May 15, 2008
ANGUILLA, B.W.I., May 15, 2008 / Bingo.com, Ltd. (OTC BB: BNGOF), operator of the popular onlinegaming community www.bingo.com, today announced its unaudited financial results for the first quarterended March 31, 2008. All amounts are presented in United States dollars and are in accordance withUnited States Generally Accepted Accounting Principles.
“The first quarter of 2008 was another strong quarter of growth for Bingo.com” said Tarrnie Williams, theCompany’s CEO. “We’ve increased our revenue, decreased our costs, and further entrenched Bingo.comas a premier gaming operator in the United Kingdom market. Bingo.com has added thousands of newreal-money players in the quarter and the popularity of our gaming suite is growing rapidly within the UK bingo community. Our strategy remains focused on leveraging the strength of the Bingo.com URL in the UK as we prepare for the launch of Bingo.com in other markets and other languages. While man challenges remain, Bingo.com is in an excellent position to return to profitability.”
Bingo.com highlights of the first quarter of 2008 included:
- Total revenue of $1,344,347, up 18% from total revenue of $1,135,844 in the fourth quarter of
- 2007 and $989,576 in the third quarter of 2007.
- Net loss of $262,543 in the first quarter of 2008 from net loss before abnormal items of $336,968
- in the fourth quarter of 2007 and $395,787 in the third quarter of 2007.
- Initial license approval in Alderney.
Total revenue increased to $1,344,347 for the quarter ended March 31, 2008, an increase from revenue of $6,300 for first quarter of 2007 and an increase of 18% from revenue of $1,135,844 in the fourth quarter of 2007. We had Gaming Revenue of $1,260,470 in the quarter ended March 31, 2008, compared to no Gaming Revenue in the first quarter of 2007 and an increase of 21% from revenue of $1,045,259 in the fourth quarter of 2007. The increase compared to the fourth quarter of 2007, is due to an increase in our player base. We earned advertising revenue of $83,877 in the quarter ended March 31, 2008, an increase from advertising revenue of $6,300 in the first quarter of 2007 and a decrease of 7% from advertising revenue of $90,585 in the fourth quarter of 2007.
Operating costs before interest, depreciation and amortization expenses decreased to $693,847 in the first quarter of 2008, a decrease of 3% over operating costs of $713,297 in the fourth quarter of 2007 and an increase of 88% over operating expenses of $368,833 in the first quarter of 2007. The decrease in operating expenses compared to the fourth quarter of 2007 is primarily due to the decrease in the sales and marketing expenses, especially marketing bonuses granted to players. We commenced offering cash games in the United Kingdom in the second quarter of 2007, therefore the increase in operating costs compared to the first quarter of 2007, is due to increased marketing of the gaming operation.
Net loss for the quarter ended March 31, 2008, amounted to $262,543, a loss of $0.01 per share, an increase of 52% in net loss compared to net loss of $173,262 (after abnormal income of $163,706) or $0.01 per share for the fourth quarter of 2007, and a decrease of 20% in net loss of $328,967 or $0.01 per share in the first quarter in the prior year. The net loss for the fourth quarter of 2007 included two abnormal income items. Firstly, the collection of previously provided for funds of $107,486 held at the First Curaçao International Bank. Secondly, the Company settled its legal dispute with Campney & Murphy for a gain of $56,220. The decrease in net loss compared to net loss before abnormal income in the fourth quarter of 2007 and net loss in the first quarter of 2007, is due to an increase in gaming revenue as a result of the launching the cash games in the United Kingdom.
We had cash of $558,082 and working capital of $408,548 at March 31, 2008. This compares to cash of $744,596 and working capital of $648,123 at December 31, 2007.
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 www.bingo.com.
Bingo.com, Ltd. (OTC BB: BNGOF) is the parent company of the Bingo.com group of companies which operates the popular online gaming community http://www.bingo.com. The Bingo.com group offers multiplayer bingo, slot machines, sweepstakes, and more. Players come together from around the world to chat, share, play and win at Bingo.com. With over 1,800,000 registered users http://www.bingo.com. is one of the most recognized and most visited bingo entertainment destinations on the Internet.
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-KSB, filed with the SEC on March 28, 2008, 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.
For more information contact:
- Henry Bromley
- (264) 461-2646