Today, and welcome everyone to the Cirsa third quarter 2025 financial results presentation hosted by Joaquim Agut, Executive Chairman, Antonio Hostench, Chief Executive Officer, and Antonio Grau, Chief Financial Officer. My name is Ruy Pinto, and I am your Event Manager. During the presentation, your lines will remain on listen only, but if you require assistance at any time, please press star and the number zero on your telephone, and an operator will be happy to assist you. Please note that in the Q&A session, you can ask questions by phone or in writing via the webcast, and answers will always be given orally, with the order of preference being those given verbally. I would like to advise all parties that this conference is being recorded, and now I would like to hand over to Antonio. Please go ahead.
Thank you all very much. Good morning to everyone, and welcome to our Q3 2025 results presentation. Thank you for attending our call. In today's agenda, we'll be sharing the most relevant highlights at Cirsa. We'll give you a business overview, financial position, and we will close with a company outlook. Starting with the chart on page number three, the first point I would like to highlight is our recurrent delivery of consistent and profitable growth quarter on quarter and year on year. Q3 2025 net revenues and EBITDA grew more than 5% at constant perimeter. In Q3 2025, our growth rates have to be considered as being fully organic. Q3 2025 is our 69th consecutive quarter of EBITDA growth, of course excluding COVID time, and delivering consistently all our financial commitments.
After having completed in July our IPO and strengthening our capital structure for future growth, leverage was reduced from 3.2 times to 2.6. Our leveraging and refinancing plans for 2025 have been successfully executed, as you will see later when Tony will pitch you. Our M&A execution plans are on track to achieve the expected M&A growth for 2026. We recently, now in November, closed the acquisition of a 50% stake in Le Grand Casino De La Mamounia in Marrakech, Morocco, and we have additional bolt-on acquisitions in casinos and slots that are expected to be closing in the next coming weeks.
The pipeline of M&A for 2026 is pretty strong. Regarding gaming sector news, especially in the predictive market segments, our highly regulated geographies are representing a key safe wall in front of this possibility. Now, going to the next chart on page number four, you will see that Cirsa continues delivering very strong numbers. Q3 2025 had strong revenues and EBITDA organic growth, with online revenues growing +8.1% and EBITDA growing +13.8% despite September customer-friendly support scores. Our retail business units increased revenues significantly, +6% in revenues, +7.6% in EBITDA, where Q3 2025 results are not considering any material M&A impact.
Those growth rates are fully organic. Our year-to-date results are outpacing our full-year guidance, with net revenues increasing 9.7% to EUR 1,716 million, and EBITDA year-to-date 2025, growing +8% to EUR 548 million or EUR 555 million before the EUR 6.1 million of IPO expenses related. Through our business operations and financial discipline, we managed to deliver significant cash flow generation. In Q3 2025, we generated EUR 122 million before M&A transactions. In year-to-date 2025, our free operating cash flow reached the level of EUR 329 million, representing an improvement of 42.2% year on year. Jumping now to the chart on page number five, this is a chart about our guidance to 2025.
We are improving our 2025 original guidance, the one that we gave you during our IPO roadshow, and this is based on our current business performance and evolution. To do that, our diversification, accretive CapEx, as well as M&A synergies delivery execution, are key, and you have seen it historically happening. The guidance for 2025 upgrade is as follows. In net revenues, we are expected to end the year in the range between EUR 2,325 and EUR 2,335 million. This would be an improvement between 8% and 9% compared to 2024. In EBITDA, net of the IPO expenses of EUR 6.1 million, we will end within the range of EUR 750-EUR 753 million EBITDA. This is an improvement of +7% to +8% compared to 2024. Now I am going to hand over to Antonio Hostench, who is going to give us a business unit by business unit overview.
