INTERNATIONAL GAME TECHNOLOGY 
By LAS VEGAS, Apr. 24, 2012 /PRNewswire/ -- International Game Technology (NYSE: IGT) today reported operating results for the fiscal second quarter ended March 31, 2012.
"As expected, our financial results are strengthening as we move through the fiscal year - evidenced by our growth in both revenues and earnings in our second quarter," said Patti Hart, CEO of IGT. "Every aspect of our business is providing a meaningful contribution to our strong financial performance. It's gratifying to see the effort of our employees and the proficiency of our strategic investments generating returns for our shareholders."
Consolidated Results
--------------------
($ in
millions,
except per
share
amounts) Quarters Ended Six Months Ended
March 31, March 31,
--------- ---------
2012 2011 % Change 2012 2011 % Change
---- ---- -------- ---- ---- --------
GAAP Results
Revenue $541.2 $477.0 13% $986.8 $928.2 6%
Operating
income $118.0 $128.1 -8% $217.9 $248.3 -12%
Income from
continuing
operations $62.4 $67.7 -8% $112.7 $140.5 -20%
Earnings per
share from
continuing
operations $0.21 $0.22 -5% $0.38 $0.47 -19%
Net
operating
cash flows $176.7 $263.7 -33%
Non-GAAP
Results
Adjusted
operating
income $144.2 $131.3 10% $243.9 $252.0 -3%
Adjusted
income from
continuing
operations $79.5 $67.7 17% $130.6 $129.2 1%
Adjusted
earnings
per share
from
continuing
operations $0.27 $0.22 23% $0.44 $0.43 2%
Free cash
flow
(before
dividends) $53.1 $174.4 -70%
Adjusted operating income, adjusted
income from continuing operations,
adjusted earnings per share from
continuing operations and free cash
flow are non-GAAP financial
measures. Reconciliations between
GAAP and non-GAAP measures are
provided at the end of this
release.
-- Revenues increased 13% to $541 million in the second quarter, primarily
due to increases in North America product sales and interactive
businesses.
-- Non-GAAP adjusted measures primarily reflect the exclusion of charges
related to the acquisition of Double Down and a distributor settlement.
Gaming Operations
-----------------
($ in
millions,
unless
otherwise
noted) Quarters Ended Six Months Ended
March 31, March 31,
--------- ---------
2012 2011 % Change 2012 2011 % Change
---- ---- -------- ---- ---- --------
Revenue $300.4 $269.8 11% $565.0 $522.7 8%
Gross profit $181.6 $167.4 8% $342.0 $326.3 5%
Gross margin 60% 62% -3% 61% 62% -2%
Installed
base 56,100 52,500 7% 56,100 52,500 7%
Average
revenue per
unit per
day (0.00) $59.09 $56.40 5% $56.44 $54.48 4%
-- Revenues increased 11% to $300 million in the second quarter, primarily
due to increases in the interactive businesses and installed base.
-- Gross margin decreased to 60% from 62% in the second quarter, primarily
due to higher depreciation expense and the inclusion of the interactive
businesses.
-- Installed base increases were primarily driven by an increase in North
America and International lease operations.
-- Excluding the positive impact from the interactive businesses, average
revenue per unit per day in the second quarter was $52.34, up 3%
sequentially but down 4% over the prior year quarter, mainly due to
normal seasonality and a higher mix of lower-yielding units,
respectively.
-- DoubleDown Casino increased its monthly users by 24% to 5.6 million as
of March 31, 2012 when compared to December 31, 2011.
Product Sales
-------------
($ in
millions,
unless
otherwise
noted) Quarters Ended Six Months Ended
March 31, March 31,
--------- ---------
2012 2011 % Change 2012 2011 % Change
---- ---- -------- ---- ---- --------
Revenue $240.8 $207.2 16% $421.8 $405.5 4%
Gross profit $132.0 $115.2 15% $223.6 $225.7 -1%
Gross margin 55% 56% -2% 53% 56% -5%
Units
recognized
('000) 10.2 9.0 13% 17.5 17.3 1%
Average
machine sales
price ('000) $15.8 $14.6 8% $15.8 $14.4 10%
-- Revenues increased 16% to $241 million in the second quarter, driven by
higher unit sales and average selling price.
-- Gross margin decreased to 55% from 56% in the second quarter, primarily
due to higher international non-standard manufacturing costs.
