Ameristar 3rd-qtr profit meets Wall Street's view
LAS VEGAS (AP) — Ameristar Casinos' third-quarter net income fell 15 percent, faced with increased competition, a higher interest expense and other costs.
The casino operator earned $16.1 million, or 48 cents per share, for the three months ended Sept. 30. That compares with $18.9 million, or 56 cents per share, a year ago.
This met the average expectation of analysts polled by FactSet.
Interest expense climbed to $29.7 million from $27.3 million. Development expenses rose by $1.1 million due to projects in Louisiana and Massachusetts.
Revenue declined 2 percent to $298 million, from $304.5 million last year, as it made slightly less from lodging, food and drinks and people gambling.
Wall Street forecast $300.3 million in revenue.
Ameristar Casinos Inc. said Wednesday that its Kansas City and East Chicago properties were pressured by more competition.
The company has eight casino-hotel properties primarily serving guests from Colorado, Idaho, Illinois, Indiana, Iowa, Kansas, Louisiana, Mississippi, Missouri, Nebraska and Nevada. Its ninth property is expected to open in 2014's third quarter.
Its stock gained 18 cents to $18.74 in morning trading.