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Mar 31, 2023

Inspired Q1 2023 Earnings Report

Inspired's Q1 2023 results reflected growth in digital businesses and resilience in land-based businesses.

Key Takeaways

Inspired Entertainment reported strong first quarter results with double-digit growth in high-margin digital businesses and steady growth in land-based businesses. Revenue and Adjusted EBITDA improved year-over-year in both reported and functional currency.

The year is off to a strong start with double-digit growth in high-margin, capital efficient digital businesses.

Digital businesses contributed 67% of Adjusted EBITDA, up from 54% last year.

Interactive year-over-year growth rate accelerated to 38% this quarter from 24% during the fourth quarter of 2022.

Cash flow from operations more than doubled compared to last year, and the cash position increased by $3 million.

Total Revenue
$66M
Previous year: $60.6M
+8.9%
EPS
$0.13
Previous year: $0.05
+160.0%
Gross Profit
$49.3M
Previous year: $46.7M
+5.6%
Free Cash Flow
$6.1M
Previous year: -$2.9M
-310.3%
Total Assets
$292M
Previous year: $332M
-12.2%

Inspired

Inspired

Forward Guidance

Inspired is excited about the future, with the land-based business providing steady growth and cash generation, and the digital business providing high growth and profitability with modest capital investment.

Positive Outlook

  • Land-based business provides steady growth and substantial cash generation.
  • Digital business provides a unique combination of strengths in the industry today.
  • Digital business has high growth and high levels of profitability.
  • Digital business requires modest capital investment.
  • The outlook is bright and the company remains focused on delivering value to its shareholders.