インスパイアード・エンターテインメント（INSE）2026年第3四半期決算説明会：利益率は46%に到達、ガイダンスを引き下げ

主要ポイント

• 2026年第3四半期のEBITDAマージンは46%に達し、前年同期比で900ベーシスポイント（bp）上昇、2025年第2四半期の35%からは1,100bp拡大した。
• 事業売却、事業再編、英国のリモートゲーミング税引き上げ、ブラジル市場の閉鎖の影響を調整したベースで、過去12カ月（TTM）EBITDAは9カ月間で12%増加し、年率換算では約15%の伸びとなった。
• 年初来のフリーキャッシュフローは1,760万ドルで、EBITDAに対するキャッシュ転換率は約22%となった。
• インタラクティブ部門のEBITDAは、英国の税負担影響前で20%増加した。第3四半期の米国における総ゲーミング収益（GGR）は前年同期比で30%超増加し、イタリアの年初来の成長率は50%を超えた。
• 経営陣はブラジル市場の影響を受け、通期ガイダンスの下限を1億900万ドルに引き下げた。同市場については、閉鎖が継続するという保守的な前提を置いている。
• 優先担保付き純レバレッジ比率は第3四半期末時点で約2.8倍となり、財務制限条項（コベナンツ）基準の5.0倍を下回った。コベナンツ上のEBITDAバッファーは4,600万ドル超を確保している。

主要財務データ

事業・営業実績

2026年4月1日に英国のリモートゲーミング税が2倍に引き上げられたにもかかわらず、インタラクティブ部門は引き続き主力の成長ドライバーとなった。10月は同部門として過去最高の単月実績を記録した。第3四半期の米国における総ゲーミング収益（GGR）は前年同期比で30%超増加し、同社の他の主要市場をアウトパフォームした。また、イタリアは年初来の成長率が50%を超え、最も高成長な市場となった。

Inspired Entertainmentによると、英国インタラクティブ市場でのシェアは11%を超えている。同社は、特注タイトルや既存の人気ゲームシリーズの派生作品、ポートフォリオが手薄なプレイヤー層向け製品の投入によって事業拡大を図る方針だ。Bee Reelの第1弾ゲームは規制当局の審査段階にあり、本格稼働後は月におよそ1本のペースで追加タイトルを制作できると経営陣は見込んでいる。

英国の大手ベッティングショップ顧客上位3社では、不採算店舗の閉鎖が進み、残存店舗へと需要がシフトしたことでゲーミング機器の実績が改善した。ギリシャでは、「Slant」キャビネットの導入により機器の稼働実績がここ数年で最高水準に達した。ただし、ギリシャ国内の設置機器の3分の1近くで依然としてキャビネットのアップグレードが必要とされている。

北米における機器実績はイリノイ州とカナダで改善した。Inspiredは最近、カナダで3番目の州となるマニトバ州で試験導入を開始したほか、シカゴへのVLT（ビデオ・ロト・ターミナル）展開に関連する初受注を獲得した。

バーチャルスポーツはFanDuelでサービスを開始したほか、マサチューセッツ州を通じて米国で4番目となる宝くじ市場へ参入した。現在BetMGMで提供されている3競技に対し、FanDuelでは5競技でローンチされた。同社は2027年に追加のeInstant iLotteryのリリースを計画しており、Gaming Artsを通じて米国のクラスIII（カジノ機器）市場への進出も進めている。

同社は英国への依存度低減を引き続き進めている。北米とギリシャでの成長に支えられ、売上高全体に占める英国以外の割合は2023年以降で倍増した。

経営陣の業績ガイダンス

経営陣はブラジル市場の閉鎖を理由に、通期ガイダンスの下限を1億900万ドルに引き下げた。計画上の前提としてブラジルの閉鎖継続を織り込んでいるものの、2026年末または2027年第1四半期までには規制環境の透明性が高まると予想している。

この前提に基づき、経営陣はブラジル市場からの寄与の喪失分をまず補填する必要があることから、2027年の業績は2026年比で小幅な増加にとどまると見込んでいる。同社はこれについて、成長目標が約1年後ろ倒しになり、従来の2027年の成長軌道が2028年に先送りされる形になると説明した。

英国のマシンゲーミング税は2027年4月に20%から25%に引き上げられる。経営陣は同月以降で200万〜300万ドルの影響を試算しているが、ゲーム開発やその他の対策により、時間の経過とともにこの圧力を緩和できると予想している。

