LAS VEGAS, NV -- Gaming Partners International Corp., a leading worldwide provider of casino currency and table gaming equipment, today announced financial results for the third quarter and nine months ended Sept. 30, 2011.

For the third quarter of 2011, the Company posted revenues of $13.8 million and net income of $0.5 million, or $0.06 per basic and diluted share. These results compare to revenues of $12.4 million and net income of $0.8 million, or $0.09 per basic and diluted share, for the third quarter of 2010. Gross profit for the third quarter of 2011 was $4.2 million, or 31% of revenues, compared to $4.1 million, or 33% of revenues, for the prior year quarter.

The increase in revenue for the third quarter of 2011, compared to the same prior year period, was due primarily to an approximate $1.0 million increase in sales of European-style casino chips to Asia, particularly to SJM casinos in Macau.  Additionally, the Company realized $0.3 million in RFID solutions revenue in Asia in the third quarter of 2011.

For the first nine months of 2011, the Company posted revenues of $46.4 million and net income of $3.1 million, or $0.38 per basic and diluted share. These results compare to revenues of $43.2 million and net income of $3.5 million, or $0.42 per basic and diluted share, for the first nine months of 2010. Gross profit for the first nine months of 2011 was $15.1 million, or 33% of revenues, compared to $16.3 million, or 38% of revenues, for the first nine months of 2010.

The increase in revenue for the first nine months of 2011, compared to the same prior year period, was due primarily to an increase of nearly $8.3 million in sales of European-style casino chips for the Galaxy and SJM casinos in Macau, as well as in other parts of Asia, and $1.3 million in RFID solutions revenue.  This increase was offset by a $4.3 million decline in American-style casino chip sales and a $2.1 million decline in furniture and accessories sales in the United States.

The Company ended the quarter with $25.2 million in cash, cash equivalents and marketable securities.

"Our results for the third quarter and the first nine months of 2011 were driven by continued higher revenues in Asia," said Gregory Gronau, GPIC president and CEO. “We have also recently received orders from the Sands Cotai Central Project Parcels 5 and 6 in Macau, the Star Casino in Australia and from the Genting Casinos UK in the United Kingdom, which together include chips and plaques from the Company’s Bud Jones and Bourgogne et Grasset product brands.  Totaling approximately $6.2 million and to be delivered in 2012, these orders reflect our continued efforts to expand our relationships with key operators in every major gaming jurisdiction.”

About Gaming Partners International Corp.:

GPIC manufactures and supplies casino table games and equipment to licensed casinos worldwide. Under the brand names of Paulson, Bud Jones, and Bourgogne et Grasset, GPIC provides casino currency such as chips, plaques and jetons; casino tables, furniture and accessories; table layouts; playing cards; precision dice;  roulette wheels; and gaming-related RFID technology and applications.  Headquartered in Las Vegas, Nevada, GPIC has additional locations in Beaune, France; San Luis Rio Colorado, Mexico; Atlantic City, New Jersey; Gulfport, Mississippi; and Macau S.A.R., China.  

GAMING PARTNERS INTERNATIONAL CORP.

CONDENSED CONSOLIDATED BALANCE SHEETS

(unaudited)

(in thousands, except per share amounts)


 



September 30,


December 31,

 



2011


2010

 

ASSETS




 

Current Assets:




 

Cash and cash equivalents

$               8,521


$             11,400

 

Marketable securities

16,635


18,350

 

Accounts receivable, net

5,115


6,838

 

Inventories

7,973


7,160

 

Prepaid expenses

1,028


790

 

Deferred income tax asset

536


949

 

Other current assets

2,285


1,578

 


 Total current assets

42,093


47,065

 

Property and equipment, net

11,857


11,926

 

Intangibles, net

675


782

 

Deferred income tax asset 

1,279


1,108

 

Inventories, non-current 

304


496

 

Other assets, net 

387


430

 

      Total assets

$             56,595


$             61,807

 




 

LIABILITIES AND STOCKHOLDERS' EQUITY




 

Current Liabilities:




 

Short-term debt

$                    17


$               6,696

 

Accounts payable

2,943


3,216

 

Accrued liabilities

5,464


6,204

 

Customer deposits and deferred revenue

3,136


3,919

 

Income taxes payable

173


273

 


 Total current liabilities

11,733


20,308

 

Long-term debt

19


32

 

Deferred income tax liability

564


491

 

Other liabilities

42


41

 

     Total liabilities

12,358


20,872

 

Commitments and contingencies - see Note 8




 

Stockholders' Equity:




 

  Preferred stock, authorized 10,000,000 shares, $.01 par value,




 

 none issued or outstanding

-


-

 

  Common stock, authorized 30,000,000 shares, $.01 par value,




 

8,199,016 issued and outstanding

82


82

 

  Additional paid-in capital

19,360


19,196

 

  Treasury stock, at cost; 8,061 shares

(196)


(196)

 

  Retained earnings

23,383


20,269

 

  Accumulated other comprehensive income

1,608


1,584

 


Total stockholders' equity

44,237


40,935

 


Total liabilities and stockholders' equity

$             56,595


$             61,807

 
           



GAMING PARTNERS INTERNATIONAL CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(unaudited)

(in thousands, except per share amounts)


 


Three Months Ended


Nine Months Ended

 


September 30,


September 30,

 


2011


2010


2011


2010

 

Revenues

$     13,834


$     12,383


$     46,446


$     43,235

 

Cost of revenues

9,596


8,319


31,347


26,914

 

Gross profit

4,238


4,064


15,099


16,321

 









 

Marketing and sales

1,194


1,088


3,604


3,363

 

General and administrative

2,587


1,899


7,432


7,336

 

Operating income

457


1,077


4,063


5,622

 

Other income and (expense)

125


75


357


229

 

Income before income taxes

582


1,152


4,420


5,851

 

Income tax provision

105


391


1,306


2,387

 

Net income

$          477


$          761


$       3,114


$       3,464

 









 

Earnings per share:








 

Basic

$         0.06


$         0.09


$         0.38


$         0.42

 

Diluted

$         0.06


$         0.09


$         0.38


$         0.42

 

Weighted-average shares of common stock outstanding:








 

Basic

8,199


8,199


8,199


8,199

 

Diluted

8,234


8,207


8,226


8,205

 
                 


Source: Gaming Partners International Corp.

 

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