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PRIMADONNA RESORTS INC. REPORTS RECORD SECOND QUARTER EARNINGS

 LAS VEGAS, July 22 /PRNewswire/ -- Primadonna Resorts Inc. (NASDAQ: PRMA) announced that net revenues reached record levels for the three months and the six months ended June 30, 1993, at $37.0 million and $69.3 million, respectively, reflecting an increase of 12.8 percent and 10.5 percent, respectively, over the comparable periods in 1992. Operating income also reached record levels for the second quarter at $12.5 million, an increase of 17.2 percent, and $22.2 million for the six months ended June 30, 1993, an increase of 15.8 percent. Earnings per share, prior to a one-time reinstatement of deferred taxes, increased to $.31 from $.28 for the three months ended June 30, 1993 and 1992, respectively, and increased to $.57 from $.51 for the six months ended June 30, 1993 and 1992, respectively.
 "I'm delighted with the financial results for the second quarter of 1993," said Gary E. Primm, chairman of the board and chief executive officer. "This record performance was achieved without an increase in the number of rooms or casino space at our two properties and in spite of the construction currently taking place at Whiskey Pete's Hotel and Casino." With regard to the construction, Primm said, "The Whiskey Pete's main facility expansion will be complete in approximately two weeks, and the hotel tower is on schedule to open in late December. Also, on July 13, we broke ground and started construction of our third property, an $85 million western-themed hotel-casino expected to open during the summer of 1994. With the addition of this third property, we are creating a true `oasis in the desert' at Stateline."
 In connection with the company's initial public offering of its common stock on June 22, 1993, and the termination of its S-corporation election, the company made a special distribution of accumulated previously taxed earnings in the form of subordinated notes which were outstanding from May 1 to June 29, 1993. As a result, the company incurred a one-time interest cost of $677,000, or $.03 per share, during the second quarter of 1993.
 As another element of the S-corporation termination and as required by generally accepted accounting principles, the company has reinstated deferred taxes as a one-time, non-cash charge against earnings as an additional tax provision in the quarter ended June 30, 1993, its first reporting period as a C-corporation. Accordingly, the income tax provision for the three months and six months ended June 30, 1993, includes $4.6 million of reinstated deferred taxes. Earnings per share information is presented on a pro forma basis as if Primadonna Resorts had been a public company taxable as a C-corporation for all reporting periods and, therefore, excludes the impact of reinstating deferred taxes. As required for Securities and Exchange Commission presentations only, a pro forma weighted average common shares outstanding for all reporting periods has been calculated assuming the company would have issued 2,974,000 additional shares of common stock to retire the subordinated debt on Jan. 1, 1992, and that the company would not have incurred the $677,000 of related interest expense.
 Primadonna Resorts Inc. owns and operates two highly successful hotel-casinos, Whiskey Pete's Hotel & Casino and the Primadonna Resort & Casino, located on either side of Interstate 15 at the Nevada/California border. The company is currently expanding Whiskey Pete's to add a 17-story, 537-room hotel tower and a 600-space parking structure to complement a 14,000-square-foot casino and public area expansion. The third property, currently under construction, will include 46,000 square feet of casino space, a special events arena, a state-of-the-art roller coaster, a water log ride and a ghost town attraction, and will be connected to the other properties by western-style trains.
 PRIMADONNA RESORTS INC.
 Condensed Consolidated Statements of Income
 (Dollars in thousands, except share data)
 (Unaudited)
 Three Months Ended
 June 30,
 1993 1992
 Revenues $37,030 $32,830
 Costs and expenses 24,509 22,145
 Income from operations 12,521 10,685
 Other income (expense)
 Interest income 75 91
 Interest expense (1,046) (415)
 Income before income tax adjustments 11,551 10,360
 Pro forma income tax provision (3,927) (3,522)
 Income before reinstatement of
 deferred taxes 7,624 6,838
 Reinstatement of deferred taxes (4,632) ---
 Pro forma net income $2,992 $6,837
 Per share data:
 Net income per share outstanding
 before deferred tax reinstatement $.31 $.28
 Weighted average shares
 outstanding 24,631,620 24,000,000
 Pro forma net income per share
 outstanding before deferred tax
 reinstatement(a) $.30 $.25
 Pro forma weighted average shares
 outstanding(a) 27,310,851 26,974,000
 (a) As required for SEC presentations only.
 PRIMADONNA RESORTS INC.
 Condensed Consolidated Statements of Income
 (Dollars in thousands, except share data)
 (Unaudited)
 Six Months Ended
 June 30,
 1993 1992
 Revenues $69,345 $62,747
 Costs and expenses 47,123 43,399
 Income from operations 22,222 19,348
 Other income (expense)
 Interest income 195 187
 Interest expense (1,494) (903)
 Income before income tax adjustments 20,923 18,632
 Pro forma income tax provision (7,114) (6,335)
 Income before reinstatement of
 deferred taxes 13,809 12,297
 Reinstatement of deferred taxes (4,631) ---
 Pro forma net income $9,178 $12,297
 Per share data:
 Net income per share outstanding
 before deferred tax reinstatement $.57 $.51
 Weighted average shares
 outstanding 24,319,580 24,000,000
 Pro forma net income per share
 outstanding before deferred tax
 reinstatement(a) $.53 $.46
 Pro forma weighted average shares
 outstanding(a) 27,143,353 26,974,000
 (a) As required for SEC presentations only.
 -0- 7/22/93
 /CONTACT: James R. Vanwoerkom of Primadonna Resorts, 702-382-4388/
 (PRMA)


CO: Primadonna Resorts Inc. ST: Nevada IN: LEI SU: ERN

LS-MF -- SD002 -- 4273 07/22/93 07:32 EDT
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Date:Jul 22, 1993
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