CryptoLogic Positive Despite Revenue Fall

Thursday May 10, 2007

CryptoLogic Inc. today reported monetary impression for the three months ended March 31, 2007, hide total revenue falling 27.5% to $19.6 million versus the twin term last date.

Poker revenue was down 46.5% to $5.2 million being a aftereffect of the loss of Betfair Poker access Q4 2006 allotment casino revenue fell 7.7% to $13.9 million. An accustoming by the company to amounts provided to cover approaching jackpot payouts however boosted overall impact by $4.5 million. Earnings were $0.11 per fully diluted share.

Other chief items access the anterior accommodation included a charge of $1.4 million for the establishment of the company's contemporary widespread focus access Europe and $0.7 million agency addition costs related to contemporary licensee sites.

Excluding these appropriate items, the company would keep incurred a loss of $0.4 million, or per diluted share.

"At CryptoLogic, the aboriginal place was about investing access the budgeted, and charting a course for pandemic aggrandizement," vocal Javaid Aziz, CryptoLogic's advanced Baton and CEO. "We've launched five advanced customer sites since December, and own seven also consequence the row - including two for Holland Casino, and two for World Poker Tour. Hide our largest customers on continued - word agreements, and modest revenue expected this age from our Asian baby, CryptoLogic is poised for elongated - phrase augmentation agency the European markets of today - and the Asian markets of tomorrow."

CryptoLogic's impact chase a diligent area influence which the company unveiled a series of advanced games and customer acquisitions, including signing the World Poker Tour to exclusive three age contract for online poker and the launch of poker sites for Playboy Gaming Casino, Betsafe and Parbet.

The company is further expected to launch au courant poker and casino sites in June for Holland casino, the Netherlands government-owned casino operator.

Cryptologic has also signed a memorandum of understanding with Brilliance Technology Co. and 568 Network Inc. to penetrate the high growth Chinese market with both existing and new games for the Chinese diaspora.