Nevada Gold Announces First Quarter 2010 Financial Results

• Press Release
• Source: Nevada Gold & Casinos, Inc.
• On 4:01 pm EDT, Thursday September 10, 2009

HOUSTON, Sept. 10, 2009 (GLOBE NEWSWIRE) -- Nevada Gold & Casinos, Inc. (NYSE Amex:UWN) today announced financial results for the fiscal first quarter ended July 31, 2009.

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Quarterly highlights included:

 * Net revenues increased to $5.1 million compared to $1.6 million
   in the first quarter ended July 31, 2008;
 * Net loss declined 15.2% to $0.7 million;
 * Net loss per basic and diluted common share of $0.05, compared to
   a net loss per basic and diluted common share of $0.06 in the
   year ago period;
 * The expansion of the Colorado Grande Casino in Cripple Creek in
   July; and
 * Completed the acquisition of three casinos in the state of
   Washington.

"We are very encouraged by the preliminary results and feedback from our expanded Colorado Grande Casino. We are making progress at our recently acquired Washington Casinos, by working with each facility to make improvements to drive future growth and profitability, including the addition of a player tracking system at one facility and a plan to expand to all three by calendar year end. We also continue to be very impressed by our improvements at each SunCruz location," said Robert Sturges, CEO of Nevada Gold. "In addition, our recently amended and restated security agreement with our principal lender positions us well for future acquisitions. We are very excited about the future of the Company."

FINANCIAL RESULTS

For the first quarter of fiscal 2010, net revenues increased to $5.1 million compared to $1.6 million in the first quarter of fiscal 2009. Operating expenses increased to $6.0 million from $3.0 million in the first quarter of 2009. The increase is primarily due to the addition of three mini casinos in Washington and the addition of table games at the Colorado Grande Casino.

Net loss for the first quarter of fiscal 2010 was $0.7 million compared to a net loss of $0.8 million in the first quarter of fiscal 2009. Net loss per diluted common share was $0.05, compared to a net loss per diluted common share of $0.06 in the prior year period.

Basic and diluted weighted average common shares outstanding in the first quarter of each fiscal year was 12.9 million.

Recent Events

In May, the Company completed the acquisition of three casinos in the state of Washington. The casinos are The Crazy Moose Casino, located in Pasco, Coyote Bob's Roadhouse Casino, located in Kennewick, and the Crazy Moose Casino, located in Mountlake Terrace in close proximity to Seattle.

In July, the expansion of the Colorado Grande Casino in Cripple Creek successfully opened. The expansion allows the Colorado Grande Casino to take advantage of the recently passed amendment which authorizes an increase in the bet limits from $5 dollars to $100 dollars, allows additional types of table games, authorizes 24-hour gaming instead of the previous 18-hours and establishes a fixed tax rate.

Earnings Conference Call and Webcast

The Company will host a conference call to discuss first quarter 2010 financial results today at 5:00 PM EDT. The conference call can be accessed live over the phone by dialing (800) 289-0546, or, for international callers, (913) 981-5518. A replay will be available one hour after the call and can be accessed by dialing (888) 203-1112, or (719) 457-0820 for international callers; the conference ID is 8022274. The replay will be available until Thursday, September 17, 2009. The call will be webcast live from the Company's website at www.NevadaGold.com under the investor relations section.

Forward-Looking Statements

This release contains forward-looking statements, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. We use words such as "anticipate," "believe," "expect," "future," "intend," "plan," and similar expressions to identify forward-looking statements. Forward-looking statements include, without limitation, our ability to increase income streams, to grow revenue and earnings, and to obtain additional gaming and other projects. These statements are only predictions and are subject to certain risks, uncertainties and assumptions, which are identified and described in the Company's public filings with the Securities and Exchange Commission.

About Nevada Gold

Nevada Gold & Casinos, Inc. (NYSE Amex:UWN) of Houston, Texas is a developer, owner and operator of gaming facilities in Colorado, Washington and the southeastern United States. The Colorado Grande Casino in Cripple Creek, Colorado, the Crazy Moose Casino in Pasco, Washington, the Coyote Bob's Roadhouse Casino in Kennewick, Washington, and the Crazy Moose Casino in Mountlake Terrace, Washington are wholly owned and operated by Nevada Gold. The Company has an interest in Buena Vista Development Company, LLC which is working with the Buena Vista Rancheria of Me-Wuk Indians on a Native American casino project to be developed in the city of Ione, California. The Company also has a management contract with Oceans Casino Cruises, Inc., owner of SunCruz Casinos, the largest day cruise casino company in the United States. For more information, visit www.nevadagold.com.

