Light & Wonder, Inc. · ASX:LNW
Light & Wonder — Q2 2026 Earnings Presentation
54 slides from Light & Wonder's earnings presentation, Aug 5, 2026
Slide 1: Second Quarter 2026 Earnings Presentation
For personal use only Second Quarter 2026 Earnings Presentation August 4, 2026 – U.S. August 5, 2026 – Australia © 2026 LIGHT & W ONDER
Slide 2: Forward-Looking Statements
SECTION TITLE, 10PT Forward-Looking Statements Forward-Looking Statements In this presentation, and the oral remarks made in connection herewith, Light & Wonder makes “forward-looking statements” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking stateme
Slide 3: 2Q26 Key Highlights
v2Q26 Key Highlights Consolidated $383M $156M For personal use only Adjusted NPATA(1) AEBITDA(1) +9% YoY +16% YoY $1.99 Adjusted Free 41% EPSa(1)(2) Cash Flow +26% YoY Conversion(1)(3) +1100 bps YoY Continued Focus on our Recurring Revenue(4), Business Enhanced Profitability, and Strengthened our Ca
Slide 4: 2Q26 Recurring Revenue Translates to a Cash Generative Business
2Q26 Recurring Revenue Translates to a Cash Generative Business (1) Growth of our Recurring Creating a Highly Cash Driving Profitability Revenue(1) Generative Business For personal use only Recurring Revenue(1) of $580M, +6% YoY Net Income EPS(2) Net Cash Provided by Operating Activities ~70% $120M
Slide 5: Increasing Recurring Revenue as a % of Consolidated Revenue
Increasing Recurring Revenue as a % of Consolidated Revenue (1) IN $MILLIONS Consolidated Revenue Trend 1H26 For personal use only $3,314 71% $3,188 $2,883 $2,901 recurring revenue(1) as % of total revenue 67% ~$1.2B 66% 64% 63% 63% recurring revenue (1) 2022 2023 2024 2025 (1) % Recurring Revenue T
Slide 6: 2Q26 Consolidated and Segment Results Summary
2Q26 Consolidated and Segment Results Summary $ Millions, Unaudited Q2 2026 Q2 2025 Change 1H 2026 1H 2025 Change Highlights Revenue by Segment For personal use only Gaming $554 $528 5% $1,066 $1,022 4% • Consolidated Revenue of $828M, +2% YoY, driven by SciPlay 182 200 (9%) 368 402 (8%) Gaming (+5%
Slide 7: Segment Results & Highlights
For personal use only Segment Results & Highlights © 2026 LIGHT & WONDER 7
Slide 8: Gaming Continues to Grow its Recurring Revenue Base
Gaming Continues to Grow its Recurring Revenue Base (1) IN $MILLIONS Revenue AEBITDA Gaming Highlights For personal use only • Gaming revenue of $554M, +5% YoY, driven by strong $1,066 $578 Gaming operations and Table products growth, offset by $1,022 lower Gaming machine and Systems sales $534 o Ga
Slide 9: Delivered on Key Gaming Performance Metrics
Delivered on Key Gaming Performance Metrics Gaming Operations KPIs: Q2 2026 Q2 2025 Change 1H 2026 1H 2025 Change U.S. and Canadian units:(1) Gaming KPI Highlights For personal use only Installed base at period end 48,639 46,368 5% 48,639 46,368 5% • N.A. Installed base of 48,639, +5% or ~2,200 unit
Slide 10: Grover Continues to Scale on Product Launch and LNW Integration
Grover Continues to Scale on Product Launch and LNW Integration Geographic Footprint Grover Highlights For personal use only • Revenue was $45 million in the quarter, driven by strong game performance and install base growth across new and existing markets Current Grover Operating Jurisdictions • En
Slide 11: Growing Our North America Gaming Operations Installed Base
Growing Our North America Gaming Operations Installed Base North America Gaming Operations Installed Base (Units) For personal use only 50000 Premium Installed Base Grover 12,571 40000 ~15% 17,172 Premium installed base 16,884 12,294 12,571 2023-2025 CAGR 30000 16,487 11,634 20000 17,120 19,520 20,1
Slide 12: Broader Industry Dynamics Shaping SciPlay Performance
Broader Industry Dynamics Shaping SciPlay Performance IN $MILLIONS Revenue AEBITDA SciPlay Highlights For personal use only $402 $138 $138 $368 • Revenue of $182M, -9% YoY, attributed to broad based market softness, resulting in a lower total addressable market $200 $74 $182 $72 o AMRPPU(5) of $133.
