Brightstar Lottery Plc Trading Under The Legal Name To Begin At The Market Open On July 21, 2025. · NYSE:BRSL
Brightstar Lottery Plc Trading Under The Legal Name To Begin At The Market Open On July 21, 2025 — International Game Technology — Q2 2022 Earnings Presentation
40 slides from Brightstar Lottery Plc Trading Under The Legal Name To Begin At The Market Open On July 21, 2025's earnings presentation, Aug 2, 2022
Slide 1: Period ended June 30, 2022
Period ended June 30, 2022 Exhibit 99.2
Slide 2: Cautionary Statement Regarding Forward-Looking Statements
Cautionary Statement Regarding Forward-Looking Statements This news release may contain forward-looking statements (including within the meaning of the Private Securities Litigation Reform Act of 1995) concerning International Game Technology PLC and its consolidated subsidiaries (the “Company”) and
Slide 3: 3
3
Slide 4: Strong Operating Fundamentals Driving Compelling Capital Returns
Strong Operating Fundamentals Driving Compelling Capital Returns 4 OPTIMIZE GROW INNOVATE Double-digit revenue growth for Q2’22 and H1’22 periods, at constant currency and net of PY discrete Lottery benefits Contributions from each operating segment, led by Global Gaming growth 22% operating income
Slide 5: Profits Bolstered by Lottery Leadership and Predictable, Recurring Revenue Streams
Profits Bolstered by Lottery Leadership and Predictable, Recurring Revenue Streams 5 Note: Segment Operating Income and Adjusted EBITDA contributions exclude Corporate Support Expense and Other line items (1) Average years remaining calculated on revenue-weighted basis, including extension options ~
Slide 6: U.S. and Italy Lottery Markets Historically Demonstrate Resilience During Recession
March 2001– Sep 2001 March 2008–June 2009 March 2020– June 2020 0 20 40 60 80 100 Instant Other Draw Keno Multi-state Games Recession June 2001 - Dec 2001 June 2003 – Sep 2003 June 2008 - June 2009 Sep 2011- March 2013 Dec 2019 - June 2020 0 5 10 15 20 25 Lotto Scratch & Win Recession U.S. Lottery I
Slide 7: IGT's Extensive & Unique Capabilities Powering Market Growth
IGT’s Extensive & Unique Capabilities Powering Market Growth; Only Lottery Solutions Provider with B2B and B2C Capabilities 7 Facility Management • 30+ facility management contracts; 20+ in the U.S. • 55+ Lottery central systems deployed worldwide • Serving 8 of the 10 largest Lotteries in the world
Slide 8: Multi-year Lottery Growth Accelerates in Q2'22
Multi-year Lottery Growth Accelerates in Q2’22; IGT’s Unique Capabilities Support Stronger Outlook 8 Q2’22 same-store sales imply 5% average annual growth from pre-COVID period Instant ticket games are main driver in North America and Italy iLottery sales up 35% Y/Y at constant currency; up 44% in U
Slide 9: Impressive and Broad-based Gaming Momentum Drives Robust Revenue and Profit Gains
Impressive and Broad-based Gaming Momentum Drives Robust Revenue and Profit Gains 9 Higher replacement unit shipments, average selling prices, and yields fuel 20+% revenue growth IGT maintains 3+ years of steady North American ship-share gains, capturing 27% share in Q1’22(1) Market leadership, new
Slide 10: U.S. Gaming GGR Reasonably Resilient in Prior Recession Periods
Mar 2001–Sep 2001 March 2008–June 2009 March 2020–June 2020 0 10 20 30 40 50 60 U.S. Commercial Gaming GGR Recession U.S. Gaming GGR Reasonably Resilient in Prior Recession Periods 10 Source: American Gaming Association; National Indian Gaming Commission Note: 2021E US Tribal Gaming GGR is an IGT es
Slide 11: iSoftBet Integration Underway in Digital & Betting Segment
iSoftBet Integration Underway in Digital & Betting Segment; Expanded Scale and Capabilities Increase Market Opportunities (1) Per July 2022 Eilers & Krejcik Gaming research 11 U.S. iGaming market continues to expand at double- digit rate, mostly from new markets IGT growth supported by leading posit
Slide 12: Strong Foundation and Clear Path to Sustainable Growth and Compelling Value Creation
Strong Foundation and Clear Path to Sustainable Growth and Compelling Value Creation, Shareholder Returns 12 Solid full-year profit outlook Strong customer & player demand, disciplined cost control mitigating Omicron impacts; higher supply chain costs and project costs; and FX Proactive capital stru
Slide 13: Financial Results Period ended June 30, 2022
DEALE; Bs PCy) gDeaLer's HAND INANCI RESULT Period ended June 30, 2022 mOCTiONS,
Slide 14: Delivered Q2'22 Operating Income Margin at Top End of Expectations
