International Game Technology PLC (IGT) 2025 Q1 法說會逐字稿

Thank you for standing by and welcome to the International Game Technology first-quarter 2025 earnings conference call. (Operator Instructions)

感謝您的支持，歡迎參加國際遊戲科技公司 2025 年第一季財報電話會議。（操作員指示）

Thank you. I'd now like to turn the call over to James Hurley, Senior Vice President of Investor Relations. You may begin.

謝謝。現在我想將電話轉給投資者關係高級副總裁詹姆斯·赫爾利 (James Hurley)。你可以開始了。

Thank you and thank you all for joining us on IGT's Q1 2025 earnings conference call, which is hosted by Vince Sadusky, our Chief Executive Officer; and Max Chiara, our Chief Financial Officer. After some prepared remarks, both Vince and Max will be available for your questions.

謝謝大家參加 IGT 2025 年第一季財報電話會議，由我們的執行長 Vince Sadusky 和我們的財務長 Max Chiara 主持。在一些準備好的發言之後，文斯和馬克斯都會回答您的問題。

During today's call, we will be making some forward-looking statements within the meaning of the Federal Securities Laws. Forward-looking statements are not guarantees, and our actual results may differ materially from those expressed or implied in the forward-looking statements. The principal risks and uncertainties that could cause our results to differ materially from our current expectations are detailed in our latest earnings release and in our SEC filings.

在今天的電話會議中，我們將根據聯邦證券法做出一些前瞻性陳述。前瞻性陳述不構成保證，我們的實際結果可能與前瞻性陳述中表達或暗示的結果有重大差異。可能導致我們的結果與當前預期存在重大差異的主要風險和不確定性已在我們最新的收益報告和美國證券交易委員會的文件中詳細說明。

During this call, we will discuss certain non-GAAP financial measures. You'll find additional disclosures regarding these non-GAAP measures, including reconciliations with comparable GAAP measures in our press release, slides accompanying this webcast and our filings with the SEC, each of which is posted on our Investor Relations website.

在本次電話會議中，我們將討論某些非公認會計準則財務指標。您可以在我們的新聞稿、本次網絡廣播的幻燈片以及我們向美國證券交易委員會提交的文件中找到有關這些非公認會計準則指標的更多披露信息，包括與可比公認會計準則指標的對賬，這些都發佈在我們的投資者關係網站上。

And now I'll turn the call over to Vince.

現在我將把電話轉給文斯。

Thank you, Jim, and good morning to all. Our Q1 results confirm sustained global player demand for instant and draw games. Reported year-to-year variances reflect elevated EUR multi-state jackpot activity and associated LMA impacts in the prior year, in addition to calendar shifts that affect comparability. Instant ticket and draw games are the core of our business, representing about 95% of our annual wager-based revenue and nearly 80% of total revenue. Normalizing calendar shifts, global instant ticket and draw games, same-store sales rose nearly 1.5% in the quarter.

謝謝你，吉姆，大家早安。我們第一季的業績證實了全球玩家對即時遊戲和抽獎遊戲的持續需求。報告的年度差異反映了上一年 EUR 多州累積獎金活動的增加和相關的 LMA 影響，以及影響可比性的日曆變化。即開型彩券和抽獎遊戲是我們業務的核心，約占我們年度投注收入的 95% 和總收入的近 80%。考慮到日曆輪換、全球即開票和抽獎遊戲等因素，本季同店銷售額成長近 1.5%。

This included growth in Italy, stability in the EUR, and a 26% increase in iLottery sales. We delivered $250 million in EBITDA at a 43% margin in the period, notwithstanding jackpot and LMA impacts. This highlights the attractive and resilient profit structure of a pure-play lottery business. We converted 67% of that EBITDA into cash in the quarter, and we maintain a strong financial condition with pro forma net debt leverage below 3 times.

其中包括義大利的成長、歐元的穩定以及 iLottery 銷售額的 26% 成長。儘管受到大獎和 LMA 的影響，我們在此期間仍實現了 2.5 億美元的 EBITDA，利潤率為 43%。這凸顯了純彩券業務的利潤結構的吸引力和彈性。我們在本季將 67% 的 EBITDA 轉換為現金，並且我們保持了強勁的財務狀況，形式淨債務槓桿率低於 3 倍。

Consistent innovation is the driving force behind the underlying growth in instant draw games. In Italy, 2% normalized same-store sales growth included increases for both scratch and win and lotto games. The EUR20 extra Tutto by Tutto, a new addition to the Tutto by Tutto franchise, and the new EUR10 instant ticket games were among the top performers in the quarter. Lotto wagers were up on the continued success of 10 eLotto special draws, and the Numero Oro option for the Joco Del Lotto game. US sales were impacted by the significantly lower multi-state jackpot activity, which is a function of the variability and the timing of very large jackpots.

持續創新是即開型遊戲成長的根本驅動力。在義大利，2%的標準化同店銷售額成長包括刮刮樂和樂透遊戲的成長。Tutto by Tutto 系列的新成員——20 歐元附加版 Tutto by Tutto，以及新的 10 歐元即開票遊戲是本季度表現最好的遊戲之一。由於 10 次 eLotto 特別抽獎的持續成功以及 Joco Del Lotto 遊戲的 Numero Oro 選項，樂透投注量有所上升。美國銷售量受到多州累積獎金活動大幅減少的影響，這是由於巨額累積獎金的變化和時間因素造成的。

Normalized same-store sales for US instant and draw games were stable. Large jurisdictions such as California and Florida experienced nice instant growth thanks to the success of new game launches there, including new $25 and $40 games in California, and the impact of additional $20 and $30 tickets in Florida. That was offset by a lack of comparable new game launches and offerings in other states.

美國即開型遊戲和抽獎型遊戲的標準化同店銷售額保持穩定。加州和佛羅裡達州等大轄區由於新遊戲的成功推出而獲得了良好的即時增長，其中包括加州新推出的 25 美元和 40 美元的遊戲，以及佛羅裡達州額外推出的 20 美元和 30 美元彩票的影響。但其他州缺乏類似的新遊戲發布和產品，抵消了這一優勢。

We are encouraged by the stability of the very high sales levels achieved in the US over the last few years. iLottery sales maintain their excellent momentum in Q1, rising 26% on strength across geographies. iLottery penetration continues to climb, especially in the US, with Kentucky and Georgia achieving significant increases in the last six months.

過去幾年，美國市場保持著極高的銷售水平，這令我們感到鼓舞。 iLottery 的銷售額在第一季保持了強勁勢頭，在各地區強勁增長的帶動下，增長了 26%。 iLottery 的普及率持續攀升，尤其是在美國，肯塔基州和喬治亞州在過去六個月中實現了顯著增長。

These gains are fueled by new e-instant game launches. The success of titles such as Cats, Elephant King, and Supernova 9’s drove over $100 million in iLottery sales in Georgia during March, its highest ever in a month. In Italy, games like Gioca Piu and an expanding 10eLotto player base are driving iLottery sales.