従来の2026年フリーキャッシュフロー転換率目標（20%）はブラジルの影響で小幅に引き下げられる見通しだが、経営陣から修正後の具体的な数値は示されなかった。同社はフリーキャッシュフローの増加傾向とレバレッジの低下が続くと見込んでいる。

リスクおよび注視事項

• ブラジルのオンラインゲーミング市場は閉鎖された状態が続いており、再開の時期は不透明である。影響は主にバーチャルスポーツに集中しており、同社のブラジル向けiGaming事業の規模は比較的小さかった。
• ブラジル市場がスポーツ関連に限定して再開された場合はバーチャルスポーツの追い風となり得るが、規制の行方は依然として不透明であると経営陣は強調した。
• 英国での増税は目先の逆風であり続けている。リモートゲーミング税はすでに倍増しており、マシンゲーミング税の引き上げも2027年4月に控えている。
• 成長の行方は米国における今後のiGaming合法化にも一部依存している。経営陣はこれを大きな事業機会と位置づけつつも、具体的なタイムラインは示さなかった。
• 同社は、期限前弁済ペナルティが失効する2027年6月以降に、プライベートクレジット・ファシリティの借り換えを検討する方針だ。また経営陣は、2027年上半期中に初回の金利引き下げ（ステップダウン）が適用されると見込んでいる。

アナリスト質疑応答（Q&A）の要点

経営陣は英国のマシンゲーミング税引き上げの影響について、十分に対応可能な水準と位置づけた。当初予想される200万〜300万ドルの影響は、ゲーム実績の強化やその他の緩和策によって次第に縮小していくと見込んでいる。

決算説明会の時点では、FanDuelでのバーチャルスポーツのローンチは初期の技術的段階にとどまっていた。経営陣は1〜2週間以内にスポーツブック内への完全移行が行われると予想し、ユーザーの関与度を評価するには4〜6週間の稼働データが必要になると説明した。

Bee Reelはコンテンツ開発能力を拡大し、北米をはじめとする市場で需要を満たし切れていなかったプレイヤー層を開拓する方針だ。第1弾タイトルは規制審査中であり、第2弾も完成間近となっている。経営陣はまた、DraftKings、FanDuel、BetMGM、Hard Rock、Fanaticsとの独占コンテンツ供給関係を強調した。

資本配分について、ローン・ワイル執行会長は短期および中期的な優先事項は自社株買いであると述べた。また経営陣は、レバレッジが低下するにつれて、負債の返済や借り換え、厳選した買収機会の検討も引き続き進める方針だ。

決算説明会 全文書き起こし

決算説明会の完全なトランスクリプト

経営陣による説明

Operator

Hello, and welcome to the Inspired Entertainment Third Quarter 2026 Conference Call. [Operator Instructions] Please note that today's event is being recorded.

Before we begin, please refer to the company's forward-looking statements that appear in the third quarter 2026 earnings press release and in the accompanying slide presentation, both of which are available in the Investors section of the company's website at www.inseinc.com. These also apply to today's conference call. Management will be making forward-looking statements within the meaning of United States securities laws.

These statements are based on management's current expectations and beliefs and are subject to various risks, uncertainties and other factors that may cause actual results to differ materially from those expressed or implied in such statements. For a discussion on these risks and uncertainties, please refer to the company's filings with the Securities and Exchange Commission.

During today's call, the company will discuss both GAAP and non-GAAP financial measures. Reconciliation of these non-GAAP measures to the most directly comparable GAAP measures can be found in today's earnings release and slide presentation, which are both available on the website.

With that, I would now like to turn the call over to Lorne Weil, the company's Executive Chairman. Mr. Weil, please go ahead.

A. Weil

Thank you, operator. Good afternoon, everyone, and thank you for joining our third quarter conference call. Per usual, CEO, Brooks Pierce and I will be making prepared remarks; and CFO, Craig Wilson; and VP of Corporate Development, Eric Carrera, are available to assist with Q&A. As anyone who even casually follows us, either -- or the broader gaming industry, knows, the news has been pretty well saturated with stories concerning regulatory changes in the U.K. and Brazil. In the U.K., the machine gaming duty was increased from 20% to 25% effective next April, following the doubling of the remote gaming duty effective last April. And for now at least, the online gaming industry in Brazil is shuttered and in limbo, which, by the way, was the primary reason our EBITDA in the quarter was a little below consensus.

