Hard Rock reports record quarterly profit

Thursday, July 28, 2005 | 11:02 a.m.

Business generated by the Hard Rock Hotel and Casino's Body English nightclub and higher hotel rates helped boost profit sixfold at the property.

Hard Rock Hotel Inc., which owns and operates the hotel and casino, said it reported profit of $4 million in the second quarter ended June 30 compared with $650,000 in the same quarter a year ago.

Earnings before interest, taxes, depreciation and amortization -- a key indicator of casino profit otherwise known as operating cash flow -- rose 11 percent to $12.3 million.

The basement nightclub Body English opened in May 2004, replacing a club called Baby's.

A $19 increase in average daily hotel rates and improved banquet operations also contributed to the rise in earnings, the company said.

Hotel rates rose to $176 per night in the second quarter from $157 a year ago but occupancy was relatively flat at 97 percent.

Overall revenue, including promotional expenses, rose 12 percent to $46.3 million.

Casino revenue fell 2 percent to $16.1 million and hotel revenue rose 11 percent to $10.4 million. Food and beverage revenue rose 34 percent to $18.4 million.

The Hard Rock won $10.7 million from table games players in the second quarter, 8 percent less than a year ago.

The property won $5.1 million from slot players, 16 percent more than the prior year.