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Non-Tech : Cryptologic (CRY/TSE): First Profitable Internet Casino -- Ignore unavailable to you. Want to Upgrade?

To: C.Carlos who wrote (1825)	10/22/1999 9:07:00 AM
From: DaveAu	Read Replies (1) \| Respond to of 2782

C.Carlos, I don't think Las Vegas Casino contributed anything to CRY in Q3. In fact they were probably a negative contribution due to the start up costs. These casinos were not operational when I checked in August. I'm not sure when they started but you have to assume that Levy lost all the old customers after an extensive shut down and he now has to re-build. Revenue is up 57% from last year. That is an excellent growth rate when you consider that the company trades on a fully diluted cash adjusted PE of 7.5. Earnings seem to be up less but 40% is still excellent and although I have to dig deeper, I'll bet a lot of the extra costs are due to development of the E-commerce product which is not yet generating any revenue. The William Hill deal and the new version (especially the multi language feature) will ensure revenues keep growing next year. We're now heading into the 2 strong quarters. Nasdaq is close. The train is leaving the station. All aboard! You can't compare quarter to quarter in this business due to seasonal factors. The smaller companies that are still ramping up may be able to increase revenues during the summer but they will also face the seasonal issue as their growth rate inevitably reverts to the industry mean. Good Luck. Dave