Poydras reveals revenue growth in preliminary posting
Poydras Gaming Finance has said that it expects total revenue for 2016 to amount to $14.6 million (€13.7 million), a rise of 78% on the previous year.
In a preliminary financial results posting, the slot operator, which focuses primarily on Native American casinos, also forecast earnings before interest, tax, depreciation and amortisation (EBITDA) of $9 million for the full year, up 150% on the $3.6 million achieved in 2015.
The expected growth comes despite what chief executive Peter Macy described as a “softer” back half of the financial year than anticipated.
Poydras said revenue for the fourth quarter looks set to drop 5% year-on-year to $3.7 million, due to “ceasing to recognise revenue from one customer effective November 1”.
The company added that adjusted EBITDA for the fourth quarter should remain level at $2.2 million.
“While the back half of FY16 was somewhat softer than anticipated due to a challenging opening with a new customer as well as the lingering effects of the oil and gas industry downturn, we are expecting a return to strong growth in 2017,” Macy said.
“We are redeploying machines to more profitable and proven locations and continuing to expand our business in Oklahoma and Texas.
“In addition, we are increasing our focus on new market opportunities across the southwestern US.”
Related article: Poydras claims further expansion as finances rise in third quarter