Las Vegas table-game and systems developer and distributor Galaxy Gaming touted an extended license with partner Evolution and posted second-quarter earnings that reversed a year-earlier loss.
A key cash flow measure and revenue also rose year to year. The company raised its revenue guidance for the year.
In a Monday 8-K filing with the Securities and Exchange Commission, Galaxy Gaming said its net income was $331,489, or 1 cent per diluted share, for the three months ended June 30, reversing a net loss of $1.2 million, or 5 cents per diluted share, a year earlier.
Adjusted earnings before interest, taxes, depreciation, and amortization, a cash-flow measure that excludes one-time costs, rose 33% to $3.2 million from $2.4 million.
Revenue rose 31.2% to $7.5 million from $5.7 million.
In a statement Monday, Chief Executive Officer Todd Cravens touted Galaxy’s 10-year license extension with Evolution, its largest customer. Under the deal, Stockholm, Sweden-based Evolution will distribute Galaxy’s table-game content. Financial terms weren’t disclosed.
Cravens added that in September, his company will become the exclusive distributor of the Talisman Group’s EZ Baccarat in the United States, Canada, and United Kingdom, as well as on the internet. Cravens said the deal can yield “several million dollars” in revenue. Financial terms of the distribution deal also weren’t disclosed. Talisman Group is based in Las Vegas.
“It has been a very busy six months for us,” Cravens said.
On Aug. 2, Galaxy said it and Spirit Gaming delivered their first blackjack progressive machine at Spielbank Hannover, a casino under Casinos Austria International – Lower Saxony Casinos – Spielbanken Niedersachsen.
Chief Financial Officer Harry Hagerty said Galaxy raised its 2023 revenue guidance from a range of $27.5 million to $28.5 million to a range of $29 million to $30 million.
Galaxy Gaming shares rose 15 cents, or 5.17%, Monday to close at $3.05 on the Over-the-Counter Bulletin Board. Galaxy’s share price has risen 30.9% in 2023.
