CIRSA Achieves €158 Million in Operating Profit in the 3Q 2023

November 28, 2023 | Financial

SPAIN (November 22, 2023) — Cirsa, a leading multinational in Gaming and leisure and the first company in the sector in Spain, registered operating income of 493 million euros and an operating profit of 158 million euros in the third quarter of 2023.

These results confirm the strong growth trend of the company’s business thanks to the strategy of focusing on key markets and the continuous improvement of the offer and quality of service, i.e. exceeding operating income by 8,6% and operating profit by 7,1% compared to the third quarter of 2022.

In the first nine months of 2023, the company accumulated an Ebitda of 467,1 million euros and an operating profit of 1.475,2 million euros.

These results confirm the upward revision of the Ebitda guidance that the company made last June and which respond to the good implementation of the operational plans by the various business units despite operating in a context of macroeconomic and global geopolitical geopolitical uncertainty.

Highlights in the third quarter of 2023

The results of the Casino division for the third quarter are still characterized by the improvement of the trend compared to 2022. We continue with the implementation of commercial and cost efficiency plans, the selective renewal of sales points, as well as the incorporation of new machines into the vanguard for the renovation of the park.

An excellent pace of evolution of both turnover and Ebitda is maintained, thanks to the good management of the product (Manhattan Party) which has captured the interest and preference of customers at the point of sale, as well as the launch of a new mixed machine model. The containment of expenses and the efficiency in the implementation of the plans led to the implementation of the plan that had been defined and to maintaining the good results.

After a very positive first half in organic revenues in both AWPs and VLTs compared to 2022, a consolidation of growth was recorded in Italy in the third quarter. The full incorporation and synergies of Modena Giochi provided the business in Italy with an improvement and consolidation of its revenues and EBITDA. As mentioned, the group’s total EBITDA grew by 7,1% compared to the third quarter of 2022, reaching €158,0 million. Once again, all BUs are recording EBITDA growth, with the On-line Gaming & Betting BU and the Slot Italia BU leading the way with increases of 43,9% and 54,3% respectively compared to the same period of 2022.

Particularly noteworthy is the contribution to this growth of the acquisition of Modena Giochi and E-Play 24.

Net operating revenues increased by 12,7 million euros (+21,9%) compared to the third quarter of 2022, reaching 70,9 million euros.

EBITDA reached 11,9 million euros (+43,9% compared to 3Q-2022), with an increase of 3,6 million euros, due to the good performance of the contribution of E-Play 24.

Results from the online gaming and sports betting division were favorable in the quarter compared to the previous year, with significant growth both in volume and across all markets in which it operates. Efficient marketing management, as well as multi-channel and customer intelligence strategies, continue to push towards constant improvement in results. In addition to Spain, growth in Italy and Mexico stands out. The brand continues to strengthen thanks to our association agreement with Manchester City for the second consecutive season and the sponsorship agreement of the Americas Kings League Santander in Latin America.

CIRSA Group financial information

Third Quarter 2023 Results

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