WPT Enterprises, Inc., the company behind the wildly popular World Poker Tour (WPT) program, yesterday reported results for Q3 2005, which included, among other things, a substantial drop in revenues. Whereas WPT Enterprises posted revenues of $3 million for Q3 2004, the corresponding quarter in 2005 saw just over $2 million in revenues, constituting a drop of over 28 percent. The drop seems to have resulted from less frequent activity on the part of the WPT television show domestically, with only one episode of the current season having been distributed during the recent quarter.

Although growth was cited with regards to distribution of the World Poker Tour show outside of the United States and with the licensing of the WPT brand, the bulk of the WPT's operations concern domestic distribution of the show. Thus, distributing only one episode, compared with Q3 2004's six, translated into significantly less revenue for WPT Enterprises this past quarter.

In addition to lower revenues, 2005's third quarter saw a higher net loss than in the same period last year. Last year's third quarter net losses were just $0.5 million; this year, net loss jumped to $1.6 million in the third quarter.

Steve Lipscomb, President and CEO of WPT Enterprises, preferred focusing on the positive aspects of his company's quarterly performance, saying that the period “represented continued progress for the World Poker Tour brand."

As far as the fourth quarter is concerned, WPT Enterprises is already expecting lowered revenues, compared to Q4 2004. Once again, this expectation stems from the fact that fewer episodes of the WPT show will be distributed this quarter than during the same time last year. Although WPT Enterprises is currently working on a new show, the Professional Poker Tour (PPT), the company does not expect to reap the benefits of this new production before the end of fiscal 2005.

Source:  Poker777 Staff

Wednesday, 09 November 2005