Bally reports fiscal 2011 results

The firm announced diluted earnings per share from continuing operations of us$ 0.51 and us$ 1.82 on revenue of us$ 214 million and us$ 758 million for the three months and year ended June 30, 2011, respectively.

The current quarter was negatively affected by debt extinguishment costs of us$ 0.05 per diluted share related to the company refinancing its credit facility to decrease borrowing costs and to repurchase 9.9 million shares of its common stock in a tender offer completed in May 2011.

 “The highlight of Bally’s fiscal 2011 was the positioning we accomplished for the future,” said Richard M. Haddrill, the company’s CEO. 

“We grew gaming operations revenue by 11 percent and established a strong base of innovative games going forward. We also successfully commercialized two major new product lines, our ALPHA 2 gaming platform, and the iVIEW DM floor-wide network.  Further, we invested in key new customers and markets, such as Australia and Italy, which should provide good revenue and earnings growth in the current and future years,” Haddrill added.

“During fiscal 2011 we intensified our focus on creating long-term value for our shareholders by repurchasing nearly us$ 475 million worth of our common stock, of which us$ 398 million was via a modified ‘Dutch auction’ tender we completed in May 2011,” added Neil Davidson, the company’s CFO.

“In addition, we successfully closed on our new us$ 700 million credit facility during the quarter to increase our financial flexibility and lower the rate on our borrowing costs,” Davidson concluded.