Revenues up 19.4%, G&A and Depr. & Amort. down 47.7%, four quarters of profits
San Diego, CA, March 31, 2000 – International Thunderbird Gaming Corporation is pleased to announce the following financial results for the year ended December 31, 1999. All figures are in thousands of US dollars, except per share amounts.
Revenues for the year 1999 were $17,706, an increase of 19.4% over 1998 revenues of $14,834. Included in 1998 revenues was $6,121 attributable to revenue received from the Company’s operations in California prior to cessation on May 13, 1998. Non- California revenues have grown over 100%.
Net Income for the year was $812 compared with a loss of $11,287 in 1998. The Company was profitable in each quarter of fiscal 1999. The bottom line improvement can be attributed to revenue expansion as described above, and stringent cost control. General and Administrative expenses fell 46.4% from $10,506 in 1998 to $6,525 in 1999. Depreciation and Amortization expenses fell 54.1% from $2,144 in 1998 to $984 in 1999.
In 1999 the Company paid and accrued a total of $608 in income taxes, for an overall tax rate of 42.8% compared with a tax recovery in 1998 of $941.
Earnings per share were USD$0.04 in 1999 compared with a loss of USD$0.49 in 1998.
In 1999, the Company achieved EBITDA before reorganization expenses (Earnings Before Interest, Taxes, Depreciation and Amortization) of $3,536 or USD$0.15 per share, compared to negative $2,269 or USD ($0.10) per share in 1998.
Turning to the Balance Sheet, the Company is pleased to report that the combination of strong operations and collection of receivables have resulted in a dramatic improvement. December 31 cash levels have risen from $1,125 in 1998 to $2,796 in 1999. The working capital deficiency of $5,353 at the end of 1998 has been reduced to $686 at the end of 1999. Total debts of the Company, including working capital deficiency, capital lease obligations, loans payable and deferred tax obligations, have been reduced from $7,047 in 1998 to $2,840 in 1999.
Our total debts at year-end 1999 of $2,840 were less than our EBITDA in 1999 of $3,401.
Our shareholders’ equity at year-end was $5,299, an improvement from $4,595 at the end of 1998. Our total debt to equity ratio has fallen to 0.54 from 1.53 at the end of 1998.
These income statement and balance sheet improvements have been achieved while expensing considerable sums developing new markets. The development of new opportunities in California, Venezuela and distributing the mechanical card shuffler, which have been the subject of previous press releases, have been expensed for accounting purposes. These opportunities, which the Company expects to contribute revenues and profitability in 2000, are not reflected on our balance sheet. Our internet-casino project was not the subject of material expense in 1999, and we expect it to be a meaningful contributor to profits in 2000.
Jack Mitchell, President and Chief Executive Officer, commenting on
the results, said: "1999 was a pivotal year for Thunderbird. As a team,
our people have achieved a phoenix-like turnaround. Revenues have been
increased dramatically. Expenses have been cut. Losses have been turned
into profits. Questionable receivables have been collected in cash, and
debts have been significantly reduced. We have built a strong foundation
for sustainable growth in our existing operations, and have laid the groundwork
for exciting new opportunities in several jurisdictions."
Richard S. Rabin joins Thunderbird as Executive Vice President and Chief Operating Officer
RICHARD S. RABIN previously served as President and Chief Operating Officer of Colorado Gaming & Entertainment, Inc., a wholly owned subsidiary of Hilton Group, PLC (formerly known as Ladbrokes Group, PLC). Mr. Rabin served as General Manager and Chief Financial Officer for various casinos in Nevada and in Colorado. Mr. Rabin has also served as Chief Financial Officer of a riverboat gaming facility operated by Sahara Gaming Corporation in Missouri. Mr. Rabin holds a "key license" from the Gaming Commission in Colorado and is a Certified Public Accountant. Mr. Rabin’s extensive experience and background in operations, finance, and administration will significantly contribute to Thunderbird’s growth.
International Thunderbird Gaming Corporation is an owner and manager of international gaming facilities. Our shares trade on the Toronto Stock Exchange under the symbol INB. Additional information about the Company is available on our web site at http://www.thunderbirdgaming.com .
On behalf of the Board of Directors
Jack R. Mitchell
President and CEO
Cautionary Notice: This release contains certain forward-looking statements
within the meaning of section 21E of the United States Securities Exchange
Act of 1934, as amended. All statements, other than statements of historical
fact, included herein, including without limitation, statements regarding
potential revenue and plans and objectives of the Company are forward-looking
statements that involve risk and uncertainties. There can be no assurances
that such statements will prove to be accurate and actual results could
differ materially from those anticipated in such statements. Important
factors that could cause actual results to differ materially from the Company's
forward-looking statements include competitive pressures, unfavorable changes
in regulatory structures, and general risks associated with business, all
of which are disclosed under the heading "Risk Factors" and elsewhere in
the Company's documents filed from time-to-time with the TSE and other
Contact: Investor Relations
Phone (858) 451-3637