May 03, 2018 • 08:00 am ET



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Good morning, and welcome to the Scientific Games First Quarter Earnings Investor Conference Call. All participants will be in listen-only mode. (Operator Instructions) After today's presentation, there will be an opportunity to ask questions. (Operator Instructions) Please note that this event is being recorded. I would now like to turn the conference over to Bill Pfund, Vice President of Investor Relations. Please go ahead.

William Pfund

Thank you, Andrea. Good day, everyone. During today's call we will discuss our First Quarter 2018 Results and operating performance followed by a question-and-answer period. With this -- with me this morning are Kevin Sheehan and Mike Quartieri. Our call today will contain statements that include forward-looking statements under the Private Securities Litigation Reform Act of 1995. These statements involve certain risks and uncertainties that could cause actual results to differ materially from those discussed during the call.

For information regarding these risks and uncertainties, please refer to our earnings release issued late yesterday. The materials relating to this call posted on our website and our filings with the SEC, including our most recent Annual Report on Form 10-K filled on March 1, 2018 as well as subsequent reports filled with the SEC including our first quarter 2018 Form 10-Q filled last evening.

We also will discuss certain non-GAAP financial measures this morning. A description of each non-GAAP measure and a reconciliation of each non-GAAP measure to the most directly comparable GAAP measure can be found in our earnings press release as well as in the investor section on our website. As a reminder, this conference call is being recorded. A replay of this webcast and the company materials will be archived in the investor section of our website at

Now, let me turn the call over to Kevin.

Kevin Sheehan

Thanks, Bill. Good morning, and thanks everyone for joining us. I couldn't be more pleased with our first quarter accomplishments. First quarter results were strong across each of our business segments and marked yet another quarter of steady year-over-year increases in revenue and attributable EBITDA. Collectively, we have delivered 12% growth on both the top line and on attributable EBITDA. The completion of the NYX acquisition, our February refinancing which is the third in the series of successful debt refinancings have meaningfully reduced our annual cash interest costs compared to 2016. These results reflect the success we have created in building a winning culture. Our momentum is continuing and we are maintaining our laser focus on driving steady top line growth while simultaneously taking steps to grow our business processes that will enhance our operating margins and cash flow.

As we announced last night, I will be stepping down as CEO and President of Scientific Games. And Barry Cottle, currently CEO of SG Interactive, will be taking over as CEO. I will be staying on with the company in a senior adviser capacity. I'm very proud of what we have accomplished over the last several years. Our company is stronger than ever and growing across each of