NEW YORK and LONDON, Dec. 4, 2006 (PRIME NEWSWIRE) -- Electronic Game Card(tm), Inc. (OTCBB:EGMI), the creator of a proprietary credit card-sized pocket game combining interactive capability with "instant win" excitement called the Electronic GameCard(tm), today announced guidance for the remainder of the current year ending December 31, 2006 and for the year ending December 31, 2007.
For the current year ending December 31, 2006, the company is projecting an operating loss of $0.03 cents per share on operating loss before financing costs of $1,413,633 (financing costs in relation to March 2005 offering will equate to a one-off non-cash charge of $4,360,203). For the year ending December 31, 2007, the company is projecting earnings of $0.04 cents per share on net income of $2,002,000.
"During the course of this year the company has made significant progress as it begins to commercialize its proprietary Electronic GameCard(tm) Platform. During the past twelve months, the company has focused on increasing the robustness of their current games software whilst developing additional games software programs. In addition, the company has been focused on building out additional markets for its Electronic GameCard(tm) Platform whilst its partner, Scientific Games, the world's leading provider of lottery scratch card tickets, has been focused on increasing sales in the global lottery market.
"Our recent success in significant new markets alongside the recently announced simplification of our capital structure has now enabled us to publish earnings guidance for the forthcoming year. Although we are projecting that the majority of next year's income will come from the new markets that we have recently established, we are also confident of achieving significant penetration in the global lottery markets. The initial lottery take up has taken longer than expected but the GameCards are now retailing successfully in two U.S. states. If the sales results from these two States are extrapolated across the other U.S. states that sell $20 scratch cards tickets this would result in significant sales volumes," commented a company spokesperson.
About Electronic Game Card, Inc.
Electronic Game Card, Inc. (OTCBB:EGMI) develops, produces and markets innovative games to the lottery, casino, and promotional industry worldwide. The Company's lead product is the EGC GameCard, a unique credit card-sized pocket game combining proprietary technology of interactive capability with "instant win" excitement. The "Electronic GameCard" can be programmed to suit a variety of gaming and promotion applications with over 20 software programs available.
Electronic Game Card's client base is across the $100 billion global market of state and national lotteries, gaming and casinos, Indian gaming and the expanding sales promotion and incentive markets. Electronic Game Card develops sales and marketing relationships with agents globally and has a joint venture with a major lottery-focused, U.S.-listed corporation that owns approximately 8% of the Electronic Game Card common stock. For further information please visit www.electronicgamecard.com
July 2005, the Public Gaming Research Institute (PGRI) named the Electronic GameCard(tm) as a 2005 Lottery Product of the Year during its conference in Las Vegas. The PGRI award recognizes the importance of new products to the growth and continuing success of worldwide lotteries.
Certain statements in this news release may constitute "forward-looking" statements within the meaning of section 21E of the Securities and Exchange Act of 1934. The Company believes that its expectations, as expressed in these statements are based on reasonable assumptions regarding the risks and uncertainties inherent in achieving those expectations. These statements are not, however, guarantees of future performance and actual results may differ materially. Risk factors are listed in the most recent Annual Report on Form 10-KSB and Quarterly Report on Form 10-QSB filed with the Securities and Exchange Commission.