|CryptoLogic has announced its financial results for the third quarter and nine months ended September 30, 2005. CryptoLogic’s record revenue, near record earnings and positive operating cash flow reflected strong organic growth from existing customers in the company’s primary Internet casino and Internet poker markets, even in the traditionally soft summer season for Internet gaming.|
“CryptoLogic remains a model of consistent performance, even in fast-changing times for the industry,” said Lewis Rose, CryptoLogic’s President and CEO. “For CryptoLogic, it’s all about delivering innovative games to selected blue-chip customers in the world’s most lucrative markets for Internet gaming. CryptoLogic’s diversified, disciplined strategy and its trusted reputation as a long-standing public company are delivering excellent results. This quarter’s casino revenue was up 12% and poker fees grew 89% over last year.”
Fiscal 2005 third quarter highlights included: Quarterly revenue grew 35% to a record $21.0 million, and earnings rose 80% over Q3 2004 to a near record $5.1 million or $0.36 per diluted share. Internet poker fees derived from the company’s WagerLogic licensing subsidiary grew 89% over Q3 2004, and were up 6% sequentially over Q2 2005. Poker software fees accounted for more than 30% of Q3 2005 revenue.
CryptoLogic will remain clearly focused on working with a core group of major international customers to achieve the highest returns in the lucrative Internet casino and Internet poker sectors. Management expects fourth quarter revenue to range from $22.2-$22.6 million, with earnings of $5.4-$5.6 million or $0.39-$0.40 per diluted share.