Integrity Gaming Corp. V.IGAM

Investor conference call

[blomskompskies]

Did anyone happen to tune into the morning investor conference call? Anything good happen ?

[Mully99]

Nothing new that you couldn't read in the financials or MD&A. Some key points: - now have 2,300 machines deployed - Tonkawa agreement: look for roughly another 50 to be deployed in Q3 and another 50 in Q4  - Focus for 2015 is integrating the Integrity Companies and business development (opportunity to add a few more machines here and there with current customers - nothing major) -

[Teflon2Hype]

There is a reason for everything in life and Smart Money knows the reason why a company will only speak of Revenues and EBITDA and not Net Earnings. I will give the Newbies the short and easy. A company could make $10 Billion in Revenues and $5 Billion in EBITDA and still end up in bankrutcy court.

[Mully99]

I understand your point, but earnings (eps) is pretty misleading as well. With a company like PYD which generated all there revenue from hard assets, there is a lot of D&A that must be reported under GAAP. So even though PYD may report a loss on their income statement, the company is still generating cash. That said I think EBITDA is the appropriate metric to use when looking at this company.

[Teflon2Hype]

Well Mully we will have to agree to disagree on this. In my world using EBITDA in a business where the revenues are derived directly from hardware, is nothing short of deception. You would be ignoring that which is responsible for the revenues when analyzing the cost of running that business. This company does not use EDITDA to enhance a conversation about net earnings...they repeatedly try to

[biggerr]

if it wasn't for the dilution by the dumbazz Macy we would be at 20 cents today

[Mully99]

You do realize that the capital payback on these machines is roughly 2 years and the life span of the machines much longer. You can try and spin it any way you want, but the economics of a single machine are very compelling - whether you are referring to EBITDA or Net Income.

[Allah_says_BUY]

Don't forget to add another $10k per machine for the placement fees. Look, I'm not saying they won't have earnings at some point, but it won't be the same number as the "adjusted EBITDA" that they keep presenting. Maybe no more than 10 to 20 percent of that number. That might be fine for a private company, but when dividing 345 million shares into it, it's just not