Affinity Gaming LLC, owners and operators of several casinos in Nevada and Black Hawk, Colorado, have released their Q3 financial performance report on Monday, noting their strongest quarter in 2016 when it comes to adjusted EBITDA. The CEO of Affinity Gaming, Michael Silberling, stated that the company also saw an improvement in their operating income, which grew by %0.7 in 2016.
On a national level, Affinity Gaming had an adjusted EBITDA of $17.7 million, while their net operating income reached $9.1 million. When compared to last year, the company has seen growth in two sections: their adjusted EBITDA, which reached $16.6 million in Q3 of 2015, as well as their net income, which amounted to $9 million in the previous year. Their biggest contributor was, unsurprisingly, their Nevada segment, which had an adjusted EBTIDA growth of 22.4% in 2016, amounting to $12.4 million, as opposed to last year when it reached $10.2 million in the same period.
The positive growth in 2016 is seen as a direct result of the company’s shift of focus in their promotional campaigns, which now target “more profitable players”, as well as their renovation and upgrade efforts in several venues across Nevada. One of their latest investments was a $3 million room renovation project in their Whiskey Pete Hotel and Casino in Primm, Nevada, which officially launched stage one of their Primm Valley upgrade plans. The entire project will span over several years and will see three different properties upgraded with new parking areas, road repaves, and enhancements in their food and beverage offer.
According to Silberling, so far the user response to the initial renovations have been “measurably positive”, which together with their “refined” marketing programs and improvements in the effectiveness of their promotional campaigns will see their casinos speak to a wider audience and perform more successfully in the future.