Cumberland Times-News

November 11, 2013

Revenues up for Rocky Gap Casino Resort

Lakes Entertainment reports increase in earnings for Oct.

Matthew Bieniek
Cumberland Times-News

— ROCKY GAP — The casino at Rocky Gap earned more money in October than it did during September. The overall earnings for October were $3,416,112 from both slot machines and table games, according to the Maryland Lottery and Gaming Control Agency. In September, the earnings were $3,130,297.

Rocky Gap Casino resort opened poker tables in early October. The breakdown from the earnings was as follows, according to the agency: The gross gaming revenue per unit per day was $166.84 for slot machines, $1,599.17 for banking table games and $369.24 for non-banking table games (poker tables).

“We are pleased that during the third quarter, our Rocky Gap Casino Resort near Cumberland, Maryland, met our expectations for both gross casino revenues of $10.4 million and other gross operating revenues of $4.2 million and, while this casino space is still newly opened, we are encouraged by its recent results,” said Tim Cope, president and chief financial officer of Lakes Entertainment.

Lakes Entertainment owns the Rocky Gap casino through a subsidiary.

Construction of a new event center at Rocky Gap should be completed and the center be open sometime this week, Cope said. The conference room revenue will help fund a Commissioners Scholarship Fund at Allegany College of Maryland.

“The commissioners are very happy to see that Rocky Gap Casino Resort continues to perform well. This destination, in my opinion, is successful because it is now in the hands of the private sector,” Allegany County Commission President Michael McKay has said.

In the meantime, Lakes Entertainment has reported its quarterly earnings for the quarter ending Sept. 29. Rocky Gap Casino Resort is owned by Evitts Resort LLC, and is a subsidiary of Lakes Entertainment Inc.

Net earnings for the third quarter of 2013 were $19.6 million, compared to a net loss of $1 million for the third quarter of 2012. Earnings from operations were $18.8 million for the third quarter of 2013 compared to a loss from operations of $2.5 million for the third quarter of 2012, according to Lakes’ quarterly report. Rocky Gap had an influence on those earnings.

“Lakes Entertainment reported third quarter 2013 net revenues of $15.5 million, compared to prior-year third quarter net revenues of $3.6 million. Included in these amounts were net revenues of $14.1 million and $1.7 million for the third quarters of 2013 and 2012, respectively, related to the operation of the Rocky Gap Casino Resort,” according to the report.

Rocky Gap Casino Resort operates 558 slot machines and 13 table games.

The combined statewide revenue from all casinos in October was $66,378,026. The combined statewide revenue in September was $65,333,711, according to the agency.

Matthew Bieniek can be contacted at mbieniek@times-news.com.