Okay, thank you, Joaquim. I'm going to start with an overview by business unit. On page number seven, you can see that all four of our business units have delivered growth in Q3, which shows the growth potential and the resilience of our diversified portfolio in both channels. As you can see here, in the online segment, we were able to grow our revenues by 8% and EBITDA by 14%. If you add up the three retail businesses, casinos and slots in Spain and Italy, the growth has been 6% in revenues and 7.6% in EBITDA, which shows that our bet to combine both channels is very, very robust. Starting with our biggest business unit, casinos,
We had a sustained organic growth across the different regions, and despite the negative effects impact of EUR 1.7 million in the period, we were able to grow plus 2% EBITDA over the period, reaching EUR 108 million of EBITDA. In the online gaming and betting segment, we had a strong evolution in turnover and customer acquisition in all our markets, and this offset the impact of the customer-friendly results that all the industry had during September, which was very similar to what happened, if you remember, in October 2023. In this business unit, I have to say that we keep on track to deliver our commitment of EUR 500 million in revenues and EUR 100 million in EBITDA. Now, jumping to the slot business, in both markets, our performance was very good, especially, I would say, in the slot operations in Spain.
We keep with an excellent growth pattern, which has taken us this quarter to a 6% growth in revenues and a 20% in EBITDA. With regards to our retail business in Italy, the market remains flattish, and here, with the integration of a small bolt-on acquisition we did during the year, plus the focus of our team in efficiency plans, we have been able to deliver this 14% growth in EBITDA terms. Now, let's move to page eight into the casino segment, which is performing in line with our historical growth trend, although during not only Q3, but also Q1 and Q2, we had no M&A contribution for the period.
If you exclude the FX impact we had in disputed revenues, which was of EUR 4.3 million, the growth in revenues was of 5.7% in local terms, with a special good performance in Colombia, Dominican Republic, Spain, and Morocco. I also want to remark, because I mentioned this in previous calls, that in Panama, we are in a positive trajectory. Remember that we had elections 18 months ago, and we knew that after the elections, there was a recovery period, and today we are already having positive revenue trend in Panama also, which is a significant piece of our business in Latin America.
In terms of EBITDA, excluding the FX impact, which was of EUR 1.7 million negative during this period, the organic growth in, let's say, at custom FX rates would be of 4.2%. That translated in euros at 2.2%. In terms of M&A, we finally could announce the acquisition in November of the Le Grand Casino De La Mamounia, after a long period working on this transaction, and this is consolidating our leadership position in Morocco. Today, we own four out of the seven casinos in the country. The one in Marrakech that we bought is the second biggest in the country. The first thing we're going to do here for 2026, we have already in plan a gold mine project, which will be an extension of around 400 sq m in that casino, which is performing really well.
For the coming months, we have a good pipeline for additional bolt-on acquisitions. In terms of business as usual activities, I want to remark our gold mine projects that we have explained many times. For 2015, we executed 14 of these projects, and for 2026, we already have 16 already determined projects. Four in Mexico, five in Panama, three in Colombia, one in Dominican Republic, one in Costa Rica, and one in Spain. Many of them have already started in project period, already some of them in constructions. We are running as much as possible to enjoy those projects the longest period during 2026. Now I'll move to next page, our online gaming and betting business.
First of all, I want to repeat again that we are in track to deliver the commitment we gave during our roads how. In this business, we want to reach revenues of EUR 500 billion and EBITDA of EUR 100 million, which we think is already a sizable business. Now, looking at the numbers for Q3, we had a very good performance in terms of volumes. Let's say in turnover terms in electron-like perimeter, we grew plus 16% in turnover terms, which is also aligned with the growth that we are seeing in unique players in our operations. This 16%, due to the low margins we had during September that affected across the industry, this translated in GGR terms a growth of 8% and a 14% in terms of EBITDA.
I want to remark that this organic growth we have during this Q3, but also Q4 and the first quarters for this year, we have a special focus in increasing and improving our offer in casino and slots offer. We're increasing the number of light games and slots in all our markets. We're getting exclusive deals in some regions like the one we got with Spribe, the supplier of the Aviator game, very well known in the online arena. We have also agreements with DTG, Push Gaming, and so forth, and this will be deployed during this Q and the coming ones.