這些成長是由新電子即時遊戲的推出所推動的。《貓》、《象王》和《超新星9》等遊戲的成功推動喬治亞州 3 月 iLottery 銷售額超過 1 億美元，創下單月最高紀錄。在義大利，Gioca Piu 等遊戲和不斷擴大的 10eLotto 玩家群正在推動 iLottery 的銷售。

We are making good progress with key areas of our strategic focus that we expect will drive sustainable long-term growth. One of the most exciting developments in product innovation is the Mega Millions move to a $5 price point in early April. This is the first game change in eight years and was the result of a multi-year process where IGT led project management and game implementation on behalf of the Mega Millions Consortium. It required extensive planning and impeccable execution, including updating approximately 400,000 Lottery terminals in the week leading up to going live. A big congratulations to the IGT team and the Mega Millions Consortium for this exciting evolution of the game. The change is more than a simple increase in price.

我們在策略重點的關鍵領域取得了良好進展，我們預計這將推動可持續的長期成長。產品創新中最令人興奮的進展之一是 Mega Millions 的彩票價格在 4 月初升至 5 美元。這是八年來的首次遊戲變革，也是 IGT 代表 Mega Millions Consortium 領導專案管理和遊戲實施多年過程的成果。它需要廣泛的規劃和完美的執行，包括在上線前一周更新約 400,000 個彩票終端。熱烈祝賀 IGT 團隊和 Mega Millions 聯盟對遊戲做出的這項令人興奮的改進。這種變化不僅僅是簡單的價格上漲。

It reflects new features that create good value for the new price point, including bigger prizes at every non-jackpot prize tier, better odds to win, larger starting jackpots, and faster growing jackpots. The enhancements are expected to drive increased sales and revenues for lotteries and the good causes they serve. Another area of focus is the expansion of retail touchpoints and the optimization of the point-of-sales network. There are three main initiatives here. First is growing the network of self-service lottery vending machines. We have a broad array of self-service solutions to bring lottery games closer to where players shop, which has proved effective in generating incremental sales.

它反映了為新的價格點創造良好價值的新功能，包括每個非累積獎金等級的更大獎金、更好的獲勝幾率、更大的起始累積獎金以及更快增長的累積獎金。預計這些改進將推動彩票及其所服務的公益事業的銷售和收入的成長。另一個重點領域是擴大零售接觸點和優化銷售點網路。這裡有三個主要舉措。一是擴大自助彩券販賣機網路。我們擁有廣泛的自助服務解決方案，使彩票遊戲更貼近玩家購物的地方，這已被證明可以有效地增加銷售額。

Over the last few months, we began rolling out our Gemini Touch 28 to popular malls across Italy. Second is in-lane purchasing, which is live in just a few states, at a range of retailers such as Kroger, CVS, and Winn-Dixie. We believe LotteryLink will be another driver of in-lane purchasing. It's the first-ever solution enabling the sale of instant and draw games from a retailer's own POS device and without the need for any software changes to the retailer's POS system.

在過去的幾個月裡，我們開始在義大利各地的熱門商場推出 Gemini Touch 28。第二種是線下購買，目前僅在少數州的 Kroger、CVS 和 Winn-Dixie 等多家零售商處推行。我們相信 LotteryLink 將成為線上購買的另一個推動力。這是有史以​​來第一個能夠透過零售商自己的 POS 設備銷售即時和抽獎遊戲的解決方案，無需對零售商的 POS 系統進行任何軟體更改。

LotteryLink won Lottery Product of the Year at ICE in January. There's a lot of interest in it, and we intend to begin offering it to customers later this year. And third is investing to optimize the POS network. We are currently transitioning from satellite to cellular communications, which should provide improved bandwidth and reliability, access to a broader range of retailers, and reduce the time needed to set up new POS. It should also be more adaptable to new technologies and provide greater flexibility to accommodate emerging solutions like cashless transactions.

LotteryLink 於一月榮獲 ICE 年度彩券產品獎。很多人對此很感興趣，我們打算在今年稍後開始向客戶提供它。第三是投資優化POS網路。我們目前正在從衛星通訊過渡到蜂窩通信，這將提供更高的頻寬和可靠性，使人們能夠接觸到更廣泛的零售商，並減少設置新 POS 所需的時間。它還應該更適應新技術，並提供更大的靈活性以適應無現金交易等新興解決方案。

We went live with our new printing press in April, expanding our capacity by over 50%. This should enhance our ability to service customers and improve our production efficiency. It's a well-timed addition, given the increased production volumes we've secured with several large customers, including France's FDJ, Portugal's Santa Casa, and New York State.

我們在四月啟用了新的印刷機，生產能力提高了 50% 以上。這應該會增強我們服務客戶的能力並提高我們的生產效率。鑑於我們已與法國 FDJ、葡萄牙 Santa Casa 和紐約州等幾家大客戶達成了產量增加的目標，此次增購可謂恰逢其時。

We're also investing in several areas to increase iLottery adoption. One is a faster pace of new eInstant game developments and launches. Another is transitioning all iLottery platform customers to our cloud-based solution. This has many benefits, including a more streamlined and faster player experience, increased scalability and stability, and new promotional features.

我們也在多個領域進行投資，以提高 iLottery 的採用率。一是新 eInstant 遊戲開發和發布的步伐加快。另一個是將所有 iLottery 平台客戶轉換到我們的基於雲端的解決方案。這有很多好處，包括更簡化、更快速的玩家體驗、更高的可擴展性和穩定性以及新的促銷功能。

In the week following Kentucky's transition, sales reached an all-time high. In January, we launched the myLottery site in Italy, where it is possible to play both Lotto and Scratch and Win in the same place. The site is designed with a mobile-first player experience in mind and a scalable backend that makes it easy to integrate new content.

肯塔基州轉型後的一周內，銷售額達到了歷史最高水準。今年一月，我們在義大利推出了 myLottery 網站，人們可以在同一個地方玩樂透和刮刮樂。網站的設計充分考慮了行動優先的玩家體驗，並配有可擴展的後端，可輕鬆整合新內容。

In a matter of three months, myLottery has already increased Italy iLottery market share by several percentage points. As you all know, the world is currently faced with significant macroeconomic and geopolitical uncertainty. The impact of tariffs and declining consumer confidence and spending are fueling fears of a recession.

在短短三個月內，myLottery 已經將義大利 iLottery 市場的份額提高了幾個百分點。眾所周知，當前世界面臨巨大的宏觀經濟和地緣政治不確定性。關稅的影響以及消費者信心和支出的下降加劇了人們對經濟衰退的擔憂。

We feel good about the things we can control and the long-term prospects for our business, but we're not immune to these challenges. However, history has shown that lottery sales in the EUR and Italy have proved to be resilient in both absolute and relative terms during recessions. We have some important milestones on the horizon. The Italy Lotto license process is well underway.

我們對自己能夠控制的事情和業務的長期前景感到滿意，但我們也無法免受這些挑戰的影響。然而，歷史表明，在經濟衰退期間，歐元和義大利的彩票銷售無論在絕對值還是相對值上都表現出了韌性。我們即將迎來一些重要的里程碑。義大利樂透彩票許可證發放程序正在順利進行中。

The Italian gaming authorities have informed their participants that the economic proposals they submitted in the Lotto concession tender will be opened on May 19th. We also understand that the evaluation of the technical proposals is complete, and we expect the results of the technical evaluation to be announced prior to May 19.

