Dover Downs Gaming & Entertainment, Inc. reported a small loss in the first quarter. That was comparable to the modest amount of red ink a year earlier.
Revenues for the first quarter of 2017 were $44,148,000 compared with $44,717,000 for the first quarter of 2016.
The price of Dover Downs shares hovered around $1.03, with the market value of its stock at about $35 million.
Gaming revenues of $38,647,000 were down 1.8 percent compared to the first quarter of last year, primarily from lower horse racing revenue and a lower table game hold percentage.
Other operating revenues were $5,501,000 compared to $5,359,000 last year. Occupancy levels in the Dover Downs Hotel were approximately 74 percent for the first quarter of 2017 and 2016.
General and administrative expenses of $1,331,000 were consistent with last year.
Interest expense decreased to $209,000 during the quarter as a result of lower outstanding borrowings partially offset by slightly higher rates.
Net loss was $184,000, compared with net loss of $239,000 for the first quarter of 2016.
In its earnings release, the company dispensed with its usual plea for relief from Delaware’s high take on casino revenues.
The state is facing a nearly $400 million budget deficit, brought on, in part, by sliding casino revenues during the past decade as Maryland and Pennsylvania helped saturate the Mid-Atlantic with casinos.
In 2009, the state jacked up its take from one of the lowest percentages in the nation to one of the highest. As budget gaps persisted, the “temporary” surtax remained.
The latest casino to open is MGM National Harbor, a $1 billion Las Vegas-style property across the river from Washington, D.C.
Dover Downs has responded by holding down marketing costs, paying down interest and tightening other expenses.
Owned by Dover Downs Gaming & Entertainment, Inc., Dover Downs Hotel & Casino consists of approximately 2,300 slots and a full complement of table games including poker.
The AAA-rated Four Diamond hotel is Delaware’s largest with 500 luxurious rooms/suites and amenities including a full-service spa/salon, concert hall and 41,500 square feet. of multi-use event space.
Harness racing is featured November through April, and horse racing is simulcast year-round. Professional football parlay betting is accepted during the season. Additional property amenities include multiple restaurant.
More information is available at www.doverdowns.com.
Dover Downs is the only casino in Delaware with an attached hotel-conference center.
