Empire Resorts (NASDAQ:NYNY)
Historical Stock Chart
From Jul 2019 to Jul 2024
Empire Resorts, Inc. (NASDAQ: NYNY) today reported financial results for
the third quarter and nine months ended September 30, 2006.
Net revenue for the third quarter was a record $28.7 million, up 12.0%
from the $25.6 million reported in the third quarter of 2005. Revenue
from racing increased by approximately $0.5 million, or 11.8%,
reflecting simulcasting of races to a greater number of facilities,
while revenue from the company’s video gaming
machine (VGM) business rose by approximately $2.5 million, or 12.2%.
Revenue from the sale of food, beverages and other services also
increased – by approximately $0.6 million, or
36.5%. Empire’s VGM operations experienced an
uptick in daily visits of roughly 1%, and the daily win per unit rose to
$159.70 for the quarter from $123.17 in the third quarter of 2005.
Total operating costs and expenses rose by $1.5 million, or 5.8%, for
the quarter versus 2005, reflecting the rise in revenue. The company
posted operating income of $1.9 million this quarter, versus $0.3
million in the prior-year period. EBITDA improved to $2.1 million from
$0.6 million in the third quarter of 2005. The company posted a net loss
for the third quarter of $(0.2) million, or $(0.01) per diluted share,
compared with a net loss of $(1.6) million, or $(0.06) per diluted
share, in 2005.
For the first nine months of fiscal 2006, Empire reported net revenue of
$77.3 million versus $64.3 million in the same period last year. EBITDA
was $3.8 million for the three quarters of 2006, as compared to $(2.2)
million in 2005. Empire’s net loss for the
period was $(3.2) million, or $(0.12) per diluted share, versus a net
loss of $(8.0) million, or $(0.31) per diluted share, last year.
“Once again, we are pleased with the
performance of our existing gaming and racing operations in Monticello,
even as we make final preparations for bringing a St. Regis Mohawk
casino to the Catskills,” commented David
Hanlon, CEO and president. “We continue to
wait patiently for the Bureau of Indian Affairs to complete its review
in regards to issuing a Finding of No Significant Impact, or FONSI,
after which the federal government can begin the process of transferring
our land into trust for the Tribe. We are putting the finishing touches
on the engineering plans and architectural drawings for a truly
world-class casino that will create 11,000 new jobs and finally place
New York in a competitive position with contiguous and expanding gaming
operations that now benefit New Jersey, Connecticut, and Pennsylvania.
“We transformed Monticello into a regional
entertainment venue in 2004 with the opening of our VGM operations, and
we now stand on the verge of creating one of New York’s
leading resort destinations. Empire Resorts and the St. Regis Mohawks
are poised to lead an economic renaissance in the Catskills. Clearly –
with this significant recent development – it
now looks as though, finally, it’s New York’s
turn to win big.”
The company makes use of EBITDA (earnings before interest, taxes,
depreciation and amortization) as a financial measure which it believes
is a useful performance indicator. EBITDA is not a recognized term under
generally accepted accounting principles, or "GAAP," and should not be
considered as an alternative to net income/(loss) or net cash provided
by operating activities, which are GAAP measures. A reconciliation of
EBITDA to net income/(loss) appears at the end of this release, as do
both actual results for the quarter and year-to-date periods.
About Empire Resorts, Inc.
Empire Resorts operates the Monticello Raceway and is involved in the
development of other legal gaming venues. Empire’s
Mighty M Gaming facility now features over 1,500 video gaming machines
and amenities including a 350-seat buffet and live entertainment. Empire
is also working to develop a "Class III" Native American casino and
resort on a site adjacent to the Raceway and other gaming and non-gaming
resort projects in the Catskills region and other areas. Additional
information can be found at www.empireresorts.com.
