LAS VEGAS, Aug. 9, 2012 /PRNewswire/ -- Gaming Partners
International Corporation (NASDAQ: GPIC), a leading worldwide
provider of casino currency and table gaming equipment, announced
today financial results for the second quarter and six months ended
June 30, 2012.
(Logo:
http://photos.prnewswire.com/prnh/20110512/LA99804LOGO)
For the second quarter and six months ended June 30, 2012, the Company earned $0.22 and $0.38 per
basic and diluted share, respectively.
During the second quarter of 2012, the Company posted revenues
of $13.0 million and net income of
$1.8 million. These results compare
to revenues of $14.8 million and net
income of $0.9 million, or
$0.11 per basic share and diluted
share, for the second quarter of 2011. Gross profit for the second
quarter of 2012 was $4.7 million, or
36% of revenues, compared to $4.8
million, or 32% of revenues, for the prior year quarter.
The decrease in revenue for the second quarter of 2012, compared
to the same prior year period, was due to a $1.9 million decrease in sales of European-style
casino chips for Asian casinos related to significant sales in the
second quarter of 2011 to the Galaxy ™ and Sociedade de Jogos de
Macau casinos in Macau, a $0.8
million decrease in sales of RFID solutions to casinos in
Asia primarily related to the
May 2011 Galaxy Macau opening, offset
by a $0.6 million increase in sales
of American-style chips in the United
States, particularly by sales of Paulson chips to casinos
opening in New Jersey and
Ohio. The increase in net income
for the second quarter of 2012, compared to the same prior year
period, is primarily driven by a reduction in general and
administrative expenses due to the settlement of certain litigation
and a reduction in income taxes from the utilization of
foreign tax credits, offset, in part, by slightly lower gross
profit.
During the first six months of 2012, the Company posted revenues
of $28.5 million and net income of
$3.1 million. These results compare
to revenues of $32.6 million and net
income of $2.6 million, or
$0.32 per basic and diluted share,
for the first six months of 2011. Gross profit for the first six
months of 2012 was $10.0 million, or
35% of revenues, compared to $11.1
million, or 34% of revenues, for the first six months of
2011.
The decrease in revenue for the first six months of 2012,
compared to the same prior year period, was due primarily to a
$7.8 million decrease in sales of
European-style casino chips for Asian casinos related to
significant chip and RFID solutions sales in the first six months
of 2011 to Macau casinos, offset
by a $2.2 million increase in sales
of American-style chips in the United
States, primarily driven by sales of Paulson chips to
casinos opening in New Jersey,
Ohio, and Maine, and a $1.4
million increase in sales of furniture, accessories, table
layouts, and cards to new and expanding casinos in the United States. The increase in net income
for the first six months of 2012, compared to the same prior year
period, is primarily driven by a reduction in general and
administrative expenses due to the settlement of certain litigation
and a reduction in income taxes from the utilization of foreign tax
credits offset, in part, by lower gross profit.
The Company ended the quarter with $25.7
million in cash, cash equivalents and marketable securities
and no debt.
"As stated above, our net income for the second quarter and
first six months of 2012 were higher, compared to 2011, with
diluted earnings of $0.22 and
$0.38, respectively," commented
Greg Gronau, GPIC President and
Chief Executive Officer. "While our worldwide sales were down to
$28.5 million for the first six
months of the year, with our existing backlog of signed replacement
and expansion orders and other potential sales, particularly in
Asia, we believe that we will have
stronger revenue performance in the second half of the year."
About Gaming Partners International Corporation
(GPIC)
GPIC manufactures and supplies casino table games and 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
accessories; table layouts; playing cards; dice; and roulette
wheels. GPIC pioneered the use of security features such as RFID
technology in casino chips and provides radio frequency
identification device (RFID) solutions including chips, readers and
displays. Headquartered in Las Vegas,
Nevada, GPIC also has offices in Beaune, France; San Luis Rio
Colorado, Mexico; 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 involving known and unknown risks and
uncertainties, such as statements relating to anticipated future
sales or the timing thereof; fulfillment of product orders; the
long-term growth and prospects of our business or any jurisdiction;
and the long term potential of the RFID casino currency solutions
market and the ability of GPIC to capitalize on any such growth
opportunities. Actual results or achievements may be materially
different from those expressed or implied. GPIC's plans and
objectives are based on assumptions involving judgments with
respect to future economic, competitive and market conditions, the
timing and its ability to consummate acquisitions, and future
business decisions and other risks and uncertainties identified in
Part I-Item 1A, "Risk Factors" of the Company's Annual Report on
Form 10-K for the period ended December 31,
2011, all of which are difficult or impossible to predict
accurately and many of which are beyond its control. Therefore,
there can be no assurance that any forward-looking statement will
prove to be accurate.
