In its results for the period to December 31, 2024, the North American gaming group saw fourth-quarter net operating revenue fall by 4 percent year-over-year to $137.8 million. Century Casinos saw a fall across its geographical zones during Q4, with a 3 percent drop in the U.S., which is by far its largest market. It was also down in Canada and Poland by 7 percent and 8 percent, respectively.
For the full year, net operating revenue was up 5 percent to $575.9 million. This growth was driven by its U.S. business, which grew by 10 percent to $419.7 million.
Nugget Casino Charge Proves Costly
Century Casinos saw a significant loss from operations thanks to impaired goodwill at its flagship Nugget Casino Resort property in Reno, Nevada, based on estimated market conditions and performance. This $43.7 million impairment led to a Q4 loss from operations of $36.2 million, a change of 388 percent compared to 2023.
Total operating costs and expenses, including the impairment, were up by 32 percent to $173.9 million in Q4. This figure was up 17 percent to $571.6 million for the full year.
Century Casinos generated earnings from operations of $4.3 million in 2024, down 93 percent year-over-year. Even without the eight-figure impairment, earnings from operations would still have fallen compared to the prior 12-month period. Adjusted EBITDAR of $102.7 million was down 10 percent compared to 2023.
Consumer Spending Concern
Erwin Haitzmann and Peter Hoetzinger, co-chief executive officers of Century Casinos, said: “We continue to see weak trends from retail and low-end customers, which we believe is due to macro-economics impacting consumer spending in our markets.”
Century Casinos is optimistic about its prospects for 2025. It celebrated recent successes such as the opening of its seventh U.S. land-based casino and hotel in Caruthersville, Missouri.
Haitzmann and Hoetzinger said: “With no construction or renovation disruptions and the opportunity to realize returns from our recent growth capital initiatives, we believe adjusted EBITDAR and cash flow will improve in 2025 as compared to 2024.”
As well as operating seven destinations in the U.S., Century Casinos also has five properties in Canada and one in Poland.
