Monarch Casino & Resort (MCRI) 10-K28 Feb 232022 FY Annual reportFinancial data

Company Profile

Document and Entity Information

Document and Entity Information - USD ($) $ in Millions	12 Months Ended
Document and Entity Information - USD ($) $ in Millions	Dec. 31, 2022	Feb. 27, 2023	Jun. 30, 2022
Document and Entity Information
Document Type	10-K
Document Annual Report	true
Document Transition Report	false
Document Period End Date	Dec. 31, 2022
Entity File Number	0-22088
Entity Registrant Name	MONARCH CASINO & RESORT, INC
Entity Incorporation, State or Country Code	NV
Entity Tax Identification Number	88-0300760
Entity Address, Address Line One	3800 S. Virginia Street
Entity Address, City or Town	Reno
Entity Address, State or Province	NV
Entity Address, Postal Zip Code	89502
City Area Code	775
Local Phone Number	335-4600
Title of 12(b) Security	Common Stock, $0.01 par value per share
Trading Symbol	MCRI
Security Exchange Name	NASDAQ
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
ICFR Auditor Attestation Flag	true
Entity Shell Company	false
Entity Public Float			$ 862.7
Entity Common Stock, Shares Outstanding		19,122,289
Auditor Name	Ernst & Young LLP
Auditor Firm ID	42
Auditor Location	Las Vegas, Nevada
Entity Central Index Key	0000907242
Document Fiscal Year Focus	2022
Current Fiscal Year End Date	--12-31
Document Fiscal Period Focus	FY
Amendment Flag	false

CONSOLIDATED STATEMENTS OF INCO

CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Revenues
Net revenues	$ 477,870	$ 395,377	$ 184,413
Operating expenses
Selling, general and administrative	97,602	84,427	60,395
Depreciation and amortization	43,433	38,428	17,324
Other operating items, net	7,115	4,929	6,711
Total operating expenses	366,428	305,500	169,142
Income from operations	111,442	89,877	15,271
Other expense
Interest expense, net of amounts capitalized	(2,420)	(4,506)	(273)
Income before income taxes	109,022	85,371	14,998
Provision for income taxes	(21,543)	(16,883)	8,680
Net income	$ 87,479	$ 68,488	$ 23,678
Earnings per share of common stock
Basic	$ 4.60	$ 3.68	$ 1.30
Diluted	$ 4.47	$ 3.53	$ 1.25
Weighted average number of common shares and potential common shares outstanding
Basic	18,996	18,617	18,218
Diluted	19,578	19,427	18,877
Casino
Revenues
Net revenues	$ 270,756	$ 233,413	$ 111,550
Operating expenses
Operating expenses	95,076	75,258	34,020
Food and beverage
Revenues
Net revenues	117,156	91,080	43,162
Operating expenses
Operating expenses	88,440	72,684	36,123
Hotel
Revenues
Net revenues	71,179	54,374	20,133
Operating expenses
Operating expenses	25,508	22,106	10,104
Other
Revenues
Net revenues	18,779	16,510	9,568
Operating expenses
Operating expenses	$ 9,254	$ 7,668	$ 4,465

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Current assets
Cash and cash equivalents	$ 38,779	$ 33,526
Receivables, net	9,566	8,881
Income taxes receivable	24,989	26,946
Inventories	7,558	7,159
Prepaid expenses	8,537	7,552
Total current assets	89,429	84,064
Property and equipment, net	578,050	580,807
Goodwill	25,111	25,111
Intangible assets, net	352	477
Total assets	692,942	690,459
Current liabilities
Current portion of long-term debt	6,693	20,000
Accounts payable	14,418	18,575
Construction accounts payable	49,957	58,891
Accrued expenses	46,037	42,967
Short-term lease liability	639	745
Total current liabilities	117,744	141,178
Deferred income taxes	23,016	19,617
Long-term lease liability	13,228	13,498
Total liabilities	153,988	242,445
Stockholders' equity
Preferred stock, $.01 par value, 10,000,000 shares authorized; none issued
Common stock, $.01 par value, 30,000,000 shares authorized; 19,096,300 shares issued; 19,093,676 outstanding at December 31, 2022; 18,764,540 outstanding at December 31, 2021	191	191
Additional paid-in capital	40,716	41,426
Treasury stock, 2,624 shares at December 31, 2022; 331,760 shares at December 31, 2021	(170)	(4,341)
Retained earnings	498,217	410,738
Total stockholders' equity	538,954	448,014
Total liabilities and stockholders' equity	$ 692,942	$ 690,459

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Dec. 31, 2022	Dec. 31, 2021
CONSOLIDATED BALANCE SHEETS
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized	10,000,000	10,000,000
Preferred stock, shares issued	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized	30,000,000	30,000,000
Common stock, shares issued	19,096,300	19,096,300
Common stock, shares outstanding	19,093,676	18,764,540
Treasury stock, shares	2,624	331,760

CONSOLIDATED STATEMENTS OF STOC

CONSOLIDATED STATEMENTS OF STOCKHOLDERS EQUITY - USD ($) $ in Thousands	Common Stock	Additional Paid-in Capital	Retained Earnings	Treasury Stock	Total
Balance at Dec. 31, 2019	$ 191	$ 35,215	$ 318,572	$ (12,777)	$ 341,201
Balance (in shares) at Dec. 31, 2019	18,141,383
Increase (Decrease) in Stockholders' Equity
Exercise of stock options, net		(4,650)		3,905	(745)
Exercise of stock options, net (in shares)	284,747
Stock-based compensation expense		3,855			3,855
Capital contribution		78			78
Net income			23,678		23,678
Balance at Dec. 31, 2020	$ 191	34,498	342,250	(8,872)	368,067
Balance (in shares) at Dec. 31, 2020	18,426,130
Increase (Decrease) in Stockholders' Equity
Exercise of stock options, net		2,868		4,531	7,399
Exercise of stock options, net (in shares)	338,410
Stock-based compensation expense		4,060			4,060
Net income			68,488		68,488
Balance at Dec. 31, 2021	$ 191	41,426	410,738	(4,341)	$ 448,014
Balance (in shares) at Dec. 31, 2021	18,764,540				18,764,540
Increase (Decrease) in Stockholders' Equity
Treasury Stock, Value					$ 4,341
Exercise of stock options, net		(7,714)		10,370	2,656
Exercise of stock options, net (in shares)	406,641
Restricted stock granted		1,909		301	2,210
Restricted stock granted, shares	22,495
Purchase of company common stock				(6,500)	(6,500)
Purchase of company common stock, shares	(100,000)
Stock-based compensation expense		5,095			5,095
Net income			87,479		87,479
Balance at Dec. 31, 2022	$ 191	$ 40,716	$ 498,217	$ (170)	$ 538,954
Balance (in shares) at Dec. 31, 2022	19,093,676				19,093,676
Increase (Decrease) in Stockholders' Equity
Treasury Stock, Value					$ 170