義大利博彩管理局已通知參與者，他們在樂透特許權招標中提交的經濟提案將於 5 月 19 日開放。我們也了解到技術提案的評估已經完成，我們預計技術評估結果將在 5 月 19 日之前公佈。

The sale of our gaming and digital assets remains on track to close in Q3. We intend to communicate our capital allocation strategy after the Lotto outcome is known and around the gaming and digital closing. While we are contending with a high degree of macroeconomic and geopolitical uncertainty, we are excited about the strategic initiatives we are working on to drive sustainable long-term growth.

我們的遊戲和數位資產的出售預計在第三季完成。我們打算在樂透結果公佈後以及遊戲和數位收盤時傳達我們的資本配置策略。儘管我們正面臨高度的宏觀經濟和地緣政治不確定性，但我們對正在努力推動永續長期成長的策略性舉措感到興奮。

Now I'll turn the call over to Max.

現在我將把電話轉給馬克斯。

Thank you, Vince, and hello to everyone joining us today. IGT deliver adjusted EBITDA of $250 million in the first quarter in line with expectations of constant currency and demonstrating the profit resilience of the lottery business and good cost discipline, even as we invest in the business. This was achieved despite lower-than-expected revenue related to the continued lack of large EUR multi-state jackpots and the associated impact on LMA incentives and the timing shift of certain instant-ticket product sales within the year.

謝謝你，文斯，也向今天參加我們的所有人問好。IGT 第一季的調整後 EBITDA 達到 2.5 億美元，符合恆定匯率預期，並展現了彩票業務的利潤彈性和良好的成本紀律，即使我們對該業務進行了投資。儘管由於持續缺乏大型歐元跨州累積獎金、對 LMA 激勵措施產生相關影響以及年內某些即時彩票產品銷售時間發生變化，導致收入低於預期，但仍然實現了這一目標。

As expected, while positive trends in instant-ticket and draw games continue, IGT first quarter revenue of $583 million was down from $661 million generated in the prior year, primarily due to higher levels of jackpot activity and the associated positive impact on LMA incentives in the prior year period, resulting in a year-over-year impact of about $45 million on this particular matter alone.

正如預期的那樣，雖然即開型彩票和抽獎遊戲繼續呈現積極趨勢，但 IGT 第一季度營收為 5.83 億美元，低於去年同期的 6.61 億美元，這主要是由於去年同期累積獎金活動水平較高以及對 LMA 激勵措施產生的相關積極影響，僅此一項就對去年同期產生了約 4500 萬美元的同比影響。

There were no billion-dollar level jackpots in the first quarter compared to $1.1 billion, Mega Million, and $951 million Powerball jackpots in the prior year. Elevated levels of jackpot and LMA incentive revenue are highly dependent on the timing of very large multi-state jackpots, which occur sporadically, causing period-to-period variability. Calendar shifts also created a headwind, with leap year providing an extra day of sales in the EUR and rest of the world in 2024, and Italy having additional instant-ticket selling days and lotto draws in the prior year.

與前一年 11 億美元的超級百萬彩票 (Mega Million) 和 9.51 億美元的強力球彩票 (Powerball) 頭獎相比，第一季沒有出現 10 億美元級別的頭獎。累積獎金和 LMA 激勵收入的提高在很大程度上取決於超大跨州累積獎金的出現時間，這些獎金偶爾出現，導致時期內的變化。日曆的變化也帶來了不利因素，2024 年閏年為歐元區和世界其他地區提供了額外的銷售日，而義大利在前一年增加了即時彩票銷售日和樂透抽獎。

On a normalized basis, instant-ticket and draw revenue grew $4 million, and global same-store sales rose 1.4%. Product sales reflect higher multi-year central system software licenses and terminal sales in the prior year. As a reminder, the timing of product sales can vary quarter-to-quarter, but we do expect year-over-year growth for the full year period, primarily due to growth in instant-ticket services.

以正常標準計算，即開票和抽獎收入成長了 400 萬美元，全球同店銷售額成長了 1.4%。產品銷售反映了上一年更高的多年中央系統軟體許可證和終端銷售。提醒一下，產品銷售的時間可能每季都有所不同，但我們預計全年銷售額將年增，這主要歸功於即時票務服務的成長。

As I mentioned, we achieved first quarter adjusted EBITDA of $250 million, in line with expectations at constant currency. The solid profit generation was, despite the higher than expected year-over-year headwind of about $40 million related to the higher jackpot and associated LMA incentive in the prior year, and includes a portion of the $25 million in temporary costs related to contract extensions and rebids, enhancement of cloud-based solutions, and point-of-sales network optimization that are expected to drive growth and CapEx efficiencies in the future.

正如我所提到的，我們第一季的調整後 EBITDA 達到 2.5 億美元，以固定匯率計算符合預期。儘管由於上一年的獎金增加和相關的 LMA 激勵措施，公司同比去年面臨約 4,000 萬美元的不利因素，但公司仍然實現了穩健的利潤，其中包括與合約延期和重新投標、雲端解決方案增強和銷售點網路優化相關的 2,500 萬美元臨時成本中的一部分，這些成本預計在未來將推動增長和資本支出。

We also had costs associated with rebranding at pure play lottery business. To put things in perspective, through the last 10 months of the lottery fiscal year, which ends on June 30, 2025, there has only been $1 billion jackpot. That compares to five $1 billion-plus multistage jackpots in lottery fiscal year 2024 and three in lottery fiscal year 2023.

我們也承擔了與純彩券業務品牌重塑相關的成本。客觀來看，在彩券財政年度（截至 2025 年 6 月 30 日）的最後 10 個月中，只出現了 10 億美元的頭獎。相較之下，2024 財年彩券將有 5 個 10 億美元以上的多級累積獎金，2023 財年彩券將有 3 個 10 億美元以上的多級累積獎金。

So this is currently an exceptionally low level of jackpot activity. We are confident that once this activity normalizes, we will see a positive impact on our profit margins. For example, after adjusting for a more normal level of jackpot activity and LMA incentives, our first quarter adjusted EBITDA margin would have been around 46%, which once again highlights the attractive profit profile of the pure play lottery business.

因此，目前這是一個極低水準的累積獎金活動。我們相信，一旦這項活動恢復正常，我們將看到對利潤率的正面影響。例如，在調整了更正常的累積獎金活動和 LMA 激勵措施後，我們第一季的調整後 EBITDA 利潤率將達到 46% 左右，這再次凸顯了純彩券業務的誘人利潤狀況。

First quarter cash generation from continuing operations was strong, with a cash conversion ratio of 67%, in line with the average of fiscal year 2023 and fiscal year 2024, delivering $168 million in cash from operations and free cash flow of $92 million. In preparation for the award of the Italy lotto license, we successfully issued a new EUR1 billion term loan.