With some of them, we are having special agreements to give us customized product that nobody else is going to have in the market. Lastly, I want to repeat again that we're on track to deliver our EUR 500 million in terms of revenue and EUR 100 million EBITDA for the year. Lastly, but not less important, the slot operations within Spain. Here, as you can see, we are delivering outstanding performance. We got a 6% growth in revenues, which, due to the fact that we have a fixed tax rate per slot here, has translated to a 20% growth in EBITDA terms. Our organic growth in business is driven by two main reasons. First of all, the focus of our commercial team in retaining and acquiring new high-quality points of sales, the ones which are driving more productivity.
The second thing is the continuous push we are having in replacement of our slots in the bar channel with the best-performing slots. In this case, since last September, we are already testing a new Manhattan model, this time called Manhattan Magic. This model will be presented in the following, in the next conference that will be taking place in Barcelona next January. Once this is presented to the market and starts being deployed to third parties, we will have an exclusivity period, or this testing period as we call it, for at least four to five months in advance that the market, where the market will also have available this model.
All this together with our efficiency initiative through our logistics value chain gives us the capacity to be with margins above 45%, which we already think is an excellent margin. As you can see, we're able even to expand that above 50% in the last quarters. Now I'll hand it over to Antonio Grau to follow with the financial overview.
Okay, thanks, Antonio, and good morning, everyone. After reviewing the main components of our EBITDA generation operations, we'll now focus on the progress made in net profit, cash generation, and leverage. I would also like to end up with a comment on shareholder remuneration. First, on net profit, we must highlight the significant increase in net profit, both in the quarter, where net profit increased by EUR 28 million versus last year, but also in our year-to-date figures, where we have doubled net profit versus last year, reaching EUR 74 million. In terms of adjusted net profit, which, as you know, is the basis for determining dividends to be paid in 2026, we have reached EUR 149 million in the first nine months. There are two main drivers behind this improvement.
First and most important, low EBITDA generation, which, as you heard before, is outperforming our initial guidance, and also the execution of our financial savings plan, which is already impacting Q3, but which will impact in full in our 2026 results. To give you more color on our financial savings, from a current analyzed financial expenses run rate of approximately EUR 200 million in 2025, we expect to reduce this to around EUR 125 million in 2026. That's a EUR 75 million improvement, which includes EUR 62 million of the already executed plan, which I will comment on later, but also the elimination of one-offs in 2025. This will provide clearly significant upside for net profit and adjusted net profit in 2026. Moving now to cash generation.
Next slide, please. Thank you. We continue to deliver, first of all, top-of-industry EBITDA margins, comfortably above 30%. It is important also we continue to deploy our efficient APEX strategy, which enables us to achieve a cash conversion of 77% while achieving a 6% organic EBITDA growth in the quarter. As a result of what I just mentioned, free operating cash flow grew 19% versus Q3 2024, and this is supporting, I mean, three things. First of all, our plan to finance EUR 150 million per year of M&A through organic cash flow generation. Second, it is supporting our deleveraging. Third, it is supporting our dividend payment. We've already commented on M&A before in the presentation.
I'll comment later on dividend payments, so I'd like to focus on deleveraging. Next slide. Total net financial debt reductions since January 1st has been of EUR 685 million, and this is driven, of course, by IPO proceeds. We have EUR 73 million shareholder contribution in May, but also very important to highlight EUR 63 million of cash generation. This EUR 63 million we're achieving or have been achieved despite a situation with significantly higher financial expenses than what we expect for 2026. All in all, our capital structure and strong cash generation provide for the flexibility required to execute the acquisitions that we have in our pipeline. Moving now to the financial savings plan, we've taken several actions.
I'd like to focus on the refinancing we accomplished in October. We were refinanced two months, and we achieved through this refinancing EUR 18 million of additional savings, which add to the reduction of net financial debt we had achieved prior in the year. The total executed plan impact so far is EUR 62 million, which, as I mentioned before, adding to the elimination of one-offs, will give us the possibility to reduce financial expenses next year by EUR 75 million. Now moving to my final slide. As a final summary on our earnings profile and growth and how it impacts remuneration to shareholders, I'd like first to remind you that we defined our dividend policy at approximately 35% of adjusted net profit or 35% of adjusted earnings per share.
