of companies going private
- And more!

Michael Hershman - Dispelling casino 'myths:' New York needs to lose fear of the unknown

Michael Hershman, CEO of the Soloviev Group, joins Tim Poole on the Huddle to put forward his case that the Freedom Plaza is the way to go for one of New York's casino licences. He fields a variety of questions - not shying away from any of them - on why 'myths' about casinos and a fear of the unknown should be dispelled, as well as acknowledging the strength of rival bids and discussing opposition to the project.

As the Tribal gaming sector congregates once more in the Golden State, is it too cliché of me to suggest we are heading for a golden era of Tribal gaming? With the industry set to meet at the Indian Gaming Association t...

From The Top: Will youth be served by Sports Betting?
Two recent interviews in our Huddle podcast revealed to Las Vegas correspondent Brian Joseph just how young sports betting entrepreneurs are becoming.
The Global Gaming Awards: Rewarding Excellence
The 10th edition of the Global Gaming Awards took place in Las Vegas last year. Gaming America looks back... and ahead to this year's.
Preview: Indian Gaming Tradeshow & Convention
Gaming America looks ahead to the 2024 Indian Gaming Tradeshow & Convention and what attendees can expect when they arrive at the Anaheim Convention Centre.
888 and the US Market: A cautionary tale
Gaming America explores the risk of resting on your laurels and the challenge of remaining relevant in a rapidly expanding market.