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Cash flows from operating activities:
Net income	$ 87,479	$ 68,488	$ 23,678
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	43,433	38,428	17,324
Amortization of deferred loan costs	1,541	990	764
Stock-based compensation	5,095	4,060	3,855
Stock Based Compensation - Restricted Stock	80
Provision for bad debts	155	245	159
(Gain) loss on disposition of assets	(69)	136	63
Write off of unamortized debt issuance costs			95
Non-cash operating lease expense	9	(16)	(1)
Deferred income taxes	3,399	6,527	15,774
Changes in operating assets and liabilities:
Receivables	(840)	(5,390)	1,563
Income taxes receivable	1,957	(2,052)	(24,709)
Inventories	(399)	664	(1,088)
Prepaid expenses	(985)	841	(1,247)
Accounts payable	(4,157)	6,920	(5,382)
Accrued expenses	3,070	8,262	596
Net cash provided by operating activities	139,768	128,103	31,444
Cash flows from investing activities:
Proceeds from sale of assets	440	22	31
Change in construction accounts payable	(8,934)	9,120	42,243
Acquisition of property and equipment	(39,477)	(46,928)	(88,667)
Net cash used in investing activities	(47,971)	(37,786)	(46,393)
Cash flows from financing activities:
Payroll taxes from net exercise of stock options	(6,885)	(730)	(4,428)
Proceeds from exercise of stock options	9,841	8,129	3,760
Line-of-credit borrowings	3,000
Line-of-credit payments	(3,000)
Long-term debt borrowings			10,813
Principal payments on long-term debt	(83,000)	(92,500)	(24,563)
Loan issuance cost			(2,862)
Purchase of company common stock	(6,500)
Net cash used in financing activities	(86,544)	(85,101)	(17,280)
Change in cash and cash equivalents	5,253	5,216	(32,229)
Cash and cash equivalents at beginning of period	33,526	28,310	60,539
Cash and cash equivalents at end of period	38,779	33,526	28,310
Supplemental disclosure of cash flow information:
Cash paid for interest, net of amounts capitalized	1,450	3,069	380
Cash paid for income taxes	$ 15,620	$ 12,410
Conversion of long-term deposit to short term deposit			$ 908

