Slot maker posts earnings gain

Tuesday, Jan. 30, 2001 | 10:53 a.m.

WMS Industries Inc. of Waukegan, Ill., reported net income of 34 cents per share for the quarter ending Dec. 31. That's an increase of 48 percent over the year-ago quarter, excluding one-time charges and income.

The consensus analyst estimate had been 33 cents per share.

Net income for the quarter was $11 million, up 51 percent from the year-ago period, while revenues rose 30 percent to $67.4 million. Cash flow increased 41 percent before one-time items to $20.9 million.

When one-time charges are included, WMS' earnings per share fell 32 percent; the year-ago quarter included a one-time gain of $13.2 million, or 26 cents per share, related to a legal settlement.

WMS said increases in revenues were driven by a 16 percent increase in slots sold during the quarter, as well as a 9 percent rise in average selling price. Revenues from participation slots rose 28 percent to $21.8 million, as the company's "Monopoly" and "Jumble" slot machines continued to gain market share. The company had 4,784 participation slots installed as of December, up 42 percent from December 1999.

WMS released its earnings after the market closed Monday. This morning, WMS was up $1.86 to $18.31.