Bally Technologies Inc’s stock closed slightly higher in New York on Wednesday after the firm reported year-on-year improvements in its revenue and adjusted earnings per share for the fourth quarter of the fiscal year ending June 30 and its financial year 2014.
However net income attributable to Bally Technologies reconciled to adjusted EBITDA (earnings before interest, taxation, depreciation and amortisation) fell 67.3 percent year-on-year for the quarter, to US$12.2 million from US$37.3 million a year earlier. The figure was impacted by US$19 million in expenses for restructuring and acquisition costs related to the takeover of SHFL entertainment Inc, a deal that closed in November.
For the year, Bally Technologies’ net income slipped 30.3 percent from US$141.4 million to US$98.6 million. It was affected by US$60.5 million in costs incurred by the US$1.3 billion leveraged acquisition of SHFL.
However some of the improvement in revenue during the reporting period was also linked to the SHFL deal.
For the three months to June 30 this year, revenues from electronic gaming machines – including slots and electronic gaming tables, the latter a speciality of the SHFL brand – rose 35 percent year-on-year to US$120 million. It included the sale of 1,262 Equinox slot cabinets developed by SHFL, and 343 electronic table system “seats” (i.e., betting stations).
The gross margin in that segment “increased to 52 percent from 50 percent last year, primarily due to regional mix particularly towards the Australian and Asian markets,” said Bally Technologies in its earnings statement.
“With SHFL in the mix, we grew our international new unit sales by 25 percent further driving our global presence,” said Richard Haddrill, the company’s chief executive in a statement accompanying the results.
However operating income decreased 8 percent to US$60 million as compared with US$65 million last year. Adjusted operating income increased by 43 percent to a record US$92 million. Adjusted operating margin increased to 27 percent from 24 percent last year.
Group wide, annual and quarterly revenue was US$1.2 billion and US$342 million respectively. Bally Technologies reported adjusted earnings per share of US$4.32 for the year and US$1.20 for the three months ended June 30.
Diluted earnings per share were US$2.52 and US$0.31 for the year and three months ended June 30, respectively.
Bally Technologies closed in New York trading on Wednesday up 0.23 percent at US$78.00 per share.
The firm on August 1 said it was being acquired by lottery specialist Scientific Games Corp for US$5.1 billion. That deal is expected to close in early 2015.
Nov 29, 2023Members of Japan’s Liberal Democratic Party (LDP) that sit in the Hokkaido prefectural assembly will launch a working group to study the feasibility of the country’s northernmost prefecture...
”There’s been a 20 percent or 30 percent increase in our testing staff to handle globally the amount of extra work that we’ve got, and the Philippines and Macau have definitely contributed to that overall growth”
Chief commercial officer of testing and certification firm GLI