AGS Reports Second Quarter 2020 Results
- 500 Of Our Customers' Casinos Re-Opened as of June 30, 2020; Over 11,000 Active EGMs on Lease
- Decisive Management of Business Expenses and Capital Expenditures During Nearly Complete Shutdown of Casinos
- $113 Million in Cash and Cash Equivalents at June 30 Provides Strong Liquidity Position
LAS VEGAS, Aug. 5, 2020 /PRNewswire/ -- AGS (NYSE: AGS) ("AGS", "us", "we" or the "Company") today reported operating results for its second quarter ended June 30, 2020.
"Although casinos started to reopen in the later part of the quarter, we remained disciplined in how we reintroduced cost back into the business, ramping departments that are essential to run our business, such as field service, R&D and manufacturing," said AGS President and Chief Executive Officer David Lopez. "Initial game performance on EGM units that are in-service has been strong and better-than-expected, which allows us to lean on our strong recurring revenue footprint in this challenging environment. Prior to and even during COVID-19, we were seeing strong initial performance from our new products, such as the Starwall and Orion Rise, as well as continued momentum from our new titles on Orion Portrait and our suite of table game progressives. Given the breadth and depth of our current content portfolio, we believe that the long-term opportunities for AGS remain intact, and that we have ample liquidity and the best-in-class team to navigate through near-term uncertainties."
Kimo Akiona, AGS' Chief Financial Officer, added, "Our careful management of expenses and capital expenditures during the casino shutdowns in the quarter — in addition to drawing $30 million under the existing revolving credit facility and entering into incremental term loans of $95 million — have resulted in a strengthened liquidity position. Although it is hard to predict exactly how the pandemic will continue to impact the macro operating environment, given all of the measures we've taken, we believe we are positioned with sufficient liquidity and flexibility to emerge from this a more competitive and more nimble organization."
The complete financial report is available at http://investors.playags.com/news/press-releases/default.aspx
PowerPoint presentation at http://investors.playags.com/events-and-presentations/presentations/default.aspx