Century Casinos Posts Higher Q3, 2020 Results despite Pandemic

In the latest earnings call, Century Casinos has reported a strong recovery in the third quarter of 2020. Despite the record-high results, overall results are down year-over-year, and recovery may continue well into 2021.

Third-Quarter Results Beat Year-over-Year Benchmarks

Century Casinos, Inc. has revealed its financial results covering the third quarter, and the entire nine months of the year ended on September 30, 2020. The company’s third-quarter highlights included an increase in net revenue to $95.7 million or 81% year-over-year.

Earnings from operations topped $15 million, a 331% increase year-over-year. Near earnings attributable to shareholders were some $3.7 million, up from $0.5 million the same period last year.

Century Casinos has fared well during the covid-19 pandemic, a difficult time for the casino industry at large. The company was among the first to wind down and shut all of its properties in a five-day window between March 13 and March 17, 2020, but a clear path to recovery has allowed it to cushion much of the impact.

Diversification has been an important stratagem, allowing the company to stay flexible and continue to post strong results. Century’s Polish venues reopened early into the year, on May 18, 2020, giving the company a foothold and a way to balance.

The company’s operations in North America began rolling out with first regulatory green light, between June 1, 2020, and June 17, 2020. Century confirmed that the third-quarter results were much better, but the overall slowdown in operations throughout the first nine months had had their adverse financial impact.

Century Recovers on Multiple Speeds

Century Casino isn’t sure, but based on the company’s projections, the adverse effect on finances will continue well throughout 2020 and potentially 2021. Despite those difficulties, Century was able to meet regulatory norms and adapt in each individual jurisdiction.

The company spoke about Colorado where each city had different gaming floor restrictions in place, requiring from the company to work closely with an elected official and state health authorities.

In Missouri, the company was able to open its full gaming floor, but at limited capacity and limited hours. West Virginia allowed Century to reopen the majority of its gaming activities but once again imposed specific limits of operation and availability.

Century, which also operates in Canada, reported that as of September 30, 2020, 60% of its total gaming machines were back in operation and were limited to 9:30 am and 3:000 am.

Poland has allowed for a full-scale reopening of Century casinos, but capacity restrictions still apply and the company cannot sell alcohol on the gaming floor.

Prior to the pandemic, Century Casinos signed a partnership with Circa Sports Colorado LLC for Colorado.

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