Gambling in the USA
Century Casinos, Inc. Announces Fourth Quarter and Full Year 2019 Results
Century Casinos, Inc. announced its financial results for the three months and year ended December 31, 2019.
Fourth Quarter 2019 Highlights*
- Net operating revenue was $67.2 million, an increase of 49% from the three months ended December 31, 2018.
- Loss from operations was ($14.7) million, a decrease of 846% from the three months ended December 31, 2018.
- Net loss attributable to Century Casinos, Inc. shareholders was ($20.1) million, a decrease of 4080% from the three months ended December 31, 2018.
- Adjusted EBITDA** was $9.8 million, an increase of 69% from the three months ended December 31, 2018.
- Loss per share was ($0.68).
2019 Highlights*
- Net operating revenue was $218.2 million, an increase of 29% from the year ended December 31, 2018.
- Loss from operations was ($5.2) million, a decrease of 155% from the year ended December 31, 2018.
- Net loss attributable to Century Casinos, Inc. shareholders was ($19.2) million, a decrease of 664% from the year ended December 31, 2018.
- Adjusted EBITDA** was $30.3 million, an increase of 30% from the year ended December 31, 2018.
- Basic loss per share was ($0.65), a decrease of 642% from the year ended December 31, 2018.
- Diluted loss per share was ($0.65), a decrease of 691% from the year ended December 31, 2018.
- Book value per share*** at December 31, 2019 was $5.54.
In December 2019, the Company determined that the intangible and tangible assets at Century Casino Bath were impaired. The impairment, which totaled $16.5 million, was determined after evaluating losses incurred by the casino since operations began and future forecasts of continued losses due to the current regulatory environment for casinos in England.
On December 6, 2019, the Company completed its acquisition (the “Acquisition”) of the operations of Isle Casino Cape Girardeau, located in Cape Girardeau, Missouri, Lady Luck Caruthersville, located in Caruthersville, Missouri, and Mountaineer Casino, Racetrack and Resort located in New Cumberland, West Virginia (collectively, the “Acquired Casinos”), from Eldorado Resorts, Inc. for an aggregate purchase price of approximately $110.6 million. Immediately prior to the Acquisition, the real estate assets underlying the Acquired Casinos were sold to an affiliate of VICI Properties Inc. (“VICI PropCo”). On the closing date, the Company and VICI PropCo entered into a triple net lease agreement (the “Master Lease”) for the three Acquired Casino properties. The Master Lease has an initial annual rent of approximately $25.0 million and an initial term of 15 years, with four five-year renewal options.
The consolidated results for the three months and year ended December 31, 2019 and 2018 are as follows:
|
For the three months |
For the year |
|||||||||||||||
|
Amounts in thousands, except per share data |
ended December 31, |
ended December 31, |
||||||||||||||
|
Consolidated Results: |
2019 |
2018 |
% Change |
2019 |
2018 |
% Change |
||||||||||
|
Net Operating Revenue |
$ |
67,236 |
$ |
45,106 |
49% |
$ |
218,227 |
$ |
168,938 |
29% |
||||||
|
(Loss) Earnings from Operations |
(14,745) |
1,976 |
(846%) |
(5,220) |
9,459 |
(155%) |
||||||||||
|
Net (Loss) Earnings Attributable to Century Casinos, Inc. Shareholders |
$ |
(20,140) |
$ |
506 |
(4080%) |
$ |
(19,155) |
$ |
3,394 |
(664%) |
||||||
|
Adjusted EBITDA** |
$ |
9,776 |
$ |
5,801 |
69% |
$ |
30,281 |
$ |
23,377 |
30% |
||||||
|
(Loss) Earnings Per Share Attributable to Century Casinos, Inc. Shareholders: |
||||||||||||||||
|
Basic |
$ |
(0.68) |
$ |
0.02 |
(3500%) |
$ |
(0.65) |
$ |
0.12 |
(642%) |
||||||
|
Diluted |
$ |
(0.68) |
$ |
0.02 |
(3500%) |
$ |
(0.65) |
$ |
0.11 |
(691%) |
||||||
“We are pleased with the fourth quarter results and the immediate impact the addition of the three casinos acquired from Eldorado Resorts had on our operating results,” Erwin Haitzmann and Peter Hoetzinger, Co-Chief Executive Officers of Century Casinos remarked. “The acquired casinos have had very encouraging initial results, and we are excited to continue integrating the operations into the Century brand and to see anticipated meaningful growth from this acquisition on Century Casinos in the future,” Messrs. Haitzmann and Hoetzinger concluded.
