Profits drop in third quarter for Atlantic City casinos

The third quarter financial results of Atlantic City casinos revealed an overall increase in revenues but a dip in profits. Two new companies, Hard Rock Atlantic City and the Ocean Resort Casino, started operation in the city during the quarter, both have done reasonably well in financial performance, generating a combined revenue of $178.5 million.

The overall casino revenue from the city was $920 million during the period, marking an increase of 17.8 per cent year on year. However, the revenue rise did not lead to an increase in gross operating profit, which slided by 15.3 per cent to $213.7 million.

Market leader Golden Nugget was one of the two companies to report profit—Bally’s being the other company.

Tropicana suffered the biggest slide in profit, which is—down by 31.1 per cent to $31.8 per cent. Borgata too saw a dip in profit of 21.7 per cent.

Caesars Interactive Entertainment, New Jersey recorded 10.5 per cent fall in revenue.