Isle of Capri Casinos (NASDAQ:ISLE) revealed a better-than-expected decrease in third-quarter loss, helped by tighter expenses and slightly improved sales as the company continues its overhaul.
The St. Louis, Mo.-based company posted a net loss of $2.6 million, or 8 cents a share, compared with a loss of $11.4 million, or 35 cents a share, in the same quarter last year, beating the Street’s view of a 13-cent loss.
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Revenue for the casino and resort operator was $232 million, up slightly from $227.1 million a year ago, below average analyst estimates polled by Thomson Reuters of $237.7 million.
“Our financial results continue to reflect the benefits of the operational enhancements we have made,” said Isle CEO James Perry. “We have implemented marketing improvements, a streamlined cost structure and successful customer service initiatives.”
Cushioning the results were a decline in corporate and development expenses to $8.7 million compared with $11.1 million in the same quarter last year, due primarily to lower insurance costs.
Capri Casinos has struggled under weaker revenues, hit by a drop in consumer confidence amid the economic downturn, and higher expenses that have weighed on its quarterly results. The company’s management has strived to implement new initiatives and manage costs in an effort to force the company on track.
As a part of its turnaround strategy, current chief operating officer, Virginia McDowell, will soon become the company’s new chief executive. Perry will serve as executive chairman. The transition is slated to occur by the end of this year.