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	12 Months Ended
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	Dec. 31, 2022
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	MONARCH CASINO & RESORT, INC. AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENT S NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation Monarch Casino & Resort, Inc. was incorporated in 1993. Through its wholly-owned subsidiary, Golden Road Motor Inn, Inc. (“Golden Road”), Monarch owns and operates the Atlantis Casino Resort Spa, a hotel and casino in Reno, Nevada (the “Atlantis”). In addition, Monarch’s wholly owned subsidiaries, High Desert Sunshine, Inc. (“High Desert”), Golden East, Inc. (“Golden East”) and Golden North, Inc. (“Golden North”), each owns separate parcels of land located proximate to the Atlantis. Monarch’s wholly owned subsidiary Monarch Growth Inc. (“Monarch Growth”), formed in 2011, owns and operates Monarch Casino Resort Spa Black Hawk, a hotel and casino in Black Hawk, Colorado (the “Monarch Black Hawk”). Monarch owns a parcel of land with an industrial warehouse located between Denver, Colorado and Monarch Casino Resort Spa Black Hawk. Monarch also owns Chicago Dogs Eatery, Inc. and Monarch Promotional Association, both of which were formed in relation to licensure requirements for extended hours of liquor operation in Black Hawk, Colorado. The consolidated financial statements include the accounts of Monarch and its subsidiaries. Intercompany balances and transactions are eliminated. Reference to the number of square feet or acreage are unaudited and considered outside the scope of our independent registered public accounting firm’s audit of our consolidated financial statements in accordance with the standards of the Public Company Accounting Oversight Board. Unless otherwise indicated, “Monarch,” “Company,” “we,” “our,” and “us,” refer to Monarch Casino & Resort, Inc. and its subsidiaries. Use of Estimates In preparing financial statements in conformity with U.S. Generally Accepted Accounting Principles, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and revenues and expenses during the year. Actual results could differ from those estimates. Segment Reporting The accounting guidance for disclosures about segments of an enterprise and related information requires separate financial information to be disclosed for all reporting segments of a business. The Company determined that the Company’s two operating segments, Atlantis and Monarch Black Hawk, meet all of the aggregation criteria stipulated by ASC 280-10-50-11. The Company views each property as an operating segment and the two operating segments have been aggregated into one reporting segment. Cash and Cash Equivalents Cash and cash equivalents include cash on hand and in bank, as well as money market funds with an original maturity of 90 days or less. Inventories Inventories, consisting primarily of food, beverages, and retail merchandise, are stated at the lower of cost and net realizable value. Cost is determined by the weighted average and specific identification methods. Net realizable value is defined by the Financial Accounting Standards Board (“FASB”) as estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. Property and Equipment Property and Equipment, net consists of the following (in thousands): December 31, 2022 December 31, 2021 Land $ 32,977 $ 32,986 Land improvements 10,939 9,898 Buildings 475,956 474,571 Building improvements 75,858 55,432 Furniture and equipment 249,045 235,233 Construction in progress 7,229 8,211 Right of use assets 13,861 14,246 Leasehold improvements 4,244 3,848 870,109 834,425 Less accumulated depreciation and amortization (292,059) (253,618) Property and equipment, net $ 578,050 $ 580,807 Property and equipment are stated at cost, less accumulated depreciation and amortization. Property and equipment is depreciated principally on a straight line basis over the estimated useful lives as follows: Land improvements 15 - 40 years Buildings 30 - 40 years Building improvements 5 - 40 years Right of use assets 5 - 40 years Leasehold improvements 5 - 40 years Furniture 5 - 10 years Equipment 3 - 20 years The Company recorded $43.3 million, $37.9 million and $16.1 million depreciation expense for the years ended December 31, 2022, 2021 and 2020, respectively. The Company evaluates property and equipment and other long-lived assets for impairment in accordance with the guidance for accounting for the impairment or disposal of long-lived assets. For assets to be disposed of, the Company recognizes the asset to be sold at the lower of carrying value or fair value less costs of disposal. Fair value for assets to be disposed of is generally estimated based on comparable asset sales, solicited offers or a discounted cash flow model. For assets to be held and used, the Company reviews fixed assets for impairment indicators at the end of the fiscal year and whenever indicators of impairment exist. If an indicator of impairment exists, we compare the estimated future cash flows of the asset, on an undiscounted basis, to the carrying value of the asset. If the undiscounted cash flows exceed the carrying value, no impairment is indicated. If the undiscounted cash flows do not exceed the carrying value, the impairment is measured based on fair value compared to carrying value, with fair value typically based on a discounted cash flow model or market comparable, when available. For the years ended December 31, 2022, 2021 and 2020, there were no impairment charges. Goodwill: The Company accounts for goodwill in accordance with ASC Topic 350, Intangibles-Goodwill and Other (“ASC Topic 350”). ASC Topic 350 gives companies the option to perform a qualitative assessment that may allow them to skip the quantitative test as appropriate. The Company tests its goodwill for impairment annually during the fourth quarter of each year, or whenever events or circumstances make it more likely than not that impairment may have occurred. Impairment testing for goodwill is performed at the reporting unit level, and each of the Company’s casino properties is considered to be a reporting unit. Goodwill consists of the excess of the acquisition cost over the fair value of the net assets acquired in business combinations in April 2012. As of December 31, 2022, we had goodwill totaling $25.1 million related to the purchase of Monarch Casino Resort Spa Black Hawk, Inc. The Company performed its annual goodwill impairment assessment. Based on the impairment assessment, we do not believe that it is more likely than not that the fair value of the reporting unit is less than the carrying amount. Accordingly, the two-step impairment test is not necessary. Capitalized Interest The Company capitalizes interest costs associated with debt incurred in connection with major construction projects. When no debt is specifically identified as being incurred in connection with a construction project, the Company capitalizes interest on amounts expended on the project at the Company’s average borrowing cost. Interest capitalization is ceased when the project is substantially complete. The Company had not capitalized any interest in 2022 and 2021. The Company capitalized $6.8 million during the year ended December 31, 2020. Capitalized interest of $16.5 million, related to the Monarch Black Hawk expansion project, was allocated to the fixed assets placed in service at the project completion date in the fourth quarter of 2020 and is being amortized over the respective assets’ recovery period. Debt Issuance Costs Costs incurred in connection with the issuance of long-term debt are amortized to interest expense over the term of the related debt agreement utilizing the effective interest rate method. Unamortized amounts of debt issuance costs are recorded as a reduction of the outstanding debt and included in “Long-term debt, net”. On September 3, 2020, the Company refinanced its credit facility. The unamortized costs related to the existing credit facility as of August 31, 2020 were $476 thousand. As the credit facility is a loan syndication with separate debt instruments existing between the debtor and the individual creditors participating in the syndication, in accordance with ASC 470-50, the Company expensed $95 thousand, representing a portion of unamortized debt issuance cost, allocated to the lenders that left the syndication and deferred the rest of the unamortized debt issuance cost of the existing credit facility, together with the issuance costs of the new facility. As of December 31, 2022, debt issuance costs, net of amortization, were $0.3 million. Self-insurance Reserves We are currently self-insured up to certain stop loss amounts for Atlantis workers’ compensation and certain medical benefit costs provided to all of our employees. As required by the state of Colorado, we are fully insured for Monarch Black Hawk workers’ compensation costs. The Company reviews self-insurance reserves at least quarterly. The reserve is determined by reviewing the actual expenditures for the previous twelve-month period and reports prepared by the third-party plan administrator for any significant unpaid claims. The Company engages a third-party actuarial firm at least once per year for a more precise reserves review and calculation. The reserve is an amount estimated to pay both reported and unreported claims as of the balance sheet date, which management believes is adequate. Revenue Recognition The majority of the Company’s revenue is recognized when products are delivered or services are performed. For certain revenue transactions (when a patron uses a club loyalty card), in accordance with Accounting Standard Update (“ASU”) No. 2014-09 (“ASC 606”), a portion of the revenue is deferred until the points earned by the patron are redeemed or expire. Casino revenue: Players’ Club Program: As of December 31, 2022, and 2021, the Company had estimated the obligations related to the players’ club program at $8.0 million and $9.4 million, respectively, which is included in Accrued Expenses in the Liabilities and Stockholders’ Equity section in the Consolidated Balance Sheets. Food and Beverage, Hotel and Other (retail) Revenues: Other Revenues : Other revenues (excluding retail) primarily consist of commissions received on ATM transactions and cash advances, which are recorded on a net basis as the Company represents the agent in its relationship with the third-party service providers, and commissions and fees received in connection with pari-mutuel wagering, which are also recorded on a net basis. Sales and other taxes Casino Jackpots The Company does not accrue a liability for base jackpots because it has the ability to avoid such payment as gaming devices can legally be removed from the gaming floor without payment of the base amount. When the Company is unable to avoid payment of a jackpot such as the incremental jackpot amounts of progressive-type slot machines, due to legal requirements, the jackpot is accrued as the obligation becomes unavoidable. This liability is accrued over the time period in which the incremental progressive jackpot amount is generated commensurate with a corresponding reduction in casino revenue. Gaming Taxes The Company is subject to taxes based on gross gaming revenue in the jurisdictions in which it operates, subject to applicable jurisdictional adjustments. These gaming taxes are an assessment on the Company’s gaming revenue and are recorded as casino expense in the accompanying Consolidated Statements of Income. These taxes totaled $58.5 million, $45.5 million and $17.2 million for the years ended December 31, 2022, 2021 and 2020, respectively. Advertising Costs All advertising costs are expensed as incurred. Advertising expense, which is included in selling, general and administrative expense, was $9.1 million, $9.3 million and $4.5 million for the years ended December 31, 2022, 2021 and 2020, respectively. Other Operating items, net Other operating items, net, in general consist of miscellaneous operating charges. For the year ended December 31, 2022, Other operating items, net, was $7.1 million and included: $7.3 million in professional service fees relating to our construction litigation, offset by $0.1 million of gain on disposed assets and $0.1 million of insurance claims proceeds. For the year ended December 31, 2021, Other operating items, net, was $4.9 million and included: $5.1 million in professional service fees relating to our construction litigation; $0.1 million in equipment, supplies and employee testing expenses directly attributable to the pandemic for reopening of the properties and incremental to normal operations; and $0.1 million loss on disposal of assets, offset by $0.3 million of litigation proceeds and $0.1 million of insurance claims proceeds. For the year ended December 31, 2020, Other operating items, net, was $6.7 million and included: $2.8 million in pre-opening expenses relating to the Monarch Black Hawk Expansion project; $1.6 million in professional service fees relating to our construction litigation; $1.4 million in Colorado legislation lobbying expenses; $0.7 million in equipment, supplies and employee testing expenses directly attributable to the pandemic for reopening of the properties and incremental to normal operations; and $0.2 million in unamortized debt issuance cost write off and loss on disposal of assets. Income Taxes Income taxes are recorded in accordance with the liability method pursuant to authoritative guidance. Under the asset and liability approach for financial accounting and reporting for income taxes, the following basic principles are applied in accounting for income taxes at the date of the financial statements: (a) a current liability or asset is recognized for the estimated taxes payable or refundable on taxes for the current year; (b) a deferred income tax liability or asset is recognized for the estimated future tax effects attributable to temporary differences, carryback and carryforwards; (c) the measurement of current and deferred tax liabilities and assets is based on the provisions of the enacted tax law; the effects of future changes in tax laws or rates are not anticipated; and (d) the measurement of deferred income taxes is reduced, if necessary, by the amount of any tax benefits that, based upon available evidence, are not expected to be realized. Under the accounting guidance, we may recognize the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities based on the technical merits of the position. The tax benefits recognized in the financial statements from such a position should be measured based on the largest benefit that has a greater than 50.0% likelihood of being realized upon ultimate settlement. Stock-based Compensation The Company accounts for stock-based compensation in accordance with the authoritative guidance requiring that compensation cost relating to stock-based payment transactions be recognized in the Company’s consolidated statements of income. The cost is measured at the grant date, based on the calculated fair value of the award using the Black-Scholes option pricing model for stock options, and based on the closing share price of the Company’s stock on the grant date for restricted stock awards. The cost is recognized as an expense over the employee’s requisite service period (the vesting period of the equity award). The Company’s stock-based employee compensation plan is more fully discussed in NOTE 9. Earnings Per Share Basic earnings per share are computed by dividing reported net earnings by the weighted-average number of common shares outstanding during the period. Diluted earnings per share reflect the additional dilution for all potentially dilutive securities such as stock options. The following is a reconciliation of the number of shares (denominator) used in the basic and diluted earnings per share computations (in thousands, except per share data): Years ended December 31, 2022 2021 2020 Per Share Per Share Per Share Shares Amount Shares Amount Shares Amount Basic 18,996 $ 4.60 18,617 $ 3.68 18,218 $ 1.30 Effect of dilutive stock options 582 (0.13) 810 (0.15) 659 (0.05) Diluted 19,578 $ 4.47 19,427 $ 3.53 18,877 $ 1.25 The following table represents weighted average number of shares that are antidilutive because the weighted average assumed proceeds per share are greater than the options’ exercise prices: Years ended December 31, 2022 2021 2020 Weighted Average Options to purchase shares of common shares 555,639 274,741 1,086,244 Weighted Average Proceeds per Share $ 70.47 - $ 121.40 $ 76.84 - $ 102.01 $ 43.09 - $ 85.68 Expiration dates (month/year) 12/2030-12/2032 12/2030-12/2031 11/2027-12/2030 Fair Value of Financial Instruments The estimated fair value of the Company’s financial instruments has been determined by the Company, using available market information and valuation methodologies. However, considerable judgment is required to develop the estimates of fair value; thus, the estimates provided herein are not necessarily indicative of the amounts that the Company could realize in a current market exchange. The carrying amounts of cash and cash equivalents, account receivables, accounts payable and accrued expenses approximate fair value because of the short-term nature of these instruments. Additionally, the carrying value of our long-term debt approximates fair value due to the variable nature of applicable interest rates and relative short-term maturity. Concentrations of Credit Risk and Credit Losses Financial instruments which potentially subject the Company to concentrations of credit risk consist principally of bank deposits and trade receivables. The Company accounts for credit losses in accordance with ASU 2016-13 using a forward-looking expected loss model. The Company maintains its surplus cash in bank accounts which, at times, may exceed federally insured limits. The Company has not experienced any losses in such accounts. The Company extends short-term credit to its gaming customers. Such credit is non-interest bearing and is due on demand. In addition, the Company also has receivables due from hotel guests and convention groups and events, which are primarily secured with a credit card. An allowance for doubtful accounts is determined to reduce the Company’s receivables to their carrying value, which approximates fair value. The allowance is estimated based on historical collection experience, specific review of individual customer accounts, current economic and business conditions and management’s expectations of future economic and business conditions. The allowance is applied even when the risk of credit loss is remote. When a situation warrants, the Company may create a specific identification reserve for a high collection risk receivables. The Company writes off its uncollectible receivables once all efforts have been made to collect such receivables. Recoveries of accounts previously written off are recorded when received. Concentrations of credit risk with respect to gaming and non-gaming receivables are limited due to the large number of customers comprising the Company’s customer base. Historically, the Company has not incurred any significant credit-related losses. As of December 31, 2022, and 2021, the Company has recorded a reserve of $0.1 million and $0.2 million, respectively, for gaming and non-gaming receivables. The Company believes it is not exposed to any significant credit risk on cash and accounts receivable. Impact of Recently Issued Accounting Standards Reference Rate Reform: A variety of proposed or otherwise potential accounting standards are currently under review and study by standard-setting organizations and certain regulatory agencies. Because of the tentative and preliminary nature of such proposed standards, we have not yet determined the effect, if any, the implementation of any such proposed or revised standards would have on the Company’s Consolidated Financial Statements.