Delivered Q2’22 Operating Income Margin at Top End of Expectations; H1’22 Operating Income Margin Exceeds Full Year Outlook Range 14 Note: EUR/USD FX daily average 1.06 in Q2’22; 1.20 in Q1’21 *Non-GAAP measure; see disclaimer on page 2 and reconciliations to the most directly comparable GAAP measur
Slide 15: Global Lottery Delivers Strong Multi-year Growth and Profit Margins
Global Lottery Delivers Strong Multi-year Growth and Profit Margins 15 Operating Income $230M Mid-single digit global same-store sales CAGR from 2019 continues Global same-store sales down 7% Y/Y; reflects impact of discrete benefits in PY but trends improving North America and Rest of World same-st
Slide 16: Global Gaming: Strong Demand for Innovative Products and Higher Yields
Global Gaming: Strong Demand for Innovative Products and Higher Yields Propel Revenue Growth Global machine shipments up 14+% Y/Y Led by strong U.S. & Canada replacement unit demand U.S. & Canada ASP rises to $15,200, among highest level in Company history Global installed base of ~48,000 units, sta
Slide 17: Digital & Betting: Strategically Investing in Content, Platforms, and Talent
Digital & Betting: Strategically Investing in Content, Platforms, and Talent to Fuel Future Growth 17 Revenue flat Y/Y; up 4% at constant currency iCasino growth in U.S. partially offset by softness in other markets North America Sports Betting market GGR impacted by lower hold levels H2’22 revenue
Slide 18: Solid Cash Flow Generation Supports Higher Capital Returns
28% 16% 15% 41% Solid Cash Flow Generation Supports Higher Capital Returns $385M Cash from Operations $196M in Q2’22 $232M Free Cash Flow* $117M in Q2’22 Cash Flows (YTD) Capital Allocation (YTD) Share Repurchases Dividends to Shareholders Minority Payments, net Capital Expenditures *Non-GAAP measur
Slide 19: Diligent Capital Management Enhances Financial Flexibility
Diligent Capital Management Enhances Financial Flexibility, Reduces Cost of Debt, and Improves Debt Maturity Profile 19 208 208 208 415 0 61 519 1,100 1,529 750 519 750 1,830 2022 2023 2024 2025 2026 2027 2028 2029 80% Fixed Variable Bank Debt Bonds Undrawn RCF Total liquidity of $2.1B; $0.7B in unr
Slide 20: Leverage at Low End of 2022 Range
Leverage at Low End of 2022 Range; Expect to Exceed Target with Proceeds from Asset Sales 20 7,319 5,922 5,722 2020 2021 Q2'22 Net Debt and Leverage* (Amounts in $ millions) 6.4x 3.5x 3.5x 3.5x net debt leverage already in line with 2025 target range Sale of Italy commercial services business expect
Slide 21: Tightening FY'22 Revenue Outlook for FX and Business Disposition
Outlook Assumptions Revenue Operating Income Margin Cash from Operations ~$4.1B - ~$4.2B 20% - 22% $850M - $950M Capital Expenditures ~$350M Note: FY’22 EUR/USD @ 1.18 as of November ’21; 1.04 as of August ’22 Tightening FY’22 Revenue Outlook for FX and Business Disposition; Operating Expectations U
Slide 22: Reconfirming Full-Year 2022 Operating Income Margin Outlook
Note: FY’22 EUR/USD @ 1.18 as of November ’21; 1.04 as of August ’22 Reconfirming Full-Year 2022 Operating Income Margin Outlook Despite Currency and Macroeconomic Headwinds Initial Outlook Provided November '21 FX Impacts of Omicron Restrictions, Supply Chain Constraints, and Project Costs Incremen
Slide 23: Introducing Q3'22 Outlook
Outlook Assumptions Introducing Q3’22 Outlook 23 Revenue Operating Income Margin ~$1.0 - $1.1B 18% - 20% Q3’22 Outlook EUR/USD @ 1.00 Operating income margin includes ~150 - 200 basis point impact from project-related expenses
Slide 24: Strong Operating Fundamentals Driving Compelling Capital Returns; Improved Risk Profile
Strong Operating Fundamentals Driving Compelling Capital Returns; Diligent Capital Management Improves Risk Profile 24 Revenue up 3% at constant currency Operating income margin exceeds top end of FY’22 outlook range Adjusted EPS of $1.17; up 80% 20% - 22% operating income margin outlook reconfirmed
Slide 25: IGT
@ IGT
Slide 26: Appendix
APPENDIX
Slide 27: Q2'22 Select Performance and KPI Data: Global Lottery
$ in millions except otherwise noted Q2'22 Select Performance and KPI Data 27 GLOBAL LOTTERY Q2'22 Q2'21 Y/Y Change (%) Constant Currency Change (%) Q1'22 Sequential Change as Reported (%) Revenue Service Operating and facilities management contracts 581 675 (14)% (8)% 599 (3)% Upfront license fee a
Slide 28: Q2'22 Select Performance and KPI Data: Global Gaming
