Company: LAWIL
Filing Date: 2025-02-25
Form Type: 10-K
Source: 0000750004-25-000016
Chunk: 86

Company: Light & Wonder, Inc.
Filing Date: 2025-02-25
Form: 10-K
Item: Item 7
Chunk 86
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$180 $156 Adjustments to reconcile net income to net cash provided by operating activities372 492 (120)Changes in working capital accounts, excluding the effects of acquisitions(76)(82)6 Net cash provided by operating activities$632 $590 $42 

Net cash provided by operating activities increased in 2024, primarily due to a $36 million increase in earnings and, to a lesser extent, favorable changes in working capital. The changes in our working capital accounts for the year ended December 31, 2024 were primarily driven by the following: 

•$148 million of increase in receivables due to revenue growth, timing of collections including the roll out of certain financed units for international customers, as well as timing of collections from SciPlay platform providers;

•$59 million favorable change in accounts payable and accrued liabilities primarily as a result of the timing of expenditures; 

•$25 million favorable change in income taxes payable, net, due to an increase in income tax expense and the timing of income tax payments; and

•$14 million unfavorable change in other assets and liabilities primarily related to increases in various prepaid expenses and timing of contract assets and liabilities.

Cash flows from investing activities

Net cash used in investing activities increased primarily due to higher Gaming business capital expenditures in the current year in order to support Gaming operations growth. Capital expenditures are composed of investments in systems, equipment and other assets related to contracts, property and equipment, intangible assets and software.

Cash flows from financing activities

Net cash used in financing activities decreased, as in the prior year we paid $519 million for SciPlay Class A common stock, including that which was required to complete the SciPlay Merger, partially offset by increased purchases of L&W common stock under our share repurchase programs and net redemptions of common stock under stock-based compensation plans during the current year. During the years ended December 31, 2024 and 2023, we purchased $462 million and $171 million, respectively, of our common stock.

Credit Agreement and Other Debt

For additional information regarding the LNWI Credit Agreement and other debt, interest rate risk and interest rate hedging instruments, see Notes 14 and 15 as well as Part II, Item 7A “Quantitative and Qualitative Disclosures About Market Risk.”

Off-Balance Sheet Arrangements

As of December 31, 2024, we did not have any significant off-balance sheet arrangements.