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TransGaming Reports Fiscal Year 2013 Second Quarter Results

TORONTO, ONTARIO -- (Marketwire) -- 01/29/13 -- TransGaming Inc. (TSX VENTURE:TNG) ("TransGaming" or the "Company") today reported its second quarter fiscal year 2013 results. The Company's unaudited interim consolidated financial statements for the three and six months ended November 30, 2012 and Management's Discussion and Analysis have been filed and are available on SEDAR at


TransGaming's second quarter of fiscal 2013 was an exciting period with a strong start to the fiscal year. Highlights during and subsequent to the quarter include:

--  The Company generated $1.9 million for the quarter or revenue growth of
    43% for the quarter over F12, representing the third strongest quarter
    ever in the Company's history. 
--  The strong Q2 has resulted in year to date revenue of $3.4 million or
    growth of 48% over the same period in the previous fiscal year. 
--  Cash outflows continued to decline in Q2 F13 as a result of management's
    initiatives to curtail spending and preserve cash. 
--  GameTree TV accounted for 40% of this year's revenue to date and
    contributed $1.0 million in gross margin to the distribution segment. 
--  TransGaming showcased GameTree TV and multi-screen gameplay at The 2013
    International CES in Las Vegas with its internally developed World Poker
    Tour ® ("WPT") game. 
--  GameTree TV underwent a major update in December, with enhanced user
    functionality and a subscription only model. 
--  TransGaming secured a milestone patent for key proprietary technology
    that forms the core of TransGaming's SwiftShader product. SwiftShader is
    the world's fastest pure-software 3D graphics renderer, and has been
    licensed by industry-leading technology providers. 
--  The 2012 MMO hit game Guild Wars 2 was well received on the Mac and is
    exceeding user targets and will drive revenue in the coming quarters. 

Commenting on the results, Vikas Gupta, CEO & President of TransGaming stated:

"I'm very pleased with our second quarter results which are both a clear demonstration of the market traction we are gaining with our products but also evidence of management's determination to reduce costs towards achieving profitability soon. This was an important quarter as we continued our restructuring of the company towards achieving a more streamlined organization with two vertical P&L based business units: the Graphics & Portability Group, and the Digital Media Group. This cost reduction has continued into Q3 and the full impact of our restructuring will be evident in the coming months.

On the business front, we are actively signing new licensing agreements for our core technology, negotiating GameTree TV distribution agreements with large service providers and device makers, and we are gaining new subscribers at higher ARPUs. We believe the business is surging forward with a new and effectively manageable cost-structure and the company has strong viability and tremendous growth prospects on the near horizon."

Conference Call Details

TransGaming will host an analyst and investor conference call at 10:00 a.m. ET on Wednesday January 30, 2012 to review the second quarter fiscal 2013 results. The telephone number for the conference call is +1 (416) 695-6622. The call will be recorded and a digital replay will be available on the Company's Investor Relations portion of its website at:

About TransGaming Inc.

TransGaming Inc. (TSX VENTURE:TNG) is the global leader in developing and delivering platform-defining social video game experiences to consumers around the world. From engineering essential technologies for the world's leading companies, to engaging audiences with truly immersive interactive experiences, TransGaming fuels disruptive innovation across the entire spectrum of consumer technology. TransGaming's core businesses span the digital distribution of games for Smart TVs, next-generation set-top boxes, and the connected living room, as well as technology licensing for cross-platform game enablement, software 3D graphics rendering, and parallel computing. Visit us at


Certain statements in this document may constitute "forward-looking" statements, which involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. When used in this document, such statements use words like "may", "will", "expect", "continue", "believe", "plan", "intend", "would", "could", "should", "anticipate" and other similar terminology. These statements reflect current assumptions and expectations regarding future events and operating performance and speak only as of the date of this document. Forward-looking statements involve significant risks and uncertainties, should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether or not such results will be achieved. A number of factors could cause actual results to vary significantly from the results discussed in the forward-looking statements, including, but not limited to, the factors discussed under the "Risk Factors" section of the Company's the most recently filed Annual Information Form which is available on SEDAR at

Although the forward-looking statements contained in this document are based upon what we believe are reasonable assumptions, we cannot assure investors that our actual results will be consistent with these forward-looking statements. We assume no obligation to update or revise these forward-looking statements to reflect new events or circumstances, except as required by securities law.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

TransGaming Inc.
Dennis Ensing
Chief Financial Officer
+1 416 979-9900 x321

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