Statements in this press release regarding the company's business
that are not historical facts are "forward-looking statements" that
involve risks and uncertainties, including the need for regulatory
approvals, financing and successful completion of construction. The
company wishes to caution readers not to place undue reliance on such
forward-looking statements, which statements are made pursuant to the
Private Securities Litigation Reform Act of 1994, and as such, speak
only as of the date made. To the extent the content of this press
release includes forward-looking statements, they involve various risks
and uncertainties including (i) the risk that the various approvals
necessary as described herein and other approvals required to be
obtained from the United States Congress, the Bureau of Indian Affairs,
the National Indian Gaming Regulatory Commission, the Governor of the
State of New York and various other federal, State and local
governmental entities are not received, (ii) the risk that financing
necessary for the proposed programs or projects may not be able to be
obtained because of credit factors, market conditions or other
contingencies, (iii) the risk that sovereign Native American governments
may exercise certain broad rights with regard to termination of its
agreements with the company (iv) the risk of non-compliance by various
counterparties of the related agreements, and (v) general risks
affecting the company as described from time to time in it's reports
filed with the Securities and Exchange Commission. For a full discussion
of such risks and uncertainties, which could cause actual results to
differ from those contained in the forward-looking statements, see "Risk
Factors" in the company's Annual Report or Form 10-K for the most
recently ended fiscal year.
EMPIRE RESORTS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share data) (Unaudited)
Three Months EndedSeptember 30,
Nine Months EndedSeptember 30,
2006
2005
2006
2005
Net Revenues
$
28,721
$
25,648
$
77,264
$
64,291
Operating Costs
22,421
20,166
62,232
54,168
Selling, General & Administrative
4,160
4,885
11,184
9,988
Impairment Loss - Deferred Development Costs
45
2,363
Depreciation
287
282
856
839
Total Costs & Expenses
26,868
25,378
74,272
67,358
Income (Loss) From Operations
1,853
270
2,992
(3,067)
Amortization of Deferred Financing Costs
170
146
486
429
Interest
1,492
1,318
4,497
3,314
Net (Loss)
191
(1,194)
(1,991)
(6,810)
Cumulative Undeclared Dividends on
Preferred Stock
388
388
1,164
1,164
Net Loss Applicable to Common
Shareholders
$
(197)
$
(1,582)
$
(3,155)
$
(7,974)
Weighted Average Common Shares
Outstanding
26,835
26,147
26,604
26,111
Loss Per Common Share
$
(0.01)
$
(0.06)
$
(0.12)
$
(0.31)
Reconciliation of Net Loss to EBITDA
Net Income (Loss)
$
191
$
(1,194)
$
(1,991)
$
(6,810)
Add: Depreciation
287
282
856
839
Add: Amortization of Deferred Financing Costs
170
146
486
429
Add: Provision for Income Taxes
-
-
-
-
Add: Interest
1,492
1,318
4,497
3,314
EBITDA
$
2,140
$
552
$
3,848
$
(2,228)
EMPIRE RESORTS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
September 30,
December 31,
2006
2005
(Unaudited)
(Audited)
Assets
Current Assets:
Cash and Cash Equivalents
$
9,289
$
6,992
Restricted Cash
3,408
4,716
Accounts Receivable
4,451
3,358
Prepaid Expenses and Other Current Assets
1,738
1,112
Total Current Assets
18,886
16,178
Property and Equipment - Net
31,849
32,536
Deferred Financing Costs - Net
3,286
2,973
Deferred Development Costs
6,817
5,558
Total Assets
$
60,838
$
57,245
Liabilities and Stockholders' Deficit
Current Liabilities:
Accounts Payable
$
3,409
$
3,529
Revolving Credit Facility
7,617
7,476
Accrued Expenses and Other Current Liabilities
9,822
8,455
Total Current Liabilities
20,848
19,460
Senior Convertible Notes
65,000
65,000
Total Liabilities
85,848
84,460
Stockholders' Deficit
(25,010)
(27,215)
Total Liabilities and Stockholders' Deficit
$
60,838
$
57,245
Empire Resorts, Inc. (NASDAQ: NYNY) today reported financial
results for the third quarter and nine months ended September 30,
2006.
Net revenue for the third quarter was a record $28.7 million, up
12.0% from the $25.6 million reported in the third quarter of 2005.