Fortunately, in parallel, our platform has been strengthening in pretty much every dimension. EBITDA margins continue to improve, having reached 46% in the third quarter, while both capital intensity and leverage are declining with the growth of our digital business and overall growth momentum is building. At the same time, there have been so many moving parts, both internal to the company and within the regulatory environment, that is difficult to appreciate the growth momentum.

As you can see in Slide 5, trailing 12-month EBITDA at the end of the third quarter of 2026 was essentially flat to trailing 12 months at the end of full year 2025. However, in the interim, we divested the holiday park business and restructured the pub business, which together reduced our labor force by 1/3, and we absorbed a doubling of the U.K. remote gaming duty as well as a short but meaningful period of Brazil shutdown, as I referenced a moment ago. Adjusting for these developments, as shown on the slide, yields a like-for-like EBITDA growth in trailing 12-month EBITDA of 12% over the 9-month period or about 15% annualized, which we feel is indicative of the growth momentum that's building in the company.

In a few minutes, Brooks will go more deeply into the principal growth drivers, including interactive market share gains, new markets and customers for Virtuals and the resilience of our retail business. Comparing the third quarter of '26 to the third quarter of '25, we saw a 900 basis point increase in EBITDA margin despite the tax increases. And adjusting for the U.K. tax impact, like-for-like revenue increase of 9% and EBITDA grew at about twice that pace, more or less comparable to the 12-month figures we looked at a moment ago. Year-to-date free cash flow was $17.6 million, representing free cash flow conversion of about 22% of EBITDA.

Lastly, because of the Brazil shutdown, we're reducing the low end of our full year guidance to $109 million. Before I hand it over to Brooks, I think it's worth taking another look at the evolution of our EBITDA margins. Over the last 6 quarters, we've increased EBITDA margin by 1,100 basis points from 35% in the second quarter of 2025 to 46% in the third quarter of 2026. As noted in the slide, we achieved this increase through a combination of divestment and restructuring of our lowest margin businesses together with above-average growth in our highest margin digital business.

And with that, I'll hand it over to Brooks to talk in more detail about the performance of the business.

Brooks Pierce

Okay. Thanks, Lorne. As usual, I'll take a slightly deeper dive into the key drivers and metrics in each reporting segment. I agree with Lorne that there are many moving parts, particularly on the regulatory front. We have clarity now on the machine gaming duty starting in April of 2027, but Brazil and the timing of any changes is still yet to be determined. Nevertheless, we're encouraged by the progress that we're seeing across the business. So this slide illustrates the performance of our gaming machines in our 3 biggest markets, the U.K., Greece and North America.

In the U.K., shop closures have generally been concentrated among less profitable locations. So what you're seeing is per machine performance has improved across our 3 biggest betting shop customers. The remaining shops are also improving partly because play has been redistributed. We're particularly proud of our machines and our content in Greece, where we've widened our lead over existing competitors. Our newest Slant cabinet is performing so well that it's driving our overall numbers to their highest level in years. Almost 1/3 of our estate still needs upgrading to the latest cabinets, so we expect this trend to continue.

We're also encouraged by the improved performance in Illinois and with our Canadian customers, and we've recently installed cabinets on trial in Manitoba, which is our third province now. And we're confident our content will resonate with players there as it has in both Saskatchewan and Alberta.

Moving over to Slide 9. Our Interactive segment continues to perform well, even though the U.K. remote gaming duty doubled on April 1 of this year. As this slide shows, segment EBITDA grew 20% before the impact of the U.K. tax increase. Monthly results in the third quarter were slightly mixed. August was affected somewhat by the World Cup in prior months, but we are encouraged by the bounce back we saw in September and October was the best month we've ever had on record, even eclipsing any individual month in the first quarter, which was before the U.K. tax increase. We saw growth in key markets like North America, the U.K. and Greece. The largest contributor to overall growth was the U.S., where our GGR grew over 30% year-over-year in the third quarter, significantly outpacing broader U.S. iGaming market growth.

And Italy was our fastest-growing market with growth exceeding 50% year-to-date. We think this demonstrates the strength of our content and our ability to gain market share across major markets. We're also excited that the first game from our newest studio, Bee Reel, is already out now for regulatory approval.

