The Canadian company registered revenues of US$312.1 million in the first three months of 2019.
Canada.- The first quarter of the year was a successful period for Great Canadian Gaming. The company from Canada reported revenues of US$312.1 million in the first three months of the year, which is a 35% improvement when compared to the same period in 2018.
Besides increasing revenues, Great Canadian Gaming also improved its adjusted EBITDA, as it increased during the first quarter to US$111.6 million when compared to the same period in the prior year, mainly due to the accounting impact of IFRS 16, the new lease accounting standard adopted on January 1, 2019.
This period was characterised by the completion of agreements with the Ontario Lottery and Gaming Corporation (“OLG”) and the owners of Ajax Downs racetrack to continue operations at Casino Ajax beyond the opening of the Company’s new casino resort property currently under development in Pickering, Ontario.
Furthermore, on April 26, the company announced an agreement to sell its subsidiary Great American Gaming Corporation (Great American) for proceeds of US$56 million.
“With a successful 2018 behind us, the Company remains focused on the execution of its operational and development plans for 2019 and beyond,” stated Rod Baker, the Company’s Chief Executive Officer.
“This includes the upcoming launch of the new world-class casino resort in Pickering, Ontario as well as several exciting facility and operational upgrades to our recently acquired properties in Ontario. We also worked diligently with OLG to extend operations at Ajax Downs beyond the opening of Pickering, allowing this gaming and horse racing facility – that was previously expected to close – to continue making economic contributions to the community it serves.
“Despite the strong progress made to grow the business, our first quarter in 2019 experienced challenges from the extreme weather conditions, which negatively impacted guest visitation at our Ontario gaming facilities.”