IGT Sees Profits Rise with Slots and Online Casinos
Fourth quarter reports are in at IGT, and they saw impressive growth during this quarter that ended in September. The fourth quarter earnings reached $88.1 million, an increase of $34.7 million from the fourth quarter of 2011. This brings the total 2012 revenues to $631.1 million, an increase of $91.3 million from 2011.
This 17% growth for the quarter and 10% growth for the year took many by surprise but IGT's CEO Patti Hart feels it's the quality games are what's helping them succeed. For shareholders, this put the value of one share up to $1.04.
With some U.S. senators working to get online gambling legalized in the United States, this could prove to be a huge boon for states and cities looking for additional tax revenue. This could be key to helping areas climb out of the economic slump.
Where the Increased Revenue Came From
During 2012, IGT sold more than 44,000 new slot machines to casinos. In addition, the price of the machines rose to $14,500 helping bring in even more revenue.
Social and online gaming also grew. Social gaming on sites like Facebook became incredibly popular. The revenue for both social and online gaming totaled $144 million. While some feared IGT's purchase of Double Down for Facebook was a mistake, the revenue increase proves they made the right decision.
IGT's Predictions for 2013
IGT believes that by 2013, the company will have seen another revenue increase. They're estimating that the value of a share will increase by approximately 15 cents, and that the revenues will increase by upwards of 25%.
About Double Down
Double Down currently has more than 1.4 daily users spending approximately 28 cents per day. This, itself, leads to a revenue base of $392,000. Games at Double Down include Blackjack, online slots, roulette, and video poker.
IGT is a major producer of both online and brick and mortar casino games. They have offices in Las Vegas and Reno. Among their popular games, there are titles like The Dark Knight, Sex and the City slots, Star Wars slots, and Wheel of Fortune. You can see their full game line-up at IGT.com. Our Best IGT Casinos: