The analysis and comparison will focus on the following five areas: liquidity or short term solvency, capital structure and long term solvency, operating efficiency, profitability and return on investors. Finally, followed by a recommendation for both of companies, it proposes some actions to minimize the coming and potential risks in the following financial year and in the future. .
However, we should keep in mind that the comparison and analysis is very static because they are mainly based on a given short period (2001/2002 financial year) and don't include the past records of financial information, also, another factor limiting our analysis is benchmarking their situations against industrial averages which now are unavailable. .
2. Overview on Background.
The global gaming industry has undergone enormous developments in the past fifty years and no doubt that it will experience more revolutions in the very near future. However, the Australasian gaming in particular gambling technology industry has tightened significantly in the past year with most state governments limiting the number of new gaming machines that may be installed. This has changed the Australian market from having considerable organic growth to being a hardware replacement industry only. .
Aristocrat, funding in 1950 and going public in 1996, is a leading global provider of gaming solutions. It is dedicated to designing and developing world-class software and to producing the gaming solutions that consistently outperform the competition. Aristocrat products and services are available in over 55 countries around the world. Aristocrat's products range from outstanding specially bonusing products for the largest gaming operators to extensive library of leading standalone games for smaller venues. .
Ainsworth Game Technology provides high-performing entertainment solutions to the Australian market through innovative gaming technology.