peaking on a conference call, Chief Executive Patti Hart said she was "cautiously optimistic" about casino budgets and spending plans for 2010, but she left IGT's earnings outlook for the current fiscal year unchanged at between 77 cents and 87 cents a share.
Analysts, on average, have forecast full-year earnings of 88 cents a share, according to Thomas Reuters I/B/E/S. For the fiscal first quarter ending in December, IGT posted net income of us$ 73.3 million, or 25 cents a share, compared with us$ 61.2 million, or 21 cents a share, a year earlier.
"Our first quarter results reflect measured progress in numerous aspects of our business, despite continued challenges in the broader marketplace," said CEO Patti Hart. Â "During the first quarter, historically the slowest of the year, we shipped more North American replacement units than the prior year quarter, went live with the first large-scale deployment of our sbX platform and achieved our highest operating margin in six quarters."
IGT, based in Reno, Nevada, said results from prior periods include new accounting standards adopted in the December quarter - affecting items such as interest expense, earnings per share, long-term debt and shareholders' equity. Quarterly revenue fell 14 % to us$ 515.7 million. IGT shares, which closed at us$ 20.20 on the New York Stock Exchange, were higher at us$ 20.97 after hours.
Consolidated revenues for the first quarter were us$ 515.7 million, of which 54% was generated from gaming operations and 46% from product sales, compared to us$ 601.6 million for the same quarter last year. A Consolidated gross profit and operating income for the quarter were us$ 296.6 million and us$ 140.3 million, respectively, compared to us$ 305.9 million and us$ 100.1 million, in the prior year quarter.
For the current quarter, gross margins on gaming operations were 62%, compared to 52% for the same quarter last year.