Our earnings per share grew by 39% versus last year, based mainly on strong EBITDA growth delivered at 8%, but to this, we will add the circa EUR 75 million reduction of financial expenses in 2026. Here, I would like to remind you that this increase in profit before taxes that financial expenses reduction provides will not have an impact on increased corporate tax, as this will be free of taxes due to the limit that exists in Spain for the deductibility of financial expenses. This EUR 75 million, that's a direct contribution to improve earnings next year. Combining what I just mentioned with an M&A, which is financed through organic cash flow, we are in a position to, I mean, to deliver strong future shareholder returns. Having said this, I hand over to Joaquim for final remarks.
Thank you very much, Tony. Now I'm on page 18, the chart showing our conclusion and company outlook. You have seen along our results presentation that Cirsa is a very compelling investment opportunity. Cirsa is a company with an exceptional track record of having delivered 69 consecutive quarters of growth, quarter on quarter year on year, with a unique diversification and plenty of growth opportunities in all the markets where we are operating. We also deliver strong EBITDA conversion into free operating cash flow, and that's taking place with a unique diversification in our industry.
As I commented in markets where the opportunities for growth are almost unlimited, we upgraded our guidance 2025 based on our current business performance and evolution. Excluding EUR 6 million of IPO-related costs that has been committed several times, net revenues are going to be in the range between EUR 2,325 million and EUR 2,335 million. It's a plus 8% to plus 9% improvement year on year. EBITDA will stay in the range between EUR 750 million and EUR 753 million. It's a + 7%, + 8% improvement compared to 2024. CapEx will remain stable in the range we committed to you of being between 7% and 9%. This is all from our side. Thank you very much, and we are ready to take your questions.
Thank you. If you would like to ask a question, you can do so by pressing Star followed by 1 on your telephone keypad. Otherwise, you can type a written question on the webcast today. As a quick reminder, that is Star followed by one. Otherwise, you can type a written question today. The first question comes from Francisco De Miguel . Please go ahead when you're ready.
Yes, thank you for the presentation and for taking my questions. I have two. The first one is regarding online. You mentioned customer-friendly sports results in September. I wonder if this has been a management decision, given you also mentioned that this has been an industry-wide trend, or if this is a statistical issue. In this context, if you can comment on trading in October and November to date, I just want to assess whether this statistical deviation in September has been corrected or not. Also regarding the 16% growth in turnover versus the 8% growth in net revenues, if you can give color by country.
My second question is on regulation. If you can please comment on the proposed tax hike in Mexico, the IEPs, what sort of impact do you expect? On the VAT hike in Colombia, what impact on gaming revenues and customer behavior so far, and on margins in this country? Thank you.
Okay, I'll take the first one on online. You know that in the sports betting, we have to manage or we have to live with the sports scores. From time to time, we have this sort of bad trend. This happened, as I said, in October 2023. This happened again in September this year. This affected the whole industry. It's not ourselves, I think. All our peers reported the same figures. As of today, in October, I have to say that we recovered a bit our payouts and our margins. In November, that is already normalized. The transition from that 16% to 8% in margin, 8% in GGR, is really driven by these customer-friendly results that we had during the period. This affected all our core geographies.
It happened the same in Peru, in Spain, in Italy, wherever we are operating, we have the same situation because most of the people are betting to the same events in these markets. Yes. Okay, Paco, on the increase in IEPs in Mexico, first of all, I mean, you need to know to understand the impact is that this is only part of the gaming taxation on the company. This is a portion of the gaming taxation. This increase in this part of the gaming taxation has a yearly impact that we have evaluated to be below EUR 2 million. Yeah,
annually.
Annually, yeah, yearly impact below EUR 2 million. Yeah, that is what it will be.
The third one is about the VAT in Colombia. The fact here is that the VAT is just affecting for a period of one year to the online business. In our case, our volume of online business in Colombia is marginal, so it has simply no effect to our numbers.
Thank you.
Your next question comes from Luis Gentila with Deutsche Bank. Your line is open.
Hey, guys. Thank you so much for taking the questions. I was hoping we could start with CapEx plans for next year. I know that it's probably a little bit early in the operating season, but any color on how should we think about that potential item for next year and perhaps for 2027, even directionally, would be very helpful.
