Century Casinos (CNTY) Q1 2025 earnings summary

Executive summary

• Q1 2025 net operating revenue was $130.4 million, down 4–4.1% year-over-year, impacted by severe weather, one fewer operating day, and the termination of sports betting agreements in Colorado.

• Net loss attributable to shareholders widened to $20.6 million from $13.5 million in Q1 2024, driven by higher interest expense, increased income tax expense, and lower revenues.

• Adjusted EBITDAR was $20.2 million, down 5–5.2% year-over-year, but margin was maintained due to cost-cutting, especially at the Nugget property.

• New land-based casino and hotel opened in Caruthersville, Missouri in November 2024; new hotel opened in Cape Girardeau, Missouri in April 2024.

• Operates 17 properties with 7,469 slot/electronic gaming machines, 221 tables, and 2,153 hotel rooms across the US, Canada, and Europe, focusing on regional, drive-to markets.

Financial highlights

• Gaming revenue declined 4.5% to $100.7 million; hotel revenue rose 4.4% to $9.7 million; food and beverage revenue fell 5.0% to $12.1 million year-over-year.

• Net debt at quarter-end was $254.9 million; cash and cash equivalents stood at $84.7 million; total principal debt was $339.6 million.

• Net debt-to-EBITDA ratio was 6.9x (7.6x lease-adjusted), expected to decline by year-end.

• Interest expense was $25.7–26.0 million in Q1 2025, primarily due to the Master Lease and credit agreements.

• Cash and cash equivalents at quarter-end were $84.7 million, with no debt maturities until 2029.

Outlook and guidance

• Net debt-to-EBITDA ratio expected to fall below 6x by year-end, driven by improved free cash flow and reduced CapEx.

• Capital expenditures for 2025 are expected to decrease after being front-loaded in Q1, with remaining 2025 CapEx estimated at $12–17.9 million.

• Positive trends in consumer spending and EBITDA growth observed since mid-March, continuing into April and May.

• Share repurchases are planned in the single-digit million-dollar range before the next earnings release.

• Company may seek additional capital through debt or equity if needed; $30 million remains available on the revolving credit facility.