SciPlay Corporation, part of Scientific Games, has posted its Q2 results for the period ended June 30, 2019. They show second quarter revenue ahead by 18% or $18.4m to $118.1m, with mobile revenue up 28% to $98.2m. The growth, said the firm, reflects the ongoing popularity of its core games.
Net income weighed in at $26.2m with a net income margin of 22.2%, up from $12.2m and 12.2%. Adjusted EBITDA, meanwhile, was $33.2m, up by 44%, including a $2.9m charge in intellectual property royalties paid to SG prior to its IPO in May. In future quarters, there will be no more royalties paid on existing SG content.
Net cash provided by operating activities was $18m reflecting strong results and includes a $19.2m payment related to the majority of contingent acquisition consideration. SciPlay ended the quarter with $50.4m in cash and cash equivalents.
On the financial outlook, the firm told investors that it expects a continuation of the strong trends experienced in the first half of 2019. For the full year 2019, the company expects revenue to be in a range of $480m to $490m.
Executive Chairman Barry Cottle commented: “Our strong revenue and profitability growth continued in the second quarter. As we look ahead, our team is incredibly excited about the future given the strength of our games, platform and untapped growth opportunities.”
CEO Josh Wilson added: “In May, we took the important step of becoming a public company, and we are now focused on executing our mission to become the #1 casual mobile gaming company in the world. In the second quarter, we saw 18% revenue growth including over 20% growth as we exited the quarter. Our superior data-driven user acquisition, engagement and monetization remain important differentiators, as we continue to grow and expand in the $35bn social casino and casual gaming market.”
CFO Mike Cody stated: “We are extremely pleased with the continued industry leading growth we are delivering, while also significantly improving net income, AEBITDA and generating cash for future expansion. The team remains focused on efficient and profitable growth in both our existing games as well as new opportunities both in terms of markets and game content.”