Global Cash Access will use the recently bought Multimedia Games to improve on its growth in 2014, which saw revenue grow by eight per cent to US$152.1m for the year.
The acquisition of Multimedia Games in December saw GCA’s operating income drop from $11.2m in 2013 to just $400,000 by the end of 2014.
Ram Chary, President and Chief Executive Officer of GCA, said: “The completion of the acquisition of Multimedia Games in December has resulted in the combination of differentiated, industry-leading solutions offered by both GCA and Multimedia Games, which enables us to present a unique new value proposition to casino operators. We intend to leverage our slot gaming entertainment, payments and compliance solutions to bring enhanced offerings to market that provide excellent returns on our customers’ capital investments in gaming technology. In the short time since acquiring Multimedia Games, we have made measurable progress on integrating our two organisations and are tracking to our objectives.”
Randy Taylor, Executive Vice President and Chief Financial Officer, commented: “Since completing our acquisition of Multimedia Games less than three months ago, we have been focused on our integration initiatives. As of December 31, 2014, we have eliminated approximately $10.9m on an annual run rate basis from our overall cost structure and we expect to achieve our targeted annual run rate of $24m in cost synergies by calendar year end. As part of our integration plans, later this year we intend to consolidate all of our manufacturing operations which will significantly enhance manufacturing efficiencies and reduce costs. Looking forward, our plan continues to focus on the deployment of cash to reduce leverage.”