Slot manufacturer International Game Technology reported a profit jump of 26 percent to .2 million for the first quarter, along with a revenue increase of 11 percent to 0 million. The manufacturer reported sales of replacement slot machines grew 68 percent for the quarter ended March 31 along with a 94 percent increase in revenue for the company’s most recent acquisition, the DoubleDown Casino social gaming franchise.
The jump to $66.7 million in revenue for DoubleDown is seen as a vindication of IGT CEO Patti Hart, in what Howard Stutz of the Las Vegas Review Journal called a “victory lap.” The $500 million IGT paid for DoubleDown was one of the top points brought up by former CEO Chuck Mathewson and former gaming analyst Jason Ader in their criticism of Hart during the proxy fight earlier this year which sought three new members for the IGT board of directors.
“I think the quarter went a long way to negate the perception of DoubleDown,” Hart said. “It’s not being looked at as just a toy for the company. It’s now a significant source of revenues.”
The positive results also is being seen as vindication for Hart’s entire approach to the management of IGT, which the Ader/Mathewson group had assailed as too reliant on non-core assets.
“We’re moving forward and that’s what is important,” Hart said. “We have great momentum and the support of our investors. The quarter went a ways to moving us along.”