-- North America product sales gross margin increased 210 bps
year-over-year and 480 bps sequentially, due to favorable mix and lower
non-standard manufacturing costs.
-- Units recognized increased 13% in the second quarter, primarily due to a
32% increase in North America replacement units.
-- Average machine sales price increased 8%, mainly due to a favorable mix
of higher priced boxes, including G23 MLD and Universal Slant MLD boxes.
Operating Expenses and Other Income/Expense
-------------------------------------------
($ in millions) Quarters Ended Six Months Ended
March 31, March 31,
--------- ---------
2012 2011 % Change 2012 2011 % Change
---- ---- -------- ---- ---- --------
Operating Expenses
------------------
Selling, general &
administrative $109.3 $89.1 23% $199.1 $171.3 16%
Research &
development 55.3 48.7 14% 102.2 97.6 5%
Depreciation &
amortization 19.3 16.7 16% 34.7 34.8 -
Contingent
acquisition
related costs 11.7 - - 11.7 - -
---- --- ---- ---
Total operating
expenses $195.6 $154.5 27% $347.7 $303.7 14%
====== ====== ====== ======
-- Operating expenses increased primarily due to additional expenses
related to the interactive businesses, including recently completed
acquisitions.
-- Other expense, net, in the second quarter totaled $21 million compared
to $23 million in the prior year quarter, primarily attributable to
reduced interest expense.
Cash Flows, Balance Sheet and Capital Deployment
------------------------------------------------
($ in
millions) Quarters Ended
--------------
March 31, Sept. 30
2012 2011 % Change
---- ---- --------
Cash
and
equivalents
(including
restricted
amounts) $360.6 $552.0 -35%
Working
capital $667.0 $875.2 -24%
Contractual
debt
obligations $1,650.0 $1,650.0 -
-- Cash and working capital decreased 35% and 24%, respectively, mainly as
a result of cash deployed associated with the acquisition of Double
Down.
-- During the second quarter, the company repurchased 3.0 million shares of
common stock at an average price of $15.43 per share for a total cost of
$46 million.
-- Over the past four quarters, the company has repurchased 6.4 million
shares of common stock at an average price of $15.65 per share for a
total cost of $100 million.
References to per share amounts in this release are based on diluted shares of common stock, unless otherwise specified.
Outlook
Based on current expectations and the operating results for the second quarter of fiscal 2012, the company is raising its fiscal year 2012 guidance for adjusted earnings from continuing operations to $0.98 to $1.04 per share.
Earnings Conference Call
As previously announced on Apr. 10, 2012, IGT will host a conference call to discuss its Second Quarter Fiscal Year 2012 earnings results on Tuesday, Apr. 24, 2012, at 2:00 p.m. PDT. The access numbers are as follows:
Domestic callers dial +1 888-829-8676, passcode IGT
International callers dial +1 773-756-4709, passcode IGT
The conference call will also be broadcast live over the Internet. A link to the webcast is available at the IGT website: http://www.IGT.com/InvestorRelations. The call will be archived until Thursday, May 3, 2012 at http://www.IGT.com/InvestorRelations, for those interested parties that are unable to participate during the live webcast.
A taped replay of the conference call will be available beginning at approximately 4:00 p.m. PDT on Tuesday, Apr. 24, 2012. This replay will run through Thursday, May 3, 2012. The access numbers are as follows:
Domestic callers dial +1 866-382-4784
International callers dial +1 203-369-0363
Q2 FY 2012 Excel file
Q2 FY 2012 PDF of this press release
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995
This press release contains forward-looking statements that involve risks and uncertainties. These statements include our expected future financial and operational performance (including our guidance for fiscal year 2012) and our strategic and operational plans. Actual results may differ materially from the results predicted, and reported results should not be considered an indication of future performance. The potential risks and uncertainties that could cause actual results to differ from the results predicted include, among others, general economic conditions and changes in economic conditions affecting the gaming industry; difficulties or delays in obtaining or maintaining necessary licenses or approvals; slow growth in the number of new gaming jurisdictions or new casinos or the rate of replacement of existing gaming machines; changes in operator or player preferences for our products; our ability to compete in the gaming industry with new or existing competitors; changes in laws or regulations affecting our business; our ability to develop and introduce new products and their acceptance by our customers; risks related to our international operations; our ability to protect our intellectual property; adverse results of litigation, including intellectual property infringement claims; risks related to business combinations, investments in intellectual property and the integration of acquisitions and the additional risks and uncertainties included under the captions "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in our Annual Report on Form 10-K for fiscal 2011 filed with the SEC on November 30, 2011 and our Quarterly Report on Form 10-Q for our fiscal quarter ended December 31, 2011 filed with the SEC on February 8, 2012, and available on the SEC website at www.sec.gov and on the investor relations section of our website at www.IGT.com. Additional information will also be set forth in our Quarterly Report on Form 10-Q for our fiscal quarter ended March 31, 2012, which we expect to file with the SEC in the second quarter of calendar 2012. All information provided in this release is as of April 24, 2012, and IGT undertakes no duty to update this information.
