AC Casinos See Third Quarter Profit Drop [AUDIO]

There was more bad news for Atlantic City’s 11 casinos in the third quarter.

Gross operating profits dropped more than 13 percent in the third quarter. The 11 casinos collectively earned operating profits of $182.1 million. That’s down from the $209.8 million they earned in the third quarter of 2010.

Net revenue for the quarter was down nine percent from the third quarter of 2010.

Casino expert Israel Posner of Stockton College of New Jersey says Hurricane Irene in late August carved deeply into the market’s take when the city was evacuated. He says it also affected Labor Day weekend business. Posner says despite that, some of the casinos did well. But he says Irene was a, “huge hit.”

The Tropicana saw a gross operating profit of almost 17 million in the third quarter, up 17.2 percent from a year ago. Resorts fared worst with a gross operating loss of nearly $5 million for the quarter, a decline of nearly 70 percent from the same period last year.