CR65-p54&55-Business:SJC-Casino Review 16/2/08 23:26 Page 1
casinoreview
Macau expects more growth in 2008
Genting International, guarantee facility. The
Gaming revenues in Macau are expected to continue to grow in double
which won one of the two total cost of construction
figures in 2008 and hit the 100bn-pataca (
Genting licenses to open and is expected to reach
€8.51bn) mark by the end
of the year. As reported in the People’s Daily newspaper, Legislative
gets
operate a casino in almost $6bn (€4.12bn),
Assembly member Lau Pun Lap believes that revenues will not grow as about $800m
fast as last year but will still retain momentum. GGR in Macau last year
Singapore
Singapore, has secured
(€549.12m) more than
rose by 46.6 per cent to 83bn patacas (
backing
all the funding it needs to
€7.1bn), making it the world’s
complete its project on expected due to higher
most lucrative gaming market. The opening of the Ponte 16 casino in
the resort island of construction costs.
February brings the number of casinos in the region to 29.
Sentosa. It now has
access to $4.2bn
(€2.88bn), of which $4bn
(€2.75bn) comes in the
BUSINESSNEWS
form of loans and
$192.5m (€132.14) in
the form of a bankers’
PokerTek sales soar but
losses deepen in 2007
Only five-years after the company was
founded and not yet three years since it
Uncertain future for Patrick
Partouche’s financial year
went public, PokerPro manufacturer
PokerTek has recorded huge growth in
sales and revenues, but the cost of growth
Partouche
has sent its losses spiralling - only to be
profits
expected in this early phase of existence.
plummet
growingpains table count by 44 per cent
POKERTEK during the fourth quarter and
successfully launched Heads- nosmokenofire
PokerTek, the maker of the Up Challenge. PokerPro is PARTOUCHE GROUP
increasingly popular auto- becoming a market reality, as
mated poker table PokerPro, evidenced by our recent suc- French casino operator
has recorded an increase in cesses around the world.” Partouche Group has seen
revenues in 2007 of 102.3 Heads-Up Challenge is a its full-year profits for 2007
per cent to just over $4m new two-player machine drop by a significant 50.3
( aimed at the amusements€2.75m) from $1.98m $2.5m (€1.71m) for failing per cent to €14.3m, a result
( industry.€1.36m). However, its losses to pay promised royalties on largely, said the company, of
for the year increased by an Halligan continued: “We software it had written for one-off charges still due to
important 40.5 per cent to were also able to improve PokerPro and a share of the its sale of casinos from the
$12.8m ( our quarterly results by€8.79m) from company. It also said the Société Française de
$9.1m ( reducing operating expenses€6.25m) last year. patent application by Pok- Casinos in 2006 and by
In the fourth quarter, Pok- while driving top-line erTek failed to mention that depreciation.
erTek saw revenues increase growth. Our management Tellis president Nick Trout Its on-going operational
by 31.9 per cent over the pre- team is focused on making was the inventor of elements results, which were down by
vious quarter and a welcome our customers successful of system. The terms of the 3.1 per cent to €75.8m,
drop in operating expenses and executing our growth settlement have not been would have been worse
of around 15 per cent and of strategy while investing our released. were it not for good figures
18.8 per cent in net loss on resources wisely.” By the end of 2007, there coming from its foreign
Q3 2007.Y ear-on-year, Q4 rev- The expense associated were 189 PokerPro tables casinos, in particular those
enues were up 49 per cent to with the rapid growth of the sited in casinos and on cruise in Switzerland.
$1.42m (€975,000), but net company is one of the princi- by 8.4 per cent to a substan- utable to the company’s ships around the world, a 166 The drop in interest in
loss was also up by 10.5 per pal reasons for its hugely tial $4.28m (€2.94m). investment in staff to support per cent year-on-year French casinos was shown
cent to $3.32m (€2.28m). increased loss: operating Because of the leasing and the growth of the company, increase and 44 per cent by a fall of one per cent in
CEO Chris Halligan com- costs rose by almost 50 per participation business model, depreciation expense…and more than at the end of the gross gaming revenue to
mented: “The strength of cent in the year to almost the increase in the number of professional fees related reg- third quarter. PokerTek €854.8m, which Partouche
automated poker allowed us $16.1m (€11.1m). Selling, machines in the market also ulatory, intellectual property recently installed 43 tables at puts down to the
to finish the year with a solid general and administrative led to a huge 189.4 per cent and other legal costs, includ- three casinos in Quebec, at introduction of entry
fourth quarter and good costs, accounting for the increase in depreciation costs ing the Tellis lawsuit, which the Mohegan Sun casino in controls to casinos last year.
momentum heading into lion’s share of expense, rose to $2.05m (€1.41m). was successfully settled Connecticut and at its first However, the ability to mix
2008. We grew revenues by by 60.3 per cent to $9.75m In a statement, PokerTek during the fourth quarter.” venue in Central America, in table games and slot
32 per cent over the third (€6.7m) while R&D - essen- said: “Increases in operating Software developer Tellis the Marriott Royal Casino in machines as well as
quarter, increased our casino tial for future success - rose expenses are directly attrib- sued PokerTek for a total of Panama City. permission to offer Texas
Hold’em poker have, says
the company, offset a
decline in traditional games.
Harrah’s
The deal would create the for the foreseeable future. Candover, Cinven and Permira As for the future, the
UK’s second biggest casino Before Christmas Harrah’s and Harrah’s finally leapt out company said in a
eyes up
operator with 40 venues, eight approached the Rank Group of the stock market and into statement: “The business in
fewer than current leader, wanting to swap LCI for a 28 the welcoming arms of Apollo 2008 must face another
the UK’s
Stanley Casinos. per cent stake in the company, Management and TPG at the significant challenge, the
Harrah’s has been itching an approach that was end of January. introduction since 1
Gala
to get a more substantial rebuffed, it is thought, by Ian London Clubs owns ten January 2008 of a ban on
foothold in the UK market for Burke, Rank’s CEO. casinos in the UK, half of smoking in casinos. This
Casinos
several years: its original hopes It is not yet known whether which are in the capital and brake has already had an
for a chain of regional casinos Harrah’s is offering Gala Coral which include some of the effect since the beginning
expandinghorizons under the early plans for a similar deal. Indeed, neither most famous names in casino of the year, making any
HARRAH’S ENTERTAINMENT reform of the UK gaming laws company has confirmed that gaming: the Rendezvous Club projection of business
having been dashed, it is now talks are talking place and the and 50 St James’. But it is also activity uncertain in the
Harrah’s Entertainment, based looking for other routes. These proposal may yet come to developing less exclusive coming financial year.”
in Las Vegas, wants to acquire routes have to be based on nothing. venues, including the new Partouche is still ready,
Gala Coral’s casino business, mergers and acquisitions, as Neither company is under Empire in Leicester Square, however, to move into
according to reports, with the there will now be no more
Inside the new Empire
Casino, which if Harrah’s has
any obligation these days to which opened a few months internet gaming in France,
intention of merging it with licences issued under the 1968
its way could be part of the
admit anything, both now ago, and the new Alea Casino the moment the government
its own London Clubs Interna- Act and licences under the
UK’s second largest casino
being in the hands of private that has just opened in sees fit to licence it, as
tional (LCI) division. 2005 Act are limited only to 16 operator equity. Gala Coral is owned by Glasgow at a cost of £25m. seems increasingly likely.
54 March 2008 businessnews
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56