Everi Holdings Reports $757.9M Revenue Decline and Proposed Acquisition by Voyager Parent

Everi Holdings Inc. reported a total revenue of approximately $757.9 million for the fiscal year ended December 31, 2024, reflecting a decrease of 6% compared to $807.8 million in the previous year. The decline was primarily driven by a 12% drop in Games revenues, which fell to $378.9 million from $429.2 million in 2023. This decrease was attributed to a reduction in the daily win per unit and a decline in the average number of units in the installed base. In contrast, FinTech revenues remained relatively stable, increasing slightly to $379.0 million from $378.7 million, supported by growth in transaction volumes and software-related services.

The company's operating income also saw a significant decline, dropping 50% to $89.2 million from $179.3 million in the prior year. This decrease was influenced by rising costs, including a $34.9 million increase in transaction-related expenses and a $3.8 million charge related to firm purchase commitments. Total costs and expenses rose by 6% to $668.7 million, driven by higher operating expenses and increased depreciation costs, which were partially offset by a decrease in cost of revenues associated with lower unit sales.

In terms of strategic developments, Everi announced a proposed acquisition by Voyager Parent, LLC, which is expected to close in 2025. Under the terms of the agreement, Everi stockholders will receive $14.25 per share in cash, and the transaction is subject to customary closing conditions, including regulatory approvals. The company incurred approximately $6.4 million in transaction costs related to this proposed transaction during the fiscal year.

Operationally, Everi served over 2,800 casinos and gaming properties, with a total installed base of approximately 15,945 gaming units as of December 31, 2024. The average daily win per unit decreased to $33.78 from $36.63 in the previous year. The company also reported a total employee headcount of approximately 2,300, with a majority employed in the FinTech segment. The company continues to face challenges from macroeconomic volatility, including inflation and supply chain disruptions, which have impacted its operational efficiency and cost structure.

Looking ahead, Everi's management expressed cautious optimism regarding the gaming industry's recovery and the anticipated benefits from the proposed acquisition. However, they acknowledged the ongoing challenges posed by economic conditions and competitive pressures in both the Games and FinTech segments. The company remains focused on innovation and expanding its product offerings to enhance customer engagement and operational efficiency.