Slide 13: Disciplined Execution of SciPlay's Stabilization Strategy
Disciplined Execution of SciPlay’s Stabilization Strategy IN $MILLIONS SciPlay Revenue SciPlay Update For personal use only $821 $794 $777 • Optimize game economy to reach equilibrium between acquisition and monetization $671 • Reinvest to acquire users, but selective with purpose $606 and focused o
Slide 14: iGaming Driven by Strong Content Performance & Market Growth
iGaming Driven by Strong Content Performance & Market Growth IN $MILLIONS Revenue AEBITDA i iGaming Highlights For personal use only • Revenue of $92M, +14% YoY, driven by strong game performance and continued expansion of our global first and third-party networks $66 $183 o 8 of the top 10 games ac
Slide 15: Global iGaming Footprint Presents Meaningful Growth Opportunities
Global iGaming Footprint Presents Meaningful Growth Opportunities i iGaming Outlook For personal use only • Continued expansion of first-party content, supported by continued momentum with HUFF N’ PUFFTM and PIROTSTM franchises • Entered Alberta, Canada market on July 1st - first day of market openi
Slide 16: Financials
For personal use only Financials © 2026 LIGHT & WONDER 16
Slide 17: 2Q26 Group Results
2Q26 Group Results $ Millions, Unaudited Q2 2026 Q2 2025 Change 1H 2026 1H 2025 Change Revenue $828 $809 2% $1,617 $1,582 2% 2Q26 Performance Highlights Cost of services and products(1) (210) (219) (404) (430) For personal use only Selling, general and administrative (211) (208) (448) (425) • Consol
Slide 18: Consolidated AEBITDA & Adjusted NPATA Q2 QTD Bridge
Consolidated AEBITDA(1) & Adjusted NPATA(1) Q2 QTD Bridge IN $MILLIONS 1 $383 27 5 Consolidated AEBITDA(1) Drivers For personal use only 2 • Gaming AEBITDA +$27M YoY, delivered on revenue growth and favorable product mix shift, supplemented by operational efficiencies (includes Grover contribution)
Slide 19: Consolidated AEBITDA & Adjusted NPATA Q2 YTD Bridge
Consolidated AEBITDA(1) & Adjusted NPATA(1) Q2 YTD Bridge IN $MILLIONS 11 44 - $710 Consolidated AEBITDA(1) Drivers 8 For personal use only • Gaming AEBITDA +$44M YoY, delivered primarily on Gaming operations growth, $663 inclusive of Grover, supplemented by operational efficiencies • SciPlay AEBITD
Slide 20: Building on Highly Cash Generative Financial Profile
Building on Highly Cash Generative Financial Profile $ Millions, Unaudited Q2 2026 Q2 2025 1H 2026 1H 2025 Highlights For personal use only Net cash provided by operating activities $241 $106 $380 $291 Less: Capital expenditures (83) (78) (157) (139) • Net cash provided by operating activities of $2
Slide 21: Optimizing our Capital Structure on Path to Deleverage
Optimizing our Capital Structure on Path to Deleverage Highlights For personal use only • Average tenor: ~3.9 years • Plan to prioritize deleverage of our balance sheet through 2H26 and into FY27 with the intention to move toward an investment grade level leverage profile(1) • Effective Interest cos
Slide 22: Cash Generation Funding Value Creation and Deleveraging Capacity
Cash Generation Funding Value Creation and Deleveraging Capacity Net Debt Leverage Ratio(1) For personal use only 11 Target(2) 10 10.5x 9 8 Divesture of $2.1 Billion in share buy backs 7 sports betting and lottery 6 businesses ~1.4x illustrative gross turns equivalent impact(1)(4) 6.2x 5 4 3 3.5x 3.
