For the third quarter ended September 30, 2012, the Company earned $0.16 per basic share and $0.15 per diluted share. For the nine months ended September 30, 2012, the Company earned $0.53 per basic share and diluted share.
Gaming Partners International Corporation (NASDAQ: GPIC), a leading worldwide provider of casino currency and table gaming equipment, announced today financial results for the third quarter and nine months ended September 30, 2012.
For the third quarter ended September 30, 2012, the Company earned $0.16 per basic share and $0.15 per diluted share. For the nine months ended September 30, 2012, the Company earned $0.53 per basic share and diluted share.
During the third quarter of 2012, the Company posted revenues of $16.9 million and net income of $1.3 million. These results compare to revenues of $13.8 million and net income of $0.5 million, or $0.06 per basic share and diluted share, for the third quarter of 2011. Gross profit for the third quarter of 2012 was $5.4 million, or 32% of revenues, compared to $4.2 million, or 30% of revenues, for the prior year quarter.
The increase in revenue for the third quarter of 2012, compared to the same prior year period, was due to a $1.5 million increase in sales of European-style casino chips to Asia Pacific casinos and a $1.4 million increase in sales of American-style casino chips, furniture and accessories, primarily to casinos in the United States. The increase in net income for the third quarter of 2012, compared to the same prior year period, was primarily due to an increase in gross profit of $1.2 million on these increased sales.
During the first nine months of 2012, the Company posted revenues of $45.4 million and net income of $4.3 million. These results compare to revenues of $46.4 million and net income of $3.1 million, or $0.38 per basic and diluted share, for the first nine months of 2011. Gross profit for the first nine months of 2012 was $15.3 million, or 34% of revenues, compared to $15.3 million, or 33% of revenues, for the first nine months of 2011.
The decrease in revenue for the first nine months of 2012, compared to the same prior year period, was due primarily to a $6.5 million decrease in sales of European-style casino chips and RFID solutions to Asia Pacific casinos, particularly sales to the Galaxy ™ and SJM casinos in Macau in the 2011 reporting period, offset by a $5.1 million increase in sales of American-style chips, furniture, accessories, table layouts, and cards primarily to new and expanding casinos in the United States. The increase in net income for the first nine months of 2012, compared to the same prior year period, was primarily driven by a reduction in general and administrative expenses due to the settlement of litigation, as well as a reduction in income taxes from the utilization of foreign tax credits.
The Company ended the quarter with $24.2 million in cash, cash equivalents and marketable securities and no debt.
"We had a strong third quarter with sales of almost $17.0 million and diluted earnings of $0.15 per share," commented Greg Gronau, GPIC President and Chief Executive Officer. "We continued to grow sales in the American market with Paulson chip, furniture and accessories sales driven by casino openings, as well as sales to casinos that were expanding and rebranding. Additionally, we showed significant increases in Asia Pacific sales in the third quarter, thanks to new and expansion orders."
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® and Bud Jones®, GPI 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 chips 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; Atlantic City, New Jersey, Gulfport, Mississippi and Macau S.A.R., China.
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