IGT: Slot-Machine Demand Improving

LAS VEGAS (TheStreet) -- Slot-machine maker International Game Technologies (IGT Quote) is losing its own money.

The company posted a fourth-quarter loss, as revenue continued to decline. But management says demand for its slot machines and casino management systems has, at the very least, stabilized.

Investors took in the optimistic outlook, sending shares climbing 8.7% to $20.16 in morning trading.

Regardless, IGT lost $21.3 million, or 7 cents a share, compared with a profit of $52.1 million, or 18 cents, in the same quarter last year.

Revenue fell 19% to $514.6 million from $632.2 million last year.

These results are hardly surprising, given the weak results from casino operators over the past week.

On Thursday, MGM Mirage(MGM Quote) also swung to a loss in its third-quarter, weighed down by hefty charges related to its CityCenter development.

Last week Las Vegas Sands(LVS Quote) also said it widened its loss in its third-quarter , while Wynn Resorts(WYNN Quote) and Boyd Gaming(BYD Quote) saw double-digit declines in profits and sluggish sales.

Looking ahead, IGT expects fiscal 2010 earnings in the range of 77 cents to 87 cents a share, lower than the 88 cents analysts forecast.

-- Reported by Jeanine Poggi in New York

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