Yeah, Chinchilla, thanks for your question. Indeed, we gave guidance on CapEx covering three years, and we gave it pre-IPO in June. I mean, we mentioned being between 7-9% on revenues. Yeah, we've not made any change to that plan, so we will be between 7-9%. If you look, I mean, where we are currently, we are around 8%. I think that on CapEx, I mean, we'll do as much CapEx as it is required for the business as it is yielding very good results, as you can see with the organic growth levels that we have. We also explained that approximately 6% is maintenance CapEx and 1-3% is growth CapEx. That's where we will be moving. I mean, we are not expecting any extraordinary item in the, I mean, in the coming months in terms of CapEx. The only thing we have is payment of license in Italy, which has already been paid in October in Q4. For the rest, we expect an evolution aligned with the evolution of revenues of the company for 2026 and 2027.
Got it. Perfect. Following up on your expansion plans, is there any territory that you guys have been doing a little bit more research with regards to providing new offerings like Brazil or any jurisdictions that we should be mindful of?
You took a good point. In Brazil, we stay at the same place that we were a few months ago, which is wait and see. You know that there are already changes in regulation in taxation expected to happen in that country. On top of that, still the regulator is not taking action to really ban the illegal market. We are keeping conversations with some of the local players that would be ready or would be open to a transaction, but we are still very excited. I do not think that you should expect that doing on our side a step in Brazil for the coming 12 months at least. For the rest of the countries, we stay with our strategy to keep working on the regions where we are, where we think enough opportunities to grow.
Got it. Last one for me. You guys did mention that you are not impacted by the prediction markets, which is taking the narrative for some of your competitors. Have you guys spent any time at all looking into this market? In the future, a similar product or something like that could be offered in some of the markets in which you operate?
I think in our case, if you look what happened in Italy, the two big ones, Polymarket and CaliHash, were already banned. I mean, they are under the banned list in the Italian regulator. It happens the same in Spain under the regulation we have in Spain. You cannot operate these predictive models without a gaming license. First of all, we feel very protected. In the case of Latin America, you know that all the Latin American online regulations have been mirroring the Spanish one. We feel 200% protected under that potential attack. I think the U.S. situation is completely different.
Perfect. Thank you so much for taking my questions.
Welcome.
Your next question comes from Juan Ros with ODDO BHF. You may proceed.
Hello, good morning. Thank you for taking my questions. First of all, regarding the upgraded guidance, maybe you guys can guide us a little bit on in which division is going to come the improvement. If we look at the implicit EBITDA guidance for Q4, we are looking at something north of EUR 200 million for the quarter, which is going to be the best quarter in the year. I was wondering where that extra contribution is going to come from. Second, maybe you can guide us on what's the run rate for interest expense that we can expect for next year and for Q4. Thank you.
With regards to the guidance or the improved guidance that we gave to you, you're going to see growth everywhere in our sports business, in casinos and so forth. The only one I would see as a bit challenging is the online piece because Q4 2024 was an impressive year in terms of online. I think if I remember well, we were giving an EBITDA of EUR 34 million, which was outstanding. Getting close or improving that number we got for Q4 would be already good news, which I think will be there. You will see growth in the other three business units.
Okay. Juan, regarding the, I mean, the financial expenses, yeah, if you look at where we are at the end of Q3, we are at EUR 152 million in terms of financial expenses. That is why I mentioned a run rate for the year of approximately EUR 200 million. I'll get in a second to your question on Q4. We've executed a plan that has already provided us EUR 62 million savings. Yeah. We've had one-offs for cancellation of bonds so far of EUR 11 million. This means that for next year, due to what we have already done, we expect a EUR 75 million reduction versus the approximately EUR 200 million for the run rate of 2025. Yeah. That is a big improvement. I remind you also for your models that is tax-free in terms of corporate taxes.
This improved profit before taxes. Regarding Q4, as you have seen in Q3, we already got savings of approximately EUR 30 million. It was through the one-offs. The situation in Q4 is that we will have this EUR 30 million that we already executed. The only thing that bear in mind that we've refinanced EUR 1 billion in bonds. This means that we paid cancellation cost of EUR 9.9 million. There's a bit of cancellation of capitalized issue cost. All in all, in Q4, I think you will still see, I mean, a run rate similar to the 2025 financial expenses, where there's a very clear underlying trend towards reducing financial expenses, but will be partially offset by the payment of cancellation cost of the bonds that we refinanced in October. Hope that this is clear. Yeah. Juan, is that clear?
