AUSTIN, Texas (AP) — Multimedia Games' net income rose 22 percent in its fiscal first quarter as the casino equipment company installed more gaming machines.
The performance easily topped analysts' estimates, and the company boosted its fiscal 2013 earnings and revenue forecasts. Its stock gained 20 percent in midday trading Wednesday to its highest level in more than eight years.
The Austin, Texas, company's domestic installed base rose more than 16 percent from the prior-year period.
President and CEO Patrick Ramsey said in a statement that Multimedia Games expects to start serving Nevada during fiscal 2013's second half. It anticipates serving New Jersey, Pennsylvania and Illinois within the next 24 months if it obtains all of the necessary regulatory approvals.
For the three months ended Dec. 31, Multimedia Games earned $7.1 million, or 24 cents per share. A year earlier it earned $5.8 million, or 21 cents per share.
Analysts surveyed by FactSet expected earnings of 12 cents per share.
Revenue climbed 27 percent to $44.3 million from $34.8 million. Wall Street predicted $39 million in revenue.
The company expects fiscal 2013 earnings of 79 cents to 84 cents per share. Its prior outlook called for earnings between 74 cents and 79 cents per share. Revenue is now forecast in a range of $174.2 million to $177.1 million. Previously Multimedia Games predicted revenue between $165.6 million and $170.2 million.
Analysts expect full-year earnings of 65 cents per share on revenue of $171.4 million.
Shares of Multimedia Games gained $2.90, or 20.3 percent, to $17.19 after rising to a new high of $17.43 earlier. That was its highest level since September 2004, according to FactSet.