NASDAQ$INSE

Inspired Entertainment Inc · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

Inspired's Q3 2024 results demonstrated the resilience of its diversified business model, driven by Interactive's standout performance and positive momentum in Gaming.

Inspired Entertainment reported strong Q3 2024 results, with Interactive revenue growing 40% year-over-year and EBITDA increasing 47%. The Gaming segment saw EBITDA increase by 29% year-over-year. Virtual Sports faced headwinds from a key customer, but the broader business saw high single-digit revenue growth. The Leisure segment delivered 5% revenue growth and improved EBITDA margin.

  • Interactive revenue grew 40% year-over-year, with EBITDA increasing 47% and a margin of 67.6%.
  • Gaming segment EBITDA increased 29% year-over-year due to an improved revenue mix.
  • Virtual Sports broader business saw high single-digit revenue growth, with industry-leading margins of nearly 79%.
  • Leisure segment delivered 5% revenue growth and a meaningful improvement in EBITDA margin to 30.6%.

Headline financials

Total Revenue

$78M

Previous: $97.5M-20.0%
EPS (adj)

$0.21

Previous: $0.12+75.0%
Adjusted EBITDA

$29.2M

No prior period
Adjusted EBITDA Margin

38.0%

Previous: 27.0%+40.7%
Adjusted Net Loss

$5.4M

No prior period
Capital Expenditures

-$11.7M

Previous: -$20.1M+41.8%
Net Income

$3.4M

Previous: $3.4M+0.0%
Operating Income

$11.9M

Previous: $12.2M-2.5%
Gross Profit

$54.6M

Previous: $76.1M-28.3%
Stock-Based Comp

$1.8M

Previous: $3.2M-43.8%

Revenue & EPS history

Inspired · Revenue · Quarterly

$78M

Q3 2024-20%vs Q3 2023
Beat estimate in 11 of 15 quarters(73%)
ActualEstimate

Revenue by segment

Inspired · $72.5M total across 4 segments · Q4 2022

  • Gaming
    $31.9M
  • Leisure
    $19.4M
  • Virtual Sports
    $14.9M
  • Interactive
    $6.3M

Forward guidance

Inspired remains focused on expanding digital businesses, optimizing land-based operations, and investing in new market opportunities.

Tailwinds

  • Strong performance of Interactive.
  • Improving profitability in Gaming.
  • Ongoing investments in Virtual Sports content.
  • Investments in new markets.
  • Confidence in driving sustainable growth and shareholder value creation.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2024

Historical avgQ3 2024

+2.8%

Avg return

Earnings day

+2.5%

Avg return

5 days after

+2.6%

Avg return

30 days after

45%

20 / 44 earnings

Positive

+23.3%

Q1 2022

Best reaction

-11.8%

Q4 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+12.2%+1.9%+3.6%
Q4 2025-4.4%-21.1%-18.0%
Q3 2025+12.8%+9.9%+15.7%
Q1 2025+4.6%+13.7%+8.4%
Q4 2024+9.6%+5.6%-12.4%
Q3 2024+4.6%+6.6%-4.3%
Q2 2024+5.1%+2.9%+7.0%
Q1 2024-6.5%-7.2%-3.1%
Q4 2023-3.9%-7.1%-8.5%
Q3 2023-7.6%-6.9%-4.8%
Q2 2023-4.5%-2.4%-6.0%
Q1 2023+11.1%+12.3%+19.9%
Q4 2022-11.8%-17.8%-23.7%
Q3 2022+16.5%+21.5%+25.3%
Q2 2022+14.8%+11.8%+1.0%
Q1 2022+23.3%+25.2%+35.2%
Q4 2021+10.7%+18.1%-16.9%
Q3 2021+6.0%-0.2%-19.3%
Q2 2021+4.1%+2.1%+3.4%
Q1 2021-0.9%-7.0%+37.7%
Q4 2020+23.2%+29.4%+19.8%
Q3 2020+18.0%+12.0%+32.0%
Q2 2020-3.6%+3.9%-10.9%
Q1 2020+7.6%+16.1%+60.2%
Q4 2019-11.8%-17.9%-51.8%
Q3 2019+0.2%-3.3%-6.9%
Q2 2019+14.3%+7.5%+7.5%
Q1 2019-5.1%-3.0%-2.1%
Q4 2018-3.4%-5.6%+5.1%
Q3 2018-6.9%-7.9%-17.1%
Q2 2018+22.1%+22.1%+9.6%
Q1 2018-7.6%-14.5%-19.1%
Q4 2017-8.4%-5.8%+2.9%
Q3 2017-0.5%+0.5%+22.3%
Q1 2017-2.8%+1.9%+18.0%
Q4 2016-5.3%-5.7%-9.5%
Q3 2016+0.0%-1.5%+0.5%
Q2 2016+0.0%+3.2%+0.0%
Q1 2016+0.0%
Q4 2015+0.1%
Q3 2015+0.0%
Q2 2015+0.0%
Q1 2015-0.4%
Q4 2014+0.0%
Q3 2014

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