第一季持續經營業務的現金產生能力強勁，現金轉換率為 67%，與 2023 財年及 2024 財年的平均水準一致，經營活動產生的現金為 1.68 億美元，自由現金流為 9,200 萬美元。為了準備獲得義大利彩票牌照，我們成功發放了一筆新的 10 億歐元定期貸款。

The first EUR500 million tranche was drawn and used for debt repayment under existing credit facilities, resulting in reestablishing a significant liquidity buffer at the end of the first quarter of $2.2 billion. The second EUR500 million tranche is committed but currently undrawn to be utilized only if we are awarded the lotto license to preserve maximum flexibility. In addition, a $4.05 billion gross cash infusion is to be received upon the completion of the gaming and digital sale.

首筆 5 億歐元款項已提取並用於償還現有信貸安排下的債務，從而在第一季末重建了 22 億美元的大量流動性緩衝。第二筆 5 億歐元的款項已承諾但目前尚未提取，只有當我們獲得彩票許可證時才會使用，以保持最大的靈活性。此外，遊戲和數位銷售完成後，還將獲得 40.5 億美元的總現金注入。

Net debt rose $270 million from the end of December 2024 to $5 billion, with about half of the increase coming from foreign currency translation. Net debt leverage, pro forma for the committed $2 billion debt reduction following the sale of gaming and digital, was 2.8 times, in line with our target.

淨債務從2024年12月底增加了2.7億美元，達到50億美元，其中約一半的增幅來自外幣折算。淨債務槓桿率（出售遊戲和數位業務後承諾的 20 億美元債務減免）為 2.8 倍，符合我們的目標。

Given incremental jackpot and LMA headwinds in the first half of the year, in addition to the worsening macroeconomic environment and uncertainty around the ultimate impact on consumer spending, we now expect full year 2025 revenue of approximately $2.55 billion and adjusted EBITDA of $1.1 billion, at the low end of the outlook ranges we provided on our last earnings call back in February.

考慮到上半年累積獎金和 LMA 阻力的增加，以及宏觀經濟環境的惡化和對消費者支出的最終影響的不確定性，我們現在預計 2025 年全年收入約為 25.5 億美元，調整後 EBITDA 為 11 億美元，處於我們 2 月份上次收益電話會議上提供的預期範圍的低端。

Cash from operations inclusive of the first two tranches of the lotto upfront fee, totaling EUR800 million, is now expected to be a use of cash of about $350 million, primarily reflecting the incremental effects impact on the first two installments of the Italy lotto upfront license fee, since they are denominated in euros.

包括前兩期樂透預付費用在內的經營現金總額為 8 億歐元，目前預計將使用約 3.5 億美元的現金，主要反映對義大利樂透預付費用前兩期的增量效應，因為它們以歐元計價。

Second quarter 2025 revenue is expected to be flat to up slightly as higher product sales offset the impact of lower LMA incentives, and adjusted EBITDA is forecasted to be down approximately $30 million due to the high flow-through of LMA incentives and investments we are making in the business. In the second half of the year, we expect profit to reflect the full impact of the $5 Mega Million gain and the normalization of multistage jackpot activity, in addition to optimal savings, bringing EBITDA for the Q2 through Q4 period in line with the prior year.

由於產品銷售額的增加抵消了 LMA 激勵措施降低的影響，預計 2025 年第二季度的收入將持平或略有上升，並且由於 LMA 激勵措施的大量流通和我們在業務上進行的投資，預計調整後的 EBITDA 將下降約 3000 萬美元。在下半年，我們預計利潤將反映出 5 億美元收益和多級累積獎金活動正常化的全部影響，以及最佳節省，使第二季度至第四季度的 EBITDA 與上年持平。

As a reminder, this outlook does not include any potential benefit from large EUR multistage jackpot in the second quarter, given actual quarter-to-date trends. IGT is well positioned as we head into the future. Player demand for instant ticket and draw games is growing and demonstrating resilience. We are making investments in the future to drive sustainable long-term growth, and we have a strong balance sheet with ample liquidity ahead of the Italy lotto award and other important upcoming contract renewals. This concludes our prepared remarks.

提醒一下，考慮到本季迄今的實際趨勢，這項展望並不包括第二季歐元大額多累積獎金所帶來的潛在利益。展望未來，IGT 已做好充分準備。玩家對即開彩票和抽獎遊戲的需求正在增長，並表現出韌性。我們正在進行未來投資，以推動可持續的長期成長，並且在義大利樂透獎和其他重要的即將到來的合約續約之前，我們擁有強大的資產負債表和充足的流動性。我們的準備好的演講到此結束。

Operator, would you please open the line for questions?

接線員，請打開熱線回答問題好嗎？

(Operator Instructions)

（操作員指示）

Jeff Stantial, Stifel.

傑夫·斯坦蒂爾（Jeff Stantial），Stifel。

Hey, great. Good morning, everyone. Thanks for taking our questions. Maybe starting off here on the guidance revision, which is where we've been getting the most questions this morning. Max, you call it two things really explaining the revision jackpots and the worsening macro, maybe just drilling into the latter. We just want to better understand, is there anything that you're seeing in real time that you would attribute to the macroenvironment?

嘿，太棒了。大家早安。感謝您回答我們的問題。也許可以從指導修訂開始，這也是我們今天早上收到最多問題的地方。馬克斯，你所說的兩件事確實解釋了修訂大獎和惡化的宏觀，也許只是深入研究後者。我們只是想更了解，您在實時中看到的任何東西是否都可以歸因於宏觀環境？

Or is this really more of a cautionary move, just given the uncertainty? And then if it is the former, is the sequential weakness, is that specific to any geographies? Is it more of a product sales impact? Just any additional color on this would be helpful, given that it seems a bit dislocated from the historical resilience that you called out in lottery. Thanks.

或者，考慮到不確定性，這實際上只是一種謹慎的舉措？如果是前者，那麼連續的弱點是否特定於任何地區？它對產品銷售的影響更大嗎？任何對此的補充說明都會有所幫助，因為它似乎與您在彩票中呼籲的歷史復原力有點脫節。謝謝。

Absolutely. So look, the situation from a macro standpoint is very fluid. We have to watch out how particularly the tariff discussion is evolving. We continue to see stability in our core players in terms of total demand. And obviously, the volatility is primarily associated with the jackpot performance and the related LMA impact. So again, we were projecting higher growth originally in particularly in our core EUR markets. The situation is relatively stable right now, and we expect some growth to come to fruition in the second half. But we continue to keep a cautionary outlook going forward.

絕對地。所以從宏觀角度來看，情況非常不穩定。我們必須密切關注關稅討論的具體進展。從總需求來看，我們的核心參與者持續保持穩定。顯然，波動性主要與累積獎金表現和相關的 LMA 影響有關。因此，我們最初預測的成長會更高，特別是在我們的核心歐元市場。目前情況相對穩定，我們預計下半年將實現一些成長。但我們繼續對未來保持謹慎態度。

Yes, and I'll add a little bit of color to that, to Max's comments as well. Yes, so the quarter was anticipated that we were going to have some negativity associated with the prior year, given, as Max said, the multistate jackpot comparison was very difficult. We had some really bad luck with multiple hits and no big run-ups during the quarter, which contrasts to last year. So that was significant. And then also we have this impact of our operating the lotteries in Indiana and New Jersey, where for years we've enjoyed an incremental benefit from overperforming the baseline.