Moving to Slide 10. As we've mentioned previously, there's nothing that would drive this segment more than additional U.S. states approving iGaming. In the meantime, we continue to gain share in all of our key markets. Outside the U.K., where our share is currently more than 11%, we're confident that we can grow our share from a combination of more bespoke games, more derivatives of our successful game theme families and a focus on player segments where we either don't participate or are under-indexed.

On Slide 11, we stress, look, at our core, we're a content company, and that's how we will differentiate ourselves across all 3 segments. We develop games for online players or retail players and for the crossover between the 2 as well as independently for each segment. This gives us what I consider the most swings at the plate. We've also made our mark with seasonal games. October's results show the power of Halloween-themed games, and we now move into the Thanksgiving-themed and Christmas-themed, and this is historically our highest GGR quarter of the year.

Variety matters, too. We showed some products at G2E in the Virtual space. Our first archived soccer product, Real Play Football goes live this year and a Golden Horses derivative of our successful virtual horse racing product should add appeal to a product that has been in the market for years.

Moving to Slide 12. One of our goals has always been to become a more global company and to rely less on the U.K. market. And as the chart shows, we've doubled the percentage of our non-U.K. revenue since 2023, and we expect this trend to continue as key growth markets like North America and Greece become bigger contributors. The pipeline of opportunities outside the U.K. continues to grow on a daily basis.

So speaking of growth, we see many opportunities to grow the business despite the U.K. higher taxes and the uncertainty in Brazil. Our digital business remains a key driver with the highest margins, the biggest cash flow contribution and the most opportunity. We still believe it's a matter of when, not if additional states will be added for iGaming and nothing would be more meaningful for us and for some of the larger states to approve and deploy. We also see a number of opportunities for our Virtual Sports business in the U.S. We're excited that we've gone live now in our fourth U.S. lottery market in Massachusetts with our horse racing product. And we launched our Virtuals product with FanDuel. FanDuel is the largest sports operator in the U.S., which obviously gives us the sense that this is the best chance for success for this product.

Moving to some kind of new products. We expect to launch additional eInstant games in the iLottery space in 2027, a key opportunity for us to leverage our content development skills in another channel. We expect clarity in Illinois on the expansion of VLTs in the Chicago market. And I'm happy to say that we took actually our first order today, as a matter of fact, for an expansion into Chicago. So we're starting to see that opportunity manifest itself, certainly some in this quarter, but probably more so in 2027.

The last thing is we're excited to move our content into the U.S. Class III market through a unique relationship with Gaming Arts, and we showed that product at G2E for many of you that were out there. We're also fielding a number of inquiries in the lottery systems market following the successful launch of our cloud-based system built from scratch in the Dominican Republic. We have plenty of opportunities to fill the gap created by the U.K. tax increase. Between the U.K. tax and potential Brazil headwinds, we basically pushed our targets out by a year.

Even so, we continue to improve our EBITDA margins and cash flow, reduce our leverage ratio and build a large pipeline of opportunities across our segments and markets. Most of our business, as you would know, is recurring revenue under long-term contracts, and we're making progress on our strategy to increase the share of revenue and EBITDA from our existing segments.

With that, I'll hand it back over to Lorne.

A. Weil

Thanks, Brooks, for a great deep dive into each of the businesses. Slide 15 summarizes the 3-year period 2025 to 2027. This is a slide that we've been looking at now for the last several quarters. And in this case, it's assuming that the shutdown in Brazil stays in effect. Brazil in and of itself has not been a growth market in the last couple of years. So we don't expect that the shutdown of Brazil will compromise the organic growth profile of the company, per se. But what it does do is shifts the growth curve 1 year to the right in effect. So we expect 2027 will be up only modestly from 2026 because, again, we're assuming that Brazil will stay shut down, and we need to first make that up before we can generate any growth.

And then '28 will look like '27 and had otherwise been projected to be and so forth. Notwithstanding the shift in the growth trajectory, free cash flow is projected to continue increasing along with the decline in leverage. With regards to free cash flow conversion, our previous target of 20% for 2026 will be lowered a little bit because of the impact of Brazil. Finally, let me make a comment about debt and covenant issues in response to some questions that we've been getting.

At the end of the third quarter, our senior secured net leverage was about 2.8x, well below the covenant leverage of 5, giving us over $46 million of covenant EBITDA headroom. As further noted on the slide, we can repay our private credit facility that matures in June 2030 without any prepayment penalty anytime from June 2027. Since our EBITDA, leverage ratio, and cash flow have all improved meaningfully since we put this facility in place in 2025, the possibility of refinancing prior to maturity is something we will be looking at very carefully. I should also mention with respect to this facility that we expect sometime during the first half of 2027 that we will be achieving the first step down in our rate on this facility.

