Century Casinos saw a record net operating revenue of $161.2m in the third quarter, but ended the period with a net loss due to costs associated with acquisitions. The revenue was 43.2% higher compared to the same period last year and set a new record for the company, surpassing the previous record set in the second quarter.
The increase in revenue was attributed to the acquisitions of Nugget Casino Resort and Rocky Gap Casino. However, the costs associated with these acquisitions outweighed the rise in revenue, leading to a net loss for the quarter.
Despite the net loss, co-chief executives Erwin Haitzmann and Peter Hoetzinger remained optimistic, attributing the loss to one-time expenses and expressing confidence that costs will return to more consistent levels in the next quarter. They also highlighted the record high net operating revenue and adjusted EBITDA achieved through the acquisitions.
In the US, revenue increased by 65.4% to $116.9m, driven by the new casino additions. Canada and Poland revenue also saw increases of 4.3% and 7.7% respectively. However, operating expenses rose by 56.7% to $146.7m, and non-operating expenses amounted to $31.0m, resulting in a pre-tax loss of $16.5m.
Year-to-date revenue for Century Casinos exceeded $400m, a 24.4% increase from the previous year. Operating expenses also saw a significant increase of 29.4% to $356.1m. The company reported a pre-tax loss of $11.4m, in contrast to an $8.6m profit in the previous year.
Despite the net losses, the company reported an 8.6% increase in adjusted EBITDA, reaching $88.7m. Despite the challenges faced in the third quarter, Century Casinos remains focused on its future growth and improvement in performance.