Global Cash Access Posts 4Q/10 Revenue Down 7.4% Y/Y
Global Cash Access generated 4Q/10 revenue of $137.8 million, down 7.4% from the year ago figure of $148.8 million. Meanwhile, the cash access service provider diclosed its operating income was $10.1 million, a 37.2% drop from the $16.0 million in 4Q/09; EBITDA was $13.8 million for 32.0% drop; and income from continuing operations was $6.1 million for 47.6% plummet. Results throughout all of 2010 show a 9.0% revenue drop from the 2009 figure of $667.7 million to $605.6 million. Diluted earnings per share from continuing operations were $0.26 a decrease of 42.2% from $0.45 for the fiscal year ended December 31, 2009. Cash EPS were $0.54 for fiscal year 2010, a 25.0% decrease from the $0.72 for fiscal year 2009. These figures lead GCA to a projected tax rate of 40%, which is slightly higher than previously announced and EBITDA for fiscal year 2011 will be between approximately $61 million and $65 million, given there’s a slight improvement in the gaming industry in 2011.