CIRSA achieves €118.1 million operating profit in the first quarter of 2022
The recovery of the activity, practically in all markets where the Company operates, allowed to overcome the pre-pandemic results from the first quarter of 2019 (+14.2%)
Terrassa, 25 May 2022 – CIRSA, a leading global gaming and entertainment company and Spain’s market leader, reported an operating profit of €118.1 million in the first quarter of 2022 (+312% vs. 2021). Operating income from January to March totalled €378.2 million (+141.8% vs. 2021).
These results indicate the Company’s positive performance, which started in the second half of 2021, allowing it to achieve operating income and exceed EBITDA (+14.2%) from the first quarter of 2019 (pre-COVID period).
According to Joaquim Agut, Executive Chairman of the CIRSA Group, “the key to maintaining the positive trend of our results is having an organisation and a team capable of optimally executing the operating and business plans. These plans have allowed us to cope with and respond to a past context of strong restrictions and, above all, record a quick and robust recovery as those restrictions have been lifted and allowed for more hours of activity”. “This planning and response capacity is a line of action that we will continue to apply with the utmost prudence and efficiency considering the current global economic and geopolitical uncertainty”, Agut said.
Overall, the first quarter highlighted the good performance of different businesses in Spain, where an average of 100% of operating hours was reached considering the strict restrictions imposed during the first quarter of 2021. In Latin America, the positive trend continued in all countries as operating hours increased and capacity restrictions and other pandemic prevention measures eased.
Q1 2022 Highlights CASINOS
- The results of this business unit were marked by the impact of the Omicron variant in January, and some normality was restored in several countries from February with an easing of restrictions and an improvement in operating hours very similar to before the pandemic. Morocco remained closed during the entire first quarter.
- The Slot Machines business unit outperformed last year’s first quarter result thanks to the correct execution of the business and production plans. It was also a fundamental piece in the good development of this business unit the management of the park with the success of the models of the B2B division (UNIDESA).
- In Italy, the most noteworthy revenue recovery for both VLT and AWP machines began at the end of the first quarter, which coincided with the improvement of country consumer rates following a strong impact of the Omicron variant in January and February.
- The Arcades business unit maintained the positive results trend thanks to having 100% of operating hours, as well as to the business plans and operational improvements implemented.
- The results of the sports betting business unit were very positive thanks to the multichannel approach (retail and online) in different markets, as well as the brand’s advanced CRM systems.
- During the first quarter, the level of activity of this business unit improved substantially thanks to the lifting of restrictions, especially in Catalonia, as well as confidence in the health protocols still in force and the commercial actions implemented in all halls.
B2B – UNIDESA
- The Madrid International Gambling and Gaming Trade Show held in March marked the course of the first quarter. UNIDESA introduced Manhattan Reelvolution to the Hospitality channel, a new product from the Manhattan saga that continued to be a bestseller. This model, along with the Kong Chita mixed machine, placed the industrial division as undisputed leader of the Horeca Chanel
- For the arcade business, the industrial area launched two new products, Fire Shot Link and Dragon Bonus, which started off a good roll-out nationwide despite supply chain delays.
- Finally, the Interactive area, specialising in arcade management systems, presented the new Forward Systems modules focused on access control and the mobile-integrated loyalty card, among other functionalities.