是的，我會對 Max 的評論添加一些色彩。是的，因此我們預計本季將會有一些與前一年相關的負面因素，因為正如馬克斯所說，跨州累積獎金比較非常困難。與去年相比，本季我們的運氣確實不太好，多次遭遇打擊，且沒有大幅上漲。所以這很重要。此外，我們在印第安納州和新澤西州運營彩票也產生了這種影響，多年來，我們通過超出基線的表現獲得了增量收益。

Some of that was driven by the jackpots. Quite a bit of that was driven by core growth. Unfortunately, with the run that we've had, and these LMAs have a fiscal of June to June, and as really for the tail end of 2024 as well, we had a lot of hits on the jackpot and not as many significant runs.

其中一些是受累積獎金推動的。其中很大一部分是由核心成長推動的。不幸的是，根據我們的運行情況，這些 LMA 的財政年度為 6 月至 6 月，實際上也是 2024 年底，我們有很多中獎案例，但沒有那麼多重大運行。

So you kind of get the incremental negativity associated with a benefit for many, many years, and then a detriment on the scoring. If you take a look at that and you take a look at the timing of product sales, which, as Max mentioned, we anticipate will be positive based upon what's in our pipeline, it resulted in a quarter that was certainly down from last year. But when you peel back the normalization for calendar days and you look at the underlying core business, we did expect more growth.

因此，你會在很多年的時間裡感受到與好處相關的負面效應，然後對評分產生損害。如果你看一下這一點，並看一下產品銷售的時間，正如馬克斯提到的，根據我們的通路情況，我們預計這將是積極的，但結果卻是本季度的銷售額肯定比去年有所下降。但是，當你剝離日曆日的正常化並查看底層核心業務時，我們確實預期會有更多成長。

But, again, a lot of this was driven as a result of fewer people coming in and buying jackpots. So I think overall our normalized growth, we had commented it was about 1.5% for the quarter, so pretty good, considering the top line was really challenged compared to the prior year. And when you look at the normalization of Italy, where the team continues to innovate, we were up more like 2% and very good growth in our lottery.

但是，這在很大程度上是由於來購買大獎的人越來越少。因此，我認為總體而言，我們的正常成長率（我們曾評論說）約為本季的 1.5%，考慮到與前一年相比營業收入確實面臨挑戰，這個數字相當不錯。當你看到義大利的正常化時，我們的團隊不斷創新，我們的彩票業務成長了 2% 以上，成長非常好。

And then when we look out to the second quarter and we look at our sales pacing information, fortunately we've seen more hits on the jackpot, so we don't see a great second quarter driven by both the purchase of jackpot tickets and then the incremental activity associated with the casual player buying lottery tickets.

然後，當我們展望第二季度並查看我們的銷售節奏資訊時，幸運的是，我們看到更多的人中了頭獎，因此，我們看不到第二季度出現出色的表現，這既要歸功於購買頭獎彩票，又要歸功於與普通玩家購買彩票相關的增量活動。

But nonetheless, we're seeing a second quarter in the EUR x the jackpots, flattish. Italy's doing really well, Italy's up about 4% or so. So, I think that's what led us to be somewhat cautionary in our guide for the year and as Max mentioned. We expect easier comparisons and more of a normalization in the back half of the year and expect better growth in overall lottery sales and some of the timing related issues to abate in the back half of the year.

但儘管如此，我們看到第二季歐元 x 累積獎金的比率持平。義大利的表現確實很好，義大利的經濟成長了約4％左右。所以，我認為這就是我們在今年的指南中保持謹慎的原因，正如馬克斯所提到的。我們預計下半年的比較會更加容易，彩票銷售會更加正常化，並且預計下半年整體彩票銷售將有更好的增長，一些與時間相關的問題也會得到緩解。

That's great. Thank you for the color. Maybe if I could just summarize just to make sure I got the net-net of that correctly. So if you think about the impact to date since you last reported it's been really felt more in jackpots which I assume you would chalk up mostly to the jackpot fatigue that we've talked about for several quarters.

那太棒了。謝謝你的顏色。也許我可以總結一下，以確保我正確地得到了淨信息。因此，如果您考慮自上次報告以來迄今為止的影響，您會發現累積獎金的影響更為顯著，我認為這主要歸因於我們幾個季度以來討論過的累積獎金疲勞。

But then given the macro uncertainty you're revising the assumptions embedded in for the back half as well a little bit more broadly but less of a real-time impact witness there. Is that sort of a fair summary? Everything you just laid out.

但考慮到宏觀的不確定性，你也會對後半部的假設進行更廣泛地修改，但即時影響見證較少。這是一個公正的總結嗎？您剛剛佈置好的一切。

Okay. Yes, it is.

好的。是的。

Okay, perfect. And then just one quick clerical follow-up, Max. Can you confirm the assumptions that are big to guidance for the euro? And then what was assumed back at Q4 just the euro is gone 105 to 111.

好的，完美。然後只需進行一次快速的文書跟進，馬克斯。您能否確認對歐元具有重要指導意義的假設？然後，正如第四季度所預測的那樣，歐元將從 105 升至 111。

Yes, right now. We're assuming 110.

是的，現在就。我們假設是 110。

110 right now.

現在是 110。

We're assuming 110.

我們假設是 110。

110 right now and then what was in guidance when you establish that Q4.

現在是 110，那麼當您確定 Q4 時指導是什麼。

I believe was 107.

我相信是 107。

Understood. Okay, great, thank you both very much. I'll pass it on.

明白了。好的，太好了，非常感謝你們。我會傳達的。

Barry Jonas, Truist Securities.

巴里·喬納斯（Barry Jonas），Truist Securities。

Hey guys, wanted to dive a little bit more into the Mega Millions $5 shift, is this really in your views kind of just a waiting game or are you seeing any resistance to the higher pricing from players?

嘿夥計們，我想更深入地了解一下 Mega Millions 5 美元的轉變，在您看來，這真的只是一種等待遊戲嗎？或者您看到玩家對更高定價有任何抗拒？

Yes, it's a great question. We're, yes, we've mentioned the past we're very optimistic about the potential impact for the increase to $5 for Mega Millions. It gives players a great choice a lower price point with Powerball $2 and $5 Mega Millions. Yes, we've commented in the past where we've seen price point changes the net impact of the overall dollar sales volume has been very good increase and we're hopeful that'll be the result from Mega Millions.

是的，這是一個很好的問題。是的，我們過去曾提到過，我們對百萬大獎獎金增加到 5 美元的潛在影響非常樂觀。它為玩家提供了價格較低的 2 美元強力球和 5 美元超級百萬彩票的絕佳選擇。是的，我們過去曾評論過，我們看到價格點的變化對整體美元銷售額的淨影響非常好，我們希望這將是百萬大獎的結果。

Yes, unfortunately, there's not much to report right now. We'd really have no trending information since that multi-state jackpot hit very quickly after the price change took place in April. But I think the key is, the transition was very smooth, the technical team did truly an amazing job of updating all of these point of sales around the US.

