Kinbasha Gaming International, Inc. Reports Earnings Results for the Third Quarter and Nine Months Ended December 31, 2012
For the nine months, net revenues increased to $73.0 million from $68.6 million in the nine months ended December 31, 2011. This increase was due to an increase in net gaming revenues from $62.0 million to $70.2 million. Net income improved to $4.9 million as compared to a net loss of $8.7 million in the same period of 2011. These improvements to the bottom line are generally attributed to enhanced market conditions, an increase in total wagers due to the reopening of a pachinko parlor in April 2012 that had been closed due to earthquake damage, and a non-recurring $3.0 million gain resulting from a change in the company's policy for employment termination benefits. Net income also increased as a result of improved payout ratios due to a shift in the mix of pachinko machines and the positive effects of Kinbasha's marketing programs to promote more cost effective prize payouts.