About IGT
International Game Technology (NYSE: IGT) is a global leader in the design, development and manufacture of gaming machines and systems products, as well as online and mobile gaming solutions for regulated markets. More information about IGT is available at www.IGT.com or follow IGT on Twitter at @IGTNews or Facebook at www.facebook.com/IGT.
CONSOLIDATED STATEMENTS OF INCOME (Unaudited and Condensed)
Quarters Ended Six Months
Ended
March 31, March 31,
--------- ---------
2012 2011 2012 2011
---- ---- ---- ----
(In
millions,
except per
share
amounts)
Revenues
Gaming
operations $300.4 $269.8 $565.0 $522.7
Product
sales 240.8 207.2 421.8 405.5
----- ----- ----- -----
Total
revenues 541.2 477.0 986.8 928.2
----- ----- ----- -----
Costs and
operating
expenses
Cost of
gaming
operations 118.8 102.4 223.0 196.4
Cost of
product
sales 108.8 92.0 198.2 179.8
Selling,
general
and
administrative 109.3 89.1 199.1 171.3
Research
and
development 55.3 48.7 102.2 97.6
Depreciation
and
amortization 19.3 16.7 34.7 34.8
Contingent
acquisition
related
costs 11.7 - 11.7 -
---- --- ---- ---
Total costs
and
operating
expenses 423.2 348.9 768.9 679.9
----- ----- ----- -----
Operating
income 118.0 128.1 217.9 248.3
----- ----- ----- -----
Other
income
(expense)
Interest
income 10.8 13.3 22.9 26.6
Interest
expense (30.0) (35.6) (60.1) (71.0)
Other (2.0) (1.0) (4.8) 3.4
---- ---- ---- ---
Total other
income
(expense) (21.2) (23.3) (42.0) (41.0)
----- ----- ----- -----
Income from
continuing
operations
before tax 96.8 104.8 175.9 207.3
Income tax
provision 34.4 37.1 63.2 66.8
---- ---- ---- ----
Income from
continuing
operations 62.4 67.7 112.7 140.5
Income
(loss)
from
discontinued
operations,
net of tax (0.5) 1.9 (1.5) 2.8
---- --- ---- ---
Net income $61.9 $69.6 $111.2 $143.3
===== ===== ====== ======
Basic
earnings
(loss) per
share
Continuing
operations $0.21 $0.22 $0.38 $0.47
Discontinued
operations - 0.01 (0.01) 0.01
--- ---- ----- ----
Net income $0.21 $0.23 $0.37 $0.48
===== ===== ===== =====
Diluted
earnings
(loss) per
share
Continuing
operations $0.21 $0.22 $0.38 $0.47
Discontinued
operations - 0.01 (0.01) 0.01
--- ---- ----- ----
Net income $0.21 $0.23 $0.37 $0.48
===== ===== ===== =====
Weighted
average
shares
outstanding
Basic 296.7 298.4 297.0 298.0
Diluted 298.1 299.9 298.6 299.4
CONSOLIDATED BALANCE SHEET (Unaudited and Condensed)
March 31, September 30,
--------- -------------
2012 2011
---- ----
(In millions)
Assets
Current assets
Cash and equivalents $271.1 $460.0
Restricted cash and
investments 89.5 92.0
Jackpot annuity
investments 61.5 63.2
Receivables, net 511.4 487.2
Inventories 90.6 73.0
Other assets and
deferred costs 217.4 234.5
----- -----
Total current assets 1,241.5 1,409.9
Property, plant and
equipment, net 582.0 552.1
Jackpot annuity
investments 313.0 324.6
Contracts and notes
receivable, net 128.2 126.4
Goodwill and other
intangibles, net 1,725.1 1,401.8
Other assets and
deferred costs 358.7 339.6
----- -----
Total Assets $4,348.5 $4,154.4
======== ========
Liabilities and
Shareholders' Equity
Current liabilities
Accounts payable $89.1 $103.0
Jackpot liabilities,
current portion 150.4 143.0
Dividends payable 17.7 17.8
Other accrued
liabilities 317.3 270.9
----- -----
Total current
liabilities 574.5 534.7
Long-term debt 1,656.4 1,646.3
Jackpot liabilities 346.4 365.4
Other liabilities 260.4 163.2
----- -----
Total Liabilities 2,837.7 2,709.6
Total Equity 1,510.8 1,444.8
------- -------
Total Liabilities and
Shareholders' Equity $4,348.5 $4,154.4
======== ========
CONSOLIDATED STATEMENTS OF CASH FLOW (Unaudited and Condensed)
Six Months Ended
