Century Casinos Inc (CNTY) 2025 Q2 法說會逐字稿

Good day, everyone, and welcome to today's Century Casinos Q2 2025 earnings call. (Operator Instructions) Please note, this call is being recorded, and I will be standing by if you should need any assistance.

It is now my pleasure to turn the conference over to Peter Hoetzinger. Please go ahead, sir.

Good morning, everyone, and thank you for joining our earnings call. We would like to remind everyone that we will be discussing forward-looking information under the safe harbor provisions of the US federal securities laws. The company undertakes no obligation to update or revise the forward-looking statements, and actual results may differ from those projected.

Throughout our call, we refer to several non-GAAP financial measures, including, but not limited to, adjusted EBITDA. Reconciliations of our non-GAAP measures to the appropriate GAAP measures can be found in our news releases and SEC filings available in the Investors section of our website at cnty.com.

After our prepared remarks, we will open the call for questions from analysts. My co-CEO, Erwin Haitzmann; and our Chief Financial Officer, Ms. Margaret Stapleton will join me for that. We announced strong second quarter results this morning. Both revenue and adjusted EBITDA were all-time records for the second quarter. Revenues were $150.8 million, driven by strength in Missouri, Canada and Poland. EBITDA came in at $30.3 million, a 50% sequential increase and a 10% increase over Q2 of last year.

The strong EBITDA growth was broad-based with every region, except Nevada contributing positive growth. Our results were supported by continued strength in place from our core customers as well as improving trends among retail and lower-end customers. More color and granularity on the individual properties and markets will come from Erwin shortly. It was a busy quarter for us. In addition to the strong operational performance, let me point out a few of the other highlights.

In May, we announced a partnership with BetMGM to operate an online and mobile sports betting application under our license in Missouri. The agreement includes a percentage of net gaming revenue payable to us with a guaranteed minimum as well as retail sportsbook options to be exercised at our discretion. Sports betting is expected to go live in Missouri in December of this year. So we expect to see meaningful contributions from BetMGM in our financials in 2026.

Also in Missouri, the new property in Caruthersville continues to perform really well. The increase in net operating revenue and EBITDAR since the opening of the new casino hotel on November 1 last year is 26% and 31%, respectively. In Poland, we were notified in June that we have not received a new license for a second casino in Warsaw. However, the license for our flagship casino operation in Warsaw at the Presidential Hotel, the ex Marriott runs through 2028. The Poland's third largest city, city of Wroclaw, we have been awarded an additional license, and we expect to open that casino in the fourth quarter of this year.

We are still committed to divesting our Poland operations. In fact, we do expect to sign letter of intent with an Eastern European Gaming Group next week. So it will be under exclusivity on our Poland business shortly. We'll provide updates on the Poland divestment process in the coming months as appropriate. And with that, over to you, Erwin.

Thank you, Peter, and good morning, everyone. I will provide an overview of the performance of our assets for the second quarter, starting with Missouri. Our new Caruthersville Casino in hotel property, which we opened on November 1, 2024, continues to be very successful in the second quarter. Total revenue grew 24% and operating expenses and comps were tightly controlled. This resulted in a 30% increase in EBITDAR from $4.7 million in Q2 '24 to $6.1 million in Q2 '25 and a healthy 43% margin. .

These growth numbers are driven by double-digit percentage increases in the properties customer across all segments, specifically the high-value customers or age groups, particularly those aged 30 to 39 and all distance ranges with special mention of the 75-plus mile distance range, which increased by 41%. The number of visitors increased by 20% quarter-over-quarter. Caruthersville is situated in the Missouri hotel, approximately 95 miles north of Memphis. Tennessee customers contribute about 50% of the revenue, with the remainder split demand customers from Missouri, Arkansas and other states.

The property is conveniently accessible by car with ample parking and the new hotel and the amenities are drawing patterns from longer distances. The project cost of $51.9 million was funded through financing provided by VICI through our master lease. As a result, rents due to VICI increased by approximately $1.1 million per quarter. The property's EBITDAR after subtracting the VICI rent was up over 10% compared to Q2 of last year prior to the increase in rent. The transition from the old river boat was partly driven by our desire to provide significantly improved entertainment and hospitality experiences to our customers and partly by the necessity of moving of Mississippi River onto the projected size of the flood wall.

