Colorado Springs-based Century Casino reported first-quarter earnings in line with expectations. The report also featured the approval in March of the development of a horse racetrack near Edmonton, Alberta, Canada. Net operating revenue was .4 million and earnings from operations were .5 million, both up 10 percent year-over-year. Also adjusted EBITDA increased 6 percent to .7 million but net earnings fell to .2 million, a 5 percent drop from first quarter 2016. Earnings per share remained at >Colorado Springs-based Century Casino reported first-quarter earnings in line with expectations. The report also featured the approval in March of the development of a horse racetrack near Edmonton, Alberta, Canada. Net operating revenue was $36.4 million and earnings from operations were $4.5 million, both up 10 percent year-over-year. Also adjusted EBITDA increased 6 percent to $6.7 million but net earnings fell to $2.2 million, a 5 percent drop from first quarter 2016. Earnings per share remained at $0.09.<.09.
Century Casinos Co-Chief Executives Erwin Haitzmann and Peter Hoetzinger stated, “Overall, we are quite pleased with the results of the first quarter, taking into account a pretty unfavorable New Year’s holiday calendar as well as severe inclement weather in Colorado compared to last year.”
In March, the Alberta Gaming and Liquor Commission approved the Century Mile horse racetrack near Edmonton on land owned by the city’s international airport. The facility will feature a one-mile racetrack, a gaming floor with at least 550 slot machines and dining and entertainment outlets. The $40 million project is expected to be completed by early 2019.
Haitzmann and Hoetzinger said, “We are very excited about having received regulatory approvals for our racetrack and casino project in Edmonton, Canada.” They added the Century Mile racetrack will replace longtime Century Casino Edmonton competitor Northlands Park, a “double jackpot,” they commented.
Century Poland returned the best numbers, generating $14.5 million in net revenues, up 19 percent year-over-year. In April, Century announced it was approved to move its second Polish license to the Hilton Hotel in Warsaw, the location of Century Poland’s main competitor until its license expired in late 2016. The new facility will offer a 17,000 square feet gaming floor with 24 tables and 70 slot machines.
Canada generated a 1 percent increase of $13.1 million in revenue, though EBITDA dropped from $3.5 million to $3 million due to lower table game hold. The Alberta properties comprise 38 percent of Century’s total revenue and more than half of its EBITDA.
Century’s Colorado properties posted a 6 percent increase in revenue and 23 percent in EBITDA. Century announced it will postpone renovating its Palace Hotel in Cripple Creek.
Century’s balance sheet showed $40 million in cash and cash equivalents against $55 million in outstanding debt, a ratio of approximately 2.1 times debt to adjusted EBITDA.