The Nevada Gold & Casinos, Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=1552

                             Nevada Gold & Casinos, Inc.
                             Consolidated Balance Sheet

                                             July 31,      April 30, 
                                               2009           2009
                                          ------------   ------------
                                           (unaudited) 
                       ASSETS                                         
 Current assets:                                                      
 Cash and cash equivalents                $  3,652,917   $ 13,834,544 
 Restricted cash                             6,000,000      6,000,000 
 Accounts receivable                            30,534         12,342 
 Prepaid expenses                              567,366        235,847 
 Income tax Receivable                       2,170,781      1,872,369 
 Notes receivable, current portion                  --      1,100,000 
 Other current assets                          188,445         46,444 
                                          ------------   ------------ 
     Total current assets                   12,610,043     23,101,546 
                                          ------------   ------------ 
 Investments in development projects           125,844        746,024 
 Investments in development projects held                             
  for sale                                   3,437,932      3,437,932 
 Notes receivable - development projects,                             
  net of current portion and allowances      1,700,000      1,700,000
 Goodwill                                    8,776,185      5,462,918 
 Identifiable Intangible Assets              9,763,000             -- 
 Property and equipment, net of                                       
  accumulated depreciation of $2,542,581                              
  and $2,408,595 at July 31, 2009 and                                 
  April 30, 2009, respectively               3,746,199      1,091,549 
 Deferred tax asset                            640,669        599,797 
 Other assets                                5,822,569      5,915,220 
                                          ------------   ------------ 
 Total assets                             $ 46,622,441   $ 42,054,986 
                                          ============   ============ 
       LIABILITIES AND STOCKHOLDERS'                                  
        EQUITY                                                        
 Current liabilities:                                                 
 Accounts payable and accrued liabilities $  1,281,390   $    846,062 
 Other accrued liabilities                     369,954        197,833 
                                          ------------   ------------ 
     Total current liabilities               1,651,344      1,043,895 
                                          ------------   ------------ 
 Long-term debt, net of current portion     10,000,000      6,000,000 
 Other liabilities                             190,162         44,487 
                                          ------------   ------------ 
     Total liabilities                      11,841,506      7,088,382 
                                          ------------   ------------ 
 Commitments and contingencies                      --             -- 
                                                                      
 Stockholders' equity:                                                
 Common stock, $0.12 par value per share;                             
  50,000,000 shares authorized; 13,935,330                            
  shares issued and 12,939,130 shares                                 
  outstanding at July 31, 2009 and                                    
  April 30, 2009, respectively               1,672,240      1,672,240 
 Additional paid-in capital                 19,812,600     19,297,560 
 Retained earnings                          23,513,045     24,213,754 
 Treasury stock, 996,200 shares at                                    
  July 31, 2009 and April 30, 2009,                                   
  respectively, at cost                    (10,216,950)   (10,216,950)
                                          ------------   ------------ 
     Total stockholders' equity             34,780,935     34,966,604 
                                          ------------   ------------ 
 Total liabilities and stockholders'                                  
  equity                                  $ 46,622,441   $ 42,054,986 
                                          ============   ============

     

                            Nevada Gold & Casinos, Inc.
                      Consolidated Statements of Operations


                                                Three Months Ended    
                                         -----------------------------
                                            July 31,        July 31,  
                                             2009            2008     
                                         ------------    ------------ 
 Revenues:                                                            
    Casino                               $  4,185,063    $  1,556,953 
    Food and beverage                       1,113,766         446,725 
    Management fees                           250,000              -- 
    Other                                     184,034          13,873 
                                         ------------    ------------ 
      Gross revenues                        5,732,863       2,017,551 
      Less promotional allowances            (675,644)       (397,795)
                                         ------------    ------------ 
        Net revenues                        5,057,219       1,619,756 
                                                                      
 Expenses:                                                            
    Casino                                  1,910,945         518,055 
    Food and beverage                         833,582         210,142 
    Marketing and administrative            1,240,779         668,817 
    Facility                                  260,848          98,330 
    Corporate expense                       1,431,698       1,237,334 
    Legal expense                              64,293          51,724 
    Depreciation and amortization             145,167         164,595 
    Other                                      83,220          33,115 
                                         ------------    ------------ 
      Total operating expenses              5,970,532       2,982,112 
                                         ------------    ------------ 
 Operating loss                              (913,313)     (1,362,356)
 Non-operating income (expenses):                                     
    Loss from unconsolidated affiliates            --          (3,572)
    Loss on sale of assets                         --          (6,040)
    Interest income                            58,509         479,207 
    Interest expense                         (152,981)       (406,393)
    Amortization of loan issue costs          (32,209)        (31,639)
                                         ------------    ------------ 
 Loss before income                                                   
  tax benefit                              (1,039,994)     (1,330,793)
 Income tax benefit                           339,285         504,689 
                                         ------------    ------------ 
 Net loss                                $   (700,709)   $   (826,104)
                                         ============    ============ 
                                                                      
 Per share information:                                               
 Net loss per common share - 
  basic                                  $      (0.05)   $      (0.06)
                                         ============    ============ 
 Net loss per common share -                                          
  diluted                                $      (0.05)   $      (0.06)
                                         ============    ============ 
                                                                      
 Basic weighted average number of                                     
  shares outstanding                       12,939,130      12,939,130 
                                         ============    ============ 
 Diluted weighted average number of                                   
  shares outstanding                       12,939,130      12,939,130 
                                         ============    ============

Nevada Gold & Casinos, Inc.
Robert B. Sturges, CEO
Jim Kohn, CFO
(713) 621-2245
ICR
Don Duffy
(203) 682-8200