Slide 23: Prioritizing Our Capital Allocation Initiatives
Prioritizing Our Capital Allocation Initiatives Disciplined Optimized Capital Capital Return to Investment in Key Structure on Debt Shareholders(4) For personal use only Growth Reduction Opportunities • Invest with purpose to • Target to reduce net debt • Q2 buy-back $134M (1H 26: maximize ROI of ev
Slide 24: Outlook
For personal use only Outlook © 2026 LIGHT & WONDER 24
Slide 25: Financial Outlook
Financial Outlook Light & Wonder reaffirms financial outlook of mid-to-high single-digit Consolidated AEBITDA(1) growth in FY 2026 For personal use only • Mid-to-high single digit Consolidated AEBITDA(1) growth supports strong Adjusted NPATA(1) and EPSa (1)(2) growth • We continue to anticipate the
Slide 26: Incremental Guidance and Modeling Parameters For FY26
Incremental Guidance and Modeling Parameters For FY26 Gaming Grover SciPlay iGaming • >500 N.A. premium Gaming • 100 - 150 net adds / quarter, • Revenue trend in-line with broader • Moderating YoY growth in 2H26, For personal use only operations net adds/quarter excluding Indiana Social Casino indus
Slide 27: Appendix
For personal use only Appendix - Strategy & Competitive Advantage - Resilient Industry - Recent Financial Performances - North American Installed Base - Capital Allocation (self-fund growth – R&D / Capex) - Buyback History - Regional Hardware and content product roadmap - Q2 Results snapshot © 2026
Slide 28: Executing on Our Strategy and Competitive Advantage
Executing on Our Strategy and Competitive Advantage Comprehensive End-to-End Solutions Provider to Casino Operators For personal use only One stop shop with integrated solutions tailored for casino operators We power key aspects of operations (land-based and digital) as a single source for seamless
Slide 29: Operating in a Growing, Resilient Industry
Operating in a Growing, Resilient Industry IN $BILLIONS U.S. Gross Gaming Revenue(1) For personal use only $200 2008: Global Financial Crisis 2020: COVID-19 Pandemic $180 $160 COVID-19 $140 Pandemic Global Financial $120 Crisis $100 $80 $60 2003 2006 2009 2012 2015 2018 2021 2024 1H26 U.S. gross gam
Slide 30: Delivering Consistent Consolidated AEBITDA Growth
Delivering Consistent Consolidated AEBITDA Growth (1)(2) IN $MILLIONS Consolidated AEBITDA(1) – Yearly Historical For personal use only $1,443 16.1% CAGR since ‘21 $1,244 $1,118 >$1.4B $913 $793 2025 Consolidated AEBITDA(1) FY2021 FY2022 FY2023 FY2024 FY2025 Delivering consistent Consolidated AEBITD
Slide 31: Consolidated AEBITDA Historical by Quarter
Consolidated AEBITDA Historical by Quarter (1)(2) I N $ M I L L I O N S (3) Consolidated AEBITDA(1)(2) – Quarterly For personal use only $430 $405 $383 $375 $380 $352 $330 $327 $330 $319 $315 $311 $302 $281 $286 $281 $280 $265 $249 $232 $235 $230 $216 $212 $203 $202 $180 $142 $130 Delivering consist
Slide 32: Growing Our North America Gaming Operations Installed Base
Growing Our North America Gaming Operations Installed Base North America Gaming Operations Installed Base (Units) For personal use only 50000 48,326 11,634 48,600 12,294 48,639 12,571 $55.00 +4,787 +5% $53.00 40000 Net premium units Revenue per day growth 34,004 $51.00 installed 2023 - 2025 2023 - 1
Slide 33: Disciplined Investment to Drive and Self-Fund Future Growth
Disciplined Investment to Drive and Self-Fund Future Growth IN $MILLIONS 0.35 R&D + Capex as % of Consolidated Revenue For personal use only $600 $555 $562 0.3 $470 0.25 $400 $285 0.2 17% 17% 18% $200 16% 0.15 $0 0.1 FY23 FY24 FY25 1H26 R&D Capex % of Consolidated Revenue Consistent and ratable re-i
Slide 34: Disciplined Investment to Drive and Self-Fund Future Growth
Disciplined Investment to Drive and Self-Fund Future Growth I N $ M I L L I O N S (1) R&D + Capex as % of Consolidated Revenue For personal use only 0.2 %R&D % Capex R&D + Capex as % of Consolidated Revenue $160 0.195 $152 $153 $150 19% 0.19 $143 $144 $141 $141 0.185 $140 $137 $138 18% 18% 0.18 $128
Slide 35: Shares of Common Stock Outstanding
