IGT defies analyst predictions

Expanded deal with Fanduel announced

IGT’S diversity of products, especially its lottery business, enabled the London-based company to outperform analysts’ expectations for second-quarter earnings.

Executives with the company, a major slot machine manufacturer with a large presence in Nevada, said Tuesday that they were hampered throughout the quarter by the coronavirus pandemic, which closed not only hundreds of casinos worldwide but also bars and restaurants, where IGT dominates with bar-top slot machine products. Bar-top machines remain shut down in Nevada.

“Our second-quarter results reflect the intense impact of global lockdowns caused by the pandemic,” said Marco Sala, CEO of IGT.

Sala said IGT has the ability to further cut expenses if necessary, but with casinos starting to reopen, that may not be needed. He noted that while some casinos have reopened in some markets — Central American properties have begun reopening, but South American casinos have not — floors are still operating at reduced volume, with every other slot machine turned off in most markets

Our second-quarter results reflect the intense impact of global lockdowns Caused By the pandemic. to promote social distancing.

IGT generated about half the revenue in the quarter that it did in the second quarter of 2019.

The company reported a net loss of $94.1 million, $1.38 a share, on revenue of $637.5 million for the quarter ended June 30. A year ago, the company posted net income of $223.7 million, 2 cents a share, on revenue of $1.234 billion.

IGT announced Monday that it had bolstered its position in the growing sports wagering segment by expanding its agreement with the New York-based Fanduel Group, a fantasy sports company that also operates sportsbooks in some markets. Fanduel is not licensed in Nevada.

Under terms of the agreement,