Ameristar Casinos 3Q Profit Up On Lower Expenses

LAS VEGAS (AP) — Ameristar Casinos Inc. said Wednesday that its profit edged up in the third quarter, helped by lower operating expenses, a lower tax rate and an uptick in room revenue.

The casino operator's earnings rose 1 percent to $14.5 million, or 25 cents per share, compared with $14.3 million, or 25 cents per share, a year ago.

Adjusted profit was 27 cents per share, which removes preopening costs related to Colorado's Black Hawk hotel that debuted in September.

The performance met the forecast of analysts polled by Thomson Reuters, whose estimates generally exclude one-time items.

Revenue dropped 7 percent to $299.4 million from $321.4 million as people spent less money on food and beverages and gambling. Room revenue was a bright spot, up 1 percent to $16.6 million from $15.9 million. While a minimal gain, most casino operators have also struggled with declining room revenue, so any gain is a positive sign.

Still, the total revenue results missed Wall Street's estimate of $316.7 million.