So far, the property has exceeded our expectations, and therefore, we couldn't be more pleased with our new Century Casino in Hotel Caruthersville and the continued growth we expect at the property. Now on to our Century Casino & Hotel Hotel Cape Girardeau. This property was built to high standards in 2012. We purchased the operating company in late 2019, and VICI acquired the underlying real estate at the same time. In 2022, we decided to build a hotel to complement the properties amenities and to prepare for an incoming competitor in Illinois. The Riverview Hotel opened in April 2024. In the second quarter of '25, the hotel continued to grow its cash revenue, which more than doubled compared to the same quarter in 2024.

The hotel drove incremental food and beverage revenue. F&B cash revenue grew 31%. And most importantly, it increased associated gaming revenue which was $556 per comp hotel guests in the second quarter. The ADR for retail customers was $151. We are very pleased with the results of the hotel as we have absorbed the new competition by expanding the reach of the property, with patrons from outside of 75 miles, increasing by 28% since the hotel opened. We continue to refine our strategy with the hotel and believe we have ample room to grow given our current occupancy rates and the value of gaming customers who stay at Delta.

Overall, gaming revenue remained slightly behind last year. Severe storms and tornado activity in April heavily impacted the property. A total of nine days were affected 5 weekdays and 4 weekend days with much of the illinois blocked off due to flooding on those days. However, because of well-controlled expenses, the property's EBITDAR increased, namely by 3% to $6.5 million, resulting in a margin of 37% in the quarter.

Looking ahead, we are particularly excited about our partnership with BetMGM. We plan to launch online sports betting in Missouri at the end of this year and have begun preparing for a fantastic BetMGM branded retail sports book. This will enhance the property's appeal as a prime regional entertainment destination driving further revenue and profitability growth. Continuing with the Midwest segment, let's review the performance of our operations in Colorado.

Century Casino Cripple Creek had an excellent second quarter. EBITDAR was $1.9 million compared to $2.4 million in Q2 of '24. The $2.4 million, however, includes a breakage fee from the termination of a sports betting agreement in May of '24, amounting to $850,000. Therefore, on a comparable basis, was up 23% in the quarter. As you will recall, we eliminated live table games at our Colorado properties in Q1 2025. The cost saving effects from eliminating live table games far exceed the lost revenue. The all new prominently located electronic table games lounge, the first in this gaming market, proved to be a popular alternative for our customers.

Although we saw a decline in trips and visitors in this quarter, the average spend per trip was up by 28%, and with our higher-value segments performing very well. I should also mention that we finished a complete redesign of the main entrance to the casino in this quarter. Previously, this corner was somewhat tucked away and difficult to access from the sidewalks. Now we have a wide entrance on two sides: newly designed and leveraged stairs connecting to the sidewalk and the prominent Central Casino sign above the entrances. We believe that this project, along with the numerous minor improvements we have made to the property over the last 12 months, contributes to the property's continued success.

To sum it up, we are very pleased with this asset in our portfolio, which we have fully owned and operated for over 30 years. As for Century Casino Central City, we reported on the Q1 earnings call that Q1 was a transitional quarter for Central City with multiple cleanup initiatives started and completed. We are pleased to report that these efforts began to yield results in the second quarter. EBITDA was $910,000, which is flat to the same quarter of last year when adjusted for 200,000 less revenue from sports betting.

The EBITDA margin at this property was just below 20%, compared to 40% at Central Casino Cripple Creek based on very similar net operating revenues. The difference is due to significantly higher gaming and property taxes as well as the higher marketing spend due to the strong competition from Black Rock. This property traditionally had a fair amount of play from retail customers who prefer not to join the Properties loyalty club. The Retail segment decreased during that period while carded revenue remained almost flat.

We maintain our focus on driving continuous improvement and increasing revenue and profitability at this property. We've only operated Century Casino Central City for almost 20 years, during which time we have seen competitors come and go in the Central city gaming market. Now let's take a look at the performance of our East segment.

Our Mountaineer Casino Resort in West Virginia had an excellent second quarter. EBITDAR was $4.1 million compared to $3.6 million in Q2 of $24 million, an increase of 12%. Total revenue was up 3% driven by a 39% increase in iGaming revenue which offset a 6% decline in table games revenue. Operating expense savings of 7% were achieved through improvements and efficiencies in procurement and internal processes. In this quarter, we completed the full remodel of the facade and Prodco share of the property's main casino entrance, which now provides a much improved chance for arrival and excitement.

