TransAct Technologies Inc reported a 77.2 percent year-on-year increase in casino and gaming sales in the second quarter of 2018 to approximately US$7.1 million. That compares with sales of nearly US$4 million in the prior-year period, the Nasdaq-listed gaming industry supplier said in a Thursday filing.
Casino and gaming sales for the first six months of 2018 rose by 42.9 percent to US$13.0 million, primarily on the strength of sales to international markets, stated the firm.
The increase in revenue from the segment – which excludes lottery sales – reflects a “30-percent increase in domestic [U.S.] casino and gaming sales and a 267-percent increase in international casino and gaming sales”.
TransAct’s casino and gaming product segment includes ticket printers for gaming machines.
TransAct’s total net sales revenue for the second quarter of 2018 – including non-gaming related segments – was US$14.8 million, up 8.8 percent in year-on-year terms. Casino and gaming sales were the company’s main revenue contributor, accounting for 47.9 percent of overall sales.
Second-quarter revenue was dragged by sales in the lottery segment, which fell 82.7 percent year-on-year. The company explained that it had “shifted its focus away from this market”.
Company-wide net income in the three months ended June 30 was US$1.2 million, up 38.4 percent compared to US$867,000 in the prior-year period.
“We are extremely pleased with our strong 2018 second quarter results, as growth initiatives for our restaurant solutions and casino and gaming operations took hold,” said Bart Shuldman, chairman and chief executive of TransAct, in a statement included in Thursday’s release.
He added: “We are also thrilled with the success that we have had taking over direct responsibility for sales and support for our international gaming and casino customers … I am also pleased that we continued to gain market share in the domestic casino and gaming market resulting in a 77-percent year-over-year increase in overall casino and gaming revenue.”
Mr Shuldman said the strong growth in the firm’s international sales reflected “the rapid and significant progress” that the company made in Europe following the decision “to transition sales across the continent from a distribution model to a direct sales model”.
“Given our progress, we remain confident that our international shipments will show continued strength over the balance of 2018 and that we will continue to gain share in the domestic market,” said TransAct’s CEO.
TransAct on Monday announced that its board had declared a quarterly cash dividend of US$0.09 per share. The dividend will be payable on September 14, the firm said.
The U.S.-based company announced earlier this week that it had appointed Haydee Olinger as its fifth board member.
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