Profits have fallen to less than half they reported two years ago.
US.- The West Virginia Mountaineer Casino Racetrack And Resort reported its profits and the numbers show that they have dropped a more than 50 percent compared to the levels registered in 2014. The growing competition from casinos in neighboring states such as Pennsylvania and Ohio contributed to the damage.
Heals Star reported the Mountaineer’s third quarter adjusted earnings before interest, tax, depreciation and amortization results, with a little more than US$3.95 million, a 38.7 percent drop from the numbers registered in 2015, and 56.5 percent less than the 2014 numbers.
The casino owned by Eldorado Resorts Incorporated presented net revenues from June to September of US$37 million, a 9.2 percent decline year-on-year, whilst operating income fell 62.6 percent to US$1 million. According to Eldorado, the smoking ban which came into effect in 2015, affected negatively it’s facility’s results.
Gary Carano, Chairman and Chief Executive Officer for Eldorado Resorts Incorporated, said: “Since the middle of 2014, we have successfully executed a multi-pronged growth strategy comprised of organic growth through targeted return-focused facility enhancement projects, a $10 million cost savings program and refined operating management disciplines. These initiatives have been complemented by growth through accretive acquisitions, which expanded our scale, operating efficiencies and margins.”