Aristocrat Leisure reported robust FY25 results with double-digit revenue and profit growth, underpinned by strategic divestments and investments in AI. The company’s FY26 outlook remains positive, driven by market share gains and new product launches.
- FY25 revenue up 11% to $6.3 billion, net profit rises 12%
- EBITDA margin expands to 41.7%, reflecting operational leverage
- Strategic divestments refocus business on core gaming content
- Interactive segment revenue surges 71% with NeoGames inclusion
- AI integration and executive hires to accelerate innovation
Strong Financial Performance Anchors Growth
Aristocrat Leisure Limited has delivered another year of solid financial results for FY25, reporting revenue of $6.3 billion, an 11% increase over the previous year. This growth was driven by organic expansion, market share gains, and the full-year contribution of NeoGames, acquired in the prior period. Net profit before amortisation rose 12% to $1.6 billion, while earnings per share adjusted (EPSA) grew 15%, supported by a share buy-back program.
The company’s EBITDA margin improved to 41.7%, reflecting a favourable product mix and enhanced operating leverage. These results underscore Aristocrat’s disciplined execution of its growth strategy amid a competitive global gaming landscape.
Strategic Refocus and Organisational Changes
During FY25, Aristocrat undertook significant portfolio optimisation, divesting Plarium and Big Fish Games’ social casual assets to sharpen its focus on slot content creation. This repositioning aligns all three business segments; Aristocrat Gaming, Product Madness (social casino), and Aristocrat Interactive (regulated online real money gaming); with the company’s core strategic priorities.
Organisational restructuring, particularly within product and technology groups, aims to enhance coordination and speed to market. Early benefits are already evident, with plans to further integrate artificial intelligence tools to boost efficiency and innovation across the business.
Segment Highlights and Market Expansion
Aristocrat Gaming grew revenue by 9%, driven by strong outright sales and market share gains, especially in North America where the installed base surpassed 75,000 units. New game launches such as Phoenix Link and Spooky Link, alongside the rollout of The Baron Portrait cabinet, contributed to this momentum.
Product Madness outperformed a declining market with 5% revenue growth and a 12% increase in segment profit, benefiting from new content investments and a shift towards direct-to-consumer (DTC) delivery, which now accounts for over 20% of revenues in early FY26.
The Interactive segment saw a remarkable 71% revenue increase, buoyed by NeoGames integration and organic growth in iLottery and content offerings. The company is expanding its footprint in key US states and plans to launch Lightning Link later this year, aiming to capture further market share in the high-growth online real money gaming space.
Technology and Leadership Driving Future Growth
Aristocrat is investing heavily in AI and technology platforms to accelerate content creation, improve quality control, and enhance operational efficiency. Recent acquisitions such as Awager and Gaming Analytics bolster capabilities in live slot streaming and AI-powered player analytics, respectively.
Leadership appointments including Dylan Slaney as CEO of Interactive and Bob Serr as Chief Technology Officer bring deep industry expertise and innovation focus, positioning Aristocrat to capitalise on emerging opportunities and maintain its competitive edge.
Outlook: Confident Yet Cautious
Looking ahead to FY26, Aristocrat expects continued momentum with net additions of 4,000 to 5,000 gaming units, ongoing market share gains, and new product launches weighted towards the second half of the year. The company anticipates steady growth in iLottery markets, supported by recent contract awards in Massachusetts and Michigan, and plans to exit lower-return white label operations in Europe.
While Interactive’s content revenue growth trails aspirations, management remains focused on delivering its $1 billion USD revenue target by FY29. The integration of AI and technology investments, alongside disciplined execution, will be critical to achieving this goal.
Bottom Line?
Aristocrat’s FY25 success sets a strong foundation, but execution of AI-driven innovation and market expansion will define its next growth chapter.
Questions in the middle?
- How quickly will Aristocrat’s AI investments translate into measurable revenue gains?
- Can Interactive segment accelerate content growth to meet the ambitious FY29 target?
- What impact will exiting the white label business have on European market positioning?