Revenue from racing increased by approximately $0.5 million, or 11.8%,
reflecting simulcasting of races to a greater number of facilities,
while revenue from the company's video gaming machine (VGM) business
rose by approximately $2.5 million, or 12.2%. Revenue from the sale of
food, beverages and other services also increased - by approximately
$0.6 million, or 36.5%. Empire's VGM operations experienced an uptick
in daily visits of roughly 1%, and the daily win per unit rose to
$159.70 for the quarter from $123.17 in the third quarter of 2005.
Total operating costs and expenses rose by $1.5 million, or 5.8%,
for the quarter versus 2005, reflecting the rise in revenue. The
company posted operating income of $1.9 million this quarter, versus
$0.3 million in the prior-year period. EBITDA improved to $2.1 million
from $0.6 million in the third quarter of 2005. The company posted a
net loss for the third quarter of $(0.2) million, or $(0.01) per
diluted share, compared with a net loss of $(1.6) million, or $(0.06)
per diluted share, in 2005.
For the first nine months of fiscal 2006, Empire reported net
revenue of $77.3 million versus $64.3 million in the same period last
year. EBITDA was $3.8 million for the three quarters of 2006, as
compared to $(2.2) million in 2005. Empire's net loss for the period
was $(3.2) million, or $(0.12) per diluted share, versus a net loss of
$(8.0) million, or $(0.31) per diluted share, last year.
"Once again, we are pleased with the performance of our existing
gaming and racing operations in Monticello, even as we make final
preparations for bringing a St. Regis Mohawk casino to the Catskills,"
commented David Hanlon, CEO and president. "We continue to wait
patiently for the Bureau of Indian Affairs to complete its review in
regards to issuing a Finding of No Significant Impact, or FONSI, after
which the federal government can begin the process of transferring our
land into trust for the Tribe. We are putting the finishing touches on
the engineering plans and architectural drawings for a truly
world-class casino that will create 11,000 new jobs and finally place
New York in a competitive position with contiguous and expanding
gaming operations that now benefit New Jersey, Connecticut, and
Pennsylvania.
"We transformed Monticello into a regional entertainment venue in
2004 with the opening of our VGM operations, and we now stand on the
verge of creating one of New York's leading resort destinations.
Empire Resorts and the St. Regis Mohawks are poised to lead an
economic renaissance in the Catskills. Clearly - with this significant
recent development - it now looks as though, finally, it's New York's
turn to win big."
The company makes use of EBITDA (earnings before interest, taxes,
depreciation and amortization) as a financial measure which it
believes is a useful performance indicator. EBITDA is not a recognized
term under generally accepted accounting principles, or "GAAP," and
should not be considered as an alternative to net income/(loss) or net
cash provided by operating activities, which are GAAP measures. A
reconciliation of EBITDA to net income/(loss) appears at the end of
this release, as do both actual results for the quarter and
year-to-date periods.
About Empire Resorts, Inc.
Empire Resorts operates the Monticello Raceway and is involved in
the development of other legal gaming venues. Empire's Mighty M Gaming
facility now features over 1,500 video gaming machines and amenities
including a 350-seat buffet and live entertainment. Empire is also
working to develop a "Class III" Native American casino and resort on
a site adjacent to the Raceway and other gaming and non-gaming resort
projects in the Catskills region and other areas. Additional
information can be found at www.empireresorts.com.
