An expanding market helped slot machine provider Multimedia Games increase profits in revenues in the company’s first quarter.
Multimedia, which is based in Austin, Texas, but has sales and marketing offices in Las Vegas, said Thursday its net income for the quarter that ended Dec. 31 was $9.5 million or 31 cents per share, compared with $7.1 million or 24 cents per share in the same quarter a year ago.
Total revenues for the company in the quarter increased 34 percent to $59.2 million.
“All told, we expect continued growth in fiscal year 2014 and beyond thanks to continued customer acceptance of Multimedia Games’ slot product, the company’s expansion into new gaming markets, and increased product breadth,” Brean Capital gaming analyst Justin Sebastiano told investors.
Multimedia Games CEO Patrick Ramsey said revenues from slot machine sales grew 77 percent in the quarter, helped by increased sales into Nevada and the company’s initial sales in Pennsylvania. The company also increased sales efforts in Atlantic City and Illinois.
Multimedia Games said it sold 1,375 slot machines during the quarter, compared with the sale of 644 games in the same quarter a year ago.
“As we continue to sell and place units in newer markets, we are simultaneously increasing our floor share in established markets and believe we can continue to grow our share for the foreseeable future,” Ramsey said.
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