Shares of Common Stock Outstanding (1) SHARES IN M ILLIONS Shares of Common Stock Outstanding(1) ~$2.1B For personal use only 100 returned to shareholders 96.6 since programs’ inception(2) 95 91.1 ~26M 89.8 90 86.2 shares repurchased since 85 programs' inception(2) 80 78.7 77.1 77.0 ~27% reduction i
Slide 36: Executing on our Hardware and Content Roadmap (Americas)
Executing on our Hardware and Content Roadmap (Americas) LAUNCH LAUNCH RELEASE KEY ROADMAP THROUGH 2026 RELEASE KEY ROADMAP THROUGH 2026 CONTENT CONTENT For personal use only COSMIC COSMIC DUAL & SKYTM COSMIC 1Q26 PROFILE 1Q26 / 4Q26 LIGHTWAVE LIGHTWAVETM SOLARTM 4Q25 LATE 2Q26 KEY COSMICTM L7 NEW T
Slide 37: Executing on our Hardware and Content Roadmap (ASIA/ANZ)
Executing on our Hardware and Content Roadmap (ASIA/ANZ) ASIA ANZ LAUNCH KEY ROADMAP FAMILIES THROUGH LAUNCH KEY ROADMAP FAMILIES THROUGH RELEASE RELEASE FAMILTIES 2026 For personal use only FAMILIES 2026 COSMIC DUAL LAUNCH 2Q26 COSMIC DUAL LAUNCH 2Q26 KEY FAMILIES THROUGH 2026 Launch periods are ba
Slide 38: KPI Assessment Against Guided Outlook
KPI Assessment Against Guided Outlook Key Performance Metrics Guided Outlook 2Q26 Update Status For personal use only Over 500 units per quarter; N.A. Premium installed base grew over 650 units in the quarter; over 2,500 units Gaming - N.A. Premium installed base 2024 to 2028: +400 bps market share(
Slide 39: Non-GAAP Financial Measures
Non-GAAP Financial Measures Management uses the following non-GAAP financial measures in conjunction with GAAP financial measures: useful information regarding the Company’s liquidity and its ability to service debt and fund investments. Adjusted NPAT, Adjusted NPATA, Adjusted NPATA per share (on a
Slide 40: Non-GAAP Financial Measures (continued)
Non-GAAP Financial Measures (continued) Adjusted NPATA per share is reconciled to diluted net income per share and includes the same adjustments with Net income attributable to noncontrolling interest; (2) Net income from discontinued operations, net of tax; (3) respect to Adjusted NPATA as describe
Slide 41: Non-GAAP Financial Measures (continued)
Non-GAAP Financial Measures (continued) AEBITDA from discontinued operations is reconciled to Net income from discontinued operations, net of tax and EBITDA from Equity Investments includes the following adjustments: (1) Restructuring and other, which includes charges or expenses attributable to: EB
Slide 42: L&W Reconciliation of Consolidated AEBITDA, Normalized EBITDA, Adjusted NPATA and NPAT
L&W Reconciliation of Consolidated AEBITDA, Normalized EBITDA, Normalized EBITA, Adjusted NPATA and Adjusted NPAT For personal use only Note: Unaudited, U.S. Dollars in millions. (1) Refer to the Consolidated AEBITDA definition above for a description of items included in restructuring and other. (2
Slide 43: L&W Reconciliation of Adjusted NPATA Per Share
For personal use only L&W Reconciliation of Adjusted NPATA Per Share Note: Unaudited, U.S. Dollars in per share amounts. © 2026 LIGHT & WONDER 43
Slide 44: L&W Reconciliation of Consolidated AEBITDA
For personal use only L&W Reconciliation of Consolidated AEBITDA Note: Unaudited, U.S. Dollars in millions. © 2026 LIGHT & WONDER 44
Slide 45: L&W Reconciliation of Consolidated AEBITDA (continued)
For personal use only L&W Reconciliation of Consolidated AEBITDA (continued) Note: Unaudited, U.S. Dollars in millions. © 2026 LIGHT & WONDER 45
Slide 46: L&W Reconciliation of Consolidated AEBITDA (continued)
For personal use only L&W Reconciliation of Consolidated AEBITDA (continued) Note: Unaudited, U.S. Dollars in millions. © 2026 LIGHT & WONDER 46
Slide 47: Reconciliation of Consolidated AEBITDA, Discontinued Operations and Combined AEBITDA
L&W Reconciliation of Consolidated AEBITDA, AEBITDA from Discontinued Operations and Combined AEBITDA For personal use only Note: Unaudited, U.S. Dollars in millions. (1) EBITDA from equity investments is a non-GAAP financial measure reconciled to (loss) earnings from equity investments on slide 54.