是的，不幸的是，目前沒有太多可報告的資訊。我們確實沒有任何趨勢訊息，因為四月份價格變動後，多州大獎很快就中了。但我認為關鍵是，過渡非常順利，技術團隊在更新美國各地的所有銷售點方面做得非常出色。

And the game enhancements with the higher jackpot, the built-in mega plot mega player, the fact that the odds of winning have gone up and the prizes are bigger, et cetera. Yes, we believe folks who play multi-state jackpot games will come to recognize these trends over time, but unfortunately, it's still too early to assess the impact and players are playing and beginning the process of learning and understanding that what the positive impact is. So we'll hope to have a more data to be able to share with you all when we report our second quarter results.

遊戲功能也得到了增強，包括更高的累積獎金、內建的超級情節超級玩家、獲勝幾率的提高和獎金的增加等等。是的，我們相信玩多州大獎遊戲的人們會隨著時間的推移認識到這些趨勢，但不幸的是，現在評估影響還為時過早，玩家正在玩遊戲並開始學習和理解其積極影響的過程。因此，我們希望在報告第二季業績時能夠有更多數據與大家分享。

Got it, understood. And just for my follow-up, we've definitely been getting a lot of inbounds about Texas, maybe talk about the renewal process where it stands as of now and how investors should think about potential risks to IGT given some of the noise coming out of the state government there as it relates to the lottery. Thank you.

明白了，了解了。就我的後續問題而言，我們確實收到了很多關於德克薩斯州的信息，也許可以談談目前的續約過程，以及考慮到該州政府在彩票方面傳出的一些聲音，投資者應該如何看待 IGT 的潛在風險。謝謝。

Yes, it's been, as you know, there's been an amazing amount of press and scrutiny around the Texas Lottery. Yes, so the legislature is in session. They're currently evaluating the future of the Texas Lottery. During this review process the same thing took place I guess about 12 years ago or so when it was last up for review

是的，正如你所知，德克薩斯州彩票受到了大量的媒體關注和審查。是的，立法機關正在開會。他們目前正在評估德克薩斯州彩票的未來。在這次審查過程中，我想大約 12 年前最後一次審查時也發生過同樣的事情

The legislative session is in, it'll wrap up the state of Texas legislatures will adjourn on June 2nd, and we'll have a I think more clarity at that point. All we know right now is the last communication that the vendors received regarding the procurement, the state let us know that the process is still proceeding and to expect a decision sometime later this year.

立法會議已經結束，德州立法機構將於 6 月 2 日休會，屆時我們將對情況有更清晰的認識。我們現在所知道的是供應商收到的有關採購的最後一次溝通，州政府讓我們知道該流程仍在進行中，預計將在今年稍後做出決定。

Understood.

明白了。

Chad Beynon, Macquarie.

麥格理銀行的查德貝農 (Chad Beynon)。

Hi, good morning. Thanks for taking my question. I want to start with margin, Max, I believe you said excluding some of the items in the first quarter, margin would have been closer to 46%. The print was a little under 43%. For Q2, you're also guiding to below 43%, and then that'll pick up in the back half of the year.

嗨，早安。感謝您回答我的問題。我想從利潤率開始，馬克斯，我相信你說過，如果排除第一季的一些項目，利潤率會接近 46%。列印量略低於 43%。對於第二季度，您還預測該比例將低於 43%，然後在下半年回升。

So I know last quarter you talked about some additional costs that could hurt margin that would be front half weighted. Can you update us on that? And then the guide for the year at 43.5%. I'm assuming that could eventually creep up higher if we're seeing higher jackpot activity. Just a little bit more clarification on that. Thank you.

所以我知道上個季度您談到了一些可能會損害前半部分加權利潤率的額外成本。能向我們通報一下最新情況嗎？全年指引為 43.5%。我認為，如果我們看到更高的累積獎金活動，這個數字最終可能會進一步上升。對此我再做一點澄清。謝謝。

Yes. So I can confirm everything you said. And the one-time cost is running almost rapidly as we speak, as a reminder, primarily project expense related to the new contract. So the rebids and extensions that we got granted recently, about 60% of that total cost. And then I would say the balance is split equally between the transition to cloud and the transition to sorry, to cell mobile from satellite and cloud investment in a lottery. As Vince was alluding to, we recently completed the transition to cloud in Kentucky.

是的。所以我可以證實你所說的一切。正如我們所說，一次性成本正在快速增加，提醒一下，主要是與新合約相關的專案費用。因此，我們最近獲得的重新投標和延期約佔總成本的 60%。然後我想說，平衡在向雲端的過渡和從衛星和雲端投資向移動的過渡之間平均分配。正如文斯所暗示的，我們最近在肯塔基州完成了向雲端運算的過渡。

And this the infrastructure is very stable there. And we have been able to lift the sales and achieve great results since the implementation of the new platform. And so we continue to look favorably into this technological evolution in our lottery solution. Vis-a-vis the marginality, again, we think that the three points plus of difference to the adjusted number is all related to the very low jackpot performance.

那裡的基礎設施非常穩定。自從實施新平台以來，我們的銷售額已經大幅提升，並且取得了巨大的成果。因此，我們繼續積極看待彩票解決方案中的這項技術進步。就邊際性而言，我們再次認為，與調整後的數字相差三個百分點以上都與非常低的累積獎金表現有關。

Again, if you look at the last three years, this year, we got one. Last year, we got five, $1 billion plus. And the year prior, we got three. So maybe five is an extreme on the upper end. Definitely one is an extreme on the lower end.

再說一次，如果你回顧過去三年，今年我們就有一個了。去年，我們獲得了 5 個，總額超過 10 億美元。而前一年，我們得到了三個。因此也許五是上限的一個極端。毫無疑問，其中一個是處於較低端的極端。

So somehow in the middle is probably where we should land on a normalized basis. It's not only the billion plus jackpot that matters are really how many runs you can get through and get to kind of at least at the $500 million ranges, because at that point, you've got incremental sales coming through more casual players that starts to be attracted by the advertised jackpot level.

因此，我們應該以某種方式在規範的基礎上找到中間點。重要的不僅僅是十多億美元的累積獎金，而是你能贏得多少次，並至少達到 5 億美元的範圍，因為到那時，你就會通過更多開始被廣告中累積獎金水平吸引的休閒玩家獲得增量銷售額。

And so, again, we feel relatively strong about that kind of earmark profit margin in terms of normalized performance. And as far as the balance of the year is concerned, as you said, we expect Q2 to, again, be a bit weak vis-a-vis the average expected for the year, the 43.5% that you mentioned. And the reason is primarily by the evidence of the latest 40 days, the early 40 days on the quarter with very low jackpot activity to report so far.

