Aug. 31 at 11:40 PM
$INSE announced sale of UK Parks business further executing on strategy of increasing digital share of business +rising margins (less capex intensive).
-Proceeds to pay down debt of
$293M in LTD and dropping to
$268M post UK Parks sale.
-Virtual Sports: Q/Q Growth Implies Stabilization. Revenue declined 21% y/y in Virtuals, but increased 6% q/q. Mngmt expects sequential growth throughout the remainder of 2025 and hopes to fully lap the negative changes in Q4 this year. -International Launches Continue. -In July, INSE launched Virtual Sports with the Virginia Lottery, the first US lottery to offer the product. -In Brazil, INSE launched its soccer product, V-Play Football, with market leader Betano. (Craig Hallum).
-I-gaming is more recession-resistant within gambling space.
-Given INSE boasts a differentiated portfolio of assets/games/businesses, they are an attractive takeover candidate. Sega Sammy’s (SGAMY/SGAMF) paid premium for Gan Limited. I envision a takeout in 2026 >
$20/share
