Constantinos G. Antonopoulos, the chief executive of Intralot S.A., warned on the company's nine-month results that growth in developed gambling markets may slow in the short term and currency fluctuations may play further havoc with metrics.
The Athens-listed lottery technology company, which has done deals in Guatemala, Brazil and the Dominican Republic in recent months, reported a 41.5 percent increase at the top line, with revenues up to 804.5 million euros for the period.
Earnings before interest, taxes, depreciation and amortization, however, fell 10 percent to 161.8 million euros, with earnings after tax down 12 percent to 77.1 million euros.
Mr. Antonopoulos posited international expansion as the driver behind the significant year-over-year jump in income.
Profits, he said, were affected by increased volatility in developing-market currencies; appreciation of the United States dollar, in which its Internet technology costs are figured; and increased startup costs resulting from two United States lottery contracts.
"Taking into serious consideration the current financial crisis," he said, "the Company is very careful in making business decisions and new investments and is structuring deals in ways that limit any potential downside risk."
Intralot, with a market capitalization of 581.7 million euros, has dipped 4.6 percent since the results statement and closed today at 3.66 euros.
Chris Krafcik is the editor of IGamingNews. He lives in St. Louis, Mo.