Gaming Partners International Corporation Reports 2011 First Quarter Results

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Gaming Partners International Corporation

May 12, 2011, 09:00 ET

LAS VEGAS, May 12, 2011 /PRNewswire/ -- Gaming Partners International Corporation (NASDAQ: GPIC), a leading worldwide provider of casino currency and table gaming equipment, today announced financial results for the first quarter ended March 31, 2011.

(Logo: http://photos.prnewswire.com/prnh/20110512/LA99804LOGO)

For the first quarter of 2011, the Company posted revenues of $17.8 million and net income of $1.7 million, or $0.21 per basic and diluted share. These results compare to revenues of $10.9 million and net income of $37,000, or $0.00 per basic and diluted share, for the first quarter of 2010. Gross profit for the quarter was $6.3 million, or 35% of revenues, compared to $3.7 million, or 34% of revenues, for the first quarter of 2010.

The primary reason for the significant increase in first quarter 2011 net income was comparably higher sales of chips to casinos in Macau.

The Company ended the quarter with $30.8 million in cash, cash equivalents and marketable securities, as well as $7.1 million in debt.

"We are pleased with our strong first quarter results, due to delivery of a significant chip order for the pending Galaxy Macau casino opening," commented Greg Gronau, GPIC President and Chief Executive Officer. "Given projected casino openings and our sales backlog for 2011, revenues and earnings in the next three quarters may not reach the same levels that we saw in the first quarter."

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®, Bud Jones®, and Bourgogne et Grasset®, GPIC provides casino currency such as chips, plaques and jetons; casino tables, furniture and accessories; table layouts; playing cards; precision dice; roulette wheels; and gaming-related RFID technology and applications. Headquartered in Las Vegas, Nevada, GPIC has additional locations 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 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; the long-term growth and prospects of our business or any jurisdiction; the duration or effects of unfavorable economic conditions which may reduce our product sales; and the long term potential of the RFID gaming chips 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, 2010, 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 CONSOLIDATED BALANCE SHEETS (unaudited)
			March 31,	December 31,
			2011	2010
*ASSETS*
Current Assets:
	Cash and cash equivalents		$ 10,298	$ 11,400
	Marketable securities		20,489	18,350
	Accounts receivable, net		8,567	6,838
	Inventories		7,713	7,160
	Prepaid expenses		736	790
	Deferred income tax asset		490	949
	Other current assets		1,249	1,578
		Total current assets	49,542	47,065
Property and equipment, net			12,151	11,926
Intangibles, net			730	782
Deferred income tax asset			1,525	1,108
Inventories, non-current			478	496
Other assets, net			451	430
	Total assets		$ 64,877	$ 61,807

*LIABILITIES AND STOCKHOLDERS' EQUITY*
Current Liabilities:
	Short-term debt		$ 7,119	$ 6,696
	Accounts payable		2,834	3,216
	Accrued liabilities		6,666	6,204
	Customer deposits		3,164	3,919
	Income taxes payable		728	273
		Total current liabilities	20,511	20,308
Long-term debt			28	32
Deferred income tax liability			542	491
Other liabilities			44	41
	Total liabilities		21,125	20,872
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,
	8,199,016 issued and outstanding		82	82
Additional paid-in capital			19,254	19,196
Treasury stock, at cost; 8,061 shares			(196)	(196)
Retained earnings			21,998	20,269
Accumulated other comprehensive income			2,614	1,584
		Total stockholders' equity	43,752	40,935
		Total liabilities and stockholders' equity	$ 64,877	$ 61,807

GAMING PARTNERS INTERNATIONAL CORPORATION CONSOLIDATED STATEMENTS OF INCOME (in thousands, except per share amounts)
		(unaudited)
		Three Months Ended
		March 31,
		2011	2010
Revenues		$ 17,821	$ 10,945
Cost of revenues		11,569	7,274
	Gross profit	6,252	3,671

Marketing and sales		1,198	1,086
General and administrative		2,552	2,594
	Operating income (loss)	2,502	(9)
Other income and (expense)		110	63
	Income before income taxes	2,612	54
Income tax provision		883	17
	Net income	$ 1,729	$ 37

Earnings per share:
	Basic	$ 0.21	$ -
	Diluted	$ 0.21	$ -
Weighted-average shares of common stock outstanding:
	Basic	8,199	8,199
	Diluted	8,220	8,203

SOURCE Gaming Partners International Corporation