Ainsworth (ASX:AGI) share price slips on FY21 results

Here's how Ainsworth performed in FY21 according to its results released today

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The Ainsworth Game Technology Ltd (ASX: AGI) share price closed in the red today after the company released its FY21 results.

At the closing bell, Ainsworth shares were trading at $1.02, down 1.45%.

Let's take a closer look to see how the gaming technology company performed during the period.

4 teenagers playing mobile game

Image source: Getty Images

Ainsworth share price slides despite solid revenue growth

Here are some of the company's key highlights for the 12 months ending 30 June 2021:

What happened in FY21 for Ainsworth?

During the year, Ainsworth progressed its game development, software and hardware activities.

International revenue brought in $120.5 million due to the progression of vaccination programs which saw most customer venues gradually reopen. In domestic markets, Australia recorded revenues of $39 million with increase sales due to improved product performance on A-STAR hardware.

Online revenue came in at $5.9 million, up 28% following the launch of Real Money Gaming in New Jersey in April 2020. The company progressively went live with its innovative content amongst seven major operators during the period.

The company's bottom line suffered a loss, which related to currency impacts and other one-off non-recurring items. This included a non-cash impairment charge of $41.7 million.

Ainsworth ended the 2021 financial year with a cash balance of $42.7 million.

What's the outlook for Ainsworth in FY22?

Looking ahead, Ainsworth advised that it has laid the foundations for a solid FY22 year. The company has strengthened its balance sheet to develop superior games and hardware and maintain its distribution network.

Furthermore, online revenue is forecasted to surge following the execution of the United States exclusivity agreement deal with GAN Ltd.

While positive, no revenue or profit guidance was given by the company.

Ainsworth share price snapshot

The Ainsworth share price has accelerated more than 150% over the past 12 months, with year-to-date gains above 110%.

Based on today's prices, Ainsworth has a market capitalisation of around $343.5 million, with 336 million shares on issue.

Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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