Intralot, a leading gaming solutions provider, has recently announced the extension of its contract with La Marocaine Des Jeux et Des Sports (MDJS), the state lottery in Morocco. The subsidiary, Intralot Maroc, will continue to operate MDJS’ popular lottery games, Tifo and Chrono, for an additional two years, with the contract set to conclude on December 31, 2025. This development is part of Intralot’s broader strategic initiatives, including financial performance and significant contract extensions in various regions.
Financial Overview:
Intralot’s year-to-date (YTD) financial results up to September 2023 indicate a total revenue of €280 million ($305.6 million), reflecting a modest 7.2% year-on-year decrease. Despite this decline, the third quarter (Q3) brought a notable upswing, with revenue increasing by 8.1% to €104.8 million. The gross gaming revenue (GGR) also experienced a positive trajectory, witnessing a 2.2% increase and reaching €262.2 million. Lottery games constituted a substantial portion, contributing 56.8% to the YTD revenue, totaling €159 million.
Strategic Moves:
In addition to the contract extension with MDJS, Intralot has made strategic moves to solidify its position in the gaming industry. Notably, the extension of the contract with OPAP, a prominent Greek gaming operator, until 2026 is a significant milestone. This extension grants OPAP access to Intralot’s LotosX lottery engine software and related functionalities, with the option for two more one-year extensions.
Further expanding its global footprint, Intralot has strengthened its presence in the United States. The company has extended its partnership with the Wyoming Lottery Corporation until 2034, providing lottery operating systems and services to support the Wyoming Lottery’s operations.
Moroccan Contract Extension:
Intralot Maroc’s extension of the contract with MDJS underscores the company’s commitment to the Moroccan market. The continuation of lottery games, Tifo and Chrono, for an additional two years reinforces Intralot’s role in delivering engaging gaming experiences to Moroccan players. The utilization of existing technology infrastructures and adherence to international standards highlight Intralot’s emphasis on efficiency and compliance.
Financial Performance:
Despite a YTD decrease in revenue, Intralot’s Q3 resurgence indicates a potential turnaround. The positive trajectory in revenue and GGR, particularly driven by lottery games, showcases the resilience and adaptability of Intralot’s business model. The detailed breakdown of financial data provides stakeholders with insights into the company’s revenue composition and performance drivers.
Strategic Initiatives:
The extension of the contract with OPAP and the provision of Intralot’s advanced lottery engine software demonstrate the company’s dedication to fostering long-term partnerships. The strategic move positions Intralot as a key player in empowering global gaming operators with cutting-edge solutions. The extension of the partnership with the Wyoming Lottery Corporation further solidifies Intralot’s foothold in the competitive US market.
Global Expansion:
Intralot’s dual focus on both the European and North American markets signifies its global ambitions. The company’s ability to navigate diverse regulatory landscapes and extend contracts in different regions underscores its adaptability. The Wyoming Lottery Corporation extension, lasting until 2034, showcases Intralot’s commitment to delivering sustainable and innovative solutions to its partners.
Diversification and Market Presence:
The detailed breakdown of revenue sources highlights the significance of lottery games in Intralot’s overall portfolio. The company’s diversified approach, with lottery games covering a substantial portion of YTD revenue, reflects its resilience in the face of market fluctuations. Intralot’s presence in various gaming segments positions it as a versatile and comprehensive solutions provider.
Intralot’s recent contract extension with MDJS, coupled with its financial performance and strategic moves, paints a comprehensive picture of the company’s dynamic presence in the global gaming industry. The commitment to existing partnerships, exploration of new markets, and a focus on innovation position Intralot as a key player poised for continued success in the evolving landscape of lottery and gaming. As the company navigates challenges and capitalizes on opportunities, stakeholders can anticipate further growth and impactful contributions to the gaming ecosystem.