The Company is carefully monitoring the situation caused by the coronavirus (COVID-19) pandemic. Although the entire situation is unpredictable, our management teams are prepared to control what they can control. Our casinos are following and implementing the recommendations from the US Centers for Disease Control and Prevention, which include everyday preventative actions to help prevent the spread of respiratory viruses, such as washing your hands often with soap and water, avoiding touching your eyes, nose, and mouth with unwashed hands, covering your cough or sneeze with a tissue, cleaning and disinfecting frequently touched objects and surfaces and of course staying home when you are sick. We are also putting an extra effort into straight-forward and realistic guest messaging and have stepped-up employee trainings to ensure strict compliance with our policies and procedures. We are in constant communication with our employees to reinforce our sanitation safety procedures in both guest-facing and back-of-house areas. We are sanitizing high-traffic public areas at an increased frequency. Proper procedures are posted in all back-of-house work areas.
To date, COVID-19 has not had a significant impact on our US or Canadian markets, while the market in Poland has been weakening by approximately ten percent. Our customer base is very diversified within North America. Our casinos are ‘local’ casinos in urban and suburban locations, with the vast majority of our business from customers who live within an hour from our facilities. Our casinos have negligible meeting and convention business and few of our customers travel by air to visit us. This may temper the impact of COVID-19 on our business, but this situation continues to evolve and could adversely impact us until the virus runs its course.
Reportable Segment Results*
The table below shows the Company’s operating segments that are included in each of the Company’s reportable segments as of December 31, 2019:
|
Reportable Segment |
Operating Segment |
Reporting Unit |
|
United States |
Colorado |
Century Casino & Hotel – Central City |
|
Century Casino & Hotel – Cripple Creek |
||
|
West Virginia |
Mountaineer Casino, Racetrack & Resort |
|
|
Missouri |
Century Casino Cape Girardeau |
|
|
Century Casino Caruthersville |
||
|
Canada |
Edmonton |
Century Casino & Hotel – Edmonton |
|
Century Casino St. Albert |
||
|
Century Mile Racetrack and Casino |
||
|
Calgary |
Century Casino Calgary |
|
|
Century Downs Racetrack and Casino |
||
|
Century Bets! Inc. |
||
|
Poland |
Poland |
Casinos Poland |
|
Corporate and Other |
Corporate and Other |
Cruise Ships & Other |
|
Century Casino Bath |
||
|
Corporate Other |
The Company’s net operating revenue increased by $22.1 million, or 49%, and by $49.3 million, or 29%, for the three months and year ended December 31, 2019, compared to the three months and year ended December 31, 2018. Following is a summary of the changes in net operating revenue by reportable segment for the three months and year ended December 31, 2019, compared to the three months and year ended December 31, 2018:
|
Net Operating Revenue |
||||||||||||||||||||||
|
For the three months |
For the year |
|||||||||||||||||||||
|
ended December 31, |
ended December 31, |
|||||||||||||||||||||
|
Amounts in thousands |
2019 |
2018 |
$ Change |
% Change |
2019 |
2018 |
$ Change |
% Change |
||||||||||||||
|
United States |
$ |
23,926 |
$ |
7,938 |
$ |
15,988 |
201% |
$ |
49,998 |
$ |
33,483 |
$ |
16,515 |
49% |
||||||||
|
Canada |
20,291 |
15,678 |
4,613 |
29% |
80,650 |
61,361 |
19,289 |
31% |
||||||||||||||
|
Poland |
21,675 |
19,514 |
2,161 |
11% |
81,894 |
68,209 |
13,685 |
20% |
||||||||||||||
|
Corporate and Other |
1,344 |
1,976 |
(632) |
(32%) |
5,685 |
5,885 |
(200) |
(3%) |
||||||||||||||
|
Consolidated |
$ |
67,236 |
$ |
45,106 |
$ |
22,130 |
49% |
$ |
218,227 |
$ |
168,938 |
$ |
49,289 |
29% |
||||||||
The Company’s earnings from operations decreased by ($16.7) million, or (846%), and by ($14.7) million, or (155%), for the three months and year ended December 31, 2019, compared to the three months and year ended December 31, 2018. Following is a summary of the changes in earnings (loss) from operations by reportable segment for the three months and year ended December 31, 2019, compared to the three months and year ended December 31, 2018:
|
Earnings (Loss) from Operations |
||||||||||||||||||||||
|
For the three months |
For the year |
|||||||||||||||||||||
|
ended December 31, |
ended December 31, |
|||||||||||||||||||||
|
Amounts in thousands |
2019 |
2018 |
$ Change |
% Change |
2019 |
2018 |
$ Change |
% Change |
||||||||||||||
|
United States |
$ |
4,685 |
$ |
1,033 |
$ |
3,652 |
354% |
$ |
9,478 |
$ |
5,882 |
$ |
3,596 |
61% |
||||||||
|
Canada |
4,000 |
3,675 |
325 |
9% |
16,115 |
14,633 |
1,482 |
10% |
||||||||||||||
|
Poland |
1,627 |
460 |
1,167 |
254% |
5,915 |
145 |
5,770 |
3979% |
||||||||||||||
|
Corporate and Other |
(25,057) |
(3,192) |
(21,865) |
(685%) |
(36,728) |
(11,201) |
(25,527) |
(228%) |
||||||||||||||
|
Consolidated |
$ |
(14,745) |
$ |
1,976 |
$ |
(16,721) |
(846%) |
$ |
(5,220) |
$ |
9,459 |
$ |
(14,679) |
(155%) |
||||||||
Net earnings attributable to Century Casinos, Inc. shareholders decreased by ($20.6) million, or (4080%), and by ($22.5) million, or (664%), for the three months and year ended December 31, 2019, compared to the three months and year ended December 31, 2018. Following is a summary of the changes in net earnings (loss) attributable to Century Casinos, Inc. shareholders by reportable segment for the three months and year ended December 31, 2019, compared to the three months and year ended December 31, 2018:
|
Net Earnings (Loss) Attributable to Century Casinos, Inc. Shareholders |
||||||||||||||||||||||
|
For the three months |
For the year |
|||||||||||||||||||||
|
ended December 31, |
ended December 31, |
|||||||||||||||||||||
|
Amounts in thousands |
2019 |
2018 |
$ Change |
% Change |
2019 |
2018 |
$ Change |
% Change |
||||||||||||||
|
United States |
$ |
2,261 |
$ |
767 |
$ |
1,494 |
195% |
$ |
5,825 |
$ |
4,373 |
$ |
1,452 |
33% |
||||||||
|
Canada |
948 |
2,077 |
(1,129) |
(54%) |
6,669 |
7,715 |
(1,046) |
(14%) |
||||||||||||||
|
Poland |
1,352 |
179 |
1,173 |
655% |
3,466 |
(153) |
3,619 |
2365% |
||||||||||||||
|
Corporate and Other |
(24,701) |
(2,517) |
(22,184) |
(881%) |
(35,115) |
(8,541) |
(26,574) |
(311%) |
||||||||||||||
|
Consolidated |
$ |
(20,140) |
$ |
506 |
$ |
(20,646) |
(4080%) |
$ |
(19,155) |
$ |
3,394 |
$ |
(22,549) |
(664%) |
||||||||
Items deducted from or added to earnings from operations to arrive at net earnings (loss) attributable to Century Casinos, Inc. shareholders include interest income, interest expense, gains (losses) on foreign currency transactions and other, income tax expense and non-controlling interests.
The Company’s Adjusted EBITDA** increased by $4.0 million, or 69%, and by $6.9 million, or 30%, for the three months and year ended December 31, 2019 compared to the three months and year ended December 31, 2018. Following is a summary of the changes in Adjusted EBITDA** by reportable segment for the three months and year ended December 31, 2019 compared to the three months and year ended December 31, 2018:
|
Adjusted EBITDA** |
||||||||||||||||||||||
|
For the three months |
For the year |
|||||||||||||||||||||
|
ended December 31, |
ended December 31, |
|||||||||||||||||||||
|
Amounts in thousands |
2019 |
2018 |
$ Change |
% Change |
2019 |
2018 |
$ Change |
% Change |
||||||||||||||
|
United States |
$ |
5,441 |
$ |
1,582 |
$ |
3,859 |
244% |
$ |
11,825 |
$ |
8,061 |
$ |
3,764 |
47% |
||||||||
|
Canada |
5,378 |
4,991 |
387 |
8% |
21,212 |
19,522 |
1,690 |
9% |
||||||||||||||
|
Poland |
2,484 |
1,733 |
751 |
43% |
9,392 |
4,890 |
4,502 |
92% |
||||||||||||||
|
Corporate and Other |
(3,527) |
(2,505) |
(1,022) |
(41%) |
(12,148) |
(9,096) |
(3,052) |
(34%) |
||||||||||||||
|
Consolidated |
$ |
9,776 |
$ |
5,801 |
$ |
3,975 |
69% |
$ |
30,281 |
$ |
23,377 |
$ |
6,904 |
30% |
||||||||
Balance Sheet and Liquidity
As of December 31, 2019, the Company had $54.8 million in cash and cash equivalents and $179.0 million in outstanding debt on its balance sheet compared to $45.6 million in cash and cash equivalents and $59.5 million in outstanding debt at December 31, 2018. The outstanding debt as of December 31, 2019 included the following: $170.0 million related to the Company’s credit agreement with a group of lenders led by Macquarie Capital that the Company entered into in December 2019 in connection with the Acquisition, replacing the Company’s credit agreement with the Bank of Montreal; $2.0 million of bank debt related to Casinos Poland; $2.0 million of bank debt related to Century Casino Bath; and $15.0 million related to a long-term land lease for CDR, net of $10.0 million in deferred financing costs.
Conference Call Information
Today the Company will post a copy of its Annual Report on Form 10-K filed with the SEC for the year ended December 31, 2019 on its website at www.cnty.com/investor/financials/sec-filings. The Company will also post a presentation on the year end results on its website at www.cnty.com/investor/presentations.