March 31,
---------
2012 2011
---- ----
(In millions)
Operating
Net income $111.2 $143.3
Depreciation and amortization 115.2 109.2
Other non-cash items 42.1 39.6
Changes in operating assets and
liabilities, excluding acquisitions:
Receivables (28.5) 3.8
Inventories (14.6) (6.2)
Accounts payable and accrued liabilities 3.8 (35.4)
Jackpot liabilities (21.9) (56.4)
Income taxes (13.8) 47.7
Other assets and deferred costs (16.8) 18.1
----- ----
Net operating cash flows 176.7 263.7
----- -----
Investing
Capital expenditures (123.6) (89.3)
Jackpot annuity investments, net 23.6 26.6
Changes in restricted cash 3.2 23.0
Loans receivable, net 14.9 14.3
Business/VIE acquisition/deconsolidation (233.0) -
Other 19.8 25.7
---- ----
Net investing cash flows (295.1) 0.3
------ ---
Financing
Debt related proceeds (payments), net - (100.0)
Employee stock plans 14.3 16.7
Share repurchases (50.1) -
Noncontrolling interest acquired (2.5) -
Dividends paid (35.7) (35.8)
----- -----
Net financing cash flows (74.0) (119.1)
----- ------
Foreign exchange rates effect on cash 3.5 2.6
--- ---
Net change in cash and equivalents (188.9) 147.5
Beginning cash and equivalents 460.0 158.4
----- -----
Ending cash and equivalents $271.1 $305.9
====== ======
SUPPLEMENTAL DATA
(Unaudited)
Revenue Metrics Quarters Ended Six Months Ended
March 31, March 31,
--------- ---------
2012 2011 2012 2011
---- ---- ---- ----
In millions, unless otherwise
noted
Gaming Operations
-----------------
Revenues $300.4 $269.8 $565.0 $522.7
North America 254.7 232.9 474.3 450.9
International 45.7 36.9 90.7 71.8
Gross margin 60% 62% 61% 62%
North America 59% 61% 59% 61%
International 67% 71% 67% 71%
Installed base ('000) 56.1 52.5 56.1 52.5
North America 42.7 40.5 42.7 40.5
International 13.4 12.0 13.4 12.0
Average revenue per unit per day
(0.00) $59.09 $56.40 $56.44 $54.48
Double Down Average User
Statistics*
Daily users 1.4
Monthly users 5.0
Bookings per daily user (0.00) $0.24
*as a single application with
multiple games, active users
equal unique users
Product Sales
-------------
Revenues $240.8 $207.2 $421.8 $405.5
North America 160.8 135.0 263.9 268.7
International 80.0 72.2 157.9 136.8
Machines $161.1 $131.1 $276.8 $249.7
North America 101.4 77.8 160.5 153.3
International 59.7 53.3 116.3 96.4
Non-machine $79.7 $76.1 $145.0 $155.8
North America 59.4 57.2 103.4 115.4
International 20.3 18.9 41.6 40.4
Gross margin 55% 56% 53% 56%
North America 57% 55% 55% 56%
International 50% 56% 49% 55%
Units recognized ('000) 10.2 9.0 17.5 17.3
North America 6.8 5.7 10.6 10.8
International 3.4 3.3 6.9 6.5
Units shipped ('000) [includes
units where revenues deferred] 10.5 8.9 17.0 16.4
North America 6.7 5.3 10.2 9.8
New 1.7 1.5 2.4 2.9
Replacement 5.0 3.8 7.8 6.9
International 3.8 3.6 6.8 6.6
New 2.0 2.3 3.3 3.1
Replacement 1.8 1.3 3.5 3.5
Average revenue per unit ('000) $23.6 $23.0 $24.1 $23.4
North America 23.6 23.7 24.9 24.9
International 23.5 21.9 22.9 21.0
Average machine sales price
('000) $15.8 $14.6 $15.8 $14.4
North America 14.9 13.6 15.1 14.2
International 17.6 16.2 16.9 14.8
Reconciliations of GAAP to Non-GAAP Measures (In millions, except EPS)
Quarters Ended Six Months Ended
March 31, March 31,
--------- ---------
2012 2011 2012 2011
---- ---- ---- ----
Adjusted Income from Continuing Operations
------------------------------------------
GAAP income from continuing operations $62.4 $67.7 $112.7 $140.5
----- ----- ------ ------
Acquisition related charges (primarily related to Double
Down)
Contingent retention & Contingent acquisition related
earn-out costs 11.7 - 11.7 -
Amortization of