Following a strong Q1, despite some weather disruptions, first half year EBITDA in Mountaineer is up close to 10%, and we expect continued strong performance at the property going forward. Noting there will be some noise in the Q3 numbers from onetime impacts in Q3 of last year. Let's move on to Rocky Gap Casino Resort in Maryland. Rocky Gap's second quarter was again challenged by significant weather events, including a total of nine storms and flooding incidents.

Although the weather was not helpful for a full reversal of EBITDA declines in this quarter, we have seen significant improvement since the first quarter. Overall, carded gaming revenue increased by 7%, and the average spend per trip increased by 9%. Specifically, the month of June marked the clear turnaround. Even with one fewer Saturday compared to last year, we saw slot revenue increased by 9% compared to the same period in '24. Importantly, retail and low ADT play started to improve in June, driven by upward trends in the local economy and consumer confidence and our new direct mailer strategy.

As a result, in June, revenue grew 7% and EBITDAR grew 21%. July is trending positively as well with slot revenue 8% up. Given these trends, we are optimistic about Rocky Gap for the remainder of this year and moving the property back to its prior levels of profitability.

Moving on to the West segment with the Nugget Casino Resort in Reno-Sparks. We are not yet where we want to be with the market. EBITDA for the quarter was $2.3 million representing a decrease of approximately $550,000 from the same quarter last year. What did not work out in this quarter but the concepts at the property's 8,500 seat outdoor event center, which did not yield the expected returns due to a lack of ticket sales. Fewer visitors at the concept created a ripple effect on gaming, food, beverage and hotel revenues.

To further expand the resort amenities, we introduced the (technical difficulty) and also welcome attraction show, which performs on Saturday night at our iconic celebrity showroom. We are continuing to work diligently on expanding our market share among both local and nonlocal customers. We continue to scrutinize the resorts cost structure and marketing program. making significant progress towards the streamlined operation, and we look forward to upcoming events such as the Repco cup which will take place in late August and early September. Now some updates about our operations in Alberta, Canada and Poland, Europe.

In Canada, slot coin-in was up 6% and EBITDA grew 2.8% from $5.4 million to $5.6 million year-over-year. Almost half of the growth was driven by Central Casino St. Albert, which has been performing exceptionally well since the completion of the exterior modernization of the building in April. This came after the modernization of the interior of the building last year. We have other renovation projects across our Canadian portfolio that we expect to yield similar positive results. In Poland, the year-over-year comparison is not meaningful because the number of casinos in operation was not the same.

Operational breaks have impacted the last quarter due to delays in license renewals. There is no license expirations scheduled until 2028, so no operational interruptions or downtimes are expected. We continue to successfully redirect guests from our recently casino at the warsaw, Hilton to our flagship casino at the Presidential hotel in Warsaw previously known as the Warsaw Mariott. When the ramp-up of the relocated Warsaw Casino is well on track, we will open our second Warsaw Casino in Q4 of this year, which will further strengthen our position in the Wroclaw market. In Q2, total revenue grew 23% year-over-year, resulting in a 306% increase in EBITDA from $0.5 million in Q2 of '24 to $1.8 million in Q2 of '25.

With the second part of the Hilton closing costs to be digested in Q2, we expect to return to normalized results starting in Q4 of this year. As Peter mentioned, we remain committed to divesting our Polish operations, and we'll provide further updates as appropriate.

With that, back to you, Peter.

Thank you, Erwin, and we're moving on to cover a few balance sheet and capital items. I'm happy to report that we turned cash flow positive in the quarter. Our cash and cash equivalents at the end of the quarter were $85.5 million compared to $84.7 million at the end of Q1, and that includes $5.8 million in CapEx and $1 million was spent on the share buyback program. The total principal amount of debt outstanding was $338.1 million, resulting in net debt of $252.5 million. .

At the end of the quarter, our net debt-to-EBITDA ratio improved from 6.9 times 3 months ago to 6.2 times. On a lease adjusted basis, the ratio came down from 7.6 in to 7.3. And we expect these ratios to go down further in the second half of the year. And let me also note that we have no debt maturities until 2029. The recent investments in our property portfolio are evident and our properties have never looked better. There is no need for significant CapEx this year or next.

