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Inspired Entertainment Inc. (INSE) has submitted its Form 10-K filing for the fiscal year ended December 31, 2024.
The filing details the company's operations, which include supplying content, platforms, gaming terminals, and other products to online and land-based lottery, betting, and gaming operators globally. The company operates in four segments: Gaming, Virtual Sports, Interactive, and Leisure.
For the year ended December 31, 2024, Inspired Entertainment reported total revenue of $297.1 million, a decrease from $322.9 million in the previous year. The decline was primarily due to a reduction in product sales.
The Gaming segment generated revenue of $110.6 million, a decrease from $142.5 million in 2023, primarily due to a reduction in low-margin product sales. The Virtual Sports segment reported revenue of $45.4 million, down from $56.2 million, largely due to a decline in online sales.
The Interactive segment saw an increase in revenue to $39.3 million from $27.9 million, driven by growth in the UK and North American markets. The Leisure segment also experienced growth, with revenue rising to $101.8 million from $96.3 million, primarily due to increased activity in holiday parks and pubs.
Net income for the year was $64.8 million, compared to $6.9 million in 2023. This increase was largely attributed to a significant income tax benefit due to the reversal of a valuation allowance on deferred tax assets.
The company reported cash flows from operating activities of $31.7 million, a decrease from $54.7 million in the prior year, due to changes in working capital.
As of December 31, 2024, Inspired Entertainment had cash and cash equivalents of $29.3 million, with total liabilities of $441.7 million. The company had a working capital surplus of $26.6 million.
The filing also discusses risks related to government regulation, competition, and cybersecurity threats, including the potential impact of artificial intelligence used by malicious actors.
The company outlined its strategy to focus on developing new content and products, expanding into new markets, and pursuing targeted mergers and acquisitions to enhance its product portfolio and distribution footprint.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Inspired Entertainment Inc. annual 10-K report dated March 26, 2025. To report an error, please email earnings@qz.com.