And with that, operator, can we please turn the program over to Q&A.

Operator

[Operator Instructions]

Your first question comes from the line of Matthew Maus with B. Riley Securities.

質疑応答

Matthew Maus

So Weil, Wilson, and Pierce, the strongest quarter, gross win per unit per day were both up double digits percentage-wise. So as U.K. operators absorb the higher machine duty, wondering how our revenue share conversation is going? And does that performance help?

Brooks Pierce

In terms of our revenue share, is it -- you mean the our contract rates, is that what you mean by the question?

Matthew Maus

Just in relation to -- yes, more in relation to how U.K. operators as they're absorbing the higher machine duty, how that changes things.

Brooks Pierce

Yes. Look, I think it's common knowledge. You've probably read plenty of press that nobody was happy about the fact that the tax increased at all. There was obviously a lot of conversation about why that shouldn't be the case. But I could say on the other -- the flip side of that, there had been some discussion that it could increase as much as 20%, and it actually only increased 5%. So I think it's -- I don't think anybody is happy about it from an operator perspective nor are we. But we do feel that it's manageable, and we have plans to be able to hopefully mitigate as much of this as possible.

Matthew Maus

Yes. So kind of as a follow-up to that, machine games duty going up. Just wondering like how much do you think you can reasonably offset and what are the main levers there? I think back a few months ago, you said you could reasonably offset the increase in the duty. Just wondering what the levers there are and how much you think you can.

Brooks Pierce

Yes. So I think now that we know what the percentage is, based on our estimates, we believe that it's going to be an impact to us of between $2 million and $3 million starting in April, so not a full year next year. But we also believe, and we've had history of the changes in tax rates in the U.K. that over the course of time between game development and other things, we'll find a way to mitigate it. So we look at this as a short-term headwind starting in 2027, but we're obviously think that we'll be able to mitigate that over the course of time.

Matthew Maus

Great. Last one for me. It's great seeing FanDuel's Virtual Sports offerings live. Just wondering if you could give more color there. How many states does it cover? How does early engagement compare with BetMGM's integrated sportsbook?

Brooks Pierce

Yes. Unfortunately, it's too early in the process. They just went live within the last week or 2, and it's really more in a proof mode, making sure the tech is all working. It will migrate over to the sportsbook probably here in the next week or 2. And then I think we probably need 4 or 6 weeks for it to bed down to have some sense. But we've seen nice progress with BetMGM, and we would expect because FanDuel is substantially bigger from a sports betting standpoint. And so we would hope that this will be a catalyst to get some good growth out of the Virtual Sports business. And FanDuel is going to launch with more sports. BetMGM right now only has 3. FanDuel is launching with 5. So we're obviously -- it's taken a long time to get us there, but we're certainly hopeful and encouraged that we finally got it done.

Matthew Maus

Yes, great to see that. Hoping to see it as a catalyst for 2027.

Operator

Your next question comes from the line of Ryan Sigdahl with Craig-Hallum Capital Group.

Will Yager

This is Will on for Ryan. First, I wanted to ask on maybe guidance in Brazil. I know you guys called out a $3 million revenue impact there after the ban went into effect. And I know the flow-through on EBITDA was a little bit higher there. So curious the revisions there, maybe if there's anything else included and which segment specifically that's impacting?

Brooks Pierce

No. I think, look, as we've talked about, Lorne and I talked about, it's a very fluid situation. I think we're taking the most conservative posture here, assuming that the ban doesn't get lifted, but I think we have lots of reasons to think that, that might not be the case. But in terms of the impact to us, it's predominantly our Virtual Sports business. Our iGaming business in Brazil was relatively small. And I think we talked a little bit about what the impact was both on the revenue side and kind of the EBITDA flow-through on the last call, and nothing has really changed from that.

Will Yager

And maybe a quick follow-up there. 2027 guidance revised too, we'd assume primarily for Brazil. Just curious maybe if there's a chance the market comes back online maybe for sports betting like we've heard about what uplift that might provide? And then maybe as another follow-up to that, if it is -- we're a few months from now, and it seems that the ban is going to stick. Do you have any cost-saving measures or anything you can undergo there?

