DUBLIN, Ireland — Internet gambling software provider CryptoLogic Ltd.has raked in fourth-quarter net income of $4.3-million (U.S.), up from $1.7-million a year earlier, as revenue rose seven per cent despite the impact of U.S. online-gambling laws.

On a per-share basis, the earnings amounted to 36 cents US per share, up from 12 cents per share last year. The quarterly results included a tax recovery of $700,000 and a writeoff of $1.75 million in program costs.

The quarter's $20.4-million in revenue compared with $19-million a year earlier, boosted by strong casino revenue as well the release of contingency funds.

CryptoLogic, which reports in U.S. dollars, had earlier forecast revenue of $18.5-million and net income of between $2-million and $3-million for the quarter.

The results for the company, headquartered in Ireland but with much of its operations still in Canada, “demonstrated the resilience of its business,” stated CEO Brian Hadfield, who became chief executive last month.

“CryptoLogic led the industry in gaming innovation, broadened and deepened its customer relationships, grew both its core and emerging businesses, and made strategic investments in Europe and Asia.”

The company also credited the release of new casino games in October for the results, along with the launch of superhero-themed slot games in December.

For the year, profit slumped 78 per cent to $5.5-million, 47 cents per share, from $24.8-million, $1.83 per share, while revenue fell to $73.7-million from $104-million.

CryptoLogic said it ended 2007 with $77.5-million in net cash.

Canadian Press
March 18, 2008 at 9:31 AM EDT