Second quarter reports show a very impressive increase in Multimedia Games earnings, as the slot machine development company post results which are sharply above analysts’ forecasts and represent a fantastic leap forward for both the company and their investors – with shares surging seventeen per cent throughout the day to a multiyear high.
It is clear that it takes high quality slot machine games to do well in this business, and that is something that they pride themselves on. “Creating games that clearly resonate with players and deliver value to operators is enabling Multimedia Games to grow market share in existing markets and successfully enter new markets,” CEO Patrick Ramsey said in a statement along with the release of their statistics at the end of the second quarter.
Their second quarter earnings per share have climbed twenty nine per cent to a total of 31 cents, which is a huge amount more than the 19 cents per share which was previously estimated by analysts who were surveyed by Thomson Reuters. Revenue has also climbed by eighteen per cent to reach a total of $46.6 million, which again vastly beats the analysts’ forecasts of $43.2 million. It is clear that hard work, good marketing, and above all a good product are things that have gone toward making them reach such fantastic profits this year.
The company is a small cap gaming firm, and they provide games for land based Native American casinos, casinos operated on a commercial basis, and bingo halls, and they have coverage across more than twenty different states. Their machine count has grown year on year by eighteen per cent, with a total of one thousand eight hundred and twenty one machines installed by the end of the second quarter. It is especially impressive to do so well at a time when bigger brands are not seeing huge increases and in some cases are seeing shares fall: Caesars Entertainment have just dropped by one per cent, despite the fact that they have not yet released their second quarter report, and though MGM Resorts International have climbed it is only by 0.8 per cent.