The brand new Hollywood casino facility in Lawrenceburg produced $44.5 million in revenue during its first full month in business, a twenty percent improvement over its predecessor’s gaming performance during the same time one year ago. The July gaming performance brings to $247 million the total revenue produced by Hollywood parent company Penn National Gaming Incorporated, which invested a total of $326 million to improve its Lawrenceburg operation.
Penn National told investors in late July 2009 that the Lawrenceburg gaming facility would show double digit profit growth. But they also said that it would take 3 to 4 quarters to get the establishment fully operational.
The president and Chief Operating Officer of Wyomissing, Pa.-based gaming organization, Timothy Wilmott said on August 10th, 2009 that what they are seeing in Lawrenceburg is a lot of new customers coming into play but a lot of the growth is coming from different segments.
The July figures, which were released by the Indiana Gaming Commission, show Penn National’s revenue has reached $247 million through July. That is down by nine percent for the year. Other casino facilities in Southeast Indiana saw revenue declines of 9% in July. The Belterra casino facility reported adjusted gross earnings of $13.4 million, down by 9.1% from last July; the Grand Victoria casino is down by 9.8% to $9.9 million.
Penn National took an $11.7 million impairment expense in the 2nd quarter for issues associated with shutting down the old casino and opening a new gaming facility. Wilmott told gaming investors it took longer and cost more than they expected to move the
casino equipment from one boat to another. The cost against earnings was one of the factors in Penn National’s 23% net income drop for the quarter.
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