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Vegas gaming companies report quarterly profits

LAS VEGAS, Nevada -- Two Las Vegas-based gaming companies, Gaming Partners International Corp. and Full House Resorts Inc., reported profits Monday for the fourth quarter of 2008.

Gaming Partners, which sells casino chips and table game equipment, reported a fourth quarter profit of $1.8 million or 22 cents per share vs. a profit in the year-ago quarter of $900,000 or 11 cents. Revenue, however, fell 21 percent to $15.7 million.

At Dec. 31, the backlog of unfilled orders, which are expected to be filled in 2009, was $13 million -- including more than $8 million from two casinos in Asia. The year-earlier backlog was $11.1 million.

"We are pleased with our fourth quarter and year-end results for 2008, especially given the difficult economic environment. Our continuing efforts to reduce costs contributed to these results. The move of our Bud Jones chip production from Las Vegas to Mexico is improving operating margins and we have made staff reductions as well as other cost reductions,' Chief Executive Gerard Charlier said in a statement.

"This past year was the company's second best year in terms of both revenues and net income. However, the challenges facing the gaming industry will make 2009 a difficult year, especially in the first quarter. Nonetheless, we are positioning the company to meet the challenges we face and believe we can find success in the marketplace, such as the large orders we announced in January for the City of Dreams casino in Macau and the Newport City casino in Manila," he said.

Full House, which has a casino in Fallon in Northern Nevada, reported break-even results for its fourth quarter, the same as in the 2007 quarter. Its revenue in the 2008 quarter of $2.271 million was down from $2.392 million in the 2007 quarter, while the 2008 quarterly profit of $6,380 compared to $8,596 a year earlier.

Besides its Stockman's casino in Nevada, the company receives a fee from the operation of the Harrington Raceway and Casino in Delaware and it is developing a casino in the Battle Creek, Mich., area in cooperation with the Nottawaseppi Huron Band of Potawatomi Indians. Full House said it's also working with the Northern Cheyenne Nation of Montana to develop a casino.

Copyright © Las Vegas Sun. Inc. Republished with permission.

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