Thursday, April 23, 2009 | 6:59 a.m.
IGT Financial Information
| 2Q 2009 | 2Q 2008 | % Change | 1Q 2009 | |
|---|---|---|---|---|
| Revenue | $475.7 million | $573.2 million | -17% | $601.6 million |
| Net income | $38.3 million | $68.4 million | -44% | $65.7 million |
| Net income per share | 13 cents | 22 cents | -41% | 22 cents |
International Game Technology reported a 44 percent drop in net income for the second quarter, due to a an multi-million dollar restructuring charge and the strain the economic downturn has put on the gaming industry.
Net income for the Reno-based company fell to $38.3 million, or 13 cents per share, compared to $68.4 million, 22 cents a share for the same quarter last year.
"Our second quarter saw continued difficult economic conditions worldwide impacting our financial results, but in a number of jurisdictions we are beginning to see stability in play levels," CEO Patti Hart said.
Revenue fell 17 percent to $475.7 million in the second quarter from $573.2 million in the same quarter of 2008.
IGT posted a 14 percent drop in revenue and a 6 percent drop in gross profits in gaming operations due to lower play levels. Product sales revenue declined 22 percent to $181.2 million in the second quarter from $232.2 million.
Former CEO and current Chairman of the Board of Directors TJ Matthews said the numbers reflect the tough economic conditions and tight credit market but IGT is starting to see some relief and even increases in certain jurisdictions.
Due to the recession, IGT cut about 700 people, or 10 percent of their work force since November 2008 but Matthews said most of cost reductions behind them.
IGT recently hired former Treasure Island President Tom Mikulich as a vice president of MegaJackpots. Matthew said IGT hopes Mikulich will help give an operators perspective on game placement on the casino floor.
IGT opened at $10.50 a share.
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