Gaylord Earnings Report

   Hotel and leisure company Gaylord Entertainment Co. (GET) Monday, reported a loss for the first quarter, compared to a profit in the previous year quarter. The company recorded net loss for the first quarter of $1.85 million or $0.04 per share, compared to net income of $3.52 million or $0.08 per share in the previous year quarter.
   Revenues for the quarter rose 2.1% to $216.69 million from $212.32 million in the prior-year. Analysts polled by Thomson Reuters expected the company to report a loss of $0.05 per share, on revenues of $212.56 million for the quarter. Analysts estimates typically exclude special items.
   Gaylord Palms posted revenue of $43.3 million in the first quarter of 2010, a 5.6 percent decrease compared to $45.9 million in the prior-year quarter, driven primarily by a decrease in group Average Daily Rate (“ADR”). ADR in the Orlando market has been under significant pressure as approximately 2,400 rooms have been added into the market since September 2009.
Ga Absorption of this new supply has been slow as a result of the challenging economic environment. Occupancy for the first quarter of 2010 was up 5.4 percentage points compared to the prior-year quarter and was driven primarily by an increase in association group room nights. First quarter RevPAR decreased 3.5 percent to $131.24 compared to $135.95 in the prior-year quarter. Total RevPAR in the first quarter decreased 5.6 percent to $342.31 compared to $362.77 in the prior-year quarter. As a result of the decline in ADR, CCF in the first quarter decreased to $14.6 million compared to $16.0 million in the prior-year quarter, resulting in a CCF margin of 33.7 percent, a 110 basis point decrease compared to 34.8 percent in the prior-year quarter.