Aristocrat to release online gaming solution

Aristocrat to release online gaming solution

Based in North Ryde, a suburb of Sydney, Australia, Aristocrat Leisure Group is currently the second-largest slot machine manufacturer in the world, behind International Game Technology or IGT.

On Thursday, May 19, 2022, it reaffirmed its intention to enter the fast-growing online gaming market by the end of the year through a filing with the Australian Securities Exchange.

After a takeover attempt rejected by Playtech's shareholders

This is by no means the first time that the giant Aristocrat Leisure has shown interest in the online gaming market. Last October, for example, it announced that it wanted to buy Playtech software for 3.21 billion euros.

Unfortunately for him, this transaction quickly became more complex as other potential buyers entered the scene. In the end, it was refused at the last minute by the shareholders of the famous publisher.

This still allowed Aristocrat Leisure to raise about $1.3 billion in anticipation of this acquisition. This money will now be used to create its own web-based gaming solution. This is to be launched by the end of this year.

To position itself in the promising US online gaming market

Aristocrat Leisure is currently focusing on online gaming in order to position itself as quickly as possible in the US market, which is expected to become the largest international market. At present, there are only 6 states in the country where online casinos are allowed. Nevertheless, this number is expected to grow gradually over the years.

When the launch of Aristocrat Leisure's web gaming solution was announced, Trevor Croker (the group's CEO) took the opportunity to announce that at least two online casino operators in the US market will benefit from the launch. A third will benefit from it at the beginning of 2023.

Aristocrat Leisure reports good half-year results

In addition to this announcement, the Aristocrat Leisure group also took the opportunity to publish half-yearly results. Its EBITDA amounted to 580 million Australian dollars, which is approximately 387.28 million euros.

This is a significant increase of 41% compared to the same period of the previous fiscal year, which was marked by numerous land-based casino closures due to the international pandemic of the COVID-19 coronavirus.

One of the reasons for the increase was the growth in Aristocrat Leisure slot machine business in North America. This growth reached 23%, which allowed the group to earn 2.74 billion Australian dollars (approximately 1.83 billion euros). It seems that these good results have satisfied investors. Indeed, the company's shares rose after this announcement from 31.20 Australian dollars to 33.73 Australian dollars.