Inspired Entertainment Partners with AGLC
Inspired Entertainment (NASDAQ: INSE) has entered an agreement with Alberta Gaming, Liquor and Cannabis (AGLC) following a successful six-month trial. AGLC will purchase 150 new Valor® terminals, with deployment expected by the end of Q2 2024. Inspired CEO Brooks Pierce emphasized the partnership's importance and the company's commitment to expanding in Canadian markets, including Alberta, Ontario, and Saskatchewan. Inspired provides gaming content, technology, and hardware solutions to various operators worldwide, operating in about 35 jurisdictions with 50,000 gaming machines and 32,000 retail venues.
- AGLC commits to purchasing 150 new Valor terminals.
- Successful six-month trial period indicates product efficacy.
- Deployment of new terminals expected by end of Q2 2024.
- Expansion into Alberta adds to existing Canadian markets in Ontario and Saskatchewan.
- Potential growth opportunities in Canadian markets highlighted.
- Strength of product portfolio emphasized by Inspired CEO.
- Inspired operates in 35 jurisdictions with 50,000 gaming machines.
- Wide variety of products appeal to various operators and players.
- No specific revenue figures or financial impact disclosed.
- Potential risks associated with the deployment timeline.
- Operational challenges in expanding to new jurisdictions.
Insights
Inspired Entertainment's new agreement with AGLC is a positive development for the company's financial outlook. The purchase of 150 new Valor® terminals by AGLC following a successful trial period indicates market confidence in Inspired's products. This should directly translate to revenue growth, enhancing the company's balance sheet and possibly leading to an uptick in share prices.
Revenue Impact: The addition of 150 terminals will likely bring in significant revenue. With a solid deployment target by the end of Q2 2024, investors can expect a positive impact on Inspired's financial performance as early as the latter half of the year.
Market Expansion: Expanding into Alberta strengthens Inspired's footprint in Canada, adding to its presence in Ontario and Saskatchewan. This positions the company well for further growth in the Canadian market, which could be lucrative given the regulatory environment and consumer demand for gaming products.
Investor Sentiment: This agreement should bolster investor confidence in the company’s growth strategy. The deal showcases Inspired’s ability to secure significant contracts and maintain strong partnerships, essential for ongoing market expansion.
The agreement with AGLC serves as a strategic milestone for Inspired Entertainment, particularly in terms of market penetration and competitive positioning.
Market Penetration: By entering Alberta, Inspired is not just expanding its geographic reach but also tapping into a market with significant growth potential. Alberta's regulatory environment is supportive of gaming and the successful trial indicates a robust demand for high-quality gaming terminals like Valor®.
Competitive Positioning: This move places Inspired in a stronger competitive position in Canada. Having a presence in multiple Canadian provinces not only diversifies revenue streams but also builds brand recognition and loyalty. It’s a strategic advantage over competitors who may be less established in the Canadian market.
Consumer Trends: The gaming industry is seeing increasing demand for high-tech, engaging gaming experiences. Valor® terminals' successful trial period suggests that Inspired's products are meeting consumer preferences, which bodes well for future sales and market share growth.
Completion of Successful Trial Leads to Addition of Valor® Cabinets in Alberta
NEW YORK, June 13, 2024 (GLOBE NEWSWIRE) -- Inspired Entertainment, Inc. (NASDAQ: INSE) (“Inspired” or the “Company”), a leading B2B provider of gaming content, technology, hardware and services, today announced that it has entered an agreement with Alberta Gaming, Liquor and Cannabis, an agency of the government of the Canadian province of Alberta that oversees casino gaming (“AGLC”). Following a successful [six-month] trial period, AGLC has committed to purchase 150 new Valor terminals. Deployment of the new terminals is expected to be completed by the end of the second quarter of 2024.
“We are delighted to welcome AGLC as a valued customer. AGLC’s decision to order 150 Valor cabinets underscores the success demonstrated during the trial period as well as the strength of our product portfolio. We look forward to a long and prosperous partnership with AGLC,” said Brooks Pierce, President and Chief Executive Officer of Inspired. “We remain committed to expand in the attractive Canadian markets by delivering exceptional gaming solutions with both our gaming and digital products. Adding Alberta to our existing footprints in Ontario and Saskatchewan is the next step as we continue to see growth opportunities from the Canadian markets.”
About Inspired Entertainment, Inc.
Inspired offers an expanding portfolio of content, technology, hardware and services for regulated gaming, betting, lottery, social and leisure operators across retail and mobile channels around the world. The Company’s gaming, virtual sports, interactive and leisure products appeal to a wide variety of players, creating new opportunities for operators to grow their revenue. The Company operates in approximately 35 jurisdictions worldwide, supplying gaming systems with associated terminals and content for approximately 50,000 gaming machines located in betting shops, pubs, gaming halls and other route operations; virtual sports products through more than 32,000 retail venues and various online websites; interactive games for 170+ websites; and a variety of amusement entertainment solutions with a total installed base of more than 16,000 terminals. Additional information can be found at www.inseinc.com.
Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding our ability to bring certain of our products to customers in the various markets in which we operate and execute on our strategic plan, statements regarding expectations with respect to potential new customers and statements regarding our anticipated financial performance. Forward-looking statements may be identified by the use of words such as “anticipate,” “believe,” “continue,” “expect,” “estimate,” “plan,” “will,” “would” and “project” and other similar expressions that indicate future events or trends or are not statements of historical matters. These statements are based on Inspired management’s current expectations and beliefs, as well as a number of assumptions concerning future events.
Forward-looking statements are subject to known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside of Inspired’s control and all of which could cause actual results to differ materially from the results discussed in the forward-looking statements. Accordingly, forward-looking statements should not be relied upon as representing Inspired’s views as of any subsequent date. You are advised to review carefully the “Risk Factors” section of Inspired’s annual report on Form 10-K for the fiscal year ended December 31, 2023, and subsequent quarterly reports on Form 10-Q, which are available, free of charge, on the U.S. Securities and Exchange Commission’s website at www.sec.gov. Inspired does not undertake any obligation to update forward-looking statements to reflect events or circumstances after the date they were made, whether as a result of new information, future events or otherwise, except as required by law.
Contact:
For Investors
IR@inseinc.com
+1 646 277-1285
For Press and Sales
inspiredsales@inseinc.com
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