Cryptologic Limited Powers Its Way to Stock Surge
Fueled by news involving a deal to dramatically increase its market exposure, coupled with forecasts of a move back into the black with profits for the next year in the range of nine to ten million dollars, stock shares of Cryptologic Limited shot up in price the last three days. Entering Wednesday, the shares were trading on the NASDAQ market for $2.75 each, but by the close of business Friday, share prices had risen to $3.81.
Cryptologic announced this week its partnering with Gaming Technology Solutions to give access to Cryptologic games to the online gambling sites powered by GTS. As many as ten top Cryptologic games will be featured at such GTS Internet casinos as bwin, Unibet, 888, and Betclick, among others.
The deal will allow the penetration of the Cryptologic brand into many diverse markets around the globe, and make available play at Cryptologic games in a variety of languages and currencies, including reaching into the Asian market.
Cryptologic also announced that its restructuring, underway since last fall, has resulted in the company's return to profitability as soon as the second quarter of 2009, with an expected earnings per share in the range of 65 to 71 cents.
The restructuring saved Cryptologic roughly $13 million annually in expenses, and the company projects as much as $8 million in revenue from new customers joining its casinos in 2009.
The only thing missing to send the stock past old records would be the reopening of the US market, which Cryptologic abandoned after the passing of the UIGEA in 2006. Such a move would almost certainly skyrocket the company's value.
