Bally Tech profit jumps 37%

Feb 10, 2009 5:11 PM
Earnings by Ray Poirier | For the second consecutive week, a slot machine manufacturer reported earnings that were better than analysts had forecast.

Last week it was WMS Industries Inc. (WMS).

This week it was Bally Technologies Inc. (BYI). For the period that ended on Dec.31, 2008, the company said profit jumped 37% to $33.6 million or $0.59 per share from last year’s $24.4 million or $0.42 per share. Analysts had expected the company to report $0.54 per share.

The earnings increase was recorded with just a 1% hike in sales which totaled $245 million. This came from the sale of 6,099 units. In the same period of 2008, the company had sales of 7,144 units. However, in the company’s gaming operations division, revenues rose 23% to $66 million.

With clouds still hanging over the nation’s economy and its impact on casino operations, the company took a decidedly conservative view in its forecast for the remainder of the fiscal year.

The company now expects profit of $2.15 to $2.35 per share, down from its previous estimate of $2.45 per share.