We expect to spend no more than $20 million in total for growth and maintenance projects this year, of which we have spent $10 million already in the first half. As predicted in our last earnings calls, the returns on our investments, together with the reduction in CapEx this year and next, produced meaningful improvements in free cash flow compared to last year. As we look ahead, we are confident in our business prospects. Last year was a transitory period for us, but now we see a clear path forward to our EBITDAR and cash flow for 2025 and beyond. Now it is all about harvesting what we have invested last year. We are encouraged by the recent trends in our business.

And while we recognize the level of economic uncertainty, we are more confident in the long-term prospects of our company than we were at any point last year. Since mid-March, our unrated and lower-tier database customers have returned to growth, and that consumer strength continued into July. But if two months don't quite make a trend, we are cautiously optimistic about the outlook. We feel that optimism will be further supported by the anticipated improvements in consumer sentiment and spending power from the one big beautiful bill, specifically the benefit from no tax on tips as well as an uplift from the increased deductions for seniors considering seniors make up about one-third of our customer base.

It's also worth noting that we do not anticipate any new significant competitive supply impacting us this year and next. And we are not directly impacted by tariffs hardly at all. We just don't see it in our business. In our last earnings call, we announced a share buyback program. And I'm happy to report that we repurchased 428,734 shares at an average price of $2.12 per share during Q2. We feel good about the direction of the business overall. We have a solid cash position of around $85 million and believe CNTY is one of the best investments with high growth potential out there.

Hence, we are considering continuing the stock buyback program in the coming weeks, if and when legally permitted. As you have seen in our earnings release, we have initiated a comprehensive strategic review of our operations, our capital structure and our strategic growth opportunities. The trigger for it was the high number of third-party inquiries about potential asset sales and strategic partnerships we received over the last few months. You want to put all that into a structured process and see what's out there in terms of interest and possibilities.

This proactive review will explore a range of potential strategic alternatives aimed at enhancing shareholder value and supporting long-term growth. These alternatives may include opportunities to unlock value within our existing property portfolio, optimize the company's capital structure, evaluate potential mergers, strategic partnerships or the sale of the entire company and analyze potential divestments of assets or other asset level transactions.

In connection with this process we have engaged Macquarie Capital as well as the law firm of Faegre Drinker to assist in evaluation. The strategic review follows our recent substantial CapEx program and solid operational performance and reflects the company's proactive approach to positioning it for future success in an evolving market landscape with a clear focus on optimizing shareholder value.

At this stage, no decisions have been made and there can be no assurance that the review will result in any transaction or particular change. The company does not intend to make further public comments on the process unless and until the company's Board of Directors approved a specific course of action. With that, I ask for your understanding that we will not take questions on this topic in our Q&A session as we cannot share any incremental information at this time. All right. That concludes our prepared remarks.

We'll now open the call for Q&A with the analysts. Operator, go ahead, please.

At this time we'll open the question-and-answer session. (Operator Instructions)

Jeff Stantial, Stifel.

Hey, good morning, Peter Irwin. Thanks for taking our questions. Peter, Erwin maybe starting off on the East segment, specifically at Rocky Gap, really strong margin performance that are in the quarter up year-on-year. I mean, Erwin, you talked about pretty significant weather disruption and with that, that usually comes high flow-through and negative margin impact. So can you just unpack that a little bit further for us? I guess what's what's driving that improvement in margins, whereas the cost containment, cost improvement coming from? Just any extra color there would be helpful.

Certainly. Thanks, Jeff. First Of all, we see that a little movement in the lower end. So we see some comeback of the lower-end customers as we went into the end of the second and beginning of the third quarter. And secondly, we are now detailing in much more granular fashion our marketing strategy. We see more slot revenue. We see higher hotel revenue, particularly also higher cash total revenue. And a mix of the improved and more fine-tuned marketing concept together with also improved product. As you know, we have a very nice are integrating a hotel leads to higher occupancy, both in the hotel and the casino.

Great. That's helpful. And then maybe shifting gears over to capital allocation. Peter, you repurchased $1 million of stock during the quarter. If I recall correctly, I believe that you had mentioned potentially buying a slightly larger amount between Q1 and Q2 earnings. So if my memory is accurate there is the shortfall or the lower amount repurchase just attributable to blackouts? Or is there sort of another reason maybe why you decided not to repurchase as much stock as initially expected? And then more thematically looking forward, I'd love to just get your updated thoughts on allocating capital towards repurchases versus debt pay down, just given we seem to be in a bit of an interesting dynamic right now where, to your point, unrated and some of the regional fundamentals continue to improve or get better. But at the same time, some of the macro data is started to move in the wrong direction for the first time. So just any thoughts there would be great.

