IGT posts record revenues

Nov 13, 2001 7:35 AM

IGT hit a $300 million jackpot this year. Reporting revenue of $1.3 billion, the Reno-based game maker enjoyed a record fiscal year that ended Sept. 30.

Net income for the quarter totaled $56 million, up from $49 million a year ago. Net income was also a record ”” $214 million for the year vs. $138 million.

“Higher revenues and improved margins produced a remarkable fiscal year,’’ said CEO G. Thomas Baker. He credited the company’s new EZ Pay ticket-in/ticket-out system for boosting profits.

Gaming operations revenue and earnings of unconsolidated affiliates reached $147 million last quarter compared with $108 million a year ago, representing the fourth consecutive quarter of record revenue. Gross profit on gaming operations and earnings of unconsolidated affiliates jumped 23 percent to $98 million.

The installed base of IGT wholly owned and joint venture recurring revenue games grew by approximately 1,100 units in the fourth quarter and 7,000 units in the fiscal year to 26,200 units.

It wasn’t all good news, however. Play levels on these games dropped immediately following Terror Tuesday.

But with its global reach, IGT has been able to bounce back. Weekend play per game across all jurisdictions is generally above those of the weekend immediately preceding Sept. 11, the company reported. Full week play per game is currently at 90 percent of the pre-attack levels on average in all jurisdictions.

IGT shipped a total of 119,900 machines during fiscal 2001 vs. 107,000 in the prior year. Domestic shipments improved from 44,700 to 64,600 units, with increased volume in the Nevada, Midwestern, and Native American markets. The firm’s domestic replacement sales totaled 38,000 units, doubling last year’s number.