Acres sees slight profit

Monday, Dec. 6, 1999 | noon

Acres Gaming Inc. expects fiscal 2000 second-quarter results to be "marginally profitable," Chief Financial Officer Reed Alewel said.

He told shareholders at the annual meeting Friday earnings for the quarter ending Dec. 31 "will hinge on the successful opening of the MotorCity Casino," a Mandalay Resort Group-Atwater Casino group joint venture in Detroit. That casino is expected to open next week.

Profits will also depend on "continuing progress" in installation of the Las Vegas company's Coinless Transit system, a coinless slot system that allows players to redeem coupons for cash, in the Crown Casino in Sydney, Australia.

Analysts have estimated Acres' second-quarter net at 4 cents a share, or about $356,000.

Alewel also said first-half revenue is expected to be more than 80 percent higher the recorded in the first six months of fiscal 1999.

"We expect our revenue will continue to come in the form of large contracts that can cause significant variations in our quarterly revenue stream based on the time of the receipt of the order and the delivery of the products," he said.

Acres stock was quoted at $1.09375 a share, unchanged, in early afternoon trading today.