GGRAsia – TransAct Q3 net profit hits US$2.6 mln on stronger sales

TransAct Q3 net profit hits US$2.6 mln on stronger sales

Nov 07, 2018 Newsdesk Industry Talk, Latest News, World

TransAct Technologies Inc says net profit rose to US$2.6 million in the third quarter of this year from US$1.8 million a year earlier. Announcing results for the third quarter, the U.S.-based provider of software and printing technologies said sales increased by 2 percent to US$15.8 million in the third quarter – compared to US$15.5 million at the same time last year.

The adjusted earnings before interest, taxation, depreciation and amortisation rose to US$3.6 million from US$3 million. Tuesday’s statement said gross margin widened to 50.5 percent and its operating margin widened to 20.3 percent, both the greatest in any quarter yet for the company.

“TransAct delivered strong third-quarter results across several financial metrics, clearly highlighting the effectiveness of our strategy to leverage our leading position and success in the casino and gaming industry to fund the build-out of our products and software solutions to address the significant opportunity in the restaurant solutions market,” said TransAct chairman and chief executive Bart Shuldman.

The company portrays itself as a global leader in software development and printing for industries that include food and beverage, casino and gaming, lotteries, and oil and gas. It says there are more than 3 million of its thermal printers and terminals installed around the world.

Specifically on gaming, Mr Shuldman said the company had seen “near-record quarterly casino and gaming sales”. “The 62 percent year-over-year increase and 50 percent year-to-date rise in casino and gaming sales are clear indications that the value we provide customers has never been higher,” the executive said in a prepared statement.

“Our recent introduction of the Epic Edge printer, which brings next-level print resolution to gaming floors worldwide, highlights again our commitment to lead this market through consistent innovation and unmatched reliability,” he added.

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 December 14, the firm said.