Gaming Partners International Corporation Reports Financial Results for the First Quarter of 2014

13 May, 2014, 09:00 ET from Gaming Partners International Corporation

LAS VEGAS, May 13, 2014 /PRNewswire/ -- Gaming Partners International Corporation (NASDAQ: GPIC), a leading worldwide provider of casino currency and table gaming equipment, announced financial results for the first quarter ended March 31, 2014.  

During the first quarter ended March 31, 2014, the Company posted a net loss of $1.1 million, or $0.14 per basic and diluted share, compared to net income of $0.5 million, or $0.07 per basic and diluted share, for the first quarter of 2013.The decrease in net income was due to a decrease in sales of our currency products which caused fixed manufacturing costs to be allocated over lower production volumes.

During the first quarter of 2014, the Company had revenues of $10.6 million, compared to revenues of $14.8 million in the first quarter of 2013. The primary reason for the decrease in revenues was due to a reduction in worldwide casino currency sales in 2014 compared to 2013, caused by the lack of openings/ expansions in 2014.

"Our quarterly results were negatively impacted by the lack of casino openings," commented Greg Gronau, GPIC President and Chief Executive Officer. "Although there is potential for significant expansions in the second half of 2014, most of the major casino developments will take place in 2015 and beyond."

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®, 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; 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; 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; 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)

March 31,

December 31,

2014

2013

ASSETS

Current Assets:

Cash and cash equivalents

$    13,813

$          14,492

Marketable securities

5,855

5,724

Accounts receivable, net

5,540

5,905

Inventories

7,406

7,407

Prepaid expenses

828

965

Deferred income tax asset

623

628

Other current assets

4,375

3,054

       Total current assets

38,440

38,175

Property and equipment, net

10,478

10,996

Intangibles, net

954

985

Deferred income tax asset

3,216

3,643

Inventories, non-current

175

175

Other assets

1,435

1,475

       Total assets

$    54,698

$          55,449

LIABILITIES AND STOCKHOLDERS' EQUITY 

Current Liabilities:

Accounts payable

$      2,045

$            2,291

Accrued liabilities

2,899

2,918

Customer deposits and deferred revenue

1,272

646

Income taxes payable

238

251

      Total current liabilities

6,454

6,106

Deferred income tax liability

1,870

1,870

      Total liabilities

8,324

7,976

Commitments and contingencies - see Note 8

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

19,823

19,771

   Treasury stock at cost: 290,983 shares

(2,262)

(2,262)

   Retained earnings

27,074

28,205

   Accumulated other comprehensive income

1,657

1,677

      Total stockholders' equity

46,374

47,473

      Total liabilities and stockholders' equity

$    54,698

$          55,449

 

GAMING PARTNERS INTERNATIONAL CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(unaudited)

(in thousands, except per share amounts)

Three Months Ended

March 31,

2014

2013

Revenues

$ 10,559

$ 14,768

Cost of revenues

7,800

10,488

Gross profit

2,759

4,280

Marketing and sales

1,303

1,505

General and administrative

2,068

2,099

Research and development

437

533

Operating (loss) income 

(1,049)

143

Other income and (expense), net

55

79

(Loss) income before income taxes

(994)

222

Income tax provision (benefit)

137

(311)

Net (loss) income 

$ (1,131)

$      533

Earnings per share:

Basic

$   (0.14)

$     0.07

Diluted

$   (0.14)

$     0.07

Weighted-average shares of common stock outstanding:

Basic

7,916

7,986

Diluted

7,916

8,055

For Further Information Contact:

Michael D. Mann, Chief Financial Officer, Treasurer and Secretary PH: 702.384.2425 FX: 702.384.1965

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SOURCE Gaming Partners International Corporation



RELATED LINKS

http://www.gpigaming.com