RED DEER, ALBERTA--(Marketwired - Nov 13, 2014) - Gamehost Inc. (TSX:GH)

Management and Directors of Gamehost Inc. (the "Company") are pleased to present results for the three months ended September 30, 2014 (the "Quarter") and the nine months ended September 30, 2014 (the "Period").

Music to Our Ears

Total operating revenues for the Quarter rose $1.0 million or 5.2% to $20.2 million from $19.2 million in the same quarter of 2013. Earnings before interest, taxes, depreciation and amortization ("EBITDA") that is attributable to shareholders of the Company ("EBITDA to Shareholders") climbed $0.2 million or 2.3% to $9.0 million versus $8.8 in the same quarter one year earlier. EBITDA to Shareholders margin was lower by 150 basis points to 46.6% in year over year comparison. Table performance continued to carry the day with solid growth in activity and above average Hold percentages. Ticket sales from strong entertainment lineups during the Quarter rounded out the growth in top line revenues.

Geographically Speaking

The Company's Grande Prairie properties continue to post impressive year over year growth. Top line revenues for our Service Plus hotel are up 27% on the Quarter and 28% for the Period. Great Northern Casino top line revenues are up 24% on the Quarter and 15% for the Period. Companies are spending big on corporate Christmas party bookings again as we head into the final quarter of the year.

Quiet on the Western Front

The Company was inactive during the Quarter in repurchasing shares under a normal course issuer bid that expires in April of 2015. The Company's shares reached new highs during the Quarter limiting purchasing opportunities. We will continue to monitor the price of the Company shares looking to capitalize on periods of weakness in the share price. Alternatively, we have been applying surplus funds to revolving debt which we reduced by $1.0 million during the Quarter and a further $1.8 million prior to the end of October 2014.

A Time for Remembrance

Along with the rest of the country we share the grief of the families and friends of fallen soldiers Patrice Vincent and Nathan Cirillo. Both incidents are terrible reminders of the debts of gratitude we owe to all who have stood for the freedom we enjoy in Canada, our home and native land.

Interim condensed consolidated statements of profit
In Canadian dollars (millions except per share figures)(unaudited)(unaudited)
nine months ended September 30three months ended September 30
2014201320142013
Operating revenue $ 61.8 $ 57.7 $ 20.2 $ 19.2
Cost of sales
Other (31.1 ) (28.7 ) (10.1 ) (9.4 )
Depreciation (1.6 ) (1.6 ) (0.5 ) (0.5 )
(32.7 ) (30.3 ) (10.6 ) (9.9 )
Gross profit 29.1 27.4 9.6 9.3
Other income 0.2 0.2 0.1 0.1
Administrative expenses
Other (2.6 ) (2.3 ) (0.9 ) (0.7 )
Depreciation (1.3 ) (1.5 ) (0.4 ) (0.5 )
(3.9 ) (3.8 ) (1.3 ) (1.2 )
Profit from operating activities 25.4 23.8 8.4 8.2
Net finance costs (2.1 ) (3.1 ) (0.8 ) (0.9 )
Profit before income taxes 23.3 20.7 7.6 7.3
Income tax expense (7.0 ) (4.6 ) (3.4 ) (1.5 )
Profit 16.3 16.1 4.2 5.8
Profit attributable to:
Owners of the Company 15.2 15.0 3.8 5.4
Non-controlling interests 1.1 1.1 0.4 0.4
16.3 16.1 4.2 5.8
Earnings per share
Basic and fully diluted $ 0.64 $ 0.65 $ 0.16 $ 0.23
EBITDA to Shareholders $ 27.2 $ 25.8 $ 9.0 $ 8.8
EBITDA to Shareholders % 46.2 % 46.8 % 46.6 % 48.1 %

Gamehost has also declared a cash dividend for the month of November 2014 of $0.0733 per common share. The dividend will be paid on December 15, 2014 to shareholders of record on November 30, 2014. The ex-dividend date is November 26, 2014.

This dividend is considered an "Eligible Dividend" and therefore, eligible for the enhanced gross-up and dividend tax credit available to shareholders.

This press release may contain forward-looking statements. Forward-looking statements may contain words such as "anticipates", "believes", "could", "expects", "indicates", "plans" or other similar expressions that suggest future outcomes or events. Use of these statements reflect reasonable assumptions made on the basis of management's current beliefs with information known by management at the time of writing. Many factors could cause actual results to differ from the results discussed in forward-looking statements. Actual results may not be consistent with these forward-looking statements.

Gamehost is a corporation established under the laws of the Province of Alberta. The Company's operations are all located in the Province of Alberta, Canada. Operations of the Company include the Boomtown Casino in Ft. McMurray, the Great Northern Casino, Service Plus Inns & Suites hotel and a strip mall all located in Grande Prairie. The Company also holds a 91% ownership position in Deerfoot Inn & Casino Inc. in Calgary.

These interim consolidated financial results include the accounts of Gamehost Inc. and its subsidiaries; however, they do not include all disclosures normally provided in annual consolidated financial statements and should be read in conjunction with the 2013 annual consolidated financial statements. Further, while the financial figures included in this interim results announcement have been computed in accordance with IFRS applicable to annual periods, this announcement does not contain sufficient information to constitute an interim financial report. The company will file an interim financial report for the interim period ended September 30, 2014. This report will be filed in its entirety, along with historical financial reports on the Company's website at www.gamehost.ca and on SEDAR at www.sedar.com along with the Company's other continuous disclosure documents, when they are available.

Gamehost common shares and convertible debentures trade on the Toronto Stock Exchange (TSX) under the symbols GH and GH.DB respectively.