It has been reported that casino game and lottery provider Scientific Games has had its revenue impacted by the Covid-19 pandemic in the second quarter of the year as its quarterely report is released.
The gaming giant has reported its company results for the second quarter up to 30th June 2020 and stated that it has been adversely impacted by the global pandemic.
Barry Cottle, CEO of Scientific Games commented on the report:
“I am very proud of how we are navigating the current environment, as evidenced by our strong cost containment and cash management, which allowed us to deliver better than expected cash flow for the quarter.
This is a testament to our team’s ability to effectively manage our business in the short term and maintain our strong customer relationships so we are set up for success as the economy begins to reopen.
The diversity of our businesses and our position on the forefront of digital gaming were critical to allow us to successfully navigate the worst of this environment.
We have the right team coupled with the best products across both land-based and mobile gaming to position us for future growth.”
As the results were considered better than expected, it was noted that financial figures are incomparable with the previous year given the unprecedented times we are facing globally as well as specifically within the gaming and hospitality industry.
However, Scientific Games outlined the importance of having a diverse portfolio when it comes to revenue and its other gaming arms Digital and SciPlay witnessed growth in the second quarter.
Michael Eklund, CFO of Scientific Games also shared his views on the figures and the challenges the company has faced:
“Streamlining our cost structure and focusing on operating efficiencies to drive free cash flow generation and de-lever our balance sheet is our top priority.
While I have only been here a short time I see tremendous opportunity in all facets of our business to drive future growth and free cash flows that will benefit our team members and stakeholders.
We are very pleased with how we have navigated the challenging current environment in the second quarter and are confident we have ample liquidity and the right road map to emerge from this crisis as a stronger and more efficient company.”
Overall, the company experienced a net loss of almost 200 million dollars compared with $75 million in the previous year and net cash provided by operating activities was just over 50 million dollars, down from 95 million dollars in 2019.