intangibles Cost of gaming operations 2.3 - 2.3 -
Amortization of
intangibles Depreciation & amortization 3.9 - 3.9 -
Professional fees Selling, general & administrative 4.5 - 5.7 -
Severance Selling, general & administrative 1.2 - 1.2 -
Distributor settlement Selling, general & administrative 3.1 - 3.1 -
Investment gain (no tax
benefit) Other income (expense), net - - - (4.3)
-----------------
Total adjustments before tax 26.7 - 27.9 (4.3)
Tax effect at 36% Income tax provision (9.6) - (10.0) -
Certain discrete tax
items (benefits) Income tax provision - - - (7.0)
-----------------
Total adjustments after tax 17.1 - 17.9 (11.3)
---- --- ---- -----
Adjusted income from continuing operations $79.5 $67.7 $130.6 $129.2
===== ===== ====== ======
Adjusted EPS from Continuing Operations
---------------------------------------
GAAP EPS from continuing operations $0.21 $0.22 $0.38 $0.47
----- ----- ----- -----
Acquisition related charges:
Contingent retention & earn-out 0.03 - 0.03 -
Amortization of intangibles - - - -
Amortization of intangibles 0.01 - 0.01 -
Professional fees 0.01 - 0.01 -
Severance - - - -
Distributor settlement 0.01 - 0.01 -
Investment gain - - - (0.01)
Certain discrete tax items (benefits) - - - (0.03)
--- --- --- -----
Total adjustments 0.06 - 0.06 (0.04)
---- --- ---- -----
Adjusted EPS from continuing operations $0.27 $0.22 $0.44 $0.43
===== ===== ===== =====
Adjusted income from continuing
operations and adjusted EPS from
continuing operations are
supplemental non-GAAP financial
measures commonly used by
management and industry analysts
to evaluate our financial
performance. Adjusted income from
continuing operations should not
be construed as an alternative to
income from continuing operations,
and Adjusted EPS from continuing
operations should not be construed
as an alternative to EPS from
continuing operations, as
indicators of our operating
performance determined in
accordance with GAAP (generally
accepted accounting principles).
All companies do not calculate
Adjusted income from continuing
operations or Adjusted EPS from
continuing operations in the same
manner, and IGT's presentation may
not be comparable to that of other
companies.
Quarters Ended Six Months Ended
March 31, March 31,
--------- ---------
2012 2011 2012 2011
---- ---- ---- ----
Adjusted Operating Income
and Margin
-------------------------
GAAP operating income $118.0 $128.1 $217.9 $248.3
Amortization of acquired
intangibles in cost of
gaming operations 2.3 - 2.3 -
Total adjustments to
operating expenses (below) 23.9 3.2 23.7 3.7
---- --- ---- ---
Adjusted operating income $144.2 $131.3 $243.9 $252.0
====== ====== ====== ======
Adjusted operating margin 27% 28% 25% 27%
Adjusted Operating Expenses
---------------------------
GAAP operating expenses $195.6 $154.5 $347.7 $303.7
------ ------ ------ ------
Acquisition related
charges:
Contingent costs (11.7) - (11.7) -
Amortization of intangibles (3.9) - (3.9) -
Professional fees (4.5) - (5.7) -
Severance (1.2) - (1.2) -
Distributor settlement (3.1) - (3.1) -
Bad debt provision 0.5 (3.2) 1.9 (3.7)
--- ---- --- ----
Total adjustments (23.9) (3.2) (23.7) (3.7)
----- ---- ----- ----
Adjusted operating expenses $171.7 $151.3 $324.0 $300.0
====== ====== ====== ======
% of revenue 32% 32% 33% 32%
Adjusted operating income, Adjusted
operating margin, and Adjusted
operating expenses are
supplemental non-GAAP financial
measures commonly used by
management and industry analysts
to evaluate our financial and
operating performance. Adjusted
operating margin is a measure of
adjusted operating income as a
percentage of total revenues.
