Global Cash Access Holdings, Inc. (the "Company") (NYSE:GCA) announced today financial results for the second quarter ended June 30, 2012.
Second Quarter 2012 Highlights
- Operating income increased 125% quarter-over-quarter to $16.0 million
- EBITDA increased 68% quarter-over-quarter to $20.1 million
- Net income per share, on a diluted basis, increased 450% quarter-over-quarter to $0.11
- Cash EPS increased 92% quarter-over-quarter to $0.23
“We are very pleased with the Company’s performance in the second quarter and for the first half of 2012. The Company is performing well in all segments and we continue to execute our plans and strategies. GCA continues to be well positioned for the second half of 2012,” said Scott Betts, CEO of Global Cash Access.
“I am also pleased to announce that the Company has executed a letter of intent with Live Gamer. Live Gamer is a leading independent wallet, analytics and media supplier for the social gaming space worldwide,” said Scott Betts, CEO of Global Cash Access. “Our proposed alliance with Live Gamer will combine GCA’s casino cash management expertise with Live Gamer’s cutting edge technology platform, expertise and player knowledge as a leader in the social and play-for-fun industry. We believe this alliance will position GCA well to develop integrated solutions as the social and Internet gaming markets continue to rapidly evolve. This approach acknowledges the importance of understanding the current trends in social gaming as we think about the Internet for our industry.”
Second Quarter 2012 Results
Revenues were $147.5 million for the second quarter 2012, as compared to revenues of $135.1 million for the same period in 2011. The overall increase in revenues was primarily due to the MCA asset acquisition coupled with modest organic growth in the Company’s base business. Operating income was $16.0 million for the second quarter 2012, an increase of 125%, as compared to $7.1 million for the same period in 2011. Earnings before interest, taxes, depreciation and amortization ("EBITDA") (see Non-GAAP Financial Information below) were $20.1 million for the second quarter 2012, an increase of 68%, as compared to $12.0 million for the same period in 2011. The increase in EBITDA for the second quarter 2012 was primarily a result of both the October 1, 2011 enactment of the Durbin Amendment and its impact on the interchange rates paid by the Company on its debit card transactions, as well as the MCA asset purchase. Adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA") (see Non-GAAP Financial Information below) were $21.4 million for the second quarter 2012, an increase of 50%, as compared to $14.3 million for the same period in 2011.