Resorts International
Results Up
Resorts International Hotel
and Casino, Inc. ("Resorts"), which owns
and operates Resorts Atlantic City, a casino/hotel
in Atlantic City, NJ, today, reported its operating
results for the second quarter ended June 30, 2005.
Second Quarter 2005 Results
Earnings before interest, taxes, depreciation,
and amortization ("EBITDA") for the second
quarter were $12.9 million as compared to $9.0 million
in the year earlier quarter. The increase in EBITDA
was a result of a $4.6 million increase in net revenues
and the result of the reimbursement of certain employee
costs in the amount of $1.7 million by an affiliate
of Resorts' parent company for the time spent by
these employees on the acquisition of properties
from Harrah's Entertainment, Inc. and Caesars Entertainment,
Inc. Net income for the quarter was $1.2 million
compared to net loss of $0.4 million in the second
quarter of 2004.
Gaming revenues for the quarter were $67.3 million,
compared to $62.5 million for the comparable 2004
quarter. Net revenues for the quarter were $62.7
million, compared to $58.1 million in the prior
year, an increase of 7.9%. Gaming volumes for the
second quarter were up 27.7% and 4.6% for table
drop and slot handle, respectively.
Room revenue for the second quarter increased $2.1
million over 2004, as a result of an increase in
the occupied room nights and room rate due to the
new tower opening on June 16, 2004.
First Six Months of 2005 Results
EBITDA for the first six months of 2005 was $19.0
million as compared to $14.2 million for 2004. The
increase in EBITDA for 2005 is a result of $9.8
million increase in net revenues and the result
of the reimbursement of certain employee costs in
the amount of $2.2 million by an affiliate of Resorts'
parent company for the time spent by these employees
on the acquisition of properties from Harrah's Entertainment,
Inc. and Caesars Entertainment, Inc. Net loss for
the first half of 2005 was $2.0 million compared
to a net loss of $2.1 million in 2004.
Gaming revenues for the first half of 2005 were
$128.5 million compared to the $117.7 million in
2004. Net revenues for the first half of 2005 were
$119.0 million compared to $109.2 million in 2004,
an increase of 9.0%. Gaming volumes for the first
half of 2005 were up 20.0% and 7.4% for table drop
and slot handle, respectively.
Gross rooms revenue for the first half of 2005
increased $3.5 million over 2004, as a result of
more than 36,000 additional occupied room nights
due to the new tower.
"We are pleased with the positive trends in
our gaming volumes," said Nick Ribis, Vice
Chairman of Resorts. "We continue to attract
new guests and increase our amenities, including
the new casino bar, 25 Hours, which opened last
week."
Capital Expenditures
During the second quarter 2005, the Company invested
$7.2 million of capital, consisting of $2.5 million
for maintenance capital expenditures and $4.7 million
related to various construction projects. In the
first half of 2005, the Company invested $11.9 million
of capital, including $3.7 million for maintenance
capital expenditures and $8.2 million for various
construction projects.
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