Tropicana Las Vegas boosts quarterly revenue
The One Group
The Tropicana Las Vegas hotel-casino managed to boost revenue in the second quarter, even as it waited for new nightclub, beach club and restaurant offerings to open.
The 1,375-room property on Tuesday said net revenue grew from $24.4 million to $25.4 million, while its net loss narrowed from $9.4 million to $6 million.
The property attributed the improvements to a 7 percent gain in gross casino revenue on a year-over-year basis to $10.3 million and a 20 percent boost in room revenue to $10.2 million.
Food and beverage revenue, in the meantime, slumped 13 percent to $6.6 million while the Tropicana waited for next month’s opening of the Bagatelle venues. They include the Bagatelle Champagne party brunch, day and nightclub experiences and a 700-seat supper club called the Bagatelle Bistro.
The Bagatelle venues will replace operations closed in March. Some of the Bagatelle venues had planned to open as early as May, but as the plans became more ambitious, the openings were pushed to September.
Increases in table game play drove the Trop’s second-quarter casino results and were attributed to the hiring of new hosts and independent agents.
Hotel room occupancy was flat at about 93 percent, but the average daily rate jumped from $66 to $79.
Despite the overall revenue improvement, the Tropicana said Tuesday that it continues to be affected by the soft U.S. economy.
“Although there has been a slight increase in visitor volume to the Las Vegas market in the recent year, consumer spending continues to remain low,” the Tropicana said in its quarterly financial report.