Brooks Pierce

Yes. Look, we're obviously hopeful. And certainly, we have people on the ground there every day kind of working on this. And so we're hopeful that it will return. I would say in terms of the impact, certainly, if the ban stays, yes, we do have ways to be able to mitigate some costs that we will do. So the -- what we've kind of guided to $1 million a month will obviously be mitigated if the ban doesn't get lifted. So -- and in terms of -- there's obviously been conversation that it may be sports only and online casino would still stay banned, but they allow sports. I mean you could certainly make an argument that could potentially help us in terms of Virtual Sports.

So unfortunately, for us, as you can imagine, with this not being clear, we're just kind of forecasting what we can forecast. And -- but I think it will come to a head. I think there'll be a decision, if not before the end of the year, certainly in the first quarter. It's my view, at least.

Operator

Your last question comes from the line of Chad Beynon with Macquarie Capital.

Chad Beynon

Brooks, I wanted to ask about the Bee Reel studio. You've had a lot of nice success gaining market share. In the U.S., a lot of operators are talking about some decelerating growth, but because you're taking share, I don't think a little of the overall TAM shrinking near term really matters for you guys. So as you continue to take share, how is this studio a part of that thesis? And are you being asked to do more exclusive games? Or anything around the number of titles or timing of releases would be helpful.

Brooks Pierce

Yes. That's a good question. Yes, we certainly have, as part of the plan for the studio to develop games for the North American market. But as I also said in my remarks, we're also looking at some of the areas from a -- kind of really from a player behavior aspect where we either don't serve them or are under-indexed, and that could be in the U.S. or that could be in other markets. So what it really does is gives us -- we're assuming when it gets fully up to speed, this is going to be able to put an output of another game per month, which will increase our capacity pretty nicely. So whether it ends up being more U.S., I think that's still kind of to be determined. First game is out at GLI. The second game is pretty much done. So we'll hope to hit the ground running with the studio.

And yes, in terms of your -- the second part or third part of your question about exclusive, yes, I mean, look, we're -- we have a very good relationship with -- here's a perfect example. Rush Street just told us in October, we were their second biggest supplier, which is obviously great and gratifying for us. So we try to navigate exclusives across all the biggest operators in the best and fairest way possible. But as you know, Chad, I mean, there's tons of content out there, and it's really kind of gauged by how yours does relative to the competition. So we certainly -- we have a lot of exclusives with DraftKings, FanDuel, BetMGM, Hard Rock, Fanatics, you kind of name it. So it's kind of the confluence of all of that stuff.

Chad Beynon

Great. And then with more certainty around some of these unknowns that we've talked about here this afternoon, how does that adjust your thinking in terms of capital allocation, share repurchases or maybe expanding into M&A with leverage coming down under 3x?

A. Weil

I was wondering when you were going to ask that, Chad. I thought you were about wrapped up with the other question. But thank you for asking it.

Chad Beynon

You know your analysts wait too well.

A. Weil

Well, particularly the ones we've known as long as we've known you, Chad. But had you not asked it, I was going to volunteer it anyway as a closing remark. So in our minds, in theory, we're always thinking about share repurchase debt repayment. We mentioned that we're going to be getting a step down anyway in our rate sometime in the first half and acquisitions, which, again, given our leverage right now and general valuations, we're looking at a couple of things quite carefully. But I think it goes without saying that given where our shares are trading now for at least the immediate and intermediate future are overwhelming, emphasis is going to be on share repurchase.

I think we're probably barely -- given where the EBITDA is going to be in 2026 and the minimum it will be in 2027 if we don't get some turnaround in Brazil, I don't -- we're barely trading at 4x EBITDA compared to like 7 as an average for suppliers in the gaming industry. So we're going to be buying it as aggressively as we ever have, and we'll just see where we get as we move through the fourth quarter.

Operator

There are no further questions at this time. I will now turn the call back to Lorne Weil, Executive Chairman, for closing remarks.

A. Weil

Thank you, operator, and thanks, everyone, for participating at this fairly late time in the afternoon. I think we're pretty happy with the third quarter, taking all of the group of objectives that we're trying to achieve simultaneously, profitability, cash flow, leverage, growth and so forth. We're excited about the rest of the year and next year, and we look forward to speaking to you all in a quarter or so. Thank you.

Operator

This concludes today's call. Thank you for attending. You may now disconnect.