Press Release: Black Hawk Gaming & Development Company, Inc.
August 7, 2000
BLACK HAWK, CO -- Black Hawk Gaming & Development Company, Inc. (Nasdaq: BHWK), Friday announced results for
its second quarter and six month period ended June 30, 2000.
SECOND QUARTER RESULTS
Net income for the second quarter increased 66% to $1.5 million compared to net income of $930,000 for the second
quarter of last year. Earnings per diluted share for the second quarter increased 68% to $0.37 per share compared
to $0.22 per share for the comparable quarter last year. Second quarter net revenue increased 4% to $22.1 million
from $21.3 million for the same quarter last year.
SIX MONTH RESULTS
Net income for the six-month period increased 77% to $3.3 million compared to $1.9 million for the six-month period
last year. Earnings per diluted share for the six-month period increased 80% to $0.81 this year compared to $0.45
per share for the same period last year. Six-month net revenue increased 8% to $44.5 million from $41.1 million
for the corresponding period last year.
``We are pleased with the performance of both the Lodge Casino and the Gilpin Hotel Casino in the second quarter.
The combined gaming revenue of the two casinos represented approximately 19% of the gaming revenue in the City
of Black Hawk in the second quarter and approximately 13% of the gaming revenue in the State of Colorado in the
second quarter,'' said Jeffrey P. Jacobs, Chairman of the Board and CEO of Black Hawk Gaming.
Through June 30, 2000, the City of Black Hawk continued to dominate the Colorado gaming market, growing by 23%
to $210 million of Adjusted Gross Proceeds, or 68% for the entire State. The Colorado gaming market remains strong
with Adjusted Gross Proceeds for the year growing 16% to $309 million from $265 million.
The combined operations of the Gilpin Hotel Casino and The Lodge Casino at Black Hawk give Black Hawk Gaming approximately
1,300 gaming devices under management, making it the largest gaming based operator in the State of Colorado.
``Our agreement to acquire the Gold Dust West Casino in Reno as well as our licensing application in Nevada are
moving along on schedule,'' said Jacobs.
The Gold Dust West is a casino located a few blocks to the west of Reno's downtown gaming district and offers 478
slot machines. The casino has been successful in catering to the ``locals'' market for the past 22 years.
Headquartered in Black Hawk, Colorado, Black Hawk Gaming & Development Company, Inc. is the owner and operator
of the Gilpin Hotel Casino in Black Hawk, and 75% owner and operator of The Lodge Casino at Black Hawk.
This press release contains statements of a forward-looking nature regarding future events. These statements are
only predictions and actual events may differ materially. Please refer to documents that Black Hawk Gaming &
Development Company, Inc. files from time to time with the Securities and Exchange Commission for a discussion
of certain factors that could cause actual results to differ materially from those contained in the forward-looking
statements.
Financial Highlights
(unaudited)
Three Months Ended Six Months Ended
June 30 June 30
2000 1999 2000 1999
Net Revenue $22,130,000 $21,345,000 $44,494,000 $41,107,000
Net Income $1,542,000 $930,000 $3,343,000 $1,892,000
Earnings per
Diluted Share $0.37 $0.22 $0.81 $0.45
Weighted Average Shares
Outstanding (Diluted) 4,166,449 4,173,764 4,150,303 4,163,904
BALANCE SHEET DATA June 30 December 31
2000 1999
Total Assets $98,743,000 $101,080,000
Total Liabilities and
Minority Interest $58,892,000 $64,581,000
Shareholders' Equity $39,851,000 $36,499,000
SOURCE: Black Hawk Gaming & Development Company, Inc.