Net income was $2.5 million in the fourth quarter of 2022, up from $9.1 million in the same quarter the year before.
The company's net income was positive for the third consecutive quarter in 2022.
For the first time ever, gaming operations, also known as recurring revenue, reached $57 million, an increase of 8% from the prior year. In the fourth quarter of 2022, recurring revenue made up around 95% of the total segment revenue.
A record-breaking $37.3m was achieved as total adjusted EBITDA, an increase of about 16%.
Table Products saw a 22% year-over-year rise in revenue, while EGM saw a roughly 17% gain in revenue, driven by a 40% increase in EGM sales revenue and a record-breaking quarter for EGM gaming operations in the United States.
Continuing to reap the benefits of investments made in our research and development, sales, and product management teams over the last many years, our record-setting fourth quarter results indicate," stated David Lopez, AGS President and CEO.
"In 2023, I foresee a series of growth catalysts that are unique to our company emerging across all three areas of our business. These should enable us to sustain our recent operating momentum."
"We exited 2022 with net leverage inside of 4.0x, consistent with the expectations articulated at the start of the year," stated Kimo Akiona, corporate financial officer of AGS.
We are committed to decreasing the amount of leverage on our balance sheet and maximising free cash flow as we move forward into 2023.
By the end of the fourth quarter of 2022, the company had installed around 1,800 progressive units, which was a year-over-year increase of over 25%.
