This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Cramer's Action Alerts PLUS - See his portfolio and get alerts BEFORE every trade. Learn more NOW!

Multimedia Games’ First Quarter Revenue Increases 27% To $44.3 Million; EBITDA Rises 31% To $21.4 Million

Multimedia Games Holding Company, Inc. (Nasdaq: MGAM) (“Multimedia Games” or the “Company”) today reported operating results for its fiscal 2013 first quarter ended December 31, 2012, as summarized in the table below:

 

Summary of 2013 Q1 Results

(In millions, except per-share and unit data)

 

Three Months Ended December 31,

2012   2011
Revenue $ 44.3 $ 34.8
EBITDA (1) $ 21.4 $ 16.3
Operating income (2) $ 11.4 $ 3.8
Net income (2) (3) $ 7.1 $ 5.8
Diluted earnings per share (2) (3) $ 0.24 $ 0.21
Pro-forma diluted earnings per share (4) $ 0.24 $ 0.12
 
New units sold 644 408
 
Domestic participation installed units:
Average 10,942 9,506
Quarter-end 11,188 9,633
 
(1)   EBITDA is defined as net income before net interest expense, income taxes, depreciation, amortization and accretion of contract rights. A reconciliation of EBITDA to net income, the most comparable Generally Accepted Accounting Principles (“GAAP”) financial measure, can be found attached to this release.
(2) Operating income, net income and diluted earnings per share for the three month period ended December 31, 2012, reflects a change in the depreciable lives for the Company’s gaming operations equipment as described in the last paragraph of “Summary of Fiscal 2013 First Quarter Operating Results” below.
(3) Net income and diluted earnings per share for the three month period ended December 31, 2011, includes a one-time tax benefit totaling $1.0 million, or $0.04 per fully diluted share, and a gain on the sale of used equipment back to the original manufacturer totaling $0.9 million, or $0.03 per diluted share.
(4) Pro-forma diluted earnings per share for the three month period ended December 31, 2011, reflects the following adjustments; (i) a tax expense rate of 37.2%, the effective tax rate for the fiscal 2013 first quarter, which results in a $0.10 per diluted share reduction from reported results; (ii) the elimination of the one-time $0.03 per diluted share benefit related to the sale of used equipment to the original manufacturer; and, (iii) the Company’s estimated $0.04 benefit to fully diluted earnings per share related to the change in depreciable lives of its gaming operations equipment (which is described in more detail below).
 
Three Months Ended December 31,
2012   2011
As reported (2) (3) $ 0.24 $ 0.21
Pro-forma at 37.2% tax rate (0.10 )
Gain on sale of used equipment to original manufacturer (0.03 )
Normalize depreciation, net of tax     0.04  
Pro-forma EPS (4) $ 0.24 $ 0.12  
 

Patrick Ramsey, President and Chief Executive Officer of Multimedia Games, commented, “Our strong start to fiscal 2013 reflects a continuation of the momentum we built throughout fiscal 2012 in expanding our total addressable market and developing attractive, differentiated games and themes that address our customers’ needs and player preferences. Revenues of over $44 million in the first quarter of fiscal 2013 represent the highest quarterly revenue we have generated since the March 2006 quarter. The domestic installed base rose 5% on a quarterly sequential basis and by over 16% compared to the year ago period and we achieved another record quarter of unit sales across 17 states. Our operating leverage continues to improve, and as a result, growth in both operating income and EBITDA outpaced our 27% year-over-year increase in revenue.

1 of 11

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 18,050.24 -153.13 -0.84%
S&P 500 2,092.08 -15.70 -0.74%
NASDAQ 4,949.5230 -30.3780 -0.61%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs