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Mar 31, 2023

Century Casinos Q1 2023 Earnings Report

Century Casinos reported a net operating revenue increase of 5% and earnings from operations increase of 41% compared to the same period last year.

Key Takeaways

Century Casinos announced its Q1 2023 financial results, which showed an increase in net operating revenue by 5% and a significant increase in earnings from operations by 41%. However, the company experienced a net loss attributable to shareholders, and a loss per share.

Net operating revenue increased by 5% to $108.5 million.

Earnings from operations increased by 41% to $18.4 million.

Net loss attributable to Century Casinos, Inc. shareholders was ($1.2) million.

Loss per share was ($0.04).

Total Revenue
$109M
Previous year: $103M
+5.2%
EPS
-$0.04
Previous year: $0.01
-500.0%
Adjusted EBITDA
$26.1M
Previous year: $23.8M
+9.4%
Gross Profit
$50.3M
Previous year: $49M
+2.7%
Cash and Equivalents
$103M
Previous year: $117M
-12.4%
Free Cash Flow
-$1.34M
Previous year: $6.3M
-121.3%
Total Assets
$885M
Previous year: $704M
+25.7%

Century Casinos

Century Casinos

Century Casinos Revenue by Segment

Century Casinos Revenue by Geographic Location

Forward Guidance

The company anticipates meaningful growth from the Nugget Casino Resort acquisition and expects it to have an immediate impact on net income.

Positive Outlook

  • Each reportable segment had revenue growth for Q1 2023 compared to Q1 2022.
  • Construction of the hotel in Cape Girardeau, Missouri and the land-based casino and hotel in Caruthersville, Missouri continues with good progress.
  • The acquisition of the Nugget Casino Resort was completed on April 3, 2023.
  • The company has begun to integrate the Nugget operations.
  • The company anticipates an immediate impact to net income from the Nugget Casino Resort acquisition.

Challenges Ahead

  • Interest expense increased by $6.8 million due to additional debt under the Goldman Credit Agreement.
  • Approximately $2.6 million of additional interest expense was incurred from interest on the $100.0 million in escrow to fund the OpCo Acquisition without the benefit of net income from the Nugget Casino.
  • Net loss attributable to Century Casinos, Inc. shareholders decreased by ($1.5) million.
  • Loss per share was ($0.04).
  • Corporate and Other segment reported a loss from operations of $2.5 million.

Revenue & Expenses

Visualization of income flow from segment revenue to net income