Peter?

Yeah. Indeed, we've aimed for a higher dollar amount. But we are doing the repurchases under 10b5 (technical difficulty) , and that has certain limits to it, volume limits, timing limits and that resulted in basically us not having the opportunity to spend all the money that we have allocated for it.

And yes, going forward, we'll balance between stock buybacks on a limited scale. And we're also looking at the interest rate environment and what you can do with the debt. Refinancing is from our side possible at any time as soon as the window opens, we want to do that. And in terms of using a larger cash amount to buy back our debt the significance will kick in once we are talking about $10 million, $20 million, $30 million. And so I think that for that for a larger investment into our Terminal B, we look for positive outcome of our Poland divestment. And I think before that, we will probably not do a very large Terminal B repurchase.

Understood that's great, very helpful thank you both. I'll pass it on.

Ryan Sigdahl, Craig-Hallum Capital.

Good morning. This is Will on for Ryan. First, I wanted to touch on Poland. You saw some nice year-over-year growth there. Is that just attributed kind of to the timing of licenses and openings? Or is that something we should see continue? And then on the divestment process there, is this a talk with a different party than you've been having discussions in? Or is it a new one?

Peter?

I covered the divestments. It's with a new party, is with the new party.

And turning operational strengths, yes, back to Erwin for that one.

Could repeat the operational question?

Yeah. Just in terms of your year-over-year growth in Poland, we saw a bit of an uptick here. Is that just a timing thing with the licenses and openings? Or what can that be attributed to?

When all licenses open in the past, we made significantly higher both revenue and EBITDA. And yes, it is true that it has to do with the fact that in the comparative Q2 of last year, we had less casinos open simply due to the fact because the licensing process got delayed. But what you start seeing now is this the comeback to the old numbers, which we hope we can start to reachieve again in Q4, as I mentioned in the prepared remarks.

Great. And then my last one, just on the regional environment in general. It seems like we've been seeing a trade down at least among peers, kind of maybe it's people staying home from Vegas. Maybe it's just a trade down in general. But curious if you're seeing any of those benefits. It sounds like you are kind of in July and if we should expect those improvements to continue at your regional properties going forward.

Yeah, definitely. We saw it in June, starting with, we saw it in July, and it also continues in August. So we are between cautiously and normally optimistic about a change in the consumer sentiment and that change is starting to show nicely in our revenues in the various sectors already. Thanks, guys .

Thanks guys.

Chad Beynon, Macquarie Group.

Hey, good afternoon. Thanks for taking my question. I wanted to start with the West region. In the prepared remarks, you talked about some of the items in Reno that were headwinds related to some of the conference calendar issues. It appears that the market grew pretty well in the second quarter. So can you just talk about how the outlook, maybe for the conference center for conferences for concerts kind of looks in the back half of the year. And if you think this will help you get back to some of the market share levels from prior years.

Concerning the conferences, we think we're looking into the years '26, '27, '28, we are already and for the future years are confident that we can reach the previous level that was there before we took over. Concerning the year 2025, with the conferences, there's really not much we can do. We can only take short-term events.

But typically, the contracts planning has a lead time of 2 to 3 years. So this year will be less conference business than last year. Now in general, we are feeling good about the booking trends at the market, both comp and retail rooms for July were about 2% up, and that certainly marks a reversal from the declines in the second quarter. And looking at August, retail rooms are going to be significantly up. At the moment, we protect something like 32% up, which is really encouraging.

And on the side of the comp rooms, comp rooms are typically booked more last minute. But they also tend to follow the pattern of the retail room. So even also there, we think there is a good chance for a higher for better numbers and upside. There's a lot of rate activity in the market, and we are adjusting pricing as required to gain market share and maximize our occupancy.

In the immediate future of this month, we are looking for the best in the West, Nugget, which will take place from August 27 to September 1, largest event of the market. Ticket sales for this year's promising, we're hoping to beat last year's revenues. With regards to the on the marketing side, we rolled out the new loyalty club at the start of the second quarter. And with that, we offer competitive points multipliers, tier-level multipliers and then the additional food and beverage comp bucket in addition to the regular cash back. New marketing initiatives and rewards have been introduced to drive our competitiveness in the market, and we'll do more of that in the coming quarters.