Thank you. Okay.
We now have Ed Young with Morgan Stanley. Please go ahead when you're ready.
Thank you very much. My first question is on slot Spain. The margin there has been outstanding and well above your 45% plus target. Is there any element of one-off in there? It does not look like it, given you have now done that for several quarters. Should we be thinking about more like a 50% plus margin going forward in Spain, or is there anything that would lead to any kind of reversal being close to that mid-40s number going forward? My second question is around slot Italy. Obviously, it has grown with the benefit of an acquisition. If we look at the casino business, you have done very strong organic growth.
If you look at slot Spain, we just mentioned the margins. Slot Italy is an area where I think many investors struggle to see a source of competitive advantage compared to what you have put in your other businesses. Is that something you're wedded to, or is that something you'd potentially dispose of to focus more on your other areas? Finally, online, can you just give an update on your expectations around Italy licensing? Obviously, there's the deadline last week. There were the technical rules updated in May. Do you expect that to have any impact or risk your business? How should we think about online progression for Italy into 2026? Thank you.
Okay. I'll start by your first question on the margins in the slot business in Spain. I think that even ourselves we're not expecting such a big growth in this market, but it's performing really well. In terms of margin, I think being above 50% is not fully consolidated. So thinking for the future, you should think getting closer to that 50%, but not above that. I think that's a realistic view of this business. Second topic was on Italy slots. We've been very clear on this. Italy slots, it's a business that is providing us every year EUR 25 million-EUR 30 million in EBITDA, very high cash conversion. We are learning lots of best practices from that market. And we feel comfortable with that market, although we recognize that it's not the best place to deploy capital.
This is why we are, I would say, very conservative in that aspect. We're just adding small bolt-on acquisitions to increase our volume there. Of course, if somebody is coming to us and offering a good price for the business, we will sell it. We feel very comfortable today. We have the expectation that whatever is happening when the new license is coming on, that is supposed to be by the end of 2026, the conditions for the new license will be improving the current ones, not only in terms of taxation, but also in terms of product, which we think is one of the key reasons why this market is stagnant today.
The last question was online.
We couldn't hear well what sort of question you were asking about online impact.
Yes, you were referring to the Italian new licenses in the online channel. In our case, we are jumping from one single license to three licenses because remember that the previous tender allowed us to have several brands under one single license. In this case, we have decided to concentrate all our brands into three ones, and we are migrating those several brands into those three different licenses and just three brands. We are not seeing a big impact into that business. In fact, we think for the coming year, we'll have the chance to keep growing our market share in the Italian market because several of the previous licenses are not operating anymore.
Okay. Thank you.
We have Rodolfo De Benedetti with Santander on the line now.
Hi there. Thank you for taking my questions. Firstly, just to confirm on the M&A pipeline, should we expect for Q4 to be a mostly organic-driven quarter considering your guidance? When should we start seeing some more news on these deals that you have right about to be closed? Secondly, could you give some more color on the customer acquisition trends in the online segment for Spain, Peru, and Italy, respectively? Thank you.
Okay. For the M&A, I think for Q4, you should expect a big impact on M&A. We just had the acquisition with it in Morocco. We will be announcing, hopefully, in the coming weeks, a few other small bolt acquisitions, but the real impact you will have before next year of those acquisitions and some that should be crystallizing in the starting period for next year. In terms of online customer acquisition, as I said, today, we are facing that 60% growth in turnover, which would be, again, double-digit growth numbers in terms of acquisition or in terms of active players that we are getting in the three markets.
You can, of course, if you compare the three core markets that you mentioned, we have numbers around + 25% in the Peruvian market, while in Spain and Italy, that number is in the range of 10%. This is what we plan to keep having in the coming months of this year and the following month.
Perfect. Thank you.
We have then Shirley with EBS. Please go ahead when you're ready.
