Shares of electronic gaming machine maker International Game (IGT) jumped in afternoon trading after the company reported third-quarter results that beat analyst views on the bottom line.
PROFIT BEAT: The slot machine maker reported Q3 EPS of 31c on revenue of $1.16B. Analysts were anticipating EPS of 29c on revenue of $1.19B. “Solid performance and important, long-term contracts drove very good third quarter and year-to-date results,” said Marco Sala, the company’s chief executive officer.
STRONG EUROPE RESULTS: Global Lottery same-store revenues for instants and draw games rose mid-single digits in Q3, the company said. The installed base of gaming machines was up, and unit shipments of gaming machines increased 10%, it added, noting that IGT also enjoyed “particularly strong” sales and profit growth in Italy. IGT said it is “firmly” on track to achieve its 2018 financial and operational goals.
FULL YEAR OUTLOOK: With its Q3 results, International Game narrowed its 2018 adjusted EBITDA outlook to $1.74B-$1.78B. The gaming company continues to expect capital expenditures of $575M-$625M.
PRICE ACTION: Shares of International Game Technology are up about 15% to $18.46 in afternoon trading.
OTHER GAMING STOCKS TO WATCH: Other companies in the electronic gaming and lottery space are trading higher including Boyd Gaming (BYD), Penn National (PENN), Scientific Games (SGMS) and MGM Resorts (MGM).