ACCOUNTS RECEIVABLE

ACCOUNTS RECEIVABLE	12 Months Ended
ACCOUNTS RECEIVABLE	Dec. 31, 2022
ACCOUNTS RECEIVABLE
ACCOUNTS RECEIVABLE	NOTE 2. ACCOUNTS RECEIVABLE Accounts receivable consist of the following (in thousands): December 31, 2022 2021 Casino $ 6,098 $ 4,291 Hotel 1,238 1,339 Other 2,315 3,433 9,651 9,063 Less allowance for doubtful accounts (85) (182) $ 9,566 $ 8,881 The Company calculates an allowance for doubtful accounts to the accounts receivable balance by applying a percentage, estimated by management based on historical aging experience, current economic conditions and management’s expectations of future economic conditions. The Company recorded bad debt expense of $155 thousand, $245 thousand and $159 thousand in 2022, 2021 and 2020, respectively.

GOODWILL AND INTANGIBLE ASSETS

GOODWILL AND INTANGIBLE ASSETS	12 Months Ended
GOODWILL AND INTANGIBLE ASSETS	Dec. 31, 2022
GOODWILL AND INTANGIBLE ASSETS
GOODWILL AND INTANGIBLE ASSETS	NOTE 3. GOODWILL AND INTANGIBLE ASSETS Goodwill was $25.1 million at December 31, 2022 and 2021. The Company’s goodwill is related to the acquisition of the Black Hawk property in 2012. The Company’s finite-lived intangible assets at December 31, 2022 consist of assets related to a cloud computing arrangement related to a hotel management system that is being amortized over 5 years. Year Expense 2023 $ 124 2024 124 2025 104 Total $ 352 In 2022 and 2021, we recognized amortization expense of $0.1 million and $0.5 million, respectively, and in 2020, we recognized a The Company periodically evaluates the remaining useful lives of its finite-lived intangible assets to determine whether events and circumstances warrant a revision to the remaining period of amortization.

ACCRUED EXPENSES

ACCRUED EXPENSES	12 Months Ended
ACCRUED EXPENSES	Dec. 31, 2022
ACCRUED EXPENSES
ACCRUED EXPENSES	NOTE 4. ACCRUED EXPENSES Accrued expenses consist of the following (in thousands): December 31, 2022 2021 Accrued salaries, wages and related benefits $ 13,525 $ 12,716 Progressive slot machine and other gaming accruals 19,339 18,577 Accrued gaming taxes 5,805 5,226 Other accrued liabilities 7,368 6,448 $ 46,037 $ 42,967

ACCOUNTING FOR LEASES

ACCOUNTING FOR LEASES	12 Months Ended
ACCOUNTING FOR LEASES	Dec. 31, 2022
ACCOUNTING FOR LEASES
ACCOUNTING FOR LEASES	NOTE 5. ACCOUNTING FOR LEASES In conformity with ASU No. 2016-02, “Leases (Topic 842), (“ASC 842”)” leases with durations greater than twelve months are recognized on the balance sheet. For leases with terms greater than 12 months, the Company records the related asset and obligation at the present value of the lease payments over the lease term. Certain of the Company’s leases include rental escalation clauses, renewal options and/or termination options that are factored into its determination of lease payments when appropriate. As permitted by ASC 842, the Company elected not to separate non-lease components from their related lease components. As of December 31, 2022, the Company’s right of use assets consisted of the Parking Lot Lease, the Driveway Lease (both as defined and discussed in NOTE 12. RELATED PARTY TRANSACTIONS) The table below presents information related to the lease costs for operating leases during 2022 and 2021 (in thousands): Year ended December 31, 2022 2021 2020 Short-term lease costs $ 287 $ 382 $ 451 Long-term lease costs 1,405 1,432 1,444 Total lease costs $ 1,692 $ 1,814 $ 1,895 When available, the Company uses the rate implicit in the lease to discount lease payments to present value; however, most of its leases do not provide a readily determinable implicit rate. Therefore, the Company must estimate its incremental borrowing rate to discount the lease payments based on information available at lease commencement. Upon adoption of the new lease standard, incremental borrowing rates used for existing leases were established using the rates in effect as of the lease inception or modification date. The weighted-average incremental borrowing rate of the leases presented in the lease liability as of December 31, 2022 and 2021 was 4.33% and 4.34%, respectively. The weighted-average remaining lease term of the leases presented in the lease liability as of December 31, 2022 and 2021 was 19.4 and 20.4 years, respectively. Following is the undiscounted cash flow for the next five years and total of the remaining years to the operating lease liabilities recorded on the balance sheet (in thousands): Operating Leases Year ending December 31, 2023 $ 1,219 2024 1,229 2025 1,152 2026 1,072 2027 1,072 Thereafter 14,796 Total minimum lease payments 20,540 Less: amount of lease payment representing interest (6,673) Present value of future minimum payments 13,867 Less: current obligations under leases (639) Long-term lease obligations $ 13,228 Cash paid related to the operating leases presented in the lease liability for the twelve months ended December 31, 2022, 2021 and 2020 were $1.4 million, $1.5 million and $1.4 million, respectively. In addition, we lease gaming equipment and had paid $2.5 million in each of the years ended December 31, 2022 and 2021 and $1.2 million in the year ended December 31, 2020. The lease cost is included in the operating expenses.

LONG-TERM DEBT

LONG-TERM DEBT	12 Months Ended
LONG-TERM DEBT	Dec. 31, 2022
LONG-TERM DEBT
LONG-TERM DEBT	NOTE 6. LONG-TERM DEBT On September 3, 2020, the Company entered into the Fourth Amended and Restated Credit Agreement with Wells Fargo Bank, N.A., as administrative agent and certain banks (the “Fourth Amended Credit Facility”). On April 30, 2021, the Company entered into an amendment to the Fourth Amended Credit Facility (collectively, with all prior amendments, the “Amended Credit Facility”). The maturity date of the Amended Credit Facility is September 3, 2023. The Amended Credit Facility consists of: a $200 million term loan (“Term Loan Facility”) and a $70 million revolving credit facility (“Revolving Credit Facility”), together with an option to increase the Revolving Credit Facility by up to an additional $75 million. The Company is required to make quarterly principal payments under the Term Loan Facility on each Term Loan Installment Date, commencing on December 31, 2020, in an amount equal to (x) the percentage set forth opposite the applicable period during which such Term Loan Installment Date occurs (i.e., 1.25% for the period from December 31, 2020 to September 30, 2021, and 2.50% for the period from December 31, 2021 and thereafter) multiplied by (y) $200 million. As of December 31, 2022, the Company had an outstanding principal balance of $7 million under the Term Loan Facility, a $0.6 million letter of credit and no borrowings under the Revolving Credit Facility; $69.4 million remained available for borrowing. Borrowings under the Amended Credit Facility are secured by liens on substantially all of the Company’s real and personal property. In addition to other customary covenants for a facility of this nature, as of December 31, 2022, the Company is required to maintain a Total Leverage Ratio (as defined in the Amended Credit Facility) of no more than 4.0:1 and Fixed Charge Coverage Ratio (as defined in the Amended Credit Facility) of at least 1.15:1. As of December 31, 2022, the Company’s Total Leverage Ratio and Fixed Charge Coverage Ratio were 0.04:1 and 4.4:1. The interest rate under the Amended Credit Facility is LIBOR plus a margin ranging from 1.00% to 2.00%, or a base rate (as defined in the Amended Credit Facility) plus a margin ranging from 0.00% to 1.00%, or the Prime Rate. The applicable margins vary depending on Company’s leverage ratio. Commitment fees are equal to the daily average unused revolving commitment multiplied by the commitment fee percentage, ranging from 0.175% to 0.325%, based on our leverage ratio. At December 31, 2022, the Term Loan interest rate was 5.39%, or LIBOR plus interest margin of 1.00%. On the terms and subject to some conditions, the Company may, at any time before the Maturity Date, request an increase of the Revolving Credit Facility, provided that each such increase is equal to $15 million or an integral multiple of $1 million in excess and, after giving effect to the requested increase, the aggregate amount of the increases in the total revolving loan commitment shall not exceed $75 million. The Company may prepay borrowings under the Amended Credit Facility revolving loan without penalty (subject to certain conditions and certain charges applicable to the prepayment of LIBOR borrowings prior to the end of the applicable interest period). Once reduced or cancelled, the Revolving Credit Facility may not be increased or reinstated without the prior written consent of all lenders. During the twelve months ended December 31, 2022, the Company made $63.0 million in optional prepayments on its Term Loan Facility in addition to $20 million in mandatory payments. As of December 31, 2022, $6.7 million, representing $7.0 million outstanding loan amount under the Amended Credit Facility, net of $0.3 million unamortized debt issuance costs, is presented in the Current liabilities section of the Company’s consolidated balance sheet as “Current maturities of long-term debt”. On January 31, 2023, the Company repaid the remaining $7.0 million outstanding under the Term Loan Facility. On February 1, 2023, the Company entered into the Fifth Amended Credit Facility with Wells Fargo Bank, N.A., which amended and restated the Amended Credit Facility. For further discussion, see Item 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA, Notes to Consolidated Financial Statements, Note 13.

