Foxwoods reports 6.6% decline in quarterly revenues
Mashantucket — Foxwoods Resort Casino experienced a 6.6% decline in net revenues in the three months that ended Dec. 31, according to a quarterly report released this week.
Foxwoods reported net revenues of $190.9 million in the period, the first quarter of the Mashantucket Pequot-owned casino’s 2020 fiscal year. Its net revenues were $204.4 million in the same quarter the previous year.
Gross gaming revenues, which totaled $155.6 million, were down by $14.4 million, or 8.5% in the quarter, while gross nongaming revenues, including food-and-beverage, hotel and retail, entertainment and “other,” totaled $55.5 million, an increase of $1.9 million, or 3.6%.
The decline in gaming revenue was largely attributable to gamblers’ relative success at the casino’s tables, with table-games revenue falling by $10.7 million, or 19.7% in the quarter. In addition, the casino said its gaming volumes were “negatively impacted” by competition from Encore Boston Harbor, the $2.6 billion resort casino that opened last June in Everett, Mass.
Gaming accounted for 73.7% of the casino’s gross revenues.
Foxwoods’ payroll costs were down by $4.4 million, with the casino employing 8.1% fewer “full-time equivalents.” Total FTEs for the quarter were 4,090.
During the three-month period, the casino spent about $2.3 million on capital improvements — primarily new slot machines, information-technology upgrades and general property maintenance.
In November, the Mashantuckets finished paying the remaining balance on a term loan set to mature June 30, 2020. As of Dec. 31, the tribe had outstanding debt of more than $1.9 billion, including another loan balance of $257.4 million due June 30, 2020.
“Unless this debt instrument is refinanced, the Tribe will not have sufficient liquidity to fully repay the amount due upon maturity,” the report says.
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