Scientific Games has extended its existing instant games partnership with the Connecticut Lottery Corporation, a Las Vegas-based provider of content and technology for the gambling industry.
The company received a five-year contract to serve as the state lottery's primary instant game provider, which plans to implement the new gaming system in the summer of 2021.
Scientific Games has supplied instant games to the Connecticut Lottery for more than 40 years but the new contract increases the percentage of the company's games in the lottery's portfolio.
Moreover, the supplier will also provide marketing services, research and analytics to help the growth of the Lottery as part of the extended agreement.
Scientific Games is benefiting from new lottery and gaming contract wins and international expansions. In fourth-quarter 2019, lottery revenues (27% of revenues) increased 0.9% year over year to $233 million. Increased sales of the company’s hardware solutions, primarily in international markets, drove the top line.
Scientific Games Corp Price and Consensus
Scientific Games Corp price-consensus-chart | Scientific Games Corp Quote
Expanding Lottery Footprint: A Key Catalyst
Last week, the company announced a 10-year contract for a new statewide gaming system to serve the Iowa Lottery and its 2,400 retail locations.
The company also inked a new four-year systems technology deal with long-time partner Staatliche Lotterieverwaltung (LOTTO Bayern), the state lottery of Bavaria in Munich, Germany.
Per the latest agreement, LOTTO Bayern’s existing central gaming system will shift to Scientific Games’ advanced, new SYMPHONY technology over the next year.
Additionally, the company stretched its relationship with Nederlandse Loterij (NLO) to power new digital sports betting solutions in the Netherlands, ahead of the country’s liberalized online gambling market launch in 2021.
In December, the company inked a three-year contract extension with the California State Lottery, under which Scientific Games will continue to provide the #3 instant game lottery in the world (2018 total sales, La Fleur's Almanac) to California Lottery till November 2022, with optional extensions through 2025.
Moreover, in October, Florida Lottery selected the company as its primary instant games provider through 2027.
International Deal Wins to Aid Growth in 2020
International expansion is expected to remain a driving factor for Scientific Games in 2020.
In February, Scientific Games enhanced BoyleSports, Ireland’s largest bookmaker’s screen solution from legacy technology, to the Promote platform of the former. BoyleSports now plans to roll out upgrades across its property in Ireland and the UK.
Additionally, Scientific Games along with its joint-venture partner provided support to Lotterie Nazionali, S.r.l., the operator of Gratta e Vinci in Italy, the world’s largest instant game lottery.
The company also extended its partnership with William Hill for an additional four years through 2024. Scientific Games will continue to provide its industry-leading OpenSports solutions to William Hill in the United Kingdom and Europe.
Notably, in 2019, it unveiled New Zealand Racing Board’s (NZRB) sportsbook, powered by the OpenBet technology. Additionally, Scientific Games’ joint venture with Sans Girisim (Sans Digital) secured a 10-year sports betting contract in Turkey.
Further, Scientific Games reached an agreement with Norsk Tipping, Norway’s only Video Lottery Terminal (VLT) operator to supply 3,000 to 4,500 VLTs in approximately 1,000 venues, beginning late 2020.
Zacks Rank & Other Stocks to Consider
Scientific Games currently has a Zacks Rank #2 (Buy).
A few other top-ranked stocks in the broader technology sector are LogMein, Inc. , ManTech International Corporation and Stamps.com Inc. , all sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Long-term earnings growth rate for LogMein, ManTech International and Stamps.com is currently pegged at 5%, 7.4% and 15%, respectively.
The Hottest Tech Mega-Trend of All
Last year, it generated $24 billion in global revenues. By 2020, it's predicted to blast through the roof to $77.6 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.
See Zacks' 3 Best Stocks to Play This Trend >>
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Scientific Games Expands Partnership With Connecticut Lottery
Scientific Games has extended its existing instant games partnership with the Connecticut Lottery Corporation, a Las Vegas-based provider of content and technology for the gambling industry.
The company received a five-year contract to serve as the state lottery's primary instant game provider, which plans to implement the new gaming system in the summer of 2021.
Scientific Games has supplied instant games to the Connecticut Lottery for more than 40 years but the new contract increases the percentage of the company's games in the lottery's portfolio.
Moreover, the supplier will also provide marketing services, research and analytics to help the growth of the Lottery as part of the extended agreement.
Scientific Games is benefiting from new lottery and gaming contract wins and international expansions. In fourth-quarter 2019, lottery revenues (27% of revenues) increased 0.9% year over year to $233 million. Increased sales of the company’s hardware solutions, primarily in international markets, drove the top line.
Scientific Games Corp Price and Consensus
Scientific Games Corp price-consensus-chart | Scientific Games Corp Quote
Expanding Lottery Footprint: A Key Catalyst
Last week, the company announced a 10-year contract for a new statewide gaming system to serve the Iowa Lottery and its 2,400 retail locations.
The company also inked a new four-year systems technology deal with long-time partner Staatliche Lotterieverwaltung (LOTTO Bayern), the state lottery of Bavaria in Munich, Germany.
Per the latest agreement, LOTTO Bayern’s existing central gaming system will shift to Scientific Games’ advanced, new SYMPHONY technology over the next year.
Additionally, the company stretched its relationship with Nederlandse Loterij (NLO) to power new digital sports betting solutions in the Netherlands, ahead of the country’s liberalized online gambling market launch in 2021.
In December, the company inked a three-year contract extension with the California State Lottery, under which Scientific Games will continue to provide the #3 instant game lottery in the world (2018 total sales, La Fleur's Almanac) to California Lottery till November 2022, with optional extensions through 2025.
Moreover, in October, Florida Lottery selected the company as its primary instant games provider through 2027.
International Deal Wins to Aid Growth in 2020
International expansion is expected to remain a driving factor for Scientific Games in 2020.
In February, Scientific Games enhanced BoyleSports, Ireland’s largest bookmaker’s screen solution from legacy technology, to the Promote platform of the former. BoyleSports now plans to roll out upgrades across its property in Ireland and the UK.
Additionally, Scientific Games along with its joint-venture partner provided support to Lotterie Nazionali, S.r.l., the operator of Gratta e Vinci in Italy, the world’s largest instant game lottery.
The company also extended its partnership with William Hill for an additional four years through 2024. Scientific Games will continue to provide its industry-leading OpenSports solutions to William Hill in the United Kingdom and Europe.
Notably, in 2019, it unveiled New Zealand Racing Board’s (NZRB) sportsbook, powered by the OpenBet technology. Additionally, Scientific Games’ joint venture with Sans Girisim (Sans Digital) secured a 10-year sports betting contract in Turkey.
Further, Scientific Games reached an agreement with Norsk Tipping, Norway’s only Video Lottery Terminal (VLT) operator to supply 3,000 to 4,500 VLTs in approximately 1,000 venues, beginning late 2020.
Zacks Rank & Other Stocks to Consider
Scientific Games currently has a Zacks Rank #2 (Buy).
A few other top-ranked stocks in the broader technology sector are LogMein, Inc. , ManTech International Corporation and Stamps.com Inc. , all sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Long-term earnings growth rate for LogMein, ManTech International and Stamps.com is currently pegged at 5%, 7.4% and 15%, respectively.
The Hottest Tech Mega-Trend of All
Last year, it generated $24 billion in global revenues. By 2020, it's predicted to blast through the roof to $77.6 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.
See Zacks' 3 Best Stocks to Play This Trend >>