Trans World Corporation Announces 2016 Third Quarter Financial Results
Trans World Corporation ("TWC" or the "Company") (OTCQB:TWOC), a premier owner and operator of casinos and hotels in Europe, today reported financial results for the third quarter ended September 30, 2016.
Trans World Corporation ("TWC" or the "Company") (OTCQB:TWOC), a premier owner and operator of casinos and hotels in Europe, today reported financial results for the third quarter ended September 30, 2016. Mr. Rami Ramadan, Chief Executive Officer, remarked, "In the third quarter, we saw healthy increases in drop per head, also known as increased player wagering, at all of our casinos, coupled with better consolidated win or hold percentage in live games. In addition to these improvements, we saw across-the-board increases in all gaming revenues, which contributed to superior total revenue, net income and EBITDA when compared with the same prior year third quarter. The business improvements at our casinos are largely due to exceptional customer service and effective entertainment programs that we strive to provide to all our guests. Our hotel segment, comprised of two German hotels, also showed an improvement over the prior year's third quarter. Despite the fact that we've had substantial revenue improvements, the increase in gaming tax rates that became effective in 2016 negatively affected our earnings and profit margins, which would have been much higher in the absence of such tax increases." 2016 Third Quarter Net income increased to $1.9 million, or $0.20 per diluted share, for the third quarter of 2016 from approximately $1.2 million, or $0.13 per diluted share, for the same prior year period. The net income increase was largely due to stronger revenue achieved and lower marketing and promotional expenses incurred. Total revenue increased by 25.0% to approximately $13.2 million, compared with $10.5 million for the same prior year quarter. The Company reported income before foreign income taxes of approximately $2.6 million, compared with $1.5 million reported for the third quarter in 2015. TWC incurred foreign income taxes of $653,000, as compared with a foreign income tax expense of $336,000 for the same quarter of the prior year.