OTCPK:IRLT.Y

Stock Analysis Report

Intralot Integrated Lottery Systems and Services

Executive Summary

Intralot S.A. Integrated Lottery Systems and Services supplies integrated gaming and transaction processing systems, game content, sports betting management, and interactive gaming services to state-licensed gaming organizations worldwide.

Rewards

Trading at 15.4% below its fair value

Risk Analysis

Earnings have declined by -10.99% per year over past 5 years

Currently unprofitable and not forecast to become profitable over the next 3 years

Does not have a meaningful market cap ($57M)



Snowflake Analysis

Imperfect balance sheet and overvalued.


Similar Companies

Share Price & News

How has Intralot Integrated Lottery Systems and Services's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: IRLT.Y has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-9.7%

IRLT.Y

3.1%

US Hospitality

1.7%

US Market


1 Year Return

n/a

IRLT.Y

19.2%

US Hospitality

23.6%

US Market

Return vs Industry: Insufficient data to determine how IRLT.Y performed against the US Hospitality industry.

Return vs Market: Insufficient data to determine how IRLT.Y performed against the US Market.


Shareholder returns

IRLT.YIndustryMarket
7 Day-9.7%3.1%1.7%
30 Day-5.6%4.6%3.5%
90 Dayn/a15.8%11.7%
1 Yearn/a22.3%19.2%26.2%23.6%
3 Yearn/a47.0%37.1%53.2%43.3%
5 Year-65.8%-65.8%56.1%39.6%75.5%56.1%

Price Volatility Vs. Market

How volatile is Intralot Integrated Lottery Systems and Services's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Intralot Integrated Lottery Systems and Services undervalued compared to its fair value and its price relative to the market?

16.2%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: IRLT.Y ($0.47) is trading below our estimate of fair value ($0.55)

Significantly Below Fair Value: IRLT.Y is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: IRLT.Y is unprofitable, so we can't compare its PE Ratio to the Hospitality industry average.

PE vs Market: IRLT.Y is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate IRLT.Y's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: IRLT.Y has negative assets, so we can't compare its PB Ratio to the US Hospitality industry average.


Next Steps

Future Growth

How is Intralot Integrated Lottery Systems and Services forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

20.6%

Forecasted Consumer Services industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Intralot Integrated Lottery Systems and Services has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

  • Take a look at our analysis of IRLT.Y’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
  • While we do not consider unaudited financials to be a reliable enough to include in our analysis, you can access them on the OTC Markets Website. If you are looking for more of a qualitative research into the company, you can access Intralot Integrated Lottery Systems and Services's filings and announcements here.
  • Explore growth companies in the Consumer Services industry.

Past Performance

How has Intralot Integrated Lottery Systems and Services performed over the past 5 years?

-11.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: IRLT.Y is currently unprofitable.

Growing Profit Margin: IRLT.Y is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: IRLT.Y is unprofitable, and losses have increased over the past 5 years at a rate of -11% per year.

Accelerating Growth: Unable to compare IRLT.Y's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: IRLT.Y is unprofitable, making it difficult to compare its past year earnings growth to the Hospitality industry (-18.9%).


Return on Equity

High ROE: IRLT.Y's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Intralot Integrated Lottery Systems and Services's financial position?


Financial Position Analysis

Short Term Liabilities: IRLT.Y has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: IRLT.Y has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: IRLT.Y has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: IRLT.Y's has negative shareholder equity, so we do not need to check if its debt has reduced over time.


Balance Sheet

Inventory Level: IRLT.Y has a high level of physical assets or inventory.

Debt Coverage by Assets: IRLT.Y has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable IRLT.Y has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: IRLT.Y is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by -73.5% per year.


Next Steps

Dividend

What is Intralot Integrated Lottery Systems and Services's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

company0%marketbottom25%1.4%markettop25%3.7%industryaverage2.8%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate IRLT.Y's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate IRLT.Y's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if IRLT.Y's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if IRLT.Y's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: IRLT.Y is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of IRLT.Y's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of Intralot Integrated Lottery Systems and Services's salary, the management and board of directors tenure and is there insider trading?

1.0yrs

Average management tenure


CEO

Sokratis Kokkalis (80yo)

0.8yrs

Tenure

0

Mr. Sokratis P. Kokkalis has been Chief Executive Officer at Intralot S.A. Integrated Lottery Systems and Services since March 01, 2019. Mr. Kokkalis is the Founder of Intralot SA and serves as its Executi ...


