Galaxy Gaming, a developer and distributor of casino games, has released its Q1 2023 financial results.
The total revenue increased 25% to $7.4m, supported by a net income of $111,000.
Adjusted EBITDA also saw an increase, with 15% taking the amount to $3.1m.
Todd Cravens, President and CEO of Galaxy Gaming, said: “Our revenues, which were a record, include approximately $1.3 million of perpetual license purchases from a large customer in GG Core, and we expect more of these purchases in the second quarter.
“Without these purchases in Q1 23, our GG Core revenues were $3.9m vs $3.8m in Q1 22. In our GG Digital business revenues (net) were $2.3m vs $2.1m in Q1 22.
“We anticipate that Q123 will be the last quarter in which year-over-year comparisons are adversely affected by exchange rates.”
In its report, Galaxy Gaming noted that cash had decreased by 10% to $16m.
Cravens continued: “In April, our GOS platform was approved by the testing lab, and we are now receiving the necessary approvals to sell GOS in jurisdictions where such approval is required.”
Also noted in the report was the amount of long-term debt, which decreased from $58.8m to $59.7m.
Harry Hagerty, Galaxy Gaming CFO, said: “We paid down $733,000 of principal on the Fortress loan in Q1, and Net Leverage was 3.9x at the end of the quarter, comfortably below the 6.0x maximum.
“We saw an increase in receivables from some of our largest customers and a decrease in payables to one of our largest vendors, with the result that we saw a decrease in cash in the quarter.
“We believe that our liquidity will remain strong through the balance of the year, and we continue to target a refinancing of our debt in late 2023.”
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