TAXES

TAXES	12 Months Ended
TAXES	Dec. 31, 2022
TAXES
TAXES	NOTE 7. TAXES Income Taxes The Company’s income tax provision (benefit) consists of the following (in thousands): Years ended December 31, 2022 2021 2020 Federal $ 16,379 $ 10,091 $ (24,576) State 1,765 265 123 Current tax provision (benefit) 18,144 10,356 (24,453) Federal 3,009 4,836 15,096 State 390 1,691 677 Deferred tax provision (benefit) 3,399 6,527 15,773 Total tax provision (benefit) $ 21,543 $ 16,883 $ (8,680) In conformity with the ASC Topic 718, Compensation-Stock Compensation: Improvements to Employee Share-based Payment Accounting (ASU 2016-09), all excess tax benefits and deficiencies are recognized as income tax expense (income tax benefit) in the Company’s Consolidated Statement of Income. This may result in increased volatility in the Company’s effective tax rate. The income tax provision differs from that computed at the federal statutory rate as follows: Years ended December 31, 2022 2021 2020 Federal tax at the statutory rate 21.00 % 21.00 % 21.00 % State tax (net of federal benefit) 1.58 % 1.47 % 1.11 % Permanent items 1.47 % 0.38 % 3.52 % Tax credits (0.36) % (0.25) % (2.82) % Excess tax benefits on stock-based compensation (4.31) % (3.14) % (17.89) % Impact of CARES Act — % — % (65.55) % Change in Tax Rate and Apportionment (0.02) % 0.34 % 4.31 % Other 0.40 % (0.02) % (1.56) % 19.76 % 19.78 % (57.88) % In 2022 and 2021, the effective tax rate is below the statutory rates due primarily to excess tax benefits on stock compensation. The negative effective tax rate in 2020 is a result of the CARES Act granting the ability to carry back the net operating loss generated as a result of recognizing accelerated tax depreciation of some assets put in service in 2020 back to prior years with higher income tax rates, and the increase in excess tax benefits on stock-based compensation. In 2020, the Company completed and opened to the public a substantial part of the new hotel and casino expansion project at Monarch Black Hawk. This decrease was partially offset by the increase in nondeductible “permanent items” which consisted primarily of the $1.4 million in Colorado legislation lobbying expenses. In 2022, 2021 and 2020, the Company recorded against the tax expense $4.7 million, $2.7 million and $2.7 million tax benefit for employee stock-based compensation, respectively. 31, 2022 and 2021, as presented in the consolidated balance sheets, are as follows (in thousands): 2022 2021 DEFERRED TAX ASSETS Stock-based compensation $ 2,613 $ 3,231 Compensation and benefits 817 751 Accrued expenses 472 288 Right of use lease liability 3,247 3,350 Federal deduction on state taxes 410 155 Bad debt reserves 13 16 Other reserves 67 40 NOLs & credit carry-forwards 636 1,014 Deferred income tax asset $ 8,275 $ 8,845 DEFERRED TAX LIABILITIES Prepaid expenses $ (1,811) $ (1,547) Fixed assets and depreciation (26,173) (23,504) Right of use asset (3,249) (3,351) Base stock (58) (60) Deferred income tax liability $ (31,291) $ (28,462) NET DEFERRED INCOME TAX (LIABILITY) ASSET $ (23,016) $ (19,617) As of December 31, 2022, the Company has general business credit (“GBC”) carryforwards of $0.1 million and state net operating loss (“NOL”) carryforwards of $12.6 million. The Company has utilized all federal NOL carryforwards. The federal GBC carryforwards expire in 2031 through 2032. The state NOL carryforwards expire in 2030 through 2040. The state NOL of $12.6 million and federal GBC carryforwards of $0.1 million, acquired as part of the Monarch Black Hawk acquisition, are subject to Internal Revenue Code change of ownership limitations. Accordingly, future utilization of the carryforwards is subject to an annual base limitation of $1.25 million that can be applied against future taxable income. The Company acquired NOLs of Monarch Black Hawk generated in tax years 2000 through 2012. The statute of limitation for assessment for these NOL years is determined by reference to the year the NOL is used to reduce taxable income. Consequently, the separate returns that included Monarch Black Hawk for 2002 through 2012 remain subject to examination by taxing authorities. The Company’s income tax returns from 2019 forward are subject to examination by the taxing authorities. Accounting standards require that tax positions be assessed for recognition using a two-step process. A tax position is recognized if it meets a “more likely than not” threshold, and is measured at the largest amount of benefit that is greater than 50 percent likely of being realized. Uncertain tax positions must be reviewed at each balance sheet date. Liabilities recorded as a result of this analysis must generally be recorded separately from any current or deferred income tax accounts. The Company’s policy regarding interest and penalties associated with uncertain tax positions is to classify such amounts as income tax expense. No uncertain tax positions were recorded as of December 31, 2022, 2021 and 2020. No change in uncertain tax positions is anticipated over the next twelve months. No interest expense or penalties for uncertain tax positions were recorded for years ended December 31, 2022, 2021 and 2020.

BENEFIT PLANS

BENEFIT PLANS	12 Months Ended
BENEFIT PLANS	Dec. 31, 2022
BENEFIT PLANS
BENEFIT PLANS	NOTE 8. BENEFIT PLANS Effective November 1, 1995, the Company adopted a savings plan, which qualifies under Section 401(k) of the Internal Revenue Code. Under the plan, participating employees may defer up to 100% of their pre-tax compensation, but not more than the statutory limits. The Company’s matching contributions were approximately $770 thousand, $611 thousand, and $423 thousand for years ended December 31, 2022, 2021 and 2020, respectively.

