Progressive Gaming International Corporation (PGIC), a leading provider of diversified technology and content products and services used in the gaming industry worldwide, has announced a net loss of US$8.8 million, or $.26 per share, for the quarter ended March 31, 2006. Revenues were US$3 million lower than anticipated as a result of the timing of regulatory approvals for new products and the continued deferral of revenues for certain contracts as required by applicable accounting rules.

During the first quarter of 2006, the Company reported its highest level of systems revenues since inception of $13.5 million compared to $8.4 million for the same period a year ago. The improvement in systems revenues was primarily driven by higher license revenues and installations of CasinoLink in Macau, the Baltics, the UK and continuous expansion in Canada. These installations, along with others, contributed to an increase in the Company's slot management installed base of 4,000 games, to approximately 53,700 games as of March 31, 2006.

President and Chief Executive Officer Russel McMeekin stated: "Last year we were successful in transforming our business to a content and technology model through strategic investments in intellectual property, business development and human capital. During 2006, we are solely focused on key initiatives designed to transform these investments into revenue generating opportunities. Although our short-term results may be impacted by the transformation of these investments, we continue to make significant progress with our initiatives with a focus on longer-term revenue growth.”

He added, “We have expanded our international operations to Macau and have completed key contracts with customers in this region. We are experiencing stronger than ever demand for our Texas Hold 'Em Bonus poker / World Series of Poker table game and we have grown our installed base of progressive jackpot management systems through installations at major casino operators. Additionally, the roll-out of our central server-based gaming and Intelligent Table System products continue to track as expected.

"We believe the execution of our strategic initiatives combined with a strong presence in key gaming markets will provide us with a solid recurring revenue base in the future. We have seen positive trends as a result of our focus on these initiatives, as evidenced by our record systems revenues this quarter, and expect this trend to continue in the future." (E-06.20.06)

© Copyright 2006 CasinoCompendium



>>> return to archives
>>> return to frontpage