Amaya’s revenues showed a 23 % decrease for the first quarter

Based in suburban Montreal, Amaya is currently in the process of purchasing gambling software provider Chartwell Technology Incorporated, which is the parent firm for Chartwell Games (International) Limited, by way of an ‘arm’s length transaction’ for approximately US$ 22.77 million and raised US$ 10.23 million last month to help fund this acquisition following the closing of a bought deal private placement of 3.3 million common shares.

Amaya stated that the decrease in revenues for the first quarter of 2011 reflected its ‘efforts to gain traction of its solutions aimed at the hospitality and government sectors’ while revealing that sales and marketing expenses for the period swelled by over 800 % year-on-year to US$ 1.92 million.

It also disclosed that its general and administrative expenses rose almost 185 % when compared to the same period in 2010 to US$ 1.42 million and declared that these increases were ‘mainly attributable’ to advertising, marketing and prize pool funding for its new operation in Kenya in addition to its growing employee base and the costs associated with running a fully staffed venture in Africa.

The firm declared that net loss for the first quarter of the year totalled just over US$ 1.82 million, which compared to profits of US$ 449,063 for the same period in 2010, with its gross profit percentage growing by 16 % year-on-year to 99 % ‘primarily driven by software licensing agreements’.