The Company will host its fourth quarter 2019 earnings conference call today, Friday, March 13th, at 8:00 am MDT. U.S. domestic participants should dial 1-844-244-9160. For all international participants, please use 330-931-4670 to dial-in. Participants may listen to the call live at www.centurycasinos.adobeconnect.com/earningsrelease or obtain a recording of the call on the Company’s website until March 31, 2020 at www.cnty.com/investor/financials/sec-filings.
|
CENTURY CASINOS, INC. AND SUBSIDIARIES |
||||||||||||
|
Condensed Consolidated Statements of (Loss) Earnings |
||||||||||||
|
For the three months |
For the year |
|||||||||||
|
ended December 31, |
ended December 31, |
|||||||||||
|
Amounts in thousands, except for per share information |
2019 |
2018 |
2019 |
2018 |
||||||||
|
Operating revenue: |
||||||||||||
|
Net operating revenue |
$ |
67,236 |
$ |
45,106 |
$ |
218,227 |
$ |
168,938 |
||||
|
Operating costs and expenses: |
||||||||||||
|
Total operating costs and expenses |
81,981 |
43,152 |
223,446 |
159,502 |
||||||||
|
Earnings (loss) from equity investment |
— |
22 |
(1) |
23 |
||||||||
|
(Loss) earnings from operations |
(14,745) |
1,976 |
(5,220) |
9,459 |
||||||||
|
Non-operating income (expense), net |
(3,569) |
(1,053) |
(6,747) |
(3,536) |
||||||||
|
(Loss) earnings before income taxes |
(18,314) |
923 |
(11,967) |
5,923 |
||||||||
|
Income tax provision |
(955) |
(133) |
(4,174) |
(1,917) |
||||||||
|
Net (loss) earnings |
(19,269) |
790 |
(16,141) |
4,006 |
||||||||
|
Net earnings attributable to non-controlling interests |
(871) |
(284) |
(3,014) |
(612) |
||||||||
|
Net (loss) earnings attributable to Century Casinos, Inc. shareholders |
$ |
(20,140) |
$ |
506 |
$ |
(19,155) |
$ |
3,394 |
||||
|
(Loss) earnings per share attributable to Century Casinos, Inc. shareholders: |
||||||||||||
|
Basic |
$ |
(0.68) |
$ |
0.02 |
$ |
(0.65) |
$ |
0.10 |
||||
|
Diluted |
$ |
(0.68) |
$ |
0.02 |
$ |
(0.65) |
$ |
0.10 |
||||
|
Weighted average common shares |
||||||||||||
|
Basic |
29,474 |
29,439 |
29,452 |
29,401 |
||||||||
|
Diluted |
29,474 |
29,861 |
29,452 |
29,962 |
||||||||
|
CENTURY CASINOS, INC. AND SUBSIDIARIES |
||||||
|
Condensed Consolidated Balance Sheets |
||||||
|
December 31, |
December 31, |
|||||
|
Amounts in thousands |
2019 |
2018 |
||||
|
Assets |
||||||
|
Current assets |
$ |
79,366 |
$ |
54,974 |
||
|
Property and equipment, net |
503,933 |
187,017 |
||||
|
Other assets |
143,601 |
36,834 |
||||
|
Total assets |
$ |
726,900 |
$ |
278,825 |
||
|
Liabilities and Equity |
||||||
|
Current liabilities |
$ |
56,570 |
$ |
50,020 |
||
|
Non-current liabilities |
498,255 |
45,422 |
||||
|
Century Casinos, Inc. shareholders’ equity |
163,306 |
176,321 |
||||
|
Non-controlling interests |
8,769 |
7,062 |
||||
|
Total liabilities and equity |
$ |
726,900 |
$ |
278,825 |
||
|
CENTURY CASINOS, INC. AND SUBSIDIARIES |
||||||||||||||||
|
Constant Currency* Results (unaudited) |
||||||||||||||||
|
For the three months |
For the year |
|||||||||||||||
|
ended December 31, |
ended December 31, |
|||||||||||||||
|
Amounts in thousands |
2019 |
2018 |
% Change |
2019 |
2018 |
% Change |
||||||||||
|
Net operating revenue as reported (GAAP) |
$ |
67,236 |
$ |
45,106 |
49% |
$ |
218,227 |
$ |
168,938 |
29% |
||||||
|
Foreign currency impact vs. 2018 |
559 |
7,207 |
||||||||||||||
|
Net operating revenue constant currency (non-GAAP)* |
$ |
67,795 |
$ |
45,106 |
50% |
$ |
225,434 |
$ |
168,938 |
33% |
||||||
|
(Loss) earnings from operations (GAAP) |
$ |
(14,745) |
$ |
1,976 |
(846%) |
$ |
(5,220) |
$ |
9,459 |
(155%) |
||||||
|
Foreign currency impact vs. 2018 |
934 |
955 |
||||||||||||||
|
(Loss) earnings from operations constant currency (non-GAAP)* |
$ |
(13,811) |
$ |
1,976 |
(799%) |
$ |
(4,265) |
$ |
9,459 |
(145%) |
||||||
|
Net (loss) earnings attributable to Century Casinos, Inc. shareholders as reported (GAAP) |
$ |
(20,140) |
$ |
506 |
(4080%) |
$ |
(19,155) |
$ |
3,394 |
(664%) |
||||||
|
Foreign currency impact vs. 2018 |
339 |
(40) |
||||||||||||||
|
Net (loss) earnings attributable to Century Casinos, Inc. shareholders constant currency (non-GAAP)* |
$ |
(19,801) |
$ |
506 |
(4013%) |
$ |
(19,195) |
$ |
3,394 |
(666%) |
||||||
Gains and losses on foreign currency transactions are added back to net (loss) earnings in the Company’s Adjusted EBITDA** calculations. As such, there is no foreign currency impact to Adjusted EBITDA** when calculating Constant Currency* results.
