One of Warren Buffett’s favourite indicators for a company worth buying in to, is whether or not it’s keen to buy back its own stock. Bally Technologies Inc., a leading supplier of slots, video machines and systems for the global gaming industry appears to be moving in the right direction.
For the second reporting period in a row, the company announced a share buy back.
In addition, for the three months and six months ended December 31, 2009, respectively, Bally has also announced diluted earnings per share (EPS) of USD0.58 and USD1.11 on revenue of USD213 million and USD410 million.
“We are very pleased to report another very profitable quarter despite challenging market conditions,” said Richard M. Haddrill, the company’s Chief Executive Officer.
“We also continued to build our recurring revenues to 46 percent of total revenues in the second quarter versus 41 percent in the same period last year. We see positive long-term trends for our business as a result of planned gaming expansion, the extended deferral of customer game capital expenditures, and our upcoming product launches.”
“We are pleased to again have set several new quarterly and all-time records including systems revenue and gaming equipment gross margins,” added Robert C. Caller, the company’s Chief Financial Officer.
“We also continued to strengthen our balance sheet in the second quarter as we further reduced debt by USD12 million while repurchasing USD16 million of our stock.” Added Mr Caller.