Adjusted operating income,
adjusted operating margin, and
adjusted operating expenses,
should not be construed as
alternatives to operating income,
operating margin, and operating
expenses, respectively, as
indicators of operating
performance determined in
accordance with GAAP (generally
accepted accounting principles).
All companies do not calculate
adjusted operating income,
adjusted operating margin, and
adjusted operating expenses in the
same manner and IGT's presentation
may not be comparable to that of
other companies.
Quarters Ended Six Months Ended
March 31, March 31,
--------- ---------
2012 2011 2012 2011
---- ---- ---- ----
Adjusted EBITDA
---------------
GAAP Income from continuing operations $62.4 $67.7 $112.7 $140.5
Other (income) expense, net 21.2 23.3 42.0 41.0
Income tax provision 34.4 37.1 63.2 66.8
Depreciation and amortization 60.6 52.8 115.2 106.1
Other charges:
Share-based compensation 8.5 10.9 16.7 22.3
Contingent acquisition related costs 11.7 - 11.7 -
---- --- ---- ---
Adjusted EBITDA $198.8 $191.8 $361.5 $376.7
====== ====== ====== ======
Adjusted EBITDA (income from continuing
operations before interest and other
non-operating income/expense-net,
income tax provision, depreciation and
amortization, and other charges noted in
the reconciliation) is a supplemental
non-GAAP financial measure commonly
used by our management and industry
analysts to evaluate our financial
performance. Adjusted EBITDA provides
useful information to investors
regarding our ability to service debt
and is a commonly used financial
analysis tool for measuring and
comparing gaming companies in several
areas of liquidity, operating
performance, valuation and leverage.
Adjusted EBITDA should not be construed
as an alternative to operating income
(as an indicator of our operating
performance) or net cash from operations
(as a measure of liquidity) determined
in accordance with GAAP (generally
accepted accounting principles). All
companies do not calculate Adjusted
EBITDA in the same manner, and IGT's
presentation may not be comparable to
that of other companies.
Six Months Ended
March 31,
---------
2012 2011
---- ----
Free Cash Flow
--------------
GAAP net operating cash flows $176.7 $263.7
Investment in property, plant and
equipment (34.5) (8.4)
Investment in gaming operations
equipment (87.1) (80.2)
Investment in intellectual property (2.0) (0.7)
---- ----
Free Cash Flow (before dividends) 53.1 174.4
Dividends paid (35.7) (35.8)
----- -----
Free Cash Flow (after dividends) $17.4 $138.6
===== ======
Free cash flow is a supplemental non-
GAAP financial measure commonly used
by our management and industry
analysts to evaluate the
discretionary amount of operating
cash flows. Free cash flow should
not be construed as an alternative
to net operating cash flows or other
cash flow measurements determined in
accordance with GAAP (generally
accepted accounting principles).
All companies do not calculate free
cash flow in the same manner, and
IGT's presentation may not be
comparable to that of other
companies.
Guidance for Adjusted Earnings from Continuing Operations for
Fiscal 2012
Range Estimate
For Fiscal Year
2012
---------------
(In millions, except EPS)
Low High
--- ----
Guidance for GAAP EPS from
continuing operations $0.82 $0.88
Acquisition related
charges 0.15 0.15
Distributor settlement 0.01 0.01
---- ----
Guidance for Adjusted EPS
from continuing
operations $0.98 $1.04
===== =====
Adjusted EPS from continuing
operations for the fiscal year is a
supplemental non-GAAP financial
measure commonly used by management
and industry analysts to evaluate
our financial performance.
Adjusted EPS from continuing
operations should not be construed
as an alternative to EPS from
continuing operations, as an
indicator of our operating
performance determined in
accordance with generally accepted
accounting principles. All
companies do not calculate adjusted
EPS from continuing operations in
the same manner, and IGT's
presentation may not be comparable
to that of other companies. This
guidance is as of April 24, 2012,
and IGT undertakes no duty to
update this guidance.
SOURCE International Game Technology
