In last trading session, the stock price of NTN Buzztime Inc (NYSEMKT:NTN) declined 0.79% to close the day at $6.30. The decline came at a share volume of 6,564 compared to average share volume of 53,755. NTN reported better than expected 1Q results with positive adjusted EBITDA. It introduced payment and order at Buffalo Wild Wings.
The management view
Ram Krishnan, the CEO of NTN Buzztime, said that in April, they achieved a remarkable milestone, implementing payment and order at Buffalo Wild Wings. To get to this stage, they had overcome many obstacles to resolve extremely high standards for payment and menu complexity, guest experience, security requirements, and other technology requirements, all of which will allow them to deliver at scale.
The CEO added that early response has been quite encouraging, and they are gearing up for initial market launch. Also, the company’s BEOND installation site number surged 4% sequentially to indicate 65% of the deployed base at March 31. This achievement is significant as NTN’s on demand technology allows single player games for children, better gaming experiences, superior advertising and services and making a way for increased revenue streams.
Last year, the management positioned the firm for long-term growth. In 1Q, with an improved product quality and a leaner cost structure, they expect positive Adjusted EBITDA in the second quarter. Also, they anticipate to cash in opportunities to boost growth and increased financial improvements in this year and beyond.
For 1Q2016, total revenues came at $5.5 million against the revenue of $6.5 million in 4Q2015 and $5.7 million for 1Q2015. Direct costs came at $2 million in 1Q2016 compared to $2.6 million in the same quarter, a year earlier. This increase in costs can be attributed to the improved production costs, lower revenue level and lower repair maintenance and scrap costs.