因此，就正常化表現而言，我們對這種專案利潤率的感覺相對強勁。至於全年的平衡，正如您所說，我們預計第二季的成長率將再次低於全年平均預期成長率（即您所提及的 43.5%）。原因主要是根據最近 40 天的證據，即本季前 40 天迄今報告的累積獎金活動非常低。

So the situation may change. But again, we are half in and still we have not had any significant jackpot activity. We stay very positive on the Mega Millions. We believe that there is definitely a positive trend associated with that innovation. We just need the run on the jackpot to come to manifestation.

因此情況可能會改變。但儘管如此，我們仍然只完成了一半，並且沒有任何重大的累積獎金活動。我們對百萬大獎持非常樂觀的態度。我們相信，這項創新肯定會帶來正面的趨勢。我們只需要讓大獎的魅力得以展現。

That's great. Thanks for running through all that. That's really helpful. And then as a follow up, I know rest of the world is under 15% of total revenue contribution, but that was a highlight in the quarter. Are those markets, I guess, collectively just less exposed to the macro or their tech and pricing initiatives broadly across those markets? And given a mid-single digit increase in Q1, is that something that you expect to be more of an anomaly? Or could we continue to see that if trends persist here? Thank you.

那太棒了。感謝您閱讀了所有這些內容。這真的很有幫助。然後作為後續問題，我知道世界其他地區對總收入的貢獻不到 15%，但這是本季的亮點。我猜想，這些市場總體上是否較少受到宏觀經濟或其技術和定價措施的影響？鑑於第一季的中個位數成長，您是否認為這是一個異常現象？或者如果趨勢持續下去，我們還能繼續看到這種情況嗎？謝謝。

Yes, that activity was really driven by a very strong euro millions jackpot. So the exact opposite of North America. We see that in all over the world, we see when the jackpot builds, the multijurisdictional jackpot builds, it has a significant impact on sales. So that was the primary driver. And I think those trends are consistent with North America and other parts of the world.

是的，這項活動確實是由非常豐厚的百萬歐元大獎推動的。這與北美完全相反。我們看到，在世界各地，當累積獎金、跨轄區累積獎金增加時，它會對銷售產生重大影響。所以這是主要驅動因素。我認為這些趨勢與北美和世界其他地區一致。

Thanks, Vince, appreciate it. Sure thing.

謝謝，文斯，非常感謝。當然可以。

David Katz, Jefferies.

傑富瑞的戴維·卡茨。

Morning. Thanks for taking my questions. Apologies if I'm over beating on an issue. But and I think you may have talked about this a bit. Vince, you said that you get the results of the technical assessment in May. And since it comes up so often, can you just walk us through what might be the next steps in that process or put some historical perspective around it? That may be helpful, again, just because it comes up so often. With respect to eLotto, of course, is what I'm asking.

早晨。感謝您回答我的問題。如果我對某個問題過於強調，請見諒。但我想你可能已經談論過這一點了。文斯，你說你在五月會得到技術評估的結果。由於這個問題出現得如此頻繁，您能否向我們介紹一下該過程的下一步可能是什麼，或者從歷史角度來介紹一下？這可能再次有所幫助，因為它經常出現。當然，我問的是有關 eLotto 的問題。

Yes, sure thing, David. So, yes, we these, as you know, don't come up very often. So nine years ago or so when it came up, it took some time for the commission to make to do their technical evaluation and overall make the determination and issue their preliminary award. In this particular case, the bids were submitted on March 17. As I recall, the commission formed.

是的，當然可以，大衛。是的，正如你所知，這些並不經常出現。因此，大約九年前，當這個問題出現時，委員會花了一些時間進行技術評估，並做出整體決定並發布初步裁決。在這個特殊案例中，投標是在 3 月 17 日提交的。我記得，委員會已經成立了。

We confirmed that there were two bidders and we found out this week that the economic proposals will be opened on May 19 on Monday. So a much shorter time frame than our experience nine years ago. And we also understand the evaluation of the technical proposals is complete. And as I mentioned, we believe that we will find out the results of the technical evaluation scoring at or prior to May 19 as well. So early next week, we should know.

我們確認有兩家投標人，本週我們得知經濟提案將於 5 月 19 日星期一開放。因此，與我們九年前的經歷相比，時間要短得多。我們也了解到技術提案的評估已經完成。正如我所提到的，我們相信我們也將在 5 月 19 日或之前得知技術評估評分的結果。所以下周初我們就應該知道了。

And so that's an outcome of just the technical, but not the financial aspects. Or do we have sort of a final answer on the evaluations of everything by the 19th?

所以這只是技術方面的結果，而不是財務上的結果。或者我們對 19 日之前所有事物的評估都有了最終答案？

Yes, what I described is what the commission has communicated, which is we anticipate the technical scoring will be done and they will open up the envelopes, if you will, around the economic bids for ourselves and our competitors.

是的，我所描述的就是委員會所傳達的訊息，即我們預計將進行技術評分，並且他們將為我們自己和我們的競爭對手打開經濟投標的信封。

So when they actually do the math on the two pieces, we anticipate we'll be sometime shortly after the opening of the economic letter. We don't know exactly whether it's that day, several days, and how long to issue a preliminary award. But when the two pieces are disclosed, we should all be able to do the math and anticipate a preliminary award pretty shortly thereafter.

因此，當他們真正對這兩封信進行計算時，我們預計我們會在經濟信函開啟後不久的某個時候進行計算。我們不知道具體是不是那一天，是幾天，多久才能下達初步裁決。但當這兩件事披露後，我們都應該能夠計算並預計不久之後就會有初步裁決。

So open up and disclose means that to us, to everyone, just to be clear.

所以，開放和揭露對我們、對每個人來說都意味著明確這一點。

Yes, correct.

是的，正確。

Perfect, thank you very much.

非常好，非常感謝。

Sure thing.

當然可以。

Domenico Ghilotti, Equita.

多梅尼科·吉洛蒂（Domenico Ghilotti），Equita。

Good morning. Two questions. The first is on the Italian market. I wonder if you can elaborate a little bit more on the spending. We have seen some verticals. I'm not referring to the lotteries, but for example, the iGaming business growing really very fast, mid-teens or even higher. And I heard you comment on the Q1, but also giving some highlight on April that is quite reassuring. So I wonder if you think there is any kind of cannibalization between the verticals or not, or just was a matter of, let's say, working days and sell in, sell out.

早安.兩個問題。第一個是在義大利市場。我想知道您是否可以更詳細地說明一下支出。我們已經看到了一些垂直領域。我指的不是彩票，而是例如 iGaming 業務的成長速度非常快，成長率達到十幾歲甚至更高。我聽到了您對第一季的評論，同時也對四月份的情況給出了一些令人放心的亮點。所以我想知道您是否認為垂直行業之間存在任何形式的蠶食，或者只是工作日和賣進賣出的問題。

And second question is on the bridging net financial position. I understood that you had the almost $300 million increase in debt. How is that coming from FX, if I'm not wrong? And I wonder how can I bridge this number with the free cash flow generation that you have been reporting?