$ in millions except otherwise noted (1) Excluded from yield calculations due to treatment as sales-type leases Q2'22 Select Performance and KPI Data 28 GLOBAL GAMING Q2'22 Q2'21 Y/Y Change (%) Constant Currency Change (%) Q1'22 Sequential Change as Reported (%) Revenue Service Terminal 123 108 14%
Slide 29: Q2'22 Select Performance and KPI Data: Global Gaming (Continued)
$ in millions except otherwise noted (1) Excludes Casino L/T lease units due to treatment as sales-type leases; comparability on a Y/Y basis hindered due to fewer active units Q2'22 Select Performance and KPI Data 29 GLOBAL GAMING (Continued) Q2'22 Q2'21 Y/Y Change (%) Q1'22 Yields (by geography)(1)
Slide 30: Q2'22 Select Performance and KPI Data: Digital & Betting
$ in millions except otherwise noted Q2'22 Select Performance and KPI Data 30 DIGITAL & BETTING Q2'22 Q2'21 Y/Y Change (%) Constant Currency Change (%) Q1'22 Sequential Change as Reported (%) Revenue Service 43 43 —% 3% 47 (9)% Product sales — — NA NA 0 (55)% Total revenue 43 42 1% 4% 47 (9)% Operat
Slide 31: Q2'22 Summarized Income Statement
$ in millions except per share amounts Q2'22 Summarized Income Statement For the three months ended June 30, 2022 2021 Y/Y Change (%) Constant Currency Change (%) Service revenue 842 901 (7)% (1)% Product sales 179 140 27% 31% Total revenue 1,021 1,041 (2)% 3% Total operating expenses 793 796 —% 4%
Slide 32: Summarized Cash Flow Statement
Summarized Cash Flow Statement For the three months ended For the six months ended June 30, June 30, 2022 2021 2022 2021 Net cash provided by operating activities 196 249 385 500 Capital expenditures (79) (73) (153) (121) Free cash flow 117 176 232 380 Net cash provided by discontinued operations —
Slide 33: Reconciliations of Non-GAAP Measures - Q2'22
For the three months ended June 30, 2022 Global Lottery Global Gaming Digital & Betting Business Segment Total Corporate and Other Total IGT PLC Income from continuing operations 34 Benefit from income taxes (11) Interest expense, net 75 Foreign exchange gain, net (19) Other non-operating expense, n
Slide 34: Reconciliations of Non-GAAP Measures - Q2'22 EPS
For the three months ended June 30, 2022 Pre-Tax Impact Tax Impact (1)(2) Net Impact Reported EPS from continuing operations attributable to IGT PLC - diluted (0.02) Adjustments: Foreign exchange gain, net (0.09) 0.04 (0.14) Amortization - purchase accounting 0.19 0.05 0.14 Discrete tax items — (0.0
Slide 35: Reconciliations of Non-GAAP Measures - Q2'21
$ in millions; all amounts presented reflect continuing operations (1) Includes amortization of upfront license fees For the three months ended June 30, 2021 Global Lottery Global Gaming Digital & Betting Business Segment Total Corporate and Other Total IGT PLC Loss from continuing operations (39) P
Slide 36: Reconciliations of Non-GAAP Measures - Q2'21 EPS
For the three months ended June 30, 2021 Pre-Tax Impact Tax Impact (1)(2) Net Impact Reported EPS from continuing operations attributable to IGT PLC - diluted (0.48) Adjustments: Foreign exchange loss, net 0.44 0.03 0.40 Amortization - purchase accounting 0.19 0.05 0.15 Loss on extinguishment and mo
Slide 37: Reconciliations of Non-GAAP Measures - YTD Q2'22
Reconciliations of Non-GAAP Measures - YTD Q2'22 For the six months ended June 30, 2022 Global Lottery Global Gaming Digital & Betting Business Segment Total Corporate and Other Total IGT PLC Income from continuing operations 151 Provision for income taxes 53 Interest expense, net 151 Foreign exchan
Slide 38: Reconciliations of Non-GAAP Measures - YTD Q2'22 EPS
For the six months ended June 30, 2022 Pre-Tax Impact Tax Impact (1)(2) Net Impact Reported EPS from continuing operations attributable to IGT PLC - diluted 0.37 Adjustments: Foreign exchange gain, net (0.11) 0.08 (0.19) Amortization - purchase accounting 0.37 0.09 0.28 Discrete tax items — (0.15) 0
Slide 39: Reconciliations of Non-GAAP Measures - YTD Q2'21
Reconciliations of Non-GAAP Measures - YTD Q2'21 $ in millions; all amounts presented reflect continuing operations (1) Includes amortization of upfront license fees For the six months ended June 30, 2021 Global Lottery Global Gaming Digital & Betting Business Segment Total Corporate and Other Total
Slide 40: Reconciliations of Non-GAAP Measures - YTD Q2'21 EPS
For the six months ended June 30, 2021 Pre-Tax Impact Tax Impact (1)(2) Net Impact Reported EPS from continuing operations attributable to IGT PLC - diluted (0.09) Adjustments: Foreign exchange gain, net (0.27) 0.02 (0.29) Amortization - purchase accounting 0.38 0.09 0.29 Loss on extinguishment and
International Game Technology — Q2 2022 Earnings Presentation on 6ix