Slot machine revenue down, but operating revenues increased.
Dover Downs Gaming and Entertainment on Thursday reported results for the three months ending Sept. 30. The information was provided in an Oct. 27 press release.
Gaming revenues of $41,295,000 were down 1.7 percent compared to the third quarter of 2015. The revenue decrease was primarily attributable to lower slot machine revenue.
Other operating revenues of $5,815,000 were up compared to the third quarter of 2015 from higher food and beverage and rooms revenue. Occupancy levels in the Dover Downs Hotel were 91.4 percent for the third quarter of this year.
General and administrative costs were down to $1,228,000 for the third quarter compared to $1,331,000 last year.
Depreciation and interest expense were lower during the quarter from limited capital spending and lower average outstanding borrowings.
Net earnings were $520,000, or $.02 per diluted share compared with $826,000 or $.03 per diluted share for the third quarter of 2015.
Denis McGlynn, the company’s president and chief executive officer, stated: “We continue to do our best with what little the state allows us to retain from gaming revenues and, despite these limitations, we continue to enjoy excellent customer service ratings and employee morale.
“We use an outside contractor to measure customer service and our ratings far exceed our competitors. Our employees play an enormous role in our success in this area, and, despite our current operating environment, we were named a “Top 10 Workplace in Delaware” for the eighth consecutive year.
“With more competition entering the market, we’ll need a restructured gaming revenue sharing formula to allow us to reinvest in our property, and we’ll be resuming our efforts in this regard.”