Century Casinos praised US acquisitions in December 2019 as having a positive impact on the financial results of the company’s third quarter.
During the reporting period, the company’s net operating revenue increased 81 percent from $52.9 m to $95.7 m, which nudged its estimates for the year-to-date to $219.4 m for the period ending September 20, 2020, a 45 percent rise from $150.9 m.
Across the main geographical segments of the business, the aforementioned acquisition saw US sales hit $62.6 million (2019: $9.1 million) during Q3, as Canada and Poland slipped 25 percent and 20 percent to $16.5 million (2019: $22 million) and $16.3 million (2019: $20.3 million) respectively.
U.S. income for the year so far has soared to $139.9 million (2019: $26 million), Canada has fallen 38 percent to $37.4 million (2019: $60.3 million), and Poland has dropped 32 percent to $40.7 million (2019: $60.2 million).
Adjusted EBITDA hit $22.2 m for the three-month span (2019: $7 m), as its output rose 47 percent to $30 m for the nine-month period (2019: $20.5 m).
Erwin Haitzmann and Peter Hoetzinger, co-chief executive officers of Century Casinos explained: “Following the reopening of our casinos in June 2020, our results of operations and cash flow improved significantly in the third quarter of 2020.
“We are very pleased to report all-time records in quarterly net operating revenue and Adjusted EBITDA driven by our recent acquisition of the Eldorado properties. The record results confirm the transformational nature the acquisition has had on the company, with 79 per cent of our adjusted EBITDA coming from operations in the United States
“In the third quarter, we also continued to focus on streamlining our cost structure and were able to achieve additional operational efficiencies, resulting in significant operating margin expansion.”
Despite reporting progress throughout the third quarter, Century Casinos states that due to the continuing health crisis, Century Casinos anticipates an adverse impact on the financial position of the business to continue for the rest of the year and maybe through 2021.