In preparation for what looks to be a strong Q3 earnings release tomorrow, we’ve put together the pertinent forward looking commentary from PNK’s Q2 earnings release/call.
YOUTUBE PNK Q2
- “We’ve seen margin improvement this last quarter, but I’ll tell you it’s just the beginning of our ability to thoughtfully look through each one of our operations and for us to improve our margins.”
- “There is much activity in this company to improve things even beyond margins as we rationalize our delivery system, if you will, for our product, our entertainment casino product, as we look at hotel optimization, as we look at our floors, as we examine assets and discard those that are unnecessary or drag on our system, and as we consolidate offices to be a better management team here in Las Vegas.”
- “But in the quarter, in particular at River City, we did overstaff on a payroll basis. We did have a couple of unlucky workers comp items in the quarter at that property. We also had some base stock amortization, which will normalize after six months, and so those numbers are higher. We expected some higher numbers in that category, but that’s not the run rate. We’ll get that in-line in the next quarter or two.”
- “And so our expectation is that, while the economy as a whole is not great and the recovery is slower than anybody will like, we feel fairly optimistic about our prospects going forward, and where we sit competitively in the markets we’re in.”
- “We don’t have a CRM system today. And we have done a good job driving revenues with really a lack of tools.”
- “I’m going to guess out loud it’s [effective tax rate] 10% or perhaps south on an annual basis.
- [Corporate expense in 3Q] “8 million. I think it’s in-line with that."