Hi. Thank you. Thanks for taking my questions. I just wanted to come back to EBITDA margins in slot Spain. I think you said you wouldn't expect EBITDA margins to go above 50% sort of in the medium term. I just wanted to understand why. They're likely going to be very close to 50% this year. I just want to understand why you think they're going to be flattish going forward. Thank you.
We think that a business with a 50% profit margin is really an outstanding number. This is why we feel a bit reluctant that this will continue to be the case. As we did during the roadshow, we think that having this business above 45% is really top of the market. We know the market because we are continuously testing or testing the waters in our due diligence when we are approaching bolt and acquisitions. We know being above 45% is already a hell of a number. We think that committing ourselves to being above 50% would be a bit risky, although, as you have seen, we've been there for the past two, three quarters. I think I don't want to be, you know, that we have been always very conservative, and we want to stay under the 45-50% range in this business. I don't think there's any hidden reason behind it. Believe me.
Rodolfo De Benedetti, what we can adhere is that inside our market operations business, you have our manufacturing business. Okay? And manufacturing business has several considerations about different mixes related to hardware sales, software sales, combinations of both. That makes the evolution a bit more complex. As Antonio said, we believe that being above 45% is a hell of a great number.
Understood. Thanks very much, guys. Just one more on slot Spain. You had a strong increase in net operating revenues per slot in the quarter. I'd love some color here. Again, what's the opportunity for this to continue to increase going forward?
The revenue per slot is growing, as you can imagine. This is the result of deploying these slots that I just mentioned, the Manhattan, let's say, family of product. What is happening with this Manhattan model is that we are adding two different groups of games, the traditional bar channel games, which are very specific for the Spanish bar channel market. We are adding, and this has been the case for the past three years, more casino-like games, much easier games. You have games like the roulette, which is bringing us new customers into the bar channel. We think this is going to be a continuous trend for the coming quarters. We do not see this stopping at all because still there is still at least 40% of the bars in Spain that are with the old slot machines. As far as we have room to keep deploying that type of slots, this will be a growing market.
Very helpful. Thank you, guys.
We now have Richard Whiteing with SES on the line. Please go ahead when you're ready.
Hi. Good morning. Just one for me. On M&A, please. Could you just tell us how much you expect to spend on M&A in the fourth quarter? In terms of the Morocco casino, where you've taken a 50% stake, presumably that only contributes in your P&L below the EBITDA line. Would you expect over time to grow that back to 100%? Is your preference for M&A to take 100% stakes to support that EBITDA line as opposed to sort of JVs or minority stakes? Thank you.
Okay. Regarding M&A spent in Q4, what I can tell you is that for the full year this year, we will not be reaching the EUR 150 million of new M&A that we mentioned in terms of organic cash generation. The acquisitions that we are planning up to the end of the year, I would even tell you that they will hardly be reaching half of that figure. That is where we will be. Of course, it depends on the calendar a bit, but do not expect that we get any way closer to the EUR 150 million that we mentioned as capacity to finance organically. We said in the past, and maybe what I'm going to say is new for you, that one of the main characteristics of Cirsa's M&A is not buying problems.
Okay? At the time of making acquisitions, we are very conservative and very demanding in terms of return. Having said that, the opportunities that we have in the pipeline are great, and several of them I would qualify as great. Okay. Yeah. In terms of La Mamounia, yes, we will be consolidating this acquisition. Yeah, there's a 50% with control acquisition.
Right. To be clear, the contribution from Morocco will not impact the EBITDA line this year, or next year it will be at the JV line?
The contribution for La Mamounia Casino, you mean? It will be in EBITDA. I mean, this is a controlling stake that we have there because this is not only 50%. It is more than a series of criteria, so I'll be consolidating it. When I say consolidating it, I mean under EBITDA.
I see. Thank you.
Yeah.
Thank you. I can confirm that does complete the question and answer session here. I would like to hand it back to Joaquim for some final closing comments.
From our side, again, thank you very much. You have seen how reliable we are, and we do not see any reason why this should not be happening every quarter. Thank you very much.
Thank you. Bye.
Thank you.
Thank you. This does conclude today's call. Thank you all again for joining, and you may now disconnect your line.