|
Adjusted EBITDA Margins *** (unaudited) |
||||
|
For the three months |
For the year |
|||
|
ended December 31, |
ended December 31, |
|||
|
2019 |
2018 |
2019 |
2018 |
|
|
United States |
23% |
20% |
24% |
24% |
|
Canada |
27% |
32% |
26% |
32% |
|
Poland |
11% |
9% |
11% |
7% |
|
Corporate and Other |
(262%) |
(127%) |
(214%) |
(155%) |
|
Consolidated Adjusted EBITDA Margin |
15% |
13% |
14% |
14% |
|
CENTURY CASINOS, INC. AND SUBSIDIARIES |
|||||||||||||||
|
Reconciliation of Adjusted EBITDA ** to Net Earnings (Loss) Attributable to Century Casinos, Inc. Shareholders by Reportable Segment. |
|||||||||||||||
|
For the three months ended December 31, 2019 |
|||||||||||||||
|
Amounts in thousands |
United |
Canada |
Poland |
Corporate |
Total |
||||||||||
|
Net earnings (loss) attributable to Century Casinos, Inc. shareholders |
$ |
2,261 |
$ |
948 |
$ |
1,352 |
$ |
(24,701) |
$ |
(20,140) |
|||||
|
Interest expense (income), net |
1,635 |
1,456 |
55 |
1,020 |
4,166 |
||||||||||
|
Income taxes (benefit) |
789 |
1,375 |
222 |
(1,431) |
955 |
||||||||||
|
Depreciation and amortization |
756 |
1,356 |
781 |
254 |
3,147 |
||||||||||
|
Net earnings attributable to non-controlling interests |
— |
195 |
676 |
— |
871 |
||||||||||
|
Non-cash stock-based compensation |
— |
— |
— |
324 |
324 |
||||||||||
|
Loss (gain) on foreign currency transactions, cost recovery income and other |
— |
26 |
(678) |
16,704 |
16,052 |
||||||||||
|
Loss on disposition of fixed assets |
— |
22 |
76 |
1 |
99 |
||||||||||
|
Acquisition costs |
— |
— |
— |
4,302 |
4,302 |
||||||||||
|
Adjusted EBITDA |
$ |
5,441 |
$ |
5,378 |
$ |
2,484 |
$ |
(3,527) |
$ |
9,776 |
|||||
|
For the three months ended December 31, 2018 |
|||||||||||||||
|
Amounts in thousands |
United |
Canada |
Poland |
Corporate |
Total |
||||||||||
|
Net earnings (loss) attributable to Century Casinos, Inc. shareholders |
$ |
767 |
$ |
2,077 |
$ |
179 |
$ |
(2,517) |
$ |
506 |
|||||
|
Interest expense (income), net |
— |
1,084 |
50 |
65 |
1,199 |
||||||||||
|
Income taxes (benefit) |
266 |
435 |
280 |
(848) |
133 |
||||||||||
|
Depreciation and amortization |
548 |
779 |
1,025 |
402 |
2,754 |
||||||||||
|
Net earnings attributable to non-controlling interests |
— |
174 |
89 |
21 |
284 |
||||||||||
|
Non-cash stock-based compensation |
— |
— |
— |
255 |
255 |
||||||||||
|
(Gain) loss on foreign currency transactions and cost recovery income |
— |
(95) |
(138) |
94 |
(139) |
||||||||||
|
Loss on disposition of fixed assets |
1 |
4 |
27 |
23 |
55 |
||||||||||
|
Pre-opening expenses |
— |
533 |
221 |
— |
754 |
||||||||||
|
Adjusted EBITDA |
$ |
1,582 |
$ |
4,991 |
$ |
1,733 |
$ |
(2,505) |
$ |
5,801 |
|||||
|
CENTURY CASINOS, INC. AND SUBSIDIARIES |
|||||||||||||||
|
Reconciliation of Adjusted EBITDA ** to Net Earnings (Loss) Attributable to Century Casinos, Inc. Shareholders by Reportable Segment. |
|||||||||||||||
|
For the Year ended December 31, 2019 |
|||||||||||||||
|
Amounts in thousands |
United |
Canada |
Poland |
Corporate |
Total |
||||||||||
|
Net earnings (loss) attributable to Century Casinos, Inc. shareholders |
$ |
5,825 |
$ |
6,669 |
$ |
3,466 |
$ |
(35,115) |
$ |
(19,155) |
|||||
|
Interest expense (income), net |
1,635 |
5,312 |
197 |
1,085 |
8,229 |
||||||||||
|
Income taxes (benefit) |
2,018 |
3,278 |
1,617 |
(2,739) |
4,174 |
||||||||||
|
Depreciation and amortization |
2,330 |
4,539 |
3,064 |
910 |
10,843 |
||||||||||
|
Net earnings (loss) attributable to non-controlling interests |
— |
1,295 |
1,731 |
(12) |
3,014 |
||||||||||
|
Non-cash stock-based compensation |
— |
— |
— |
1,303 |
1,303 |
||||||||||
|
