According to Full House Resorts, a good first quarter output is the result of operational improvements made prior to the pandemic-related shutdown of operations.
The company goes on to say that its results for the quarter ending March 31, 2021 are “significantly above not only the 2020 period, but also meaningfully above any first quarter in at least the past five years.”
Revenue rose 36.8 percent year over year to $42.2 million (2020: $30.9 million), but the prior-year span included the temporary pandemic-related closure of all of the company’s assets beginning in mid-March 2020.
The quarter’s net loss decreased from $4.4 million to £3.4 million, with adjusted EBITDA of $10.8 million, compared to a loss of $1.2 million in the first quarter of 2020.
Organisational and marketing changes
According to Full House, this growth is the result of organisational and marketing changes that began in the second half of 2020 and continued through the first quarter of 2021.
In addition, revenue from three of the company’s six licenced sports wagering skins in Colorado and Indiana totalled $1 million in the first quarter.
Two more skins started operations in the second quarter of the year, with the final organisation scheduled to start up in the coming months. Each of the six could bring in at least $7 million in sports betting revenue each year.
Full House Resorts’ president and CEO, Daniel Lee, said: “Our first quarter results continued to benefit from structural changes that we began to implement before the pandemic-related shutdown.
“Revenues in the first quarter of 2021 increased approximately 37 per cent from last year’s first quarter, when all of our properties were required to shut down in mid-March 2020 to help prevent the spread of the pandemic.
“Adjusted EBITDA increased by more than $12m to $10.8m, reflecting labour and marketing improvements, as well as approximately two weeks of lost income in the prior-year period.
“Our first quarter results are significantly above not only the 2020 period, but also meaningfully above any first quarter in at least the past five years.”
Chamonix Casino Hotel
“Regarding Chamonix, we commenced significant construction more than two months ago, beginning with demolition and site preparation work,” he said providing an update on the group’s recently named Chamonix Casino Hotel Cripple Creek development. Chamonix was created with the aim of bringing the luxury of the French Alps to the Rockies, mixing “European Elegance with Colorado Comfort.”
He continued: “When complete, Chamonix will feature approximately 300 four-star guest rooms and VIP suites – the first luxury guest rooms in the market – as well as a spacious, new, elegant and exciting casino gaming area.
“Its fine dining experience is being designed to attract culinary travelers from throughout Colorado, including nearby Colorado Springs, Pueblo and Cañon City, as well as the Denver Metropolitan Area. Chamonix will also feature extensive meeting and convention space that can host concerts and other entertainment, a rooftop pool, a luxurious spa, and a new self-parking garage that can accommodate more than 300 vehicles. We look forward to welcoming guests to Chamonix toward the end of next year.”