For more information please contact:
Gerald W. Koslow, Chief Financial
Officer
+1.702.384.2425
jkoslow@gpigaming.com
GAMING
PARTNERS INTERNATIONAL CORPORATION
CONDENSED CONSOLIDATED BALANCE
SHEETS
(unaudited)
(in
thousands, except share amounts)
|
|
|
|
|
|
|
|
|
|
June
30,
|
|
December 31,
|
|
|
|
2012
|
|
2011
|
ASSETS
|
|
|
|
Current
Assets:
|
|
|
|
|
Cash and
cash equivalents
|
$
12,688
|
|
$
9,282
|
|
Marketable
securities
|
13,060
|
|
14,867
|
|
Accounts
receivable, net
|
4,285
|
|
5,976
|
|
Inventories
|
7,845
|
|
7,749
|
|
Prepaid
expenses
|
766
|
|
1,015
|
|
Deferred
income tax asset
|
617
|
|
893
|
|
Other
current assets
|
2,321
|
|
1,564
|
|
|
Total current assets
|
41,582
|
|
41,346
|
Property
and equipment, net
|
11,373
|
|
11,836
|
Intangibles, net
|
592
|
|
646
|
Deferred
income tax asset
|
2,047
|
|
1,740
|
Inventories, non-current
|
383
|
|
160
|
Other
assets, net
|
255
|
|
314
|
|
Total
assets
|
$
56,232
|
|
$
56,042
|
|
|
|
|
|
|
LIABILITIES AND STOCKHOLDERS'
EQUITY
|
|
|
|
Current
Liabilities:
|
|
|
|
|
Short-term
debt
|
$
-
|
|
$
17
|
|
Accounts
payable
|
2,660
|
|
2,376
|
|
Accrued
liabilities
|
4,020
|
|
5,876
|
|
Customer
deposits and deferred revenue
|
3,979
|
|
4,585
|
|
Income
taxes payable
|
369
|
|
-
|
|
|
Total current liabilities
|
11,028
|
|
12,854
|
Long-term
debt
|
-
|
|
15
|
Deferred
income tax liability
|
661
|
|
689
|
|
Total
liabilities
|
11,689
|
|
13,558
|
Commitments and contingencies - see Note 8
|
|
|
|
Stockholders' Equity:
|
|
|
|
Preferred stock, authorized 10,000,000
shares, $.01 par value,
|
-
|
|
-
|
|
none issued or outstanding
|
|
|
|
Common stock, authorized 30,000,000
shares, $.01 par value,
|
|
|
|
|
8,207,077
and 8,108,304 issued and outstanding,
respectively,
|
|
|
|
|
as of June
30, 2012, and 8,207,077 and 8,187,764 issued
|
|
|
|
|
and
outstanding, respectively, as of December 31, 2011
|
82
|
|
82
|
Additional paid-in capital
|
19,493
|
|
19,401
|
Treasury stock, at cost: 98,773 and
19,313 shares
|
(807)
|
|
(267)
|
Retained earnings
|
25,524
|
|
22,442
|
Accumulated other comprehensive
income
|
251
|
|
826
|
|
|
Total
stockholders' equity
|
44,543
|
|
42,484
|
|
|
Total
liabilities and stockholders' equity
|
$
56,232
|
|
$
56,042
|
GAMING
PARTNERS INTERNATIONAL CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF
OPERATIONS
(unaudited)
(in
thousands, except per share amounts)
|
|
|
|
|
|
|
|
Three
Months Ended
|
|
Six
Months Ended
|
|
|
June
30,
|
|
June
30,
|
|
|
2012
|
|
2011
|
|
2012
|
|
2011
|
Revenues
|
$
13,030
|
|
$
14,791
|
|
$
28,455
|
|
$
32,612
|
Cost of
revenues
|
8,291
|
|
9,993
|
|
18,494
|
|
21,485
|
|
Gross
profit
|
4,739
|
|
4,798
|
|
9,961
|
|
11,127
|
|
|
|
|
|
|
|
|
|
Marketing
and sales
|
1,215
|
|
1,292
|
|
2,623
|
|
2,569
|
General
and administrative
|
1,759
|
|
2,401
|
|
4,028
|
-
|
4,951
|
|
Operating income
|
1,765
|
|
1,105
|
|
3,310
|
|
3,607
|
Other
income and (expense)
|
17
|
|
121
|
|
127
|
|
231
|
|
Income
before income taxes
|
1,782
|
|
1,226
|
|
3,437
|
|
3,838
|
Income tax
(benefit) / provision
|
(28)
|
|
318
|
|
355
|
|
1,201
|
|
Net
income
|
$
1,810
|
|
$
908
|
|
$
3,082
|
|
$
2,637
|
|
|
|
|
|
|
|
|
|
Earnings
per share:
|
|
|
|
|
|
|
|
|
Basic
|
$
0.22
|
|
$
0.11
|
|
$
0.38
|
|
$
0.32
|
|
Diluted
|
$
0.22
|
|
$
0.11
|
|
$
0.38
|
|
$
0.32
|
Weighted-average shares of common stock
outstanding:
|
|
|
|
|
|
|
|
|
Basic
|
8,122
|
|
8,199
|
|
8,146
|
|
8,199
|
|
Diluted
|
8,134
|
|
8,225
|
|
8,162
|
|
8,223
|
SOURCE Gaming Partners International Corporation