GameTech International Inc., a Renobased
maker of electronic bingo equipment,
earned $2.7 million, or 23 cents a
share, on revenues of $48.9 million in its
fiscal year ended Oct. 31.
This compares with a loss of $4.4 million,
or 41 cents a share, on revenues of
$48.5 million in GameTech's previous
fiscal year.
For the fourth quarter, the company
reported a loss of $385,000, or 3 cents a
share, on revenues of $12.4 million. This
compares with a loss of $4 million, or 37
cents a share, on revenues of $11.8 million
a year earlier.
GameTech said the number of its
units used by bingo operators increased
by 20 percent during the year.
Installations of its back-office accounting
systems rose by 200 percent from yearearlier
figures.
The company's fourth-quarter revenues
were dampened by the discovery
that a former employee had violated
security systems.
The discovery led to temporary shutdowns
of GameTech's equipment in three
states.
Equally important were indirect
effects such as delayed development of
new products as GameTech completed
its internal investigation, said Clarence
Thiesen, the company's chief executive
officer.
All of GameTech's units now have
been restored to play.
He said that the security crisis pointed
out, however, the benefits of steps
GameTech had taken earlier in the year
to bolster its management team.
In a release, Thiesen said GameTech's
management tackled the security issue
"with resolve and commitment" and he
said the company is stronger for having
weathered the storm.
In other developments, Thiesen said
GameTech's capital expenditures during
the fiscal year totaled $12.1 million.
Most of that, he said, was used to modernize
equipment and increase the number
of GameTech units in the field.
The electronic bingo equipment manufactured
by GameTech includes handheld
units, fixed-based units and
accounting and management software.