STOCK-BASED COMPENSATION

STOCK-BASED COMPENSATION	12 Months Ended
STOCK-BASED COMPENSATION	Dec. 31, 2022
STOCK-BASED COMPENSATION.
STOCK-BASED COMPENSATION	NOTE 9. STOCK-BASED COMPENSATION On May 21, 2014, we adopted the 2014 Equity Incentive Plan (the “2014 Plan”). The purposes of the 2014 Plan are to attract and retain the best available personnel, to provide additional incentives to employees, directors and consultants and to promote the success of the Company’s business. The 2014 Plan is an “omnibus plan” under which stock options, stock appreciation rights, performance awards, dividend equivalents, restricted stock, and restricted stock units can be awarded to employees, directors and consultants of the Company. The 2014 Plan serves as the successor to our 1993 Employee Stock Option Plan, 1993 Executive Long-Term Incentive Plan and 1993 Directors’ Stock Option Plan (which plan terminated on June 13, 2013) (the “Predecessor Plans”). The 2014 Plan became effective as of May 21, 2014, and the remaining two Predecessor Plans terminated on that date (except with respect to awards previously granted under the Predecessor Plans that remain outstanding). The maximum aggregate number of shares which may be issued pursuant to all awards under the 2014 Plan, and the Amendment No. 1 and Amendment No. 2 to the 2014 Plan includes 3,400,000 new shares plus the shares available for grant or subject to outstanding awards under the Predecessor Plans. The share reserve as of December 31, 2022 is 776,977. By its terms, the 2014 Plan will expire in May 2024 after which no options may be granted unless the 2014 Plan is amended or replaced. Pursuant to the terms of the 2014 Plan, either the Board of Directors or a committee designated by the Board of Directors is authorized to administer the plan. The administrator has the authority, in its discretion, to select employees, consultants and directors to whom awards under the 2014 Plan may be granted from time to time, to determine whether and to what extent awards are granted, to determine the number of shares or the amount of other consideration to be covered by each award (subject to certain limitations), to approve award agreements for use under the 2014 Plan, to determine the terms and conditions of any award (including the vesting schedule applicable to the award), to amend the terms of any outstanding award granted under the 2014 Plan (subject to certain limitations), to construe and interpret the terms of the 2014 Plan and awards granted, and to take such other action not inconsistent with the terms of the 2014 Plan as the administrator deems appropriate. A summary of the stock option activity as of and for the year ended December 31, 2022 is presented below: Weighted Average Remaining Aggregate Exercise Contractual Intrinsic Stock Options Shares Price Term Value Stock Option Shares outstanding at beginning of period 1,999,699 $ 42.05 — — Stock Option Shares granted 319,286 70.58 — — Stock Option Shares exercised (612,952) 30.75 — — Stock Option Shares forfeited (116,663) 55.68 — — Stock Option Shares expired — — — — Stock Option Shares outstanding at end of period 1,589,370 51.12 7.0 yrs. $ 41,253,691 Stock Option Shares exercisable at end of period 681,377 $ 33.74 4.7 yrs. $ 29,400,864 A summary of the status of the Company’s nonvested stock option shares as of, and for the year ended, December 31, 2022 is presented below: Weighted-Average Grant Date Fair Nonvested Stock Option Shares Shares Value Nonvested at January 1, 2022 971,324 $ 19.62 Granted 319,286 31.86 Vested (265,954) 12.98 Forfeited (116,663) 19.89 Nonvested at December 31, 2022 907,993 $ 25.75 Expense Measurement and Recognition The Company recognizes stock-based compensation for all current stock option award grants and for the unvested portion of previous stock option award grants based on grant date fair values. Unrecognized costs related to all stock option awards outstanding at December 31, 2022 totaled approximately $17.6 million and is expected to be recognized over a weighted average period of 2.7 years. The Company uses historical data and projections to estimate expected employee, executive and director behaviors related to stock option exercises and forfeitures. The Company estimates the fair value of each stock option award on the grant date using the Black-Scholes valuation model incorporating the assumptions noted in the following table. Option valuation models require the input of highly subjective assumptions, and changes in assumptions used can materially affect the fair value estimate. Option valuation assumptions for options granted during each year were as follows (dollars in thousands, except weighted average grant date fair value per share): Year ended December 31, 2022 2021 2020 Weighted average expected volatility for options granted 48.54 % 45.72 % 40.87 % Expected life (in years) Directors’ plan 4.15 3.90 3.26 Executives plan 5.63 5.38 5.22 Employees plan 4.22 4.20 4.13 Weighted average risk-free rate 3.62 % 0.93 % 0.48 % Weighted average grant date fair value per share of options granted $ 31.86 $ 26.37 $ 17.33 Total fair value of shares vested $ 3,452 $ 5,389 $ 3,852 Total intrinsic value of options exercised $ 28,156 $ 16,028 $ 15,258 Cash received for all stock option exercises $ 18,846 $ 10,435 $ 7,813 Tax benefit realized from stock awards exercised $ 5,913 $ 3,366 $ 3,204 The risk-free interest rate is based on the U.S. Treasury security rate in effect as of the date of grant. The expected lives of options and expected volatility are based on Company’s historical data. Reported stock-based compensation expense was classified as follows (in thousands) and it is included in the Operating expenses in the Consolidated Statement of Income: For the Year ended December 31, 2022 2021 2020 Casino $ 273 $ 236 $ 168 Food and beverage 142 125 (26) Hotel 214 191 127 Selling, general and administrative 4,466 3,508 3,586 Total stock-based compensation, before taxes 5,095 4,060 3,855 Tax benefit (1,070) (853) (810) Total stock-based compensation, net of tax $ 4,025 $ 3,207 $ 3,045

