Players Reports Loss of $4.26 Million for Year

Players International Inc. posted a $4.26-million loss for its fiscal year ended March 31, contrasted with an $805,100 profit the previous year.

The Calabasas-based provider of promotions and discounts for recreational gamblers said the loss stemmed largely from a $3.8-million after-tax charge related to an accounting change that Players made in its fiscal second quarter ended last Sept. 30.

Under the change, Players’ costs for recruiting new gaming-club members are now fully applied to the company’s financial results over the initial one-year membership period, instead of over the expected three-year life of the membership. The change allows Players’ financial statements to more closely reflect the company’s cash flow, Players has said.

The loss in fiscal 1992, which came despite a 20% increase in Players’ revenue to $23.6 million from $19.7 million, also reflected “continued losses” in its travel department because of the recession and the Persian Gulf War in 1991.

Players also said the company “significantly curtailed its 900 telephone business due to unacceptable performance levels,” which resulted in unspecified write-offs. The segment included call-in versions of TV game shows such as “Jeopardy!”