(Gain) loss on foreign currency transactions, cost recovery income and other |
— |
(439) |
(1,096) |
16,709 |
15,174 |
||||||||||
|
Loss on disposition of fixed assets |
17 |
20 |
413 |
345 |
795 |
||||||||||
|
Acquisition costs |
— |
— |
— |
5,366 |
5,366 |
||||||||||
|
Pre-opening expenses |
— |
538 |
— |
— |
538 |
||||||||||
|
Adjusted EBITDA |
$ |
11,825 |
$ |
21,212 |
$ |
9,392 |
$ |
(12,148) |
$ |
30,281 |
|||||
|
For the Year ended December 31, 2018 |
|||||||||||||||
|
Amounts in thousands |
United |
Canada |
Poland |
Corporate |
Total |
||||||||||
|
Net earnings (loss) attributable to Century Casinos, Inc. shareholders |
$ |
4,373 |
$ |
7,715 |
$ |
(153) |
$ |
(8,541) |
$ |
3,394 |
|||||
|
Interest expense (income), net |
1 |
3,895 |
206 |
12 |
4,114 |
||||||||||
|
Income taxes (benefit) |
1,508 |
2,536 |
595 |
(2,722) |
1,917 |
||||||||||
|
Depreciation and amortization |
2,178 |
3,211 |
3,065 |
945 |
9,399 |
||||||||||
|
Net earnings (loss) attributable to non-controlling interests |
— |
722 |
(75) |
(35) |
612 |
||||||||||
|
Non-cash stock-based compensation |
— |
— |
— |
868 |
868 |
||||||||||
|
(Gain) loss on foreign currency transactions and cost recovery income |
— |
(235) |
(428) |
2 |
(661) |
||||||||||
|
Loss on disposition of fixed assets |
1 |
10 |
1,054 |
25 |
1,090 |
||||||||||
|
Pre-opening expenses |
— |
1,668 |
626 |
350 |
2,644 |
||||||||||
|
Adjusted EBITDA |
$ |
8,061 |
$ |
19,522 |
$ |
4,890 |
$ |
(9,096) |
$ |
23,377 |
|||||
CENTURY CASINOS, INC. AND SUBSIDIARIES
SUPPLEMENTAL INFORMATION
* The impact of foreign exchange rates is highly variable and difficult to predict. The Company uses a Constant Currency basis to show the impact from foreign exchange rates on current period financial information compared to prior period financial information using the prior period’s foreign exchange rates. In order to properly understand the underlying business trends and performance of the Company’s ongoing operations, management believes that investors may find it useful to consider the impact of excluding changes in foreign exchange rates from the Company’s net operating revenue, (loss) earnings from operations and net earnings (loss) attributable to Century Casinos, Inc. shareholders. Constant currency results are calculated by dividing the current quarter or year to date local currency segment results, excluding the local currency impact of foreign currency gains and losses, by the prior year’s average exchange rate for the quarter or year to date and comparing them to actual U.S. dollar results for the prior quarter or year to date. The average exchange rates for the current and prior year are reported in Note 2 to the Consolidated Financial Statements included in Part II, Item 8, “Financial Statements and Supplementary Data” of the Company’s Annual Report on Form 10-K. The average exchange rates for the three months ended December 31, 2019 and 2018 are presented below.
|
For the three months |
||||||
|
ended December 31, |
||||||
|
Average Rates |
2019 |
2018 |
% Change |
|||
|
Canadian dollar (CAD) |
1.3199 |
1.3218 |
0.1% |
|||
|
Euros (EUR) |
0.9032 |
0.8763 |
(3.1%) |
|||
|
Polish zloty (PLN) |
3.8702 |
3.7668 |
(2.7%) |
|||
|
British pound (GBP) |
0.7766 |
0.7773 |
0.1% |
|||
|
Source: Pacific Exchange Rate Service |
||||||
Constant currency information is not a measure of financial performance under generally accepted accounting principles in the United States of America (GAAP) and should not be considered a substitute for net operating revenue, (loss) earnings from operations or net earnings (loss) attributable to Century Casinos, Inc. shareholders as determined in accordance with GAAP.
