CryptoLogic Pulls Through

The Unlawful Gaming Enforcement Agency came down on CryptoLogic (CRYP) last year, banning the company from any operation at all in the United States. During that time, CRYP relied upon the U.S. for 30% of their online gaming operations. Since then, CryptoLogic has decided to change CEO's and they have moved their headquarters that were originally based in Canada, to Ireland, where they will be closer to their remaining customers.

Even though the road has been tough, CRYP has survived the bumps in the road and have returned to seeing some profit. Wednesday, they reported revenue of $17.5 million for the past quarter, and a net income of $2.4 million, which equals $0.19 per share.

They have made many changes in the past year, such as making many acquisitions in Europe and Asia, like the Casino.co.uk and Mikoishi Stuidios - which focus on the Asian cell phone market. To further meet the needs of prospective new licensees, they have moved their gambling license to the United Kingdom.

It could prove to be a very wise decision for investors to keep an eye on CRYP's integration of their new European and Asian gaming units. It is expected that revenue from the fourth-quarter will come in between $17.5 million and $18.5 million, with earnings as high as $2 and $3 million.