Management Age and Tenure

1.0yrs

Average Tenure

51yo

Average Age

Experienced Management: IRLT.Y's management team is not considered experienced ( 1 years average tenure), which suggests a new team.


Board Age and Tenure

3.4yrs

Average Tenure

76yo

Average Age

Experienced Board: IRLT.Y's board of directors are considered experienced (3.4 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Sokratis Kokkalis (80yo)

    Chairman & CEO

    • Tenure: 0.8yrs
  • Christos Moumouris (50yo)

    Managing Director of Asia Pacific

    • Sokrates Kokkalis (35yo)

      Group Deputy CEO and Group Chief Products & Services Officer

      • Nikos Nikolakopoulos (51yo)

        Deputy CEO & Director

        • Tenure: 1yrs
      • Lampros Klironomos

        Head of Internal Audit Department

        • Tenure: 7.3yrs
      • Nikolaos Pavlakis

        Group Accounting Director

        • Athanasios Chronas (55yo)

          Chief Legal & Compliance Counsel

          • Michalis Tsagalakis

            Head of Capital Markets and Head of Shareholder's Services & Corporate Announcements

            • Andreas Chrysos

              Group Chief Financial Officer

              • Tenure: 1.1yrs
            • Maria Stergiou

              Group Chief Sales & Operations Officer

              • Tenure: 0.8yrs

            Board Members

            • Dimitrios Klonis

              Non-Executive Director

              • Tenure: 25yrs
            • Sokratis Kokkalis (80yo)

              Chairman & CEO

              • Tenure: 0.8yrs
            • Constantinos Antonopoulos

              Vice Chairman

              • Alexandros-Stergios Manos (48yo)

                Non-Executive Director

                • Anastasios Tsoufis (83yo)

                  Independent Non-Executive Director

                  • Sotirios Filos (83yo)

                    Independent Non-Executive Director

                    • Nikos Nikolakopoulos (51yo)

                      Deputy CEO & Director

                      • Tenure: 1yrs
                    • Ioannis Tsoukaridis (72yo)

                      Independent Non-Executive Director

                      • Tenure: 5.8yrs
                    • Chrysostomos Sfatos

                      Group Deputy CEO & Director

                      • Tenure: 1yrs

                    Company Information

                    Intralot S.A. Integrated Lottery Systems and Services's company bio, employee growth, exchange listings and data sources


                    Key Information

                    • Name: Intralot S.A. Integrated Lottery Systems and Services
                    • Ticker: IRLT.Y
                    • Exchange: OTCPK
                    • Founded: 1992
                    • Industry: Casinos and Gaming
                    • Sector: Consumer Services
                    • Market Cap: €56.149m
                    • Listing Market Cap: €62.284m
                    • Shares outstanding: 147.76m
                    • Website: https://www.intralot.com

                    Number of Employees


                    Location

                    • Intralot S.A. Integrated Lottery Systems and Services
                    • 64, Kifissias Avenue & 3, H. Sabbagh / S. Khoury Street
                    • Athens
                    • 151 25
                    • Greece

                    Listings

                    TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
                    INLOTATSE (The Athens Stock Exchange)YesOrdinary SharesGREURNov 1999
                    0KA1LSE (London Stock Exchange)YesOrdinary SharesGBEURNov 1999
                    IRLT.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDNov 1999
                    9ILDB (Deutsche Boerse AG)YesOrdinary SharesDEEURNov 1999
                    IRLT.YOTCPK (Pink Sheets LLC)ADRUSUSDNov 2008

                    Biography

                    Intralot S.A. Integrated Lottery Systems and Services supplies integrated gaming and transaction processing systems, game content, sports betting management, and interactive gaming services to state-licensed gaming organizations worldwide. The company supplies hardware and software, including gaming machines, central computer systems, gaming software, communication systems, etc., as well as offers installation, technical support, and maintenance services to lotteries. It is also involved in the design, organization, and/or management of games; advertising and sales promotion activities; establishment of sales network; and provision of risk management for fixed odds games, etc., as well as game operating services. The company was founded in 1992 and is headquartered in Athens, Greece. 


                    Company Analysis and Financial Data Status

                    All financial data provided by Standard & Poor's Capital IQ.
                    DataLast Updated (UTC time)
                    Company Analysis2020/01/20 00:13
                    End of Day Share Price2020/01/15 00:00
                    Earnings2019/09/30
                    Annual Earnings2018/12/31


                    Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.