ANGUILLA, BRITISH WEST INDIES--(Marketwired - May 15, 2013) - Bingo.com, Ltd. (OTCQB:BNGOF), owner of the popular online gaming community http://www.bingo.com , today announced its unaudited financial results for the first quarter ended March 31, 2013. All amounts are presented in United States dollars and in accordance with United States Generally Accepted Accounting Principles.
Recent Bingo.com highlights include:
- Total revenue for the quarter ended March 31, 2013, was $590,199, an increase of 45% from revenue of $406,307 in the first quarter of 2012 and an increase of 7% from revenue of $549,104 in the fourth quarter of 2012.
- Successful launch into new territory expands player base and gaming volume to record levels for the group.
"The first quarter of 2012 went according to plan," said Jason Williams, Bingo.com's CEO. "Our aggressive marketing efforts have increased Bingo.com's European player base and gaming volumes to record levels for the Company. While it's disappointing to have a loss, we had anticipated our increased marketing spend would put us in the red for the short-term. However, our marketing continues to be well received and our player acquisition costs are within targets. The second quarter will see a reduced marketing spend as we consolidate our position and focus on the monetization of our now significantly larger player base."
"The second quarter is already historic for us as Bingo.com has returned to the North American market with its entry into the social casino segment with Trophy Bingo," continued Williams. "With the game is entering its beta testing phase, we are enthusiastic about our innovative product and its potential in the global online bingo industry."
Total revenue for the quarter ended March 31, 2013, was $590,199, an increase of 45% from revenue of $406,307 for first quarter of 2012 and an increase of 7% from revenue of $549,104, in the fourth quarter of 2012. Gaming Revenue was $582,760, an increase of 51% in the quarter ended March 31, 2013, compared Gaming Revenue of $386,925 in the first quarter of 2012 and an 6% increase from revenue of $549,104 in the fourth quarter of 2012. This increase compared to the first and fourth quarter of 2012 is due to an increase in players as a result of increased marketing. We earned advertising revenue of $7,439 in the quarter ended March 31, 2013, a decrease of 62% from advertising revenue of $19,382 in the first quarter of 2012 and an increase of 51% from advertising revenue of $4,927 in the fourth quarter of 2012.
Operating costs before interest, and depreciation expenses, including sales and marketing and general and administrative expenses increased to $1,060,985 in the first quarter of 2013, an increase of 116% over operating expenses of $490,546 in the first quarter of 2012 and an increase of 107% over operating costs of $513,491 in the fourth quarter of 2012. The increase in operating expenses compared to the first and fourth quarters of 2012, is due to the increase in marketing expenses.
Sales and marketing expenses were $868,789 for the quarter ended March 31, 2013, an increase of 191% over expenses of $298,339 in the first quarter of 2012 and an increase of 107% from expenses of $419,954 in the fourth quarter of 2012. Sales and marketing expenses principally include costs for television marketing, Search Engine Optimization expenses, prizes for our players and other bonuses and incentives offered to gaming players. The increase in sales and marketing expenses for the quarter ended March 31, 2013, compared to the first and fourth quarter of 2012 is due to a larger media budget in the first quarter of fiscal 2013 to drive additional players to the website and to expand into new European markets.
Net loss for the three months ended March 31, 2013, amounted to $471,189, a loss of $0.01 per share, an increase in net loss compared to net loss of $84,935, a loss of $0.00 per share for the same period in 2012 and a decrease in net income compared to a net income of $38,606 or income of $0.00 per share in the fourth quarter of 2012.
We had cash of $550,997 and positive working capital of $920,435 at March 31, 2013. This compares to cash of $876,004 and positive working capital of $1,640,713 at December 31, 2012.
For full details of the Companies operations and financial results, please refer to the Securities and Exchange Commission website at www.sec.gov or the Bingo.com website at http://www.bingo.com .
About Bingo.com
Bingo.com, Ltd. (OTCQB:BNGOF) is the parent company of the Bingo.com group of companies which own the popular online gaming community http://www.bingo.com . The Bingo.com website offers multiplayer bingo, slot machines, sweepstakes, and more. Players come together from around the world to chat, share, play and win at Bingo.com. The Bingo.com website has attracted millions of visitors from over 200 countries and is one of the most recognized and most visited bingo entertainment destinations on the Internet. Bingo.com operates its multi-language and multi-currency bingo and casino system as part of the Unibet partner program ( http://www.unibet.com ).. Bingo.com, Ltd. (OTCQB:BNGOF) trades on the OTCQB, the venture marketplace for companies that are current in their reporting with a U.S. regulator. Investors can find real time quotes and market information for the Company at http://www.otcmarkets.com/stock/BNGOF/quote .
The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for forward-looking statements. Certain information included in this press release (as well as information included in oral statements or other written statements made or to be made by the company) contains statements that are forward-looking, such as statements relating to anticipated future success of the company. Such forward-looking information involves important risks and uncertainties that could significantly affect anticipated results in the future and, accordingly, such results may differ materially from those expressed in any forward-looking statements made by or on behalf of the company. For a description of additional risks and uncertainties, please refer to the company's filings with the Securities and Exchange Commission. Specifically, readers should read the Company's Annual Report on Form 10-K, filed with the SEC on March 29, 2013, and the prospectus filed under Rule 424(b) of the Securities Act on March 9, 2005 and the SB2 filed July 17, 2007, for a more thorough discussion of the Company's financial position and results of operations, together with a detailed discussion of the risk factors involved in an investment in Bingo.com, Ltd.
