GGRAsia – TransAct narrows 4Q loss, revenue up 43pct y-o-y

TransAct narrows 4Q loss, revenue up 43pct y-o-y

Mar 10, 2022 Newsdesk Latest News, Top of the deck, World

TransAct Technologies Inc, a supplier of slot machine printers, casino-player management software and food-safety management technology, reported net sales of US$11.1 million in the fourth quarter of 2021, up 43.3 percent year-on-year. Such sales were up 4.7 percent from the preceding quarter, according to a Wednesday filing.

The company reported a net loss of US$753,000 for the period, an improvement on the US$1.9-million loss a year earlier. The latest quarterly result was also an improvement on the US$1.6-million loss in the third quarter.

TransAct reported negative earnings before interest, taxation, depreciation and amortisation (EBITDA) for the fourth quarter of 2021, to the tune of US$863,000. That compared with a negative figure of nearly US$2.0 million in the prior-year period.

The company had reported positive EBITDA in the third quarter, which had been its first positive quarterly EBITDA since the third quarter of 2019.

Fourth-quarter casino and gaming segment sales rose by 84.2 percent year-on-year, to just over US$4.9 million. The figure was up 22.5 percent quarter-on-quarter.

For full-year 2021, TransAct reported a net loss of US$4.1 million, an improvement on the US$5.6-million loss in 2020. That was on revenue that rose by 28.7 percent year-on-year, to nearly US$39.4 million.

Sales in the casino and gaming segment stood at US$15.3 million in 2021, up 39.4 percent from the previous year.

Bart Shuldman, TransAct’s chairman and chief executive, said in prepared comments issued with the results, that “2021 marked many important milestones for TransAct, including three consecutive quarters of over US$2-million in recurring food-service technology revenue, which highlights our ongoing pivot to a consistent, reliable stream of revenue” via the firm’s food-safety tracking system known as Boha.

He added: “We continue to see strong demand for both our Boha products and our Epic series printers, with a noticeable uptick” in orders from the international casino market segment, “as the world comes back online post-Covid-19,” and as “pent-up demand around the world is beginning to take shape.”