Gaming Partners International Corporation Reports Financial Results
For the Third Quarter and First Nine Months of 2012
LAS VEGAS, Nov. 8, 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 third quarter and nine months ended
September 30, 2012.
(Logo:
http://photos.prnewswire.com/prnh/20110512/LA99804LOGO)
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. 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
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; 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, 2011, 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,
|
|
|
|
2012
|
|
2011
|
ASSETS
|
|
|
|
Current
Assets:
|
|
|
|
|
Cash and
cash equivalents
|
$
12,530
|
|
$
9,282
|
|
Marketable
securities
|
11,635
|
|
14,867
|
|
Accounts
receivable, net
|
7,134
|
|
5,976
|
|
Inventories
|
6,939
|
|
7,749
|
|
Prepaid
expenses
|
1,052
|
|
1,015
|
|
Deferred
income tax asset
|
762
|
|
893
|
|
Other
current assets
|
2,007
|
|
1,564
|
|
|
Total current assets
|
42,059
|
|
41,346
|
Property
and equipment, net
|
11,117
|
|
11,836
|
Intangibles, net
|
566
|
|
646
|
Deferred
income tax asset
|
1,733
|
|
1,740
|
Inventories, non-current
|
157
|
|
160
|
Other
assets, net
|
1,664
|
|
314
|
|
Total
assets
|
$
57,296
|
|
$
56,042
|
|
|
|
|
|
|
LIABILITIES AND STOCKHOLDERS'
EQUITY
|
|
|
|
Current
Liabilities:
|
|
|
|
|
Short-term
debt
|
$
-
|
|
$
17
|
|
Accounts
payable
|
2,224
|
|
2,376
|
|
Accrued
liabilities
|
5,115
|
|
5,876
|
|
Customer
deposits and deferred revenue
|
2,796
|
|
4,585
|
|
Income
taxes payable
|
338
|
|
-
|
|
|
Total current liabilities
|
10,473
|
|
12,854
|
Long-term
debt
|
-
|
|
15
|
Deferred
income tax liability
|
677
|
|
689
|
|
Total
liabilities
|
11,150
|
|
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 8,100,504 issued and outstanding,
respectively,
|
|
|
|
|
as of
September 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
|
19,550
|
|
19,401
|
Treasury stock, at cost: 106,573 and
19,313 shares
|
(857)
|
|
(267)
|
Retained earnings
|
26,781
|
|
22,442
|
Accumulated other comprehensive
income
|
590
|
|
826
|
|
|
Total
stockholders' equity
|
46,146
|
|
42,484
|
|
|
Total
liabilities and stockholders' equity
|
$
57,296
|
|
$
56,042
|
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,
|
|
|
2012
|
|
2011
|
|
2012
|
|
2011
|
Revenues
|
$
16,939
|
|
$
13,834
|
|
$
45,394
|
|
$
46,446
|
Cost of
revenues
|
11,550
|
|
9,661
|
|
30,045
|
|
31,147
|
|
Gross
profit
|
5,389
|
|
4,173
|
|
15,349
|
|
15,299
|
|
|
|
|
|
|
|
|
|
Marketing
and sales
|
1,320
|
|
1,273
|
|
3,944
|
|
3,842
|
General
and administrative
|
2,542
|
|
2,443
|
|
6,570
|
|
7,394
|
|
Operating income
|
1,527
|
|
457
|
|
4,835
|
|
4,063
|
Other
income and (expense)
|
185
|
|
125
|
|
313
|
|
357
|
|
Income
before income taxes
|
1,712
|
|
582
|
|
5,148
|
|
4,420
|
Income tax
provision
|
455
|
|
105
|
|
809
|
|
1,306
|
|
Net
income
|
$
1,257
|
|
$
477
|
|
$
4,339
|
|
$
3,114
|
|
|
|
|
|
|
|
|
|
Earnings
per share:
|
|
|
|
|
|
|
|
|
Basic
|
$
0.16
|
|
$
0.06
|
|
$
0.53
|
|
$
0.38
|
|
Diluted
|
$
0.15
|
|
$
0.06
|
|
$
0.53
|
|
$
0.38
|
Weighted-average shares of common stock
outstanding:
|
|
|
|
|
|
|
|
|
Basic
|
8,105
|
|
8,199
|
|
8,132
|
|
8,199
|
|
Diluted
|
8,113
|
|
8,234
|
|
8,152
|
|
8,226
|
For Further Information Contact:
Gregory S. Gronau, President and
Chief Executive Officer
Gerald W. Koslow, Chief Financial
Officer
PH: 702.384.2425
FX: 702.384.1965
SOURCE Gaming Partners International Corporation