Bally’s first quarter revenue grows 21%

2012-10-29

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(US).- Bally Technologies saw its year-to-year revenue increase by 21% in the first quarter. The firm has unveiled a us$ 150 million share repurchase plan that would replace an existing program. "The new repurchase program allows us to continue to support our capital-deployment strategy and reflects our continued confidence in Bally's long-term growth plan and ability to consistently generate free cash flow," said Neil Davidson, Bally's CFO.

“Our first quarter fiscal 2013 results continue to reflect the success of our expanded game studios, our new technology platform, and our successful execution on a number of other initiatives, including the entrance into new markets,” said Richard M. Haddrill, the Company’s CEO. “We expect continued growth from each of our businesses as both our visibility and our customer partnerships are at remarkable levels, and we continue to identify new growth opportunities. Further, the Bally showing earlier this month at the Global Gaming Expo (‘G2E’) was the best in our company’s history.”

“This week, the Company’s Board of Directors authorized a new $150 million share repurchase program, replacing our existing program under which we had repurchased approximately U$S 127 million of common stock, including $67 million of stock repurchased at an average price of U$S 44.22 per share during the first quarter,” said Neil Davidson, the Company’s CFO

“The new repurchase program allows us to continue to support our capital-deployment strategy and reflects our continued confidence in Bally’s long-term growth plan and ability to consistently generate free cash flow.”

Additionally, the Company’s leverage ratio remains comfortably below 2.0 times, which leaves the Company’s share repurchases unrestricted under the terms of its credit agreement. This quarter represented the 20th consecutive quarter the Company has repurchased its common stock.

“The first quarter was momentous as we shipped our first Video Lottery Terminal (‘VLT’) units to the Atlantic Lottery Corporation, as well as initial Video Gaming Terminal (‘VGT’) units in Illinois,” said Ramesh Srinivasan, the Company’s President and COO.

“We are pleased with the feedback we received from customers earlier this month at G2E, where we showcased a significantly expanded game library and premium titles, such as NASCAR and Pawn Stars, and additional content for the Elite Bonusing Suite. We remain confident in our growing for-sale content and in the performance of our wide-area progressive (‘WAP’) products including GREASE and Michael Jackson King of Pop, and now our newest title, Betty Boop’s Fortune Teller, which yet again drove record quarterly gaming operations revenues and gross margin.”