The new CEO of Australian slot machine developer Ainsworth Game Technology (AGT), former Novomatic executive Lawrence Levy, says the company has launched a review to re-evaluate its product development after revenue and profit suffered significant declines in FY19.
Ainsworth this week reported a 12% decline in revenue to AU$234.3 million and a 66% decline in profit after tax to AU$10.9 million due primarily to subdued performance across the Asia-Pacific region.
“While the FY19 results are relatively weak, AGT is capable of delivering improved performance,” Levy said. “We have a professional and motivated workforce, an excellent industry reputation and a well-established footprint across all our markets.
“We have initiated a review to re-evaluate and focus our R&D investments to develop successful new innovative products to drive long-term growth.
“With an increased focus on investing in game technology and new product development, I expect our domestic performance to progressively improve and our international success to continue.”
Ainsworth’s Australian business saw a 43% fall in revenue to AU$36.1 million for the year on the back of market competitiveness and a 55% decline in unit volumes. Likewise, the Rest of the World – which excludes Australia, North America and Latin America – saw revenue down 35% on reduced year-on-year contribution from majority shareholder Novomatic and challenging conditions in Asia and New Zealand.
North America proved to be the most successful region in FY19 with revenues up 8% to AU$114 million and profitability rising 16% to AU$7.1 million.
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