SOURCE Century Casinos, Inc.
Welcome to our weekly roundup of American gambling news again! Here, we are going through the weekly highlights of the American gambling industry which include the latest news and new partnerships. Read on and get updated.
Latest News
Merkur Gaming is going to participate in this year’s Peru Gaming Show, taking place from June 18 to 19 at the Centro de Convenciones Jockey Plaza in Lima. Representatives from the company’s German headquarters and its local subsidiary, Merkur Gaming Peru, will be on site to present the latest product innovations and engage with customers and visitors alike. The main attraction at the Merkur Gaming stand will be the linked progressive jackpot system Clash Link. This system stands out for its wealth of unique jackpot mechanics, which keep the excitement level consistently high.
PENN Entertainment has launched a new PGA TOUR-branded Blackjack game in New Jersey and Ontario. PGA TOUR Blackjack, now available via online Hollywood Casino in New Jersey and theScore Casino in Ontario, is the first iCasino game featuring PGA TOUR branding across any platform. PGA TOUR Blackjack, created by PENN’s in-house game development studio, PENN Game Studios, offers classic blackjack gameplay, plus poker and pairs side bets. The golf-themed table features official PGA TOUR logos, custom playing cards, chips and golf-themed celebrations. The new title is available on the standalone Hollywood Casino and theScore Casino platforms and is also accessible through ESPN BET in New Jersey and theScore BET in Ontario.
International Game Technology PLC announced the launch of IGT PlayDigital’s MEGA VAULT offering – a new innovation on its player engagement solution. Powered by the IGT PlayDigital Engagement Platform, a customisable suite of player engagement tools, MEGA VAULT brings together its industry-renowned engagement tools—Prize Drops, Leaderboards, Marketing Jackpots and more—into a single promotional experience. Designed to maximise excitement, engagement and rewards, MEGA VAULT aims to deliver seamless high-impact campaigns that captivate players and drive long-term retention.
Partnerships
Zitro has installed its revolutionary CONCEPT cabinets at the Casino La Cima in Mérida, Yucatán. The CONCEPT cabinets feature the Magic Lighting system, which syncs lights and sound with gameplay for a fully immersive experience, and the largest Screen Deck button panel on the market, offering unmatched comfort and ease of use for players and operators. This launch is backed by some of Zitro’s most successful titles — Fortune Legacy, Legendary Sword and King Fu Frog — all proven crowd favourites known for their engaging mechanics and strong performance.
Aristocrat Interactive, under NeoGames US, signed a six-year contract with the Michigan Lottery to provide its full solution of iLottery product offerings, reaffirming its leadership in the U.S. iLottery industry. Under the contract, from July 2026, Aristocrat Interactive will provide services to the Michigan Lottery for six years, with six additional one-year extension opportunities. The relationship with the Michigan Lottery began in 2014 with the launch of its iLottery programme using NeoGames’ iLottery platform and games. This new deal will provide the Michigan Lottery with eInstant games, draw-based games and add-on offerings produced by Aristocrat Interactive’s NeoGames Studio, along with continuing to leverage the company’s iLottery technology. Aristocrat Interactive will also provide the Michigan Lottery with a new website and mobile application services with Gambyt – a software company specialising in the lottery, casino and sports betting industries.
The post Gaming Americas Weekly Roundup – June 2-8 appeared first on European Gaming Industry News.
Welcome to our weekly roundup of American gambling news again! Here, we are going through the weekly highlights of the American gambling industry which include the latest news and new partnerships. Read on and get updated.
Latest News
Seminole Hard Rock Hotel & Casino Tampa has been named the luckiest casino in the US according to a recent study conducted by Casinos.com. The resort claimed the top spot based on an in-depth analysis of Tripadvisor reviews, measuring the frequency of luck-related keyword mentions. With a 25.49% luck rate, Seminole Hard Rock Tampa topped the list thanks to glowing guest feedback, including frequent mentions of jackpots, hand pays and bonus wins. 50 reviews mentioned the word “jackpot,” and 19 even referenced a “hand pay.” Casinos.com tracked keywords such as lucky, luck, won, winning, success, jackpot, hand pay, winner, bonus, profit to determine which U.S. casinos inspired the most winning moments among visitors.
The Missouri Gaming Commission has announced that it has officially begun accepting applications for sports betting license. The Commission made the announcement following the unanimous approval of a resolution drafted Tuesday that approved the licensing process. The resolution passed after Gov. Mike Kehoe’s office reviewed it. The licensing period opens roughly six months after Missouri voters narrowly approved a constitutional amendment legalising sports betting. The measure passed by less than half a percentage point, with a margin of less than 7500 votes.
