Everi Holdings Inc. (NYSE: EVRI) saw a notable increase in its stock price during the Tuesday after-market session, climbing by 3.16% to $7.84. This rise counterbalanced the regular-session dip of 1.43%, ending the day at $7.60. The stock's volatility followed the release of the company's financial results last week, which have seemingly helped stabilize its value.
Table of Contents
Toggle- Financial Results And Merger Progress
- Continued Support And Growth Projections
- Investment In Future Growth
Financial Results And Merger Progress
Everi Holdings (EVRI) announced its first-quarter 2024 results, highlighting advancements toward completing its proposed merger with IGT's Global Gaming and PlayDigital businesses, expected either later this year or in early 2025. By prioritizing client wants and offering a diverse and complementary range of products, this strategic combination holds the potential to yield substantial long-term value for shareholders and create many opportunities for development.
Compared to the same period last year, when Everi's sales was $200.5 million, it was $189.3 million in the first quarter of this year. Although the company's rollout of its newest cabinet family and unique content has taken longer than planned, it is still gathering steam and anticipates faster growth in the second half of the year. Beginning in the second quarter, sequential quarterly gains in unit sales are projected.
Continued Support And Growth Projections
Everi plans to maintain support for its game products portfolio post-merger. In its FinTech business, the highest-margin financial access, software, and other revenue categories showed continued growth in the first quarter, although this was partially offset by a decline in hardware revenues, which are less predictable quarterly.
Despite early-year weather-related headwinds, financial access revenue trends have improved, and Everi expects consistent growth to persist. Consolidated hardware sales are also projected to recover over the remainder of the year.
Investment In Future Growth
Everi has stepped up its investments in personnel and technology in order to create next-generation goods and set itself up for long-term success. Even if it has taken longer than anticipated to turn these expenditures into higher income, Everi is still on schedule to complete a number of projects in the second half of 2024. These initiatives include initial video lottery terminal (VLT) placements and the launch of its first gaming products for the Australian market.