Even with cost-cutting measures in place, WPT Enterprises Inc. reported a net loss for the 2008 financial year of $12.5 million -- $5.1 million more than the loss reported in 2007.
The creators of the World Poker Tour attributed the loss to lower revenues from its WPT television series, which airs on the Fox Sports Network.
Revenues for 2008 declined to $15.5 million, compared to $21.7 million in 2007, primarily as a result of a decrease in domestic television license fees, lower product licensing revenue and lower domestic sponsorship fees, the Los Angeles-based company said.
For the fourth quarter, revenues decreased to $2.6 million -- down $2.5 million from the year before. The net loss increased year-over-year from $1.8 million to $3.3 million.
Steve Lipscomb, president and chief executive of WPT Enterprises said the company will continue to pursue three major businesses -- the sponsor model of distributing the World Poker Tour TV series, the ClubWPT.com online subscription business and WPT China.
“We ended our standalone online gaming business after disappointing results,” said Mr. Lipscomb in a company statement, regarding its World Poker Tour branded online gaming site, which was terminated in November 2008.