MTR Gaming Group Inc., parent company of the Mountaineer Casino, Racetrack and Resort in Chester, said Tuesday increased out-of-state competition is continuing to erode the company's bottom line.
The gaming company, which also owns the Presque Isle Downs and Casino in Erie, Pa. and Scioto Downs in Columbus, Ohio, reported a third-quarter loss of $3.6 million, or 13 cents a share, down from a profit of $5.3 million or 19 cents a share, during the same quarter last year.
Each of the company's three resorts posted revenue declines greater than 10 percent for the quarter. Although its Columbus casino has a 50 percent share of slots in that market, the company said the opening of a competing casino last October led to a 13-percent drop in Scioto Downs revenue for the quarter.
"Scioto Downs continued to maintain a strong market position but the overall market growth in Columbus fell short of our expectations in the quarter," said company president Joseph Billhimer. "Our results at Mountaineer Park and Presque Isle Downs were impacted by the aggressive marketing and promotional environment from our competitors, along with the general uncertainty in the economy."The Mountaineer Casino in Chester saw revenue decline 10.4 percent to $50.6 million in the third quarter compared to $56.5 million last year. Slot revenue at the casino declined by $5.2 million during the quarter, while table game revenue fell by $0.6 million.