• US Gambling Legislation Affects Lasseters Bottom Line

    08 February 2007

    Newspaper

    Australian IT
    Ben Woodhead
    FEBRUARY 08, 2007
    ONLINE casino Lasseters has suffered a 35 per cent slump in first half revenue after changes to gambling laws forced the company to fold its US operations in October last year.

    Lasseters also swung into the red in the six months to December 31 as US income dried up and high technology depreciation costs turned a $823,531 net profit a year ago into a $4.9 million loss.

    The company’s $7.1 million pre-tax loss included $6.5 million worth of one-off impairment losses. Revenue plunged from $7.8 million a year ago to $4.99 million.

    Lasseters’ expenses during the first half of the 2007 financial year included a $1 million investment in its new online gaming platform Orbis, which is due to enter service by the end of March.

    The company made 22 staff redundant as it dealt with the impact of US legislation passed in September last year that banned transactions between banks and online gambling sites.

    “Lasseters was not the only organisation hit hard by the US legislation. Online casino operators around the world have either embarked on mergers and acquisitions, company sales or close as a result,” Lasseters managing director Peter Bridge wrote the company’s half year accounts.

    “Significantly, all the major publicly listed companies concentrating in online gaming have closed their US operations.”

    Lasseters finished the half with $1.8 million in cash, down from $2.9 million a year ago.

    Related News

    • 14 August 2019

      Global iGaming Market Value to Increase to $94.4 Billion by 2024

      The Global iGaming industry is very large and very profitable. All around the world, people are betting on sports events, horse races, and enjoying casino games or interactive video slots. The industry seems unstoppable, but exactly what is driving this growth and how will it all look like in the future? Now, a new market report by Zion Market Research answers these questions and reveals some surprising statistics about the industry and the factors at play in its growth. Massive Growth

      Read full article
    • 11 June 2019

      The Netherlands Gaming Authority Expects Online Gambling Market To Open In January 2021

      The Dutch top gambling regulator announced that the Netherlands’ new regulated online gambling market won’t take off for another year and a half. During the Gaming in Holland conference, the chairman of the Kansspelautoriteit (KSA) gaming regulatory body, Rene Jansen, said that the regulator was planning for the country’s new Remote Gambling Act to take effect on July 1, 2020. International Operators Highly Interested:

      Read full article
    • 30 December 2018

      Gambling Taxes in Italy See Big Jump, Playtech's Earnings Fall

      The taxes that gambling operators and software companies have to pay in a given jurisdiction are one of its biggest expenses. This means that even a relatively small shift in those rates can cause some major changes in what can be expected for business. This has recently been the case in Italy where their Senate has been working on a proposed budget for the following fiscal year, and this budget includes some unexpected increases to the taxes on gambling businesses.

      Read full article