The company reported a 12% increase in consolidated revenue to $817 million compared to the prior year period, marking its 14th consecutive quarter of year-over-year growth. However, EPS decreased to $0.71 from $0.81 due to higher restructuring and legal costs. While falling short of Wall Street expectations, Light & Wonder's revenue performance was driven by strong results across all segments.

Revenue Performance by Segment

Segment	Q3 2024 Revenue	Year-Over-Year Change (%)
Gaming	$537 million	15%
SciPlay	$206 million	5%
iGaming	$74 million	6%

The Gaming segment led with a 15% revenue increase, driven by a 38% growth in global gaming machine sales and consistent performance in North American operations.
SciPlay reported a 5% increase due to strong payer metrics in its social casino business.
iGaming revenue experienced a 6% rise, with significant movement in North American operations.

Key Developments and Operational Highlights

Gaming Machine Sales: 38% growth in sales.
S&P/ASX 100 Index Inclusion: Added on September 25, 2024.
Shareholder Returns: $44 million returned to shareholders through repurchases.
Dragon Train Litigation: Addressing impact with diversified game offerings; 95% of affected units replaced or converted.
Net Debt Leverage Ratio: Improved to 2.9x within the targeted range.

Executive Commentary

Matt Wilson, President and CEO, highlighted the strength of the company's diverse gaming portfolio and the success of its scalable R&D platform. Oliver Chow, CFO, emphasized cash generation and strategic financial plans that include continued R&D, capex investments, and a focused share repurchase program, reinforcing the 2025 AEBITDA target of $1.4 billion.

Capital Management Activities

The company repurchased approximately 0.4 million shares, amounting to $44 million in capital returns. There were no announced changes in dividends or additional share repurchase programs.

Forward Guidance

Light & Wonder reaffirmed its 2025 AEBITDA target of $1.4 billion and expects AEBITDA growth to be above 10% for the full year 2024.

Stock Price Movement

Following the earnings release, Light & Wonder's stock experienced a slight decline, with an after-event price change of -0.83%.

This comprehensive earnings report underscores Light & Wonder's continued trajectory towards sustained growth and strategic milestones despite facing certain operational challenges.

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