CryptoLogic Inc., software developer and supplier to global Internet casino and poker markets, reported record results during its second quarter this year. Overall revenue was up 52% from last year, increasing from $19.9 million to $30.4 million in just the second quarter, and up to $57.3 million for the first six months of the year, a 43% increase from last year.
The results were atypical for the second quarter which is normally the slowest quarter for online gambling businesses. The company attributes its successful quarter its global reach and constantly diversifying portfolio of games.
"CryptoLogic's new casino games went head-to-head with the World Cup and warm weather and won. Our Q2 revenue and earnings were far ahead of expectations and surpassed our results in Q1 2006, which is typically a stronger quarter," said Lewis Rose, CryptoLogic Inc. president and CEO. "Players have embraced our new games and industry commentators agree that we have 'taken the online slot experience to the next level.' CryptoLogic's player-centric, product diversification and innovation strategy is paying off."
The company also reported it posted an $8.2 million profit for the quarter, up from $4.7 million last year. That translates to 59¢ per share, compared to 33¢ per share from the second quarter in 2005.
CryptoLogic Inc also mentioned its geographic diversification which has become increasingly important for companies involved in the online gambling business as the United States continues legislative and legal action against online gambling.
According to the company's report: "CryptoLogic focuses on geographic markets that embrace online gaming. The company develops software for the Internet casino and Internet poker markets. CryptoLogic does not offer its software and services to the sports betting market. None of its customers accept sports bets from the United States."
"CryptoLogic has long advocated regulation for the protection of players and the integrity of the industry. This is why the company has earned government approval in those jurisdictions with the strictest regulation for online gaming, and has focused on blue-chip international customers operating in licensed jurisdictions."