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Casinos & Gaming

Ameristar Casinos say earnings hurt by fresh competition

By Howard Stutz LAS VEGAS REVIEW-JOURNAL
February 8, 2013 - 2:10 am
 

Ameristar Casinos said Thursday new competition in several regional markets caused a decline in fourth-quarter revenues and profits.

The Las Vegas-based casino operator, which is being bought by rival Pinnacle Entertainment for an enterprise value of $2.8 billion, released results for the quarter ended Dec. 31. The company did not hold an earnings conference call.

Ameristar said its net income was $1.2 million, or 4 cents per share, in the quarter, compared with net income of $7.4 million, or 22 cents per share, a year earlier.

Revenues declined 2.5 percent to $288.8 million from $296.2 million.

The company said revenues from its Kansas City, Mo., and East Chicago, Ind., combined for 88.1 percent of the company's drop in overall net revenues. Both markets experienced increased competition.

Contact reporter Howard Stutz at hstutz@reviewjournal.com or 702-477-3871. Follow @howardstutz on Twitter.

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