10/20/2011 12:07PM

Penn National Gaming posts net income of $70.8 for quarter, up from 2010


Penn National Gaming Inc. had net income of $70.8 million on revenue of $710.9 million during the third quarter of 2011, according to financial statements the company released on Thursday.

The company’s revenue figure for the quarter included $20.2 million for the sale of its 49-percent stake in Pimlico Race Course and Laurel Park to the Stronach Group earlier this year, according to the documents. Penn had purchased the stake for $50 million midway through 2010 in the hopes of steering a casino license to Laurel, an effort that was unsuccessful. Penn had earlier written down the value of the investment.

The $70.8 million net-income figure was an improvement over the company’s third-quarter net income of $48.3 million last year. The company’s gambling revenue increased from $582.3 million in the third quarter of last year to $636.4 million in the third quarter of this year, in part because of the recent legalization of table games at its casinos in Pennsylvania and West Virginia.

Penn National has become one of the largest casino operators in the United States over the past 10 years. Its racing properties include Charles Town racetrack in West Virginia, Zia Park in New Mexico, Penn National Race Course in Pennsylvania, and Beulah Park in Ohio. All but Beulah have casinos.