Scientific Games Corp Earnings: Swinging to a Loss
Scientific Games Corp (NASDAQ:SGMS) swung to a loss in the first quarter, missing analysts’ forecast. Scientific Games Corporation is a supplier of technology-based products, systems and services to gaming markets worldwide. It also gain access to technology and pursue global expansion through strategic joint ventures and minority investments.
Scientific Games Earnings Cheat Sheet for the First Quarter
Results: Swung to a loss of $6.9 million (8 cents/diluted share) in the quarter. The Scientific Games Corp had a net income of $4.9 million or 5 cents per share in the year earlier quarter.
Revenue: Fell 9.1% to $196.7 million YoY.
Actual vs. Wall St. Expectations: SGMS fell short of the mean analyst estimate of 2 cents/share. Estimates ranged from a loss of 3 cents per share to a profit of 6 cents per share.
Quoting Management: Chairman and Chief Executive Officer A. Lorne Weil commented, “We believe the Company is entering a new and exciting period as we’re executing on the key growth initiatives outlined late last year. We’ve realized improved performance in both China and Italy, increased our installed base of server-based gaming machines, broadened the reach of our internet-based services, and are now preparing for the launch of the first private management contract in the U.S. with the Illinois Lottery. Additionally, the pending acquisition of Barcrest will enable us to offer best-of-breed content to our state-of-the-art server-based gaming network, which we believe will drive cash box performance for our customers and, in turn, revenue for our Company.”
Competitors to Watch: International Game Tech. (NYSE:IGT), Multimedia Games, Inc. (NASDAQ:MGAM), Churchill Downs, Inc. (NASDAQ:CHDN), GameTech International (NASDAQ:GMTC), Canterbury Park Holding Corp. (NASDAQ:CPHC), WMS Industries Inc. (NYSE:WMS), Dover Downs Gaming & Entertainment, Inc. (NYSE:DDE), MTR Gaming Group, Inc. (NASDAQ:MNTG), Empire Resorts, Inc. (NASDAQ:NYNY), and Penn National Gaming, Inc (NASDAQ:PENN)
Stock Performance: Shares of SGMS are flat after hours.