Statements in this press release regarding the company's business
that are not historical facts are "forward-looking statements" that
involve risks and uncertainties, including the need for regulatory
approvals, financing and successful completion of construction. The
company wishes to caution readers not to place undue reliance on such
forward-looking statements, which statements are made pursuant to the
Private Securities Litigation Reform Act of 1994, and as such, speak
only as of the date made. To the extent the content of this press
release includes forward-looking statements, they involve various
risks and uncertainties including (i) the risk that the various
approvals necessary as described herein and other approvals required
to be obtained from the United States Congress, the Bureau of Indian
Affairs, the National Indian Gaming Regulatory Commission, the
Governor of the State of New York and various other federal, State and
local governmental entities are not received, (ii) the risk that
financing necessary for the proposed programs or projects may not be
able to be obtained because of credit factors, market conditions or
other contingencies, (iii) the risk that sovereign Native American
governments may exercise certain broad rights with regard to
termination of its agreements with the company (iv) the risk of
non-compliance by various counterparties of the related agreements,
and (v) general risks affecting the company as described from time to
time in it's reports filed with the Securities and Exchange
Commission. For a full discussion of such risks and uncertainties,
which could cause actual results to differ from those contained in the
forward-looking statements, see "Risk Factors" in the company's Annual
Report or Form 10-K for the most recently ended fiscal year.
-0-
*T
EMPIRE RESORTS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share data) (Unaudited)
Three Months Ended Nine Months Ended
September 30, September 30,
2006 2005 2006 2005
--------- --------- -------- --------
Net Revenues $28,721 $25,648 $77,264 $64,291
Operating Costs 22,421 20,166 62,232 54,168
Selling, General &
Administrative 4,160 4,885 11,184 9,988
Impairment Loss - Deferred
Development Costs 45 2,363
Depreciation 287 282 856 839
----------------------------- --------- --------- -------- --------
Total Costs & Expenses 26,868 25,378 74,272 67,358
----------------------------- --------- --------- -------- --------
Income (Loss) From Operations 1,853 270 2,992 (3,067)
Amortization of Deferred
Financing Costs 170 146 486 429
Interest 1,492 1,318 4,497 3,314
----------------------------- --------- --------- -------- --------
Net (Loss) 191 (1,194) (1,991) (6,810)
Cumulative Undeclared
Dividends on
Preferred Stock 388 388 1,164 1,164
----------------------------- --------- --------- -------- --------
Net Loss Applicable to Common
Shareholders $ (197) $(1,582) $(3,155) $(7,974)
============================= ========= ========= ======== ========
Weighted Average Common
Shares
Outstanding 26,835 26,147 26,604 26,111
Loss Per Common Share $ (0.01) $ (0.06) $ (0.12) $ (0.31)
============================= ========= ========= ======== ========
Reconciliation of Net Loss to
EBITDA
Net Income (Loss) $ 191 $(1,194) $(1,991) $(6,810)
Add: Depreciation 287 282 856 839
Add: Amortization of Deferred
Financing Costs 170 146 486 429
Add: Provision for Income
Taxes - - - -
Add: Interest 1,492 1,318 4,497 3,314
----------------------------- --------- --------- -------- --------
EBITDA $ 2,140 $ 552 $ 3,848 $(2,228)
============================= ========= ========= ======== ========
*T
-0-
*T
EMPIRE RESORTS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
September 30, December 31,
2006 2005
(Unaudited) (Audited)
------------- ------------
Assets
Current Assets:
Cash and Cash Equivalents $ 9,289 $ 6,992
Restricted Cash 3,408 4,716
Accounts Receivable 4,451 3,358
Prepaid Expenses and Other Current
Assets 1,738 1,112
---------------------------------------- ------------- ------------
Total Current Assets 18,886 16,178
Property and Equipment - Net 31,849 32,536
Deferred Financing Costs - Net 3,286 2,973
Deferred Development Costs 6,817 5,558
---------------------------------------- ------------- ------------
Total Assets $ 60,838 $ 57,245
======================================== ============= ============
Liabilities and Stockholders' Deficit
Current Liabilities:
Accounts Payable $ 3,409 $ 3,529
Revolving Credit Facility 7,617 7,476
Accrued Expenses and Other Current
Liabilities 9,822 8,455
---------------------------------------- ------------- ------------
Total Current Liabilities 20,848 19,460
Senior Convertible Notes 65,000 65,000
---------------------------------------- ------------- ------------
Total Liabilities 85,848 84,460
Stockholders' Deficit (25,010) (27,215)
---------------------------------------- ------------- ------------
Total Liabilities and Stockholders'
Deficit $ 60,838 $ 57,245
======================================== ============= ============
*T