Gaming Partners International Corporation Reports Financial Results for the Third Quarter and First Nine Months of 2014
LAS VEGAS, Nov. 12, 2014 /PRNewswire/ -- Gaming Partners International Corporation (NASDAQ: GPIC), a leading worldwide provider of casino currency and table gaming equipment, announced financial results for the third quarter and nine months ended September 30, 2014.
For the third quarter of 2014, our revenues were $20.3 million, an increase of $6.8 million, or 49.8%, compared to revenues of $13.5 million for the same period of 2013. For the third quarter of 2014, our net income was $2.8 million, compared to a net income of $0.1 million for the same period in 2013. The increase in our revenues and net income for the three months ended September 30, 2014, was directly attributable to the business generated from our acquisition of the gaming assets of GemGroup and the increase of currency sales in the Asia region.
For the first nine months of 2014, our revenues were $41.0 million, a decrease of $1.4 million, or 3.3%, compared to revenues of $42.4 million for the same period of 2013. For the first nine months of 2014, our net income was $0.5 million, compared to net income of $0.6 million for the same period of 2013. The decrease in our results for the nine months ended September 30, 2014, was due to the overall decrease in currency sales and the increase in income tax expense, offset by the business generated from our acquisition of the gaming assets of GemGroup.
"We do not expect any major casino openings for the remainder of 2014 but we are actively working on securing orders for 2015 casino openings," commented Greg Gronau, GPIC President, Chief Executive Officer, Treasurer and Secretary. "Following our acquisition, we have started consolidating our card production in Blue Springs, Missouri. This will result in approximately $0.4 million of of pre-tax, one time charges but it will provide significant savings in the manufacturing of cards. This is in line with our overall plan to streamline our operations and reduce our overheads and operating expenses."
About Gaming Partners International Corporation (GPIC)
GPIC manufactures and supplies casino table game equipment to licensed casinos worldwide. Under the brand names of Paulson®, Bourgogne et Grasset®, Bud Jones® and Gemaco®, GPIC provides casino currency such as chips, plaques and jetons; gaming furniture and table accessories; table layouts; playing cards; dice; and roulette wheels. GPIC pioneered the use of security features such as radio frequency identification device (RFID) technology in casino currency and provides RFID solutions including RFID readers, software and displays. Headquartered in Las Vegas, Nevada, GPIC also has manufacturing facilities, warehouses and/or sales offices in Beaune, France; San Luis Rio Colorado, Mexico; Blue Springs, Missouri; Atlantic City, New Jersey, Gulfport, Mississippi and Macau S.A.R., China. For additional information, please visit http://www.gpigaming.com.
Safe Harbor Statement
This release contains "forward-looking statements" based on current expectations that are inherently subject to known and unknown risks and uncertainties, such as statements relating to future share repurchases; costs and benefits of restructuring; potential acquisitions and the successful integration of acquired businesses; new products; anticipated future sales or the timing thereof; fulfillment of product orders; the long-term growth and prospects of our business or any jurisdiction in which we operate; the duration or effects of unfavorable economic conditions which may reduce our sales; and the long term potential of the RFID casino currency solutions market and our ability to capitalize on any such growth opportunities. Actual results or achievements may be materially different from those expressed or implied. Our plans and objectives are based on assumptions involving judgments with respect to future economic, competitive and market conditions, the timing of and ability to consummate acquisitions, and future business decisions and other risks and uncertainties identified in Part I-Item 1A, "Risk Factors" of our Annual Report on Form 10-K for the period ended December 31, 2013, all of which are difficult or impossible to predict accurately and many of which are beyond our control and are subject to change. Therefore, there can be no assurance that any forward-looking statement will prove to be accurate.
