LOSSES AT online casino games software developer Cryptologic hit $1.3 million (€970,000) in the first three months of the year, the Dublin-headquartered company said yesterday.

The group, which is in the throes of a restructuring and cost-cutting plan, reported that revenues for the first quarter of the year were down 45 per cent at $10 million from $19.3 million for the same period last year.

Cryptologic blamed the fall in revenues on the fact that betting has decreased in the face of the recession and on the weakness of the dollar.

Net losses for the period were $1.3 million, compared with a gain of $600,000 during the first quarter of 2008. The net loss per share came to 10 cents. The company is proposing to pay shareholders a quarterly dividend of three cents per share, which is unchanged on last year.

It was the fourth consecutive quarter in which the company recorded a loss. Last year Cryptologic’s net losses came to $32 million, partly due to restructuring costs and the writedown of some assets.

However, chief executive Brian Hadfield told The Irish Timesyesterday that the company was on target to return to profit midway through this year.

Cryptologic said last January that it expected to generate profits of $9 million to $10 million in 2009. “That’s still on target,” Mr Hadfield said yesterday. “We are maintaining our outlook for the full year.”

Last year, Cryptologic switched its focus to concentrate on developing software for casino games such as blackjack and roulette.

Cryptologic employs 15 people at its Dublin global headquarters.