第二個問題是關於過渡淨財務狀況。我了解到您的債務增加了近 3 億美元。如果沒記錯的話，這是怎麼從 FX 來的呢？我想知道我如何才能將這個數字與您所報告的自由現金流產生聯繫起來？

Sure. I'll take the first part of the question, Domenico. So I know you've been following the market for a long time. Know that it's a very mature and robust gaming marketplace. And we've had good growth in our lottery products for several years. I think, again, if you take out the calendarization of the days, as you pointed out, growth in the first quarter as well, and currently second quarter pacing up of 4%.

當然。我來回答問題的第一部分，多梅尼科。所以我知道你一直在關注市場。要知道這是一個非常成熟和強大的遊戲市場。幾年來，我們的彩票產品一直保持著良好的成長勢頭。我認為，如果去掉日曆上的日子，正如您所指出的，第一季也會成長，目前第二季的成長速度為 4%。

So I think the ability for the pie to grow, for the market to grow alongside the growth that Italy has seen in sports betting and iCasino continues to occur for the lottery business. Again, we keep mentioning the need for ongoing innovation, both on the retail products and on the iLottery products. So we believe that's been attributing a lot of the growth. So we've seen growth in lottery, both land-based and digital, alongside the ongoing growth in sports betting and iCasino in Italy.

因此，我認為，隨著義大利體育博彩和 iCasino 的成長，彩票業務的份額和市場規模也將繼續增長。再次，我們不斷提到需要持續創新，無論是零售產品還是 iLottery 產品。因此，我們相信這是實現成長的重要原因。因此，我們看到彩票（包括實體彩票和數位彩票）的成長，同時義大利的體育博彩和 iCasino 也在持續成長。

Hi, Domenico. This is Max speaking. So with regard to the second question, yes, half of the impact was due to the translation on the FX. The other half is kind of split between EBITDA and working capital almost equally. In terms of how to look at the cash flow for the balance of the year, I think our performance in Q1 is definitely remarkable compared to the last two years. A cash conversion in the upper 60s is definitely where we should be on a normalized basis. So we anticipate that we will continue to deliver positive cash flow, x obviously the lotto upfront fee payment, so where you exclude those payments, for the balance of the year.

你好，多梅尼科。我是馬克斯。因此，關於第二個問題，是的，一半的影響是由於 FX 上的翻譯造成的。另一半則幾乎均等地分配給 EBITDA 和營運資本。從如何看待全年現金流的角度來看，我認為與過去兩年相比，我們第一季的表現絕對是卓越的。60 多歲的現金轉換率絕對是我們應該達到的正常水準。因此，我們預計我們將繼續提供正現金流，x顯然是彩票預付費用，因此在排除這些付款的情況下，全年餘額將保持不變。

And when you look at the normalization of that cash flow, you should expect again something in the range of $700 million to $750 million from a CFO point of view, cash from ops point of view, x upfront fee. Then you have obviously this heavy CapEx balance that is coming to fruition this year because of the ramp up in the CapEx cycle. So again, the free cash flow is going to be below our normal run rate.

當您查看現金流的正常化時，從財務長的角度來看，您應該再次預期在 7 億美元到 7.5 億美元之間，從營運的角度來看，現金為 x 預付費用。那麼，顯然，由於資本支出週期的增加，今年你將獲得巨額資本支出餘額。因此，自由現金流將再次低於我們的正常運作率。

But again, we have highly advertised this period of time in the past. And this CapEx cycle is going to stick with us probably for 2025 and 2026. So we will be running at about $400 million to $450 million for each of the two years. And then we anticipate the CapEx to come down starting in 2027 to more normalized levels in the range of $200 million to $225 million per year.

但同樣，我們過去曾大力宣傳過這段時間。這種資本支出週期可能會持續到 2025 年和 2026 年。因此，我們兩年內每年的投入將達到約 4 億至 4.5 億美元。然後，我們預計從 2027 年開始，資本支出將下降到更正常的水平，即每年 2 億美元至 2.25 億美元之間。

Joe Stauff, Susquehanna.

喬·斯托夫，薩斯奎漢納。

Thank you. Good morning, Vince, Max. Just to follow up, Vince, on the lotto award, obviously a pretty significant catalyst. The economic weighting is about 60%, whereas the technical weighting in terms of the award is about 40%. Is that correct?

謝謝。早上好，文斯、馬克斯。文斯，我來跟進一下樂透獎，這顯然是一個非常重要的催化劑。其中經濟權重約佔60%，技術權重約佔40%。對嗎？

Yes, I think that's right.

是的，我認為是這樣。

And then on the Italian growth that you had mentioned, up 4% thus far in the second quarter, is there a way for you to maybe describe, is that more new product-oriented growth? Is it volume growth, or is it most likely just a combination of both?

然後，關於您提到的意大利經濟成長，第二季迄今為止增長了 4%，您能否描述一下，這是否更多地以新產品為導向的增長？是數量成長，還是兩者兼具？

Yes, it really is a combination. We've had good ongoing instant ticket innovation. We've relaunched some products in the second quarter. We mentioned a while back, we have our patented printing product, Xfinity. We've launched that in the market, and that seems to have very good attraction to players. And things like the special draws that we've done. We've had good success with 10eLotto and Numero Oro for the core lotto game. So it's coming across the board and continued really strong growth in iLottery sales as well.

是的，確實是組合。我們在即時票務創新方面一直表現出色。我們在第二季重新推出了一些產品。我們之前提到過，我們有專利的印刷產品 Xfinity。我們已經在市場上推出了該遊戲，而且它似乎對玩家有很好的吸引力。以及我們所做的特別抽獎等活動。我們在核心樂透遊戲 10eLotto 和 Numero Oro 上取得了巨大成功。因此，iLottery 的銷售全面且持續強勁成長。

Understood. Good luck next week.

明白了。祝你下週好運。

Thank you.

謝謝。

Thank you. And that concludes our question-and-answer session. I will now turn the call back over to CEO, Vince Sadusky for closing remarks.

謝謝。我們的問答環節到此結束。現在我將把電話轉回給執行長文斯薩杜斯基 (Vince Sadusky) 作結束語。

Yes, thank you for joining us. Our first quarter results confirm sustained global player demand, for instant and draw games, and the good profit structure of a pure play lottery business. As I noted, we have some really important milestones in the interim horizon. And while we are contending with a high degree of macroeconomic and geopolitical uncertainty, we're excited about the strategic initiatives we are working on to drive sustainable long-term growth.

是的，感謝您加入我們。我們第一季的業績證實了全球玩家對即開型和抽獎型遊戲的持續需求，以及純彩券業務的良好利潤結構。正如我所指出的，我們在未來幾年中會取得一些非常重要的里程碑。儘管我們正面臨高度的宏觀經濟和地緣政治不確定性，但我們對正在努力推動永續長期成長的策略性舉措感到興奮。

As always, we appreciate your interest in IGT and look forward to reconnecting with you soon, certainly following the news of the lotto outcome. Have a great day.

像往常一樣，我們感謝您對 IGT 的關注，並期待很快與您再次聯繫，當然在彩票結果公佈之後。祝你有美好的一天。

This concludes today's conference call. Thank you for your participation. You may now disconnect.

今天的電話會議到此結束。感謝您的參與。您現在可以斷開連線。