| GAMING PARTNERS INTERNATIONAL CORPORATION CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) (in thousands, except share amounts) |
|||||
| September 30, |
December 31, |
||||
| 2014 |
2013 |
||||
| ASSETS |
|||||
| Current Assets: |
|||||
| Cash and cash equivalents |
$ 9,745 |
$ 14,492 |
|||
| Marketable securities |
1,597 |
5,724 |
|||
| Accounts receivable, net |
10,628 |
5,905 |
|||
| Inventories |
10,730 |
7,407 |
|||
| Prepaid expenses |
706 |
965 |
|||
| Deferred income tax asset |
619 |
628 |
|||
| Other current assets |
2,454 |
3,054 |
|||
| Total current assets |
36,479 |
38,175 |
|||
| Property and equipment, net |
14,460 |
10,996 |
|||
| Intangibles, net |
2,873 |
985 |
|||
| Goodwill |
10,275 |
- |
|||
| Deferred income tax asset |
3,220 |
3,643 |
|||
| Inventories, non-current |
443 |
175 |
|||
| Other assets |
2,239 |
1,475 |
|||
| Total assets |
$ 69,989 |
$ 55,449 |
|||
| LIABILITIES AND STOCKHOLDERS' EQUITY |
|||||
| Current Liabilities: |
|||||
| Demand line of credit |
$ 10,000 |
$ - |
|||
| Accounts payable |
4,791 |
2,291 |
|||
| Accrued liabilities |
4,140 |
2,918 |
|||
| Customer deposits and deferred revenue |
2,175 |
646 |
|||
| Income taxes payable |
244 |
251 |
|||
| Total current liabilities |
21,350 |
6,106 |
|||
| Deferred income tax liability |
1,821 |
1,870 |
|||
| Other liabilities |
51 |
- |
|||
| Total liabilities |
23,222 |
7,976 |
|||
| Commitments and contingencies - see Note 9 |
|||||
| Stockholders' Equity: |
|||||
| Preferred stock, authorized 10,000,000 shares, $.01 par value, |
|||||
| none issued and outstanding |
- |
- |
|||
| Common stock, authorized 30,000,000 shares, $.01 par value, |
|||||
| 8,207,077 and 7,916,094 issued and outstanding, respectively |
82 |
82 |
|||
| Additional paid-in capital |
19,877 |
19,771 |
|||
| Treasury stock at cost: 290,983 shares |
(2,262) |
(2,262) |
|||
| Retained earnings |
28,688 |
28,205 |
|||
| Accumulated other comprehensive income |
382 |
1,677 |
|||
| Total stockholders' equity |
46,767 |
47,473 |
|||
| Total liabilities and stockholders' equity |
$ 69,989 |
$ 55,449 |
|||
| GAMING PARTNERS INTERNATIONAL CORPORATION CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited) (in thousands, except per share amounts) |
||||||||
| Three Months Ended |
Nine Months Ended |
|||||||
| September 30, |
September 30, |
|||||||
| 2014 |
2013 |
2014 |
2013 |
|||||
| Revenues |
$ 20,253 |
$ 13,519 |
$ 41,028 |
$ 42,433 |
||||
| Cost of revenues |
13,447 |
9,095 |
28,710 |
29,343 |
||||
| Gross profit |
6,806 |
4,424 |
12,318 |
13,090 |
||||
| Marketing and sales |
1,840 |
1,683 |
4,486 |
4,692 |
||||
| General and administrative |
2,041 |
2,249 |
6,151 |
6,730 |
||||
| Research and development |
324 |
467 |
1,178 |
1,495 |
||||
| Operating income |
2,601 |
25 |
503 |
173 |
||||
| Other income and (expense), net |
127 |
(8) |
232 |
30 |
||||
| Income before income taxes |
2,728 |
17 |
735 |
203 |
||||
| Income tax provision (benefit) |
(40) |
(66) |
252 |
(359) |
||||
| Net income |
$ 2,768 |
$ 83 |
$ 483 |
$ 562 |
||||
| Earnings per share: |
||||||||
| Basic |
$ 0.35 |
$ 0.01 |
$ 0.06 |
$ 0.07 |
||||
| Diluted |
$ 0.35 |
$ 0.01 |
$ 0.06 |
$ 0.07 |
||||
| Weighted-average shares of common stock outstanding: |
||||||||
| Basic |
7,916 |
7,917 |
7,916 |
7,950 |
||||
| Diluted |
8,015 |
8,001 |
8,016 |
8,033 |
||||
For Further Information Contact:
Gregory Gronau, President, Chief Executive Officer, Treasurer and Secretary
PH: 702.384.2425
FX: 702.384.1965
[email protected]
SOURCE Gaming Partners International Corporation
Related Links
WANT YOUR COMPANY'S NEWS FEATURED ON PRNEWSWIRE.COM?
Newsrooms &
Influencers
Digital Media
Outlets
Journalists
Opted In
Share this article