Station Casinos’ third-quarter loss shrinks from year earlier

In its first full quarter of operations postbankruptcy, Station Casinos LLC on Monday reported a net loss of
$19.1 million for the third quarter ended Sept. 30, a sizable improvement from the
$264.1 million net loss in the same period a year earlier.

Since Station emerged from bankruptcy June 17, the company has reported a net loss of $19.8 million. The third-quarter loss was attributed to interest expense from operations, an earnings filing with the Securities and Exchange Commission shows.

Despite the quarterly net loss the gaming company reported improvement in revenue and income generated by operations.

The Las Vegas-based company reported operating income of $26.4 million, reversing an operating loss of $231.9 million for the same period a year earlier.

Net revenues increased 5.6 percent to $282.4 million from $267.3 million a year earlier.

For the first nine months of 2011, net revenues jumped by 4.6 percent to $874.7 million, compared with $836.4 million last year.

Casino revenues increased 0.9 percent to $203.2 million, from $201.4 million

"The $1.8 million increase is due primarily to a 2.8 percent increase in slot revenue partially offset by offset by a decrease of 8.7 percent in revenues from other gaming operations, including table games," the company said in its earnings filing.

Station executives declined to comment Monday on the company's earnings.

Food and beverage revenues increased 36.9 percent to $53.4 million, compared with $39 million in the third quarter of 2010.

At the company's hotels, occupancy of 86 percent was an improvement from
81 percent a year earlier. The average daily room rate was $69, compared with $65 in the third quarter of 2010.

Revenue per available room increased 11.3 percent to $59 in the third quarter from $53 a year earlier.

During the third quarter, Station spent $5.4 million in advertising, compared with $3.7 million in the same period last year. During the third quarter, the company relaunched its loyalty card program.

The company operates 17 properties, including Green Valley Ranch Resort, Red Rock Resort and Palace Station, with about 13,000 employees. Station manages Aliante Station in North Las Vegas.

Contact reporter Chris Sieroty at
csieroty@reviewjournal.com or 702-477-3893.