Fitch Ratings has upgraded the Long-Term Issuer Default Ratings (IDRs) of Australian gaming giant Aristocrat Leisure Limited and its subsidiaries Aristocrat Technologies Australia Pty Limited and Aristocrat Technologies, Inc from “BBB-” to “BBB” with a stable outlook, citing the recent paydown of a term loan, sustained low EBITDA leverage and robust cash flow generation.
The agency also noted that while Aristocrat maintains its “big three” status in the key North American gaming market, there are opportunities ahead to drive increased market share in its digital segments.
In upgrading the company’s IDRs, Fitch said Aristocrat’s North American status is resilient because it is supported by long-term contracts and high margins, as well as outright sales, which can be lumpy.
