Light & Wonder has posted its financial report for the third quarter of 2023, reporting a 12.8% increase in revenue year-over-year to $731m, making it 10 consecutive quarters of growth for the company in revenue.
This growth in revenue was mainly down to double-digit growth across all of its businesses, including a fifth consecutive quarter of record revenues for SciPlay, while iGaming revenue held at its record level of $70m, which is still a 20.7% increase year-over-year from the third quarter of 2022 when it was valued at $58m.
Similarly, gaming revenue increased to $465m for Q3 2023, though as the graph shows, there has been a slight 1.3% decrease from the last quarter when in Q2 2023, gaming revenue was valued at $471m.
Net income and consolidated AEBITDA (adjusted EBITDA) also saw growth year-over-year. Net income was valued at $80m in the third quarter of 2023, up from $20m from the same period in 2022, representing a massive 300% increase. Consolidated AEBITDA increased from $235m for Q3 2022 to $286m for Q3 2023.
The growth in consolidated AEBITDA was powered by double-digit growth and margin expansion across all of Light & Wonder’s businesses, while the extraordinary growth in net income came about due to higher revenue and operating income; as well as a non-cash foreign currency transaction gain.
Light & Wonder President & CEO Matt Wilson said: “We will continue to capitalize on this momentum, as evidenced by the talent acquisition efforts we’ve recently accomplished. Coming out of G2E, our conviction has never been higher that we will reach our full potential as we approach the end of 2023.”
Interim Light & Wonder CFO Oliver Chow added: "Our commitment to operational efficiencies, coupled with strong top-line growth, enabled us to generate significant cash flow. We have a strong financial profile and capital structure, which positions us well in our current growth stage, providing us with the flexibility to invest as we advance toward our strategic and financial goals.”
Light & Wonder reached an agreement back in August to acquire the remaining shares of SciPlay and in its Q3 report it is mentioned that Light & Wonder closed the merger transaction with SciPlay on October 23 2023.
The company believes this deal will benefit it in a number of ways, which is expected to increase long-term shareholder value.
