As top executives of International Game Technology lay out their strategy for the next year or so, they don't think much of the Renobased company's growth will come by making slot machines for casinos in the United States.
Instead, they told analysts, they think international markets where they sold more than half the company's production in the quarter ended Dec.
31 will provide much of IGT's horsepower.
And they're paying close attention, too, to the computer systems that IGT is developing to manage the casino floor everything from table games to instant downloads of new slot machine games.
The company just began modest tests of a server-based system that would allow casino operators to closely manage all their slots from a central location and perhaps personalize machines for each player.
TJ Matthews, the chairman and chief executive officer of IGT, said the company expects to be testing the system in six or seven properties by year-end.
If it works, he said, IGT might begin generating revenue from the new project by 2008.
The company,Matthews said, doesn't see much happening in U.S.markets.
The big burst of business generated by replacement of older machines with IGT's new ticket-in, ticket-out technology has abut run its course.
But the company recently introduced products into South Africa, and Matthews said it hopes to be selling in Russia later this year if regulatory issues can be settled.
The company's earnings of $120.6 million on revenues of $616 million in the quarter ended Dec.
31 were down 1.4 percent from the $122.4 million it earned on revenues of $641.2 million a year earlier.
IGT continues to use a portion of its earnings to buy back its stock.Although buybacks totaled only $73.1 million during the most recent quarter,Matthews said the company's goal continues to be about $100 million in repurchases during each quarter.
The company shipped 29,100 units during the quarter.
The company's gaming operations, meanwhile, generated revenues of $291.7 million in the quarter.
