Dover Downs Gaming & Entertainment, Inc. (NYSE: DDE) today reported results for the fourth quarter and year ended December 31, 2010.
The Company’s revenues were $57,941,000 compared with $55,375,000 for the fourth quarter of 2009. Gaming revenue increased 4.8% compared to the fourth quarter of last year. Lower slot win was offset by table game revenue for the quarter.
Gaming profits were lower compared to the fourth quarter of last year as a result of the lower slot win and from the high gaming taxes, license fees and costs associated with table game operations.
Other operating revenues increased 2.5%. Occupancy levels in the Dover Downs Hotel were approximately 83% for the fourth quarter of 2010 compared with approximately 77% for the fourth quarter of 2009.Interest expense increased $293,000 during the quarter with lower average outstanding borrowings offset by higher interest rates. Net earnings were $501,000, or $.02 per diluted share, compared with $1,815,000, or $.06 per diluted share for the fourth quarter of 2009. Net earnings for the year were $6,743,000, or $.21 per diluted share compared with $11,277,000 or $.35 per diluted share for 2009. Denis McGlynn, the Company's President and Chief Executive Officer, stated: "As the regional gaming environment becomes more crowded and increasingly competitive, our customer service, gaming offerings and entertainment options remain second to none. We have invested heavily in what we will need to attract and retain the more discriminating gaming customers in Delaware and surrounding states. We have also launched new initiatives focused on increasing our market share through programs that introduce Dover to more table game customers." The Company announced yesterday that its Board of Directors declared a quarterly dividend of $.03 per share payable on March 10, 2011 to shareholders of record at the close of business on February 10, 2011. This release contains or may contain forward-looking statements based on management’s beliefs and assumptions. Such statements are subject to various risks and uncertainties that could cause results to vary materially. Please refer to the Company’s SEC filings for a discussion of such factors.