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Bad Year For Parlay

4/23/10 - Tough economic conditions, restructuring and industry consolidation moves that impacted licensees meant that online bingo software provider Parlay Entertainment "generated very little return from this significant investment in 2009, resulting in a substantial loss and cash burn."
The Canadian company was reporting on a lacklustre performance in the year 2009 ended December 31st, and a fourth quarter in which consolidated revenues dropped to Cdn$ 800 000 from the previous year's Q4 of Cdn$ 1.2 million
Expenses in Q4 2009 at Cdn$ 1.4 million remained unchanged from the fourth quarter of 2008, but increased foreign exchange losses offset reduced compensation expenses.
A beneficial tax adjustment increased the tax recovery recorded in Q4 2009 by Cdn$ 400 000.
Net loss for Q4 2009 was Cdn$ 600 000, unchanged from the net loss in Q4 2008.
For the full year 2009, consolidated revenues were Cdn$ 3.4 million, a substantial drop from the comparative figure for FY 2008 Cdn$ 8.5 million, although the 2008 numbers included Cdn$ 2.9 million in non-recurring software license fees.
Expenses for 2009 were Cdn$ 5.6 million, down from Cdn$ 7.7 million in 2008, mainly due to reduced compensation expenses together with the absence of some non-recurring expenses from 2008.
A beneficial tax adjustment increased the tax recovery recorded in 2009 by Cdn$ 400 000.
Net loss for 2009 was Cdn$ 1.4 million compared to a net income of Cdn$ 500 000 in FY 2008.
Management advised that Parlay remains debt free and its cash balance at December 31, 2009 was Cdn$ 1.1 million. Corporate income tax refunds received (and to be received) in 2010 are estimated at Cdn$ 1.2 million.
Scott White, chief executive officer at Parlay Entertainment said: "Given the significant consolidation in the online bingo sector, and the fact that some of our customers were part of that consolidation, timing was such that our business model could be expanded, allowing us to move into the business of operating gaming platforms.
"Throughout 2009 we invested significant financial and human capital resources in the development of our Alderney and North American gaming platforms, which operate under the brand Parlay Games Services.
"Although these platforms are accelerating in terms of growth today, we generated very little return from this significant investment in 2009, resulting in a substantial loss and cash burn."
White revealed that the company has in excess of 40 networked partner sites, either launched or launching within Parlay Games Services.
"We have numerous prospective partner arrangements in various stages of development. With the market changing again because of additional consolidation, we are now in a unique position to offer services to various customers who are searching for new solutions in the bingo vertical.
"With a revised cost structure and a robust and envied technology platform, it will be our intention to supplement our traditional software licensing model throughout 2010 with the growth of PGS throughout the world. Our offering will be flexible and unique, fostering customer access into multiple software technologies offering multiple software vendors, both gaming and non-gaming products and multiple languages and currencies."

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Gambling News :

Wanajump Launches - #Wanajump Spanish online and land gambling operator Grupo R. Franco appears to be emulating the William Hill group, announcing this week that it is to begin a start-up accelerator program for innovative entrepreneurs, which it has titled Wanajump.

Coral Launches player proposition betting product - Digital Sports Tech, a business-to-business software provider of sports betting solutions, has signed a deal with UK online and land sports betting operator Coral to provide an innovative player proposition betting product.

Oshi online casino now accepts fiat currencies - The Oshi online casino, which started just a year ago as a Bitcoin-denominated operation, has described its expanded activity in a statement this week, noting that in addition to Bitcoin it now accepts fiat currencies and has added new game providers to its roster of suppliers.

New Standards for UK Online Gambling - Online gambling service and technology providers, along with operators and testing agencies will be studying the new gambling software and technical standards proposal published by the UK Gambling Commission following a public consultation.

Pennsylvania Gambling Bill 1887 returned with additions - The interaction between the Pennsylvanian House and the state Senate has become increasingly like watching a game of ping pong as the two political establishments wrestle with online gambling legalization and court-ordered tax fixes in the dying days of the current political season.

UKs Advertising Standards Authority vs Ladbrokes - A Ladbrokes Casino email promo has fallen foul of the UKs Advertising Standards Authority who deemed significant terms and conditions concerning bonusing to be unclear or misleading.

Mybet Earnings Struggle - The statement this week reveals that Mybet continued to be hampered by negative trends from historic quarters, making its original performance estimate "unrealistic".

Tom Horn Awarded Malta Gaming License - Online gambling software provider Tom Horn Gaming has been awarded a Malta Gaming Authority license that permits the company to host and manage Malta-based gaming operators.

Calvin Ayre invests in new Antigua Business Center - Ayre joined with government officials this week in a ground-breaking ceremony for a five-story centre on Antigua which will be home for the venture. The "green" building will be solar powered and provide employee-friendly services like catering, a gym and child care.

Attack of the Zombies Slot - Online gambling games developer Genesis Gaming has unveiled its latest game, with a theme based on a horror story of the undead, exploiting the current trend....and just in time for Halloween.

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