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Elixir Gaming Technologies Inc Reports Operating Results (10-Q)

May 16, 2011 | About:
10qk

10qk

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Elixir Gaming Technologies Inc (EGT) filed Quarterly Report for the period ended 2011-03-31.

Entertainment Gaming Asia Inc. has a market cap of $36.86 million; its shares were traded at around $0.3175 with and P/S ratio of 1.66.

Highlight of Business Operations:

Our consolidated revenue for the three-month period ended March 31, 2011 was approximately $6.2 million, of which revenue from our gaming and other products operations comprised 67% and 33%, respectively, of consolidated revenue. This compares to consolidated revenue of approximately $4.4 million for the three-month period ended March 31, 2010, of which revenue from our gaming and other products operations comprised 65% and 35%, respectively, of consolidated revenue.

Based on the solid revenue performance, particularly from our operations at NagaWorld, and our continued strict cost control efforts, we have achieved positive GAAP earnings for the three-month period ended March 31, 2011 and we believe we have significantly improved our ability to generate and grow positive cash flow from operations. We achieved positive Adjusted EBITDA (as defined below) of approximately $3.0 million for the three-month period ended March 31, 2011, up substantially from approximately $1.3 million in same period of the prior year. Cash flow provided from operations amounted to approximately $2.7 million for the three-month period ended March 31, 2011 compared to approximately $1.8 million in same period of the prior year.

The Land has a total area of approximately seven acres (30,000 square meters) and is located in the Takeo province, a border area of Cambodia and Vietnam, which is approximately 125 miles (200 kilometers) south of Cambodias capital city Phnom Penh and connects the major cities of southern Vietnam and Phnom Penh. The total consideration for the Land was $1.76 million, of which $850,000 was paid to the Seller in May 2010 as a deposit. The registration of the title for the Land under the name of Dreamworld Holding by the land office and the relevant authorities in Cambodia was completed on June 28, 2010 and, accordingly, we paid the balance of $910,000 to the Seller in mid-July 2010.

Total revenues increased approximately $1.8 million to $6.2 million for the three-month period ended March 31, 2011 compared to approximately $4.4 million in the same period of the prior year due to revenue increases in both operating segments. Revenue from gaming operations increased as a result of higher gaming revenue due to higher average net win per machine and number of EGM seats in operation for our participations contracts. Other products sales increased as a result of higher gaming chip sales to existing customers and increased automotive component orders from major customers compared to the same period last year.

Gross profit increased approximately $1.6 million to $2.4 million for the three-month period ended March 31, 2011 compared to approximately $765,000 in the same period of the prior year primarily as a result of higher revenue from gaming and other products operations while total gaming depreciation and amortization expenses were flat compared to the prior year period.

Operating income increased approximately $2.2 million to $849,000 for the three-month period ended March 31, 2011 compared to an operating loss of approximately $1.4 million in the same period of the prior year. Net income increased approximately $2.4 million to $692,000 compared to a net loss of approximately $1.7 million for the same period in the prior year. The increase in operating and net income was primarily the result of higher gaming revenue and significantly reduced operating expenses.

Read the The complete Report

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10qk
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