HAMMONTON, N.J., June 19, 2017 /PRNewswire/ -- AG&E Holdings Inc. (OTCQB: AGNU), whose wholly-owned subsidiary, American Gaming & Electronics, Inc., is one of the largest supply companies in the gaming industry, announced that its first quarter revenue totalled $3.2 million, up 64 percent from revenue of $1.9 million in the first quarter of 2016. The increase in revenue is primarily attributed to the acquisition of Advanced Gaming Associates LLC (AGA) in late 2016. Gross margin for the quarter was $969,000 or 30.4% of sales compared to $471,000 or 24% of sales in the first quarter 2016.
For the first quarter 2017, the Company reported a net loss of $(435,000) or $(0.03) per share which included transaction related costs of $50,000 and intangible amortization associated with the acquisition of AGA of $54,000. For the first quarter 2016, the Company reported a net loss of $(719,000) or $(0.06) per share which includes transaction related costs of $124,000. This represents an increase in net income of $284,000 vs prior year quarter.
The entire 10Q can be viewed at https:www.sec.gov.
"We are pleased to announce that along with our revenue growth of 64% to $3.2 million, our gross margin was up 106 percent to $969,000 in the first quarter ended March 31, 2017 compared to the prior year," said Anthony Tomasello, CEO and President. "Although we are showing a net loss of $435,000 for the first quarter, this is an improvement over 2016 of $284,000. We believe that the strategic changes we've made since the acquisition, including updating our licenses, adding experienced sales representatives and reorganizing our sales territories are going to make all of the difference in turning the company around. I am also happy to say that we have now successfully completed relocating to three new facilities in Florida, Las Vegas and Illinois which will make the Company more responsive to our customers."
About AG&E Holdings Inc.
AG&E Holdings Inc. is one of the largest suppliers of gaming parts, electronic components and technical labor, both domestically and internationally. AG&E is strategically located in Las Vegas, New Jersey, Florida and Illinois and its distribution chain reaches the Caribbean and Puerto Rico, Canada, and Eastern and Western Europe. AG&E also serves as the national warranty center for a major supplier of bill acceptors in the industry. It provides repair service for all types of monitors and bill validators and sells a wide array of products detailed on its web site http://www.agegaming.com.
VISIT OUR WEB SITE: http://www.agegaming.com
This press release contains forward-looking statements within the meaning of the federal securities laws. The Private Securities Litigation Reform Act of 1995 provides a safe harbor for such forward-looking statements. The words believe, expect, anticipate, estimate, will, and other similar statements of expectation identify forward-looking statements. Those statements include statements regarding the intent, belief or expectations of the Company and its management. Readers are cautioned that the forward-looking statements are not guarantees of future performance and involve a number of risks and uncertainties, and that actual results could differ materially from those expressed in any forward-looking statement. Important factors that could cause actual results to differ materially from those indicated by such forward-looking statements include, but are not limited to, development of competing technologies, availability of adequate credit, interruption or loss of supply from key suppliers, increased competition, the regulatory process and regulatory and legislative changes affecting the gaming industry. AG&E assumes no obligation to update the information contained in this release to reflect events or circumstances after the date of this release or to reflect the occurrence of unanticipated events.
Contact: Paul Knopick
E & E Communications
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SOURCE AG&E Holdings Inc.