That's great detail. And then on the big, beautiful bill. Peter, you outlined some of the benefits for your consumers. But as it relates to Century, whether it's accelerated depreciation or lower cash taxes. Are you expecting any benefit this year or more importantly, in '26 and '27 as the business grows and maybe the cash tax outflow could be greater, could you see a benefit from some of the changes that are being proposed.

Hey, can you help us there?

Sure. Chad. So the big beautiful bill, the depreciation does not really affect us nor does -- will there be a major impact on cash taxes due to the fact that we have deferred tax assets that we're still carrying forward. So anything coming out of that bill will basically be offset by our losses that will be utilizing?

Okay great thanks for clarifying that.

Appreciate it all.

Jordan Bender, Citizens Bank.

Hi everyone, good morning. Thanks for the question. I want to start in Canada, some nice results returning to growth there and beating our expectations. Yes, I know that's kind of a more of a local market, but are you seeing any strength or benefit from people not making trips into Las Vegas? I mean that's been a pretty big topic amongst some of the strip players that Canadian travel is down. So are you seeing any of your players kind of staying close to the home, which is benefiting you?

Thanks for the question, Jordan. I think we can we have us to charge how people go less whether or not they go less to Vegas or not. But we certainly see, as we also indicated that we we have a larger reach now. So that is on the one hand due to our better capacity, better product, more and better hotel rooms, but people that have not been coming before from 75, 80, 90 miles are now coming. And it may well be that these people say, well, we'd rather sit in the car drive as opposed to flying to Vegas.

Great. And then just to maybe follow-up on sports betting in Missouri with BetMGM, nice agreement there. Is there any way to whether it's quantify the potential positive impact through revenue or essentially just talk about what that means for your business once that agreement starts on December 1.

Peter, do you want to talk about the economic impact that we're expecting. I could certainly mention that retail we do in will be great for operations.

Yeah, we have disclosed detailed numbers. It will be you remember in Colorado, we got license, it will be a little less in Missouri.

Great. Thank you very much.

Yeah, thanks, Jordan.

Connor Parks, CBRE

Hey everyone, thanks for taking my question. Big picture one for me. You've mentioned in the past a path or at least a long-term goal to reach $150 million of EBITDAR in the past. Sitting here today, is this still a reasonable target now that we're in a handful of quarters into seeing returns from recent CapEx in Missouri. And I guess, have ROI expectations changed at all in Missouri sitting here today versus a handful of quarters ago?

I would say, yes, the $150 million is a reasonable target. Peter, would you like to add to that?

Yeah. What we need to I think our properties are in great shape after extensive CapEx program that we've done over the last 18 months. So from that point of view, the properties, the properties I think, can do the $150 million. We need the retail and lower end customer to come back to continue to come back. And I think what goes a little bit hand-in-hand with that is some positive movement on the interest rate front because that certainly helps the retail and low-end customers. And if we have a little bit of help, a little bit of tailwind on that side, then our property portfolio is good for EUR150 million EBITDAR.

Great. And just one follow-up for me. Good color in Colorado and the two properties there, maybe focusing in on Cripple Creek, newer competitor across the street. Just thoughts on the overall impact to the market and specifically to your property there with the new entrants to that market?

Sure. Thanks for the question, Connor. We have we have seen that new competitor has been very helpful for our business. And I think we get some business from them. As you know, we are exactly diagonally across the street, and we see a good mutual fertilization, I might say. It's they have an excellent stickers. And as you may know, they have excellent rooms. And in spite of that, our room occupancy basically most of its cash business. And on the weekends, we are typically sold out in spite of the fact that we only have less than 30 rooms, and there are 300 rooms across the street. So this the advent of the new competitor of the Shamoli has been nothing but good for us. And we're also having good communications with the management there.

And we think that jointly looking into the future, they and us might think about ways to further develop that intersection of Bennett Avenue and second, which, interestingly, in the past in the 1900s has been the center of Cripple Creek due to the fact that the way Benett goes all the way down from the East to that intersection and then goes up the hill on the West. So all looks good.

Helpful, thanks for the color.

And at this time, there are no further questions. I'd like to turn the call back over to our presenters for closing remarks.

Very well, thanks, everybody. We appreciate you joining our call today. We'll talk again in early November. Until then, thank you, and goodbye.

This does conclude today's Century Casinos Q2 2025 earnings call. Thank you for your participation. You may now disconnect.