Underdog Fantasy has relaunched its draft-style daily fantasy sports (DFS) games in New York, nearly two months after it withdrew all of its DFS competitions from the Empire State. The decision to withdraw all DFS contests from New York in March came after a ruling from the New York State Gaming Commission in which the commission determined Underdog was not in line with the state’s current DFS law. An Underdog Fantasy spokesperson confirmed the company is still working under a temporary license. The New York State Gaming Commission agreed to allow the company to offer its draft DFS games with the temporary license. Most DFS companies in New York operate with a temporary license.
New Partnerships
Pollard Banknote Limited has congratulated the West Virginia Lottery on the successful launch of Royal Court Riches, its first eInstant game from the Pollard Digital Games Studio. Royal Court Riches has already demonstrated strong performance in multiple markets—in its first international launch, it achieved that jurisdiction’s highest tickets sold, total sales and gross gaming revenue within its first 30 days of release. Royal Court Riches is the first in a series of games from the Pollard Digital Games Studio slated to launch in West Virginia this year.
SYNOT Games has announced a new partnership with Caliente, one of Mexico’s top gaming platforms. This collaboration marks an exciting expansion for SYNOT Games, as it brings its acclaimed portfolio of gaming content to the Mexican market. It enhances Caliente’s offerings with an extensive array of high-quality slot games such as Respin Joker, Book of Secrets, Realm of Lions and Forest Maiden, designed to captivate players and boost engagement. Caliente with its strong presence in Latin America, is the perfect partner for SYNOT Games’ expansion into the region. The partnership aims to deliver an exceptional gaming experience, combining SYNOT’s visually rich, innovative games with Caliente’s extensive reach and reputation.
The post Gaming Americas Weekly Roundup – May 19-25 appeared first on European Gaming Industry News.
Welcome to our weekly roundup of American gambling news again! Here, we are going through the weekly highlights of the American gambling industry which include the latest news and new partnerships. Read on and get updated.
Latest News
Scientific Games was recognised with three prestigious honours in the 23rd Annual American Business Awards. The global lottery company won two Gold ABA awards for its retail technology, SciQ and PlayCentral Powered by SciQ, in the Operations Management Solutions and Emerging Technology categories, respectively. Scientific Games’ recently retired VP, Instant Game Production, Joe Bennett, earned a Silver ABA Award for Achievement in Management—Manufacturing, recognising his career contributions in secure lottery instant game production. This year, more than 3700 nominations from organisations of all sizes and industries were submitted to the ABAs. Winners were scored by more than 300 professionals worldwide during a rigorous judging process evaluating innovation, integrity, effectiveness, creativity and growth.
MGM Resorts has announced that it has reached a new employment agreement with CEO & President Bill Hornbuckle through December 31, 2028. As part of his new employment contract, the Company has also agreed to offer Hornbuckle an advisory agreement at the end of the term to assist with its integrated resort project in Osaka, Japan until its opening. As CEO, Hornbuckle oversees all aspects of MGM Resorts’ strategy, operations and hospitality and gaming development projects. He leads the company’s global development efforts and its digital gaming strategy.
Minimum Deposit Casinos (MDC) has released new insights into the tightening regulatory landscape for sweepstakes-based gaming in the US. Recent moves by lawmakers in New York, Louisiana, and Montana suggest a coordinated push to eliminate or restrict these alternative online gambling models. In New York, Senate Bill 5935, introduced by Sen. Joseph Addabbo, has advanced through the legislative process and targets the operation and supply of sweepstakes-style platforms. The bill specifically addresses platforms that use two forms of digital currency — one of which can be redeemed for real-world prizes — a setup now under scrutiny by state regulators.
New Partnerships
Rush Street Interactive (RSI), in partnership with Integrity Compliance 360 (IC360), has launched a new initiative called Gaming Literacy Aiding Decisions (GLAD), an innovative programme designed to assist educators in enhancing high school student gaming literacy and promoting that cohort’s responsible relationship with this ever more socially prevalent activity. The GLAD curriculum will initially launch in New Jersey and Delaware where, this spring, RSI and IC360 have been working with educational districts on a speaker series and educator curriculum delivery. These initial efforts will help define success metrics and gather feedback to shape the programme’s future, which will ultimately be available to educators more broadly to curate the content that resonates best with students.
The Ontario Lottery and Gaming Corporation (OLG) has selected Caesars Entertainment as the Service Provider in the Windsor Casino procurement process. This is the final procurement process in the OLG’s land-based gaming modernisation initiative. Caesars Entertainment and its predecessor companies have partnered with the OLG to operate Caesars Windsor (fka. Casino Windsor) since the opening of the temporary facility in 1994. Caesars Entertainment will assume responsibility for gaming and non-gaming operations of the Windsor casino on behalf of the OLG under a 20-year operating agreement, which is expected to begin in 2026.
The post Gaming Americas Weekly Roundup – May 12-18 appeared first on European Gaming Industry News.
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