Ainsworth (AGT) confirmed the incident in a [statement issued today (27 November)](https://company-announcements.afr.com/asx/agi/f1cc9826-ac40-11ef-ad69-da3a4f25958f.pdf). AGT stated that the cybersecurity issue is currently under assessment following disruptions to internal business systems and operations.
Although the company did not provide specific details or a date for the incident, it mentioned that precautionary measures have been implemented to mitigate its impact. AGT does not expect the incident to have a material adverse effect on the forecasted results for the second half of its 2024 financial year.
## Ainsworth on Track for Growth in H2
In the same statement, AGT outlined preliminary management forecasts for H2. For the six-month period, it anticipates a pre-tax profit ranging between AU$8 million (£4 million/€5 million/US$5 million) and AU$10 million.
This reflects the positive momentum achieved across the business. AGT also noted that revenue is likely to increase by 12% from the $121 million reported in the [first half](https://www.agtslots.com/assets/investor/asx%20announcements/2024/ASX-Release—-H1CY24-Financial-Results.pdf).
Providing some details of its H2 performance, AGT stated that all geographical regions experienced growth. However, the digital segment initially saw a decline due to reduced contributions from GAN. AGT ended its agreement with GAN for the exclusive licensing rights to distribute its online slots in the United States on 31 March.
AGT also noted that H2 gross margins are expected to be lower than in H1, which will likely result in reduced profitability. The full-year margin is estimated at 62%, compared to 67% in the first half.
Additionally, AGT said that the cost control initiatives previously implemented ensured overheads were maintained at similar levels to H1, despite expecting to report higher revenue for the period.
## CEO Expects Growth to Continue into 2025
Commenting on the preliminary results, CEO Harald Neumann expressed that he is “encouraged” by the anticipated rise in revenue. He added that similar growth is likely to be observed in the ensuing periods.
“The development initiatives previously undertaken are showing progressive improvements in game performance within our markets. Additional game releases and hardware initiatives are expected to sustain the growth experienced in coming periods,” said Neumann.