Good News From Chartwell Casino Software

Published: Friday, March 11, 2005 Online-Casinos.com

GOOD NEWS FROM CHARTWELL

Ninth profitable consecutive quarter

Turnkey provider Chartwell Technology Inc announced solid financial results for the first quarter ended January 31, 2005 this week.

Highlights of the quarter included:

• Revenue of $4,815 000 compared with $2,198 000 during the same period in fiscal 2004;
• Net income of $1,486 000 compared with net income of $386 000 during the same period in fiscal 2004;
• Software license fees of $4,622 000 compared to $1,939 000 during the same period in fiscal 2004;
• Cash flow from operations of $1,236 000 compared to $821 000 during the same period in fiscal 2004;
• Working capital of $23,323 000 compared to $10,549 000 during the same period of 2004;

  Compared to the same period of 2004, total revenue increased 119.1 percent, operating income increased 418.6 percent, net income increased 284.9 percent and earnings per diluted share increased 166.7 percent.
  
  "Consistent with our objective of delivering continued growth and profitability, I am pleased to report our ninth consecutive profitable quarter" states Don Gleason, Chief Financial Officer. "I am encouraged by the overall growth of the industry in general and our installed customer base but even more excited that new customer business contributed 18 percent of our total sales revenue."
  
  Planned personnel additions in the software development and support organizations have contributed significantly to the 32.2 percent increase in software development and support costs. Software development and support expenses accounted for 51.4 percent of the company's total costs in the first quarter of 2005 compared to 56.6 percent in the same period of 2004. Sales and marketing expenses increased by 105.7 percent to $600 000. The increase in sales and marketing expenses is directly attributable to additional sales and marketing headcount and the costs relating to the operation of the London, U.K. sales office.