Tropicana Las Vegas reports $9.7 million third-quarter loss
The Tropicana Las Vegas on Monday posted a third-quarter loss as revenues declined without a nightclub operating last summer at the 55-year-old Strip casino. The 1,375-room resort lost $9.72 million, compared with $10.8 million for the same quarter last year.
A majority of the quarterly loss was attributed to noncash depreciation and amortization expenses of $4.7 million, the company said.
The Tropicana said third-quarter revenue declined to $22.4 million, down from $24.1 million in the same period last year. Both casino ($9.8 million) and room revenue ($8.9 million) posted modest increases, while food and beverage revenue dropped $2.23 million in the quarter to $5.59 million.
“The continued challenging global economic conditions of the last three to four years have negatively impacted our results,” the company said in its earnings report. “Although there has been a slight increase in visitor volume to the Las Vegas market consumer spending continues to remain low.”
The Tropicana also expects to boost its bottom line with a franchise deal with Doubletree by Hilton. The property will be integrated into Hilton’s websites and reservation systems starting Jan. 1.
Contact reporter Chris Sieroty at csieroty@reviewjournal.com or 702-477-3893.