Slide 48: Reconciliation of Consolidated AEBITDA, Grover Adjusted EBITDA and Combined AEBITDA
L&W Reconciliation of Consolidated AEBITDA, Grover Adjusted EBITDA and Combined AEBITDA For personal use only Note: Unaudited, U.S. Dollars in millions. (1) Grover Adjusted EBITDA is unaudited and based on preliminary estimates and assumptions. Refer to the Grover Adjusted EBITDA definition above fo
Slide 49: Reconciliation of Debt Outstanding to Net Debt Leverage Ratio
L&W Reconciliation of Principal Face Value of Debt Outstanding to Net Debt Leverage Ratio and Combined Net Debt Leverage Ratio For personal use only Note: Unaudited, U.S. Dollars in millions. (1) Combined AEBITDA consists of Consolidated AEBITDA, Grover Adjusted EBITDA, AEBITDA from discontinued ope
Slide 50: Reconciliation of Illustrative Gross Turns Equivalent Impact
For personal use only L&W Reconciliation of Illustrative Gross Turns Equivalent Impact Note: Unaudited, U.S. Dollars in millions. (1) Refer to slide 48 for a reconciliation of Consolidated AEBITDA. (2) Illustrative net debt adjustment represents total gross capital deployment consisting of $2,080 mi
Slide 51: Reconciliation of Operating Cash Flow to Free Cash Flow and Adjusted Free Cash Flow
L&W Reconciliation of Net Cash Provided by Operating Activities to Free Cash Flow and Adjusted Free Cash Flow For personal use only Note: Unaudited, U.S. Dollars in millions. (1) Professional fees, services and other costs related to strategic initiatives, the Grover acquisition and transition to an
Slide 52: Adjusted NPATA to Adjusted Free Cash Flow Conversion Illustration
For personal use only L&W Adjusted NPATA to Adjusted Free Cash Flow Conversion Illustration Note: Unaudited, U.S. Dollars in millions. (1) Represents a non-GAAP measure reconciled to Net cash provided by operating activities on slide 51. (2) Represents a non-GAAP measure reconciled to Net income on
Slide 53: Reconciliation of Consolidated AEBITDA Margin
For personal use only L&W Reconciliation of Consolidated AEBITDA Margin Note: Unaudited, U.S. Dollars in millions. (1) Refer to the reconciliation of Consolidated AEBITDA included in the table titled "L&W Reconciliation of Consolidated AEBITDA, Normalized EBITDA, Normalized EBITA, Adjusted NPATA and
Slide 54: Reconciliation of Earnings from Equity Investments to EBITDA from Equity Investments
L&W Reconciliation of Earnings from Equity Investments to EBITDA from Equity Investments For personal use only Note: Unaudited, U.S. Dollars in millions. (1) Combined EBITDA from equity investments consists of EBITDA from both discontinued and continuing operations equity investments. © 2026 LIGHT &