Nevada Gold Announces Fourth Quarter and Fiscal Year 2009 Financial Results
HOUSTON, Jul 8, 2009 (GlobeNewswire via COMTEX) -- By Staff
Company: Nevada Gold & Casinos, Inc. (UWN)
Nevada Gold & Casinos, Inc. (NYSE Amex:UWN) today announced financial results for the fourth quarter and fiscal year ended April 30, 2009.
For the fourth quarter of fiscal 2009, the Company's net loss was $1.3 million, compared to a restated net loss of $3.2 million in the fourth quarter of fiscal 2008. The Company recorded a net loss per basic and diluted common share of $0.10, compared to a restated net loss per basic and diluted common share of $0.24 in the year ago period. Net revenues decreased to $1.4 million compared to $1.5 million in the fourth quarter ended April 27, 2008. Loss before income tax benefit for the fourth quarter of fiscal 2009 was $1.8 million compared to net loss before income tax expense of $3.4 million in the fourth quarter of fiscal 2008. The Company's cash position of $13.8 million at the end of April 2009, includes restricted cash of $6.0 million.
Robert Sturges, CEO of Nevada Gold, commented, "Even though the current environment remains challenging, fiscal year 2009 has been a successful year for the Company. We disposed of non-core assets, launched our creditor consulting business, expanded our Colorado Grande Casino to take advantage of the recently passed amendment in Cripple Creek and soon after our year end, we added three casinos to our portfolio of properties. We have now created a sustainable platform in which our operations are expected to provide more than enough cash to cover the corporate overhead we have budgeted for Fiscal Year 2010. We are very excited about the future of Nevada Gold and continue to focus on our core strengths in casino acquisitions and management."
Financial Results
For the fourth quarter of fiscal 2009, net revenues decreased to $1.4 million compared to $1.5 million in the fourth quarter of fiscal 2008. Operating expenses decreased to $3.0 million from $4.8 million in the fourth quarter of 2008. The decrease is primarily due to a $1.9 million impairment of notes receivable, accrued interest and equity investments in 2008 related to development projects.
Net loss for the fourth quarter of fiscal 2009 was $1.3 million compared to a restated net loss of $3.2 million in the fourth quarter of fiscal 2008. Net loss per diluted common share was $0.10, compared to a restated net loss per diluted common share of $0.24 in the prior year period.
Basic and diluted weighted average common shares outstanding in the fourth quarter of each fiscal year was 12.9 million.
Earnings Conference Call and Webcast
The Company will host a conference call to discuss fourth quarter 2009 financial results today at 5:00 PM EDT. The conference call can be accessed live over the phone by dialing (888) 204-4394, or, for international callers, (913) 312-1431. A replay will be available one hour after the call and can be accessed by dialing (888) 203-1112, or (719) 457-0820 for international callers; the conference ID is 2009542. The replay will be available until Wednesday, July 15, 2009. The call will be webcast live from the Company's website at www.NevadaGold.com under the investor relations section.
Forward-Looking Statements
This release contains forward-looking statements, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. We use words such as "anticipate," "believe," "expect," "future," "intend," "plan," and similar expressions to identify forward-looking statements. Forward-looking statements include, without limitation, our ability to increase income streams, to grow revenue and earnings, and to obtain additional gaming and other projects. These statements are only predictions and are subject to certain risks, uncertainties and assumptions, which are identified and described in the Company's public filings with the Securities and Exchange Commission.
About Nevada Gold
Nevada Gold & Casinos, Inc. (NYSE Amex:UWN) of Houston, Texas is a developer, owner and operator of gaming facilities in Colorado, Washington and the southeastern United States. The Colorado Grande Casino in Cripple Creek, Colorado, the Crazy Moose Casino in Pasco, Washington, the Coyote Bob's Roadhouse Casino in Kennewick, Washington and the Crazy Moose Casino in Mountlake Terrace, Washington are wholly owned and operated by Nevada Gold. The Company has an interest in Buena Vista Development Company, LLC which is working with the Buena Vista Rancheria of Me-Wuk Indians on a Native American casino project to be developed in the city of Ione, California. The Company also has a management contract with Oceans Casino Cruises, Inc., owner of SunCruz Casinos, the largest day cruise casino company in the United States. For more information, visit www.nevadagold.com.
The Nevada Gold & Casinos, Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=1552
Nevada Gold & Casinos, Inc.
