BUSINESS

Probability posts H1 loss, Devilfish has mixed year, Sands China rejected

TAGs: Devilfish Gaming, Macau, Probability PLC, sands china

devilfish-probability-sands-chinaFresh off announcing the sale of its struggling poker product, Devilfish Gaming plc posted results for the year ending June 30, 2010. Turnover was up 13% to £783k, resulting in a gross profit of £525k, but a £1.7m ‘impairment of goodwill’ charge led to the company posting an overall loss of £2.14m. Devilfish CFO Andrew Flitcroft reports that the company’s efforts to reduce costs kept it from actively marketing the brand, but once the poker sale is approved, the company will ‘actively seek acquisitions.’

Mobile specialists Probability plc reported its half-year results on Friday. The company’s net gaming revenue was £2.31m for the six months ending Sept. 30, a notch down from the £2.48m the company earned in 2009. The end result is an attributable loss of £758k, compared to a £275 loss in 2009.

On the land-based gaming front, as if being overtaken by Steve Wynn in the Macau market share pie chart wasn’t hard enough for Sheldon Adelson to swallow, Sands China is now getting dissed by the Macau government. Sands stock fell as much as 5.5% on the news that Macau authorities have rejected the Sands’ application to develop sites 7 and 8 on Macau’s Cotai Strip. As Sands has already spent over $100m in pre-construction costs, the company is likely to request a review of the decision, but observers don’t like their chances. Especially since Stanley Ho’s market-leading SJM Holdings has informed Macau that it’s interested in those same parcels, presumably so Stanley will have a place to store all his prized truffles.

Comments

views and opinions expressed are those of the author and do not necessarily reflect those of CalvinAyre.com