Isle of Capri Casinos posts 1st-quarter profit

ST. LOUIS (AP) — Isle of Capri Casinos Inc. said Wednesday that it made money in its fiscal first quarter on the absence of charges that impacted results a year earlier.

The casino operator earned $905 million, or 3 cents per share, compared with a loss of $3.6 million, or 12 cents per share a year earlier.

Prior-year results included a $5 million charge for the cancellation of rights for a land acquisition as well as a $1 million termination fee related to the possible development of a casino in the Portland, Ore., area.

Income from continuing operations was $791 million, or 2 cents per share, compared with a loss from continuing operations of $2.6 million, or 9 cents per share a year ago.

Analysts polled by Thomson Reuters, whose estimates typically exclude one-time items, predicted earnings of 13 cents per share.

For the period ended July 26, revenue slipped 6 percent to $259.9 million from $277.4 million as consumers continue to pull back on their gambling and food and beverage spending. Room revenue also dropped.

The results missed Wall Street's estimate of $273.4 million.

Casino operators have been pinched during the recession as consumers rein in their discretionary spending. Regional casino operators have tended to fair slightly better, as gamblers have opted to stay closer to home during the economic downturn.

Isle said it plans to exit its Bahamas operations by Oct. 31 and plans to leave its U.K. businesses by the end of the year.

Isle shares fell $1.44, or 12 percent, to $10.55 in morning trading.