Don't think that casino giants are the only businesses thinking about the potential profit bonanza from online gaming. Sure, MGM Resorts
The company announced it was acquiring Ongame, a company with a platform to provide online gaming capabilities across multiple devices, from bwin.party. This will allow Shuffle Master to offer a host of services to online gaming operators, including poker and proprietary games on mobile devices.
Proof is in the pudding
Shuffle Master is becoming more confident and capable of making these moves because of its own financial success. The company just reported a 28% increase in fiscal first-quarter revenue, to $56.1 million, and earnings per share of $0.14.
This followed strong earnings from competitor Bally Technologies
Foolish bottom line
These moves will allow Shuffle Master to capture business in the online gaming space (where it's legal) and build a base of customers in anticipation of U.S. regulation. Bwin.party is one of the leaders in the online gaming space and Ongame has developed products for its platform. I expect this acquisition, as well as Shuffle Master's proprietary games, to continue to drive their growth beyond the casino floor.
Fool contributor Travis Hoium does not have a position in any company mentioned. You can follow Travis on Twitter at @FlushDrawFool, check out his personal stock holdings or follow his CAPS picks at TMFFlushDraw.
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