Aristocrat payout jackpots on profit surge
Aristocrat Leisure investors are set for a bigger payout as strong growth across the company's US-based and digital gaming channels lifted full-year profit 29 per cent to $699 million.
The global gambling giant said operating revenue was up 22.7 per cent to $4.4 billion for the year to September 30 as its key Americas, Australia and New Zealand, and digital businesses grew, supported by currency and tax benefits.
The company will pay a fully franked final dividend of 34 cents, up from 27 cents a year ago, news that helped its share price climb by nearly 6.7 per cent to a new record high of $33.92 in early trade on Wednesday.
Aristocrat shares were still 5.5 per cent higher at 1415 AEDT at $33.55 and have gained more than 50 per cent of value in 2019.
Aristocrat chief executive and managing director Trevor Croker said the company had benefited from new segments and genres of gaming, including role-playing game RAID: Shadow Legends.
Mr Croker said the company has made significant strides in bedding down recent digital acquisitions, leveraging critical skillsets, and establishing a diversified portfolio approach.
"Across digital, we anticipate further growth in digital bookings supported by scaling of recently released new games," the company said in a note.
"Throughout the year, Aristocrat strived to meet the evolving needs of customers and players by investing in our product portfolios and expanding into attractive new segments and genres."
The company also said its reworked tax structure - implemented this week to reflect the company's growing American operations - would help reduce costs going forward.
Profit from the Americas division increased by 24.9 per cent to $1.07 billion during the year, oustripping the 3.1 per cent growth at Australia and NZ division, for a total $213.6 million.
Digital profit rose 20.7 per cent to $528.9 million
Aristocrat said the tax changes will not impact the amount of Australian tax the business pays.
The company's total dividend payout for FY19 is a fully franked 56 cents, a 10 cent per share increase on the previous year.
ARISTOCRAT FY PROFIT JACKPOTS AGAIN
* Operating revenue up 22.7pct to $4.4b
* Net profit up 29pct to $699m
* Final dividend 34 cents fully franked, up from 27 cents pcp
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