Overview

* Inspired Q2 revenue rises 7% yr/yr, driven by record Interactive growth

* Adjusted EBITDA for Q2 up 15%, fueled by Interactive segment performance

* Co completes debt refinancing, issuing £270 mln notes and £17.8 mln credit facility

Outlook

* Company optimistic about Virtual Sports growth in Brazil and UK

* Inspired expects continued growth in Interactive segment

* Company sees Gaming segment benefiting from Greece terminal deployments

Result Drivers

* INTERACTIVE GROWTH - Interactive revenue rose 45% yr/yr, driven by North America and UK markets

* GAMING PERFORMANCE - Gaming Adjusted EBITDA increased 35% due to Vantage cabinets rollout and cost efficiencies

* VIRTUAL SPORTS MOMENTUM - Sequential growth in Virtual Sports driven by new content in Brazil and expanded UK partnerships

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 $80.30

Revenue mln

Q2 Net -$7.80

Income mln

Q2 $28.40

Adjusted mln

EBITDA

Q2 35.0%

Adjusted

EBITDA

Margin

Q2 $7.90

Operatin mln

g Income

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the online services peer group is "buy"

* Wall Street's median 12-month price target for Inspired Entertainment Inc ( INSE ) is $12.50, about 29.4% above its August 5 closing price of $8.82

* The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 9 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)