Intralot extends contract with Morocco’s MDJS until 2025

The new contract is scheduled to expire in December 2025. The agreement will see Intralot continue to operate MDJS’s lottery while also offering sports betting and other gambling.

Intralot has a long-term partnership with MDJS and has been operating its offering since 2010. The Greek operator will continue to operate MDJS’s lottery games, which include Tifo and Chrono.

In March 2021, Intralot announced that it had agreed to shorten the term of an eight-year contract with MDJS signed in 2019, ending in December 2022.

Although MDJS launched a tender for a new supplier in January 2022, a further one-year extension was agreed with Intralot in March 2022. This latest extension, announced Friday, extends the long-standing relationship between the two.

Intralot is at risk of defaulting on its 2024 bond obligations

In November 2023, Intralot announced a return to net profit for the third quarter. Gross gaming revenue (GGR) rose 2.2% year-on-year to €5.6m (£4.8m/$6.1m).

However, Intralot also recorded a €21.7 million (7.2%) decrease in consolidated revenue compared to 2022. A large part of the company’s decline in revenue was due to a lack of revenue due to the expiry of its Malta license in July 2022, according to a GGR- Loss of €43.9 million.

As a result, the company’s third-quarter earnings reports highlighted the risk of not being able to meet its 2024 bond obligations. Intralot issued new shares worth 135 million euros, although its third-quarter report said the company did not have the cash to cover most of the debt.

Despite the consolidated net revenue loss year-on-year, Intralot’s revenue in the third quarter was 8.1% higher than the same period last year and €7.8 million higher than the second quarter of 2023.

EBITDA also jumped to €101.0 million in the first nine months of the year, up 14.7% compared to 9M22. Intralot attributed the increase in EBITDA to promising growth in Turkey, Croatia, Taiwan and the US.