Consolidated Balance Sheets
April 30, April 27,
2009 2008
----------- -----------
(Restated)
ASSETS
Current assets:
Cash and cash equivalents $13,834,544 $ 1,396,313
Restricted cash 6,000,000 13,014,000
Accounts receivable 12,342 2,313,593
Accounts receivable - affiliates -- 57,359
Prepaid expenses 235,847 369,025
Income tax receivable 1,872,369 --
Notes receivable, current portion 1,100,000 1,100,000
Other current assets 46,444 54,446
----------- -----------
Total current assets 23,101,546 18,304,736
----------- -----------
Investments in unconsolidated affiliates -- 154,969
Investments in development projects 746,024 2,407,562
Investments in development projects
held for sale 3,437,932 3,437,932
Notes receivable -- 1,100,000
Notes receivable - affiliates -- 3,521,066
Notes receivable - development projects,
net of allowances 1,700,000 16,510,200
Goodwill 5,462,918 5,462,918
Property and equipment, net of
accumulated depreciation of $2,408,595
and $1,808,883 at April 30, 2009 and
April 27, 2008, respectively 1,091,549 1,327,275
Deferred tax asset 599,797 885,726
Other assets 5,915,220 6,780,317
----------- -----------
Total assets $42,054,986 $59,892,701
=========== ===========
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable and accrued liabilities $ 846,062 $ 1,097,277
Accrued interest payable -- 115,027
Other accrued liabilities 197,833 203,071
Taxes payable -- 3,911,475
----------- -----------
Total current liabilities 1,043,895 5,326,850
----------- -----------
Long-term debt, net of current portion 6,000,000 15,550,000
Other liabilities 44,487 56,505
----------- -----------
Total liabilities 7,088,382 20,933,355
----------- -----------
Commitments and contingencies -- --
Stockholders' equity:
Common stock, $0.12 par value per share;
50,000,000 shares authorized; 13,935,330
shares issued and 12,939,130 shares
outstanding at April 30, 2009 and
April 27, 2008, respectively 1,672,240 1,672,240
Additional paid-in capital 19,297,560 19,092,706
Retained earnings 24,213,754 28,401,890
Treasury stock, 996,200 shares at
April 30, 2009 and April 27, 2008,
respectively, at cost (10,216,950) (10,216,950)
Accumulated other comprehensive income -- 9,460
----------- -----------
Total stockholders' equity 34,966,604 38,959,346
----------- -----------
Total liabilities and
stockholders' equity $42,054,986 $59,892,701
----------- -----------
Nevada Gold & Casinos, Inc.
Consolidated Statements of Operations
Fiscal Years Ended
---------------------------
April 30, April 27,
2009 2008
----------- -----------
(Restated)
Revenues:
Casino $ 5,356,885 $ 6,636,652
Food and beverage 1,395,130 1,414,423
Other 49,366 101,203
Management fees 493,382 40,174
----------- -----------
Gross revenues 7,294,763 8,192,452
Less promotional allowances (1,426,511) (1,459,539)
----------- -----------
Net revenues 5,868,252 6,732,913
Operating expenses:
Casino 1,750,014 1,935,791
Food and beverage 614,779 674,961
Marketing and administrative 2,485,881 2,900,887
Facility 362,009 377,608
Corporate expense 4,366,670 5,001,190
Legal expenses 403,694 871,428
Depreciation and amortization 627,618 743,783
Write-off of notes receivable related
to gaming projects -- 4,026,893
Impairment of equity investment -- 308,350
Write-off of project development cost 1,215,383 --
Other 145,018 67,439
----------- -----------
Total operating expenses 11,971,066 16,908,330
----------- -----------
Operating loss (6,102,814) (10,175,417)
Non-operating income (expenses):
Earnings (loss) from unconsolidated
affiliates (7,863) 4,055,446
Gain on sale of equity investees 403,388 40,715,552
Interest income 975,490 2,007,898
Interest expense (1,307,296) (3,864,552)
Amortization of loan issue costs (128,266) (764,329)
Loss on extinguishment of debt -- (203,160)
----------- -----------
Income (loss) before income tax
expense (benefit) (6,167,361) 31,771,438
Income tax expense (benefit)
Current (2,265,155) 9,949,362
Deferred and change in
valuation allowance 285,930 (885,726)
----------- -----------
Total income tax expense (benefit) (1,979,225) 9,063,636
----------- -----------
Net income (loss) $(4,188,136) $22,707,802
=========== ===========
Per share information:
Net income (loss) per common share
- basic $ (0.32) $ 1.75
=========== ===========
Net income (loss) per common share
- diluted $ (0.32) $ 1.75
=========== ===========
Basic weighted average number of
shares outstanding 12,939,130 12,939,130
=========== ===========
Diluted weighted average number of
shares outstanding 12,939,130 12,945,151
=========== ===========
This news release was distributed by GlobeNewswire, www.globenewswire.com
SOURCE: Nevada Gold & Casinos, Inc.
Nevada Gold & Casinos, Inc.
Robert B. Sturges, CEO or Jim Kohn, CFO
(713) 621-2245
ICR
Don Duffy
(203) 682-8200
Copyright (C) 2009 GlobeNewswire. All rights reserved
News Provided by COMTEX
Company: Nevada Gold & Casinos, Inc. (UWN)
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