GTECH shows stunning profits

GTECH, a Rhode Island-based company, considered to be one of the world's largest, has announced a robust profit growth in 2004. The growth is seen to have resulted from numerous agreements to provide Internet lotteries around the world. The record revenues this year originated from contracts with Sri Lanka , Spain and Mexico , according to Onlinecasinonews.com.

Bruce Turner, GTECH President and Chief Executive Officer, said, “In total, the company was awarded 11 new contracts and 10 extensions during fiscal year 2004 representing over $1.8 billion in revenues to GTECH over the life of the contracts.”

The fiscal year 2004 has become a record-breaking period for the company. The financial results have shown the outfit earned record revenues of $1.051 billion, an increase of 7 percent over 2003. “Our net income rose 29 percent to $183 million and diluted earnings per share increased approximately 17 percent to $2.84, including the impact of the one-time, non-cash gain in the third quarter. Our gross profit margins also eclipsed all earlier records, at approximately 43 percent”, commented Turner.

The company's official site www.gtech.com posted that domestic lottery start-ups became less frequent and therefore the company would develop an expansion menu of products and services to support established lotteries. GTECH will offer innovative solutions to improve an array of products and services to its customers.

The policy focuses on creating superior shareholder value and expanding the underlying core business as well as developing revenues from non-lottery commercial services.

According to Turner, the company goes on providing new sales by introducing or modifying lottery games, expanding distribution channels, and increasing marketing efforts. “We are also seeing a growing trend in the demand for video lottery,” he added.