Monarch Reports Record First Quarter Results on Colorado Site Expansion; market share growth

0

Reno-based casino company Monarch Casino & Resort, which operates Reno’s Atlantis Casino Resort and Monarch Casino Resort in Black Hawk, Colorado, announced record financial results in the first quarter. The company posted a net profit of $18.1 million on revenue of $108.2 million. for the period ended March 31 of this year.

“Fiscal 2022 got off to a good start as we benefited from the overall business of our recently expanded Monarch Black Hawk and continued market share growth at both properties,” commented Jean FarahiCo-Chairman and CEO of Monarch. Net profit and revenue figures up 122.2% and 44.5% respectively year-on-year.

Besides, Q1 results also benefited from what the executive calls “healthy overall macroeconomic trends,” although he admitted that pressure in the labor market and rising inflation could further impact margins in the near term.

“Our teams continue to effectively manage expenses as we reinvest in our properties and grow our business,” Farahi added. “We believe that our financial results demonstrate our operational excellence and confirm that our investment in Monarch Black Hawk is producing exceptional returns.”

Monarch Black Hawk

Net revenue and adjusted EBITDA of $108.3 million and $34.3 million, respectively, were company records in the first quarter, as was adjusted EBITDA margin of 31.7% .. “As we look to the 2022 results, we intend to build on our strong operational performance in the first quarter, which is traditionally the slowest quarter of the year for us and for our markets,” he said. said the CEO.

The company completed its master plan expansion at Monarch Black Hawk during this period.with the opening of Bistro Mariposa, a dining venue offering “refined Southwestern cuisine”. The station continues to gain significant market shareespecially from the upper end of the market, the company said.

The Black Hawk site also benefited from the removal of betting limits in Colorado in May 2021, and the variety of additional table games. This has led to the property’s table game revenue continuing to increase “significantly”.

“Our efforts to grow Monarch Black Hawk’s revenue and Adjusted EBITDA are just beginning and we are excited about the long-term growth opportunity for this property,” Farahi noted, while underlying the company also has ambitious plans in place for its home market of Reno.

Atlantis Casino Resort in Reno

While the company describes underlying market trends in the Nevada city as remaining competitive, Monarch continued to invest in its Atlantis property “to ensure it remains at the top of Reno’s casino offerings.”

With these improvements in place, Atlantis’ first quarter financial results were impacted by construction work on the overhaul and upgrade of approximately 20% of the site’s room inventory.. The project is on schedule and is currently expected to be completed by the end of the second quarter of the current year.

“We continue to evaluate potential acquisitions where we can fully leverage our development and operating expertise to drive long-term value for our shareholders,” Farahi concluded. “Our future remains bright and we look forward to what promises to be an exciting 2022.” Shares of Monarch closed up $2.27, 2.5%, at $93.08 per share on Wednesday.

The company’s Atlantis property includes 61,000 square feet of casino space, 818 rooms and suites, eight dining outlets, a 30,000 square foot health spa and salon, two retail outlets, an 8,000 square foot family center and approximately 52,000 square feet of convention space. It includes around 1,400 slot and video poker machines, 37 table games, a bookmaker and a poker room.

Meanwhile, the Monarch Black Hawk has approximately 60,000 square feet of casino space, more than 1,000 slot machines, around 40 table games, a live poker room and a bookmaker. It also includes 10 bars and lounges and five restaurants; and offers 516 rooms and suites, meeting space, a retail store, a concierge lounge, and a spa and pool.

Share.

Comments are closed.