Casino financial report
Financial reports are documentation provided by a company to external sources. This documentation displays a company’s financial operations over a specific period of time. Standard time periods of disclosure are quarterly and annually. Quarterly periods are every three months. Annually periods either follow a standard calendar or a pre determined fiscal year established by a company.
Casino financial reports begin with a balance sheet disclosure. A balance sheet discloses a company’s assets, liabilities and equity standings. Assets are projected financial benefits as a result of current operations. Liabilities are projected financial sacrifices as a result of current operations. Equity is what the company has to show for ownership after the liabilities have been subtracted from the assets.
Assets for a casino include cash and cash equivalents. Other assets include inventory on gaming machines and tables and the property value of those items. Liabilities entail the income taxes, gaming taxes and property taxes that casinos pay to local, state and federal governing agencies. Additional liabilities include lease expenses on gaming equipment and buildings. Equity is what shareholders in a particular casino take home after all financial obligations have been met.
The next section of a casino financial report is the income statement. This financial disclosure provides information on where a company received its revenue for a specific period of operations. For casino financial reports, the majority of income revenue will come from casino operations. This includes gaming tables, slot machines, entrance fees and club membership dues that various casino patrons elect to join.
Other revenue sources for casinos come from operating a hotel and one or more restaurants on the premises as well.
Subtracted from these figures are standard operating expenses. Examples of these would be promotional expenses, advertising expenses and costs of equipment and maintenance for casino facilities. Once these and other expenses are subtracted from the casino income, a net income figure is obtained. This tells where a casino stands financially at any given time period.
The third section of a casino financial report is the statement of cash flow. This details where revenue for casinos came from and how it was spent. The main sections here are investment, operation and standard financial activity income. In the event the casino acquired another smaller casino, goods or services within a financial time period, that information would be disclosed here as well. In addition, any financial contributions to the casino from stockholders are listed in this section.
The final section of a casino financial report is the stockholders equity statement. This section is utilized to reconcile the retained earnings of a casino for a financial time period. Key items included here are capital contributions and withdrawals and any financial adjustments made for the stockholders in the casino. This information is presented for the annual operation period of the casino.
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