STOCK REPURCHASE PLAN

STOCK REPURCHASE PLAN	12 Months Ended
STOCK REPURCHASE PLAN	Dec. 31, 2022
STOCK REPURCHASE PLAN
STOCK REPURCHASE PLAN	NOTE 10. STOCK REPURCHASE PLAN On October 22, 2014, the board of directors of Monarch authorized a stock repurchase plan (the “Repurchase Plan”). Under the Repurchase Plan, the board of directors authorized a program to repurchase up to 3,000,000 shares of the Company’s common stock in the open market or in privately negotiated transactions from time to time, in compliance with Rule 10b-18 of the Securities and Exchange Act of 1934, as amended, subject to market conditions, applicable legal requirements and other factors. The Repurchase Plan does not obligate the Company to acquire any particular amount of common stock and the plan may be suspended at any time at the Company’s discretion, and it will continue until exhausted. The actual timing, number and value of shares repurchased under the repurchase program will be determined by management at its discretion and will depend on a number of factors, including the market price of the Company’s stock, general market economic conditions and applicable legal requirements. On January 19, 2022, under the authority of the Repurchase Plan, the Company purchased 100,000 shares for $6.5 million in a privately negotiated transaction. As of December 31, 2022, we have an authorization to purchase up to 2,900,000 shares under the Repurchase Plan.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	12 Months Ended
COMMITMENTS AND CONTINGENCIES	Dec. 31, 2022
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES	NOTE 11. COMMITMENTS AND CONTINGENCIES Self-Insurance The Company is also self-insured for Atlantis workers’ compensation. The maximum liability for workers’ compensation under the Atlantis stop-loss agreement is $500,000 per claim. The Company is fully-insured for Monarch Black Hawk workers compensation claims. Legal dispute: On September 1, 2022, the judge previously assigned to the Denver Action recused herself, resulting in a continuance of the trial then set for September 6, 2022, and reassignment to another courtroom. Following reassignment, the court set a new trial date of September 5, 2023. Limited discovery and disputes regarding the scope of discovery remaining are ongoing, and we are currently unable to determine the probability of the outcome or reasonably estimate the loss or gain, if any. In connection with the expansion of the Monarch Black Hawk, as described above, PCL and certain subcontractors have provided purported notice of liens filed against the real property on which the Monarch Black Hawk is situated (the “Monarch Black Hawk Property”), for sums allegedly owed for construction of the expansion. Some of the subcontractors have recorded such liens in the property records of Gilpin County, Colorado. On March 26, 2021, PCL filed a mechanics’ lien foreclosure action in District Court, County of Gilpin, Colorado, against the Company and its Colorado subsidiaries, in connection with the Company’s expansion plans for Monarch Casino Resort Spa Black Hawk. The complaint essentially mirrors the claims and allegations made by PCL in the lawsuit it previously filed in the City and County of Denver, Colorado, Case No. 2019CV33368, as described above. The new lawsuit includes an additional claim, however, for foreclosure of PCL’s purported mechanics’ lien against the property on which the Monarch Casino Resort Spa Black Hawk is situated (the “Property”). PCL also joined additional parties who may claim a purported lien against the Property, as defendants. Effective May 10, 2021, PCL filed its second amended complaint, joining more such parties as defendants. Many of the Company’s co-defendants have filed cross claims against Monarch for foreclosure of mechanics’ liens and related claims, including unjust enrichment. Monarch filed its answer and counterclaims to PCL’s second amended complaint on July 15, 2021, but a trial of the matter has not been set. Monarch has also filed answers to all cross claims due to date, denying the claimants’ rights to relief. Monarch anticipates filing further answers to additional cross claims, also denying the claimants’ rights to relief. The case remains stayed pending the outcome of Case No. 2019CV33368. We are currently unable to determine the probability of the outcome or reasonably estimate the loss or gain, if any. On February 9, 2023, Monarch Growth, Inc., Monarch Casino & Resort, Inc. and Monarch Black Hawk, Inc. filed a complaint in District Court, City and County of Denver, Colorado, against PCL, in connection with the Company’s expansion plans for Monarch Casino Resort Spa Black Hawk. The complaint alleges, among other things, that PCL breached the construction contract, duties of good faith and fair dealing, and implied and express warranties, and includes claims for monetary damages as well as equitable and declaratory relief. The lawsuit was served on PCL, but PCL has not yet filed an answer or other response to Monarch’s complaint. Discovery has not begun, and we are currently unable to determine the probability of the outcome or reasonably estimate the loss or gain, if any. The Company recognized $7.3 million, $5.1 million and $1.6 million in construction litigation expense relating to this lawsuit for the twelve months ended December 31, 2022, 2021 and 2020, respectively, which are included in Other operating items, net on the Consolidated Statements of Operations. From time to time, we may be subject to other legal proceedings and claims in the ordinary course of business. Management believes that the amount of any reasonably possible or probable loss for such other known matters would not have a material adverse impact on our financial conditions, cash flows or results of operations; however, the outcome of these actions is inherently difficult to predict.

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	12 Months Ended
RELATED PARTY TRANSACTIONS	Dec. 31, 2022
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS	NOTE 12. RELATED PARTY TRANSACTIONS The shopping center adjacent to the Atlantis is owned by BLI. John Farahi and Bob Farahi, Co-Chairmen of the Board and executive officers of the Company, and Ben Farahi each of whom has significant holdings in Monarch and each also beneficially owns limited partnership interests in BLI. Maxum LLC is the sole general partner of BLI, and Ben Farahi is the sole managing member of Maxum LLC. Neither John Farahi nor Bob Farahi has any management or operational control over BLI or the Shopping Center. Until May 2006, Ben Farahi held the positions of Co-Chairman of the Board, Secretary, Treasurer and Chief Financial Officer of the Company. On August 28, 2015, Monarch, through its subsidiary Golden Road Motor Inn, Inc., entered into a 20-year lease agreement with BLI for a portion of the Shopping Center, consisting of an approximate 46,000 square-foot commercial building on approximately 4.2 acres of land adjacent to the Atlantis. The Parking Lot Lease gives the Atlantis the right to use a parcel, approximately 4.2 acres, comprised of a commercial building and surrounding land adjacent to the Atlantis. The primary purpose of the Parking Lot Lease is to provide additional, convenient, Atlantis surface parking. The Company demolished the building and converted the land into approximately 300 additional surface parking spaces for the Atlantis. The minimum annual rent under the Parking Lot Lease is $695 thousand commencing on November 17, 2015. The minimum annual rent is subject to a cost of living adjustment increase on each five-year anniversary. In addition, the Company is responsible for the payment of property taxes, utilities and maintenance expenses related to the Leased Property. The Company has an option to renew the Parking Lot Lease for an additional ten-year term. If the Company elects not to exercise its renewal option, the Company will be obligated to pay BLI $1.6 million. In 2022, the Company paid $748 thousand for rent and $29 thousand for operating expenses relating to this lease. In 2021, the Company paid $695 thousand for rent and $28 thousand for operating expenses relating to this lease. In 2020, the Company paid $695 thousand for rent and $27 thousand for operating expenses relating to this lease. The right of use asset and lease liability In addition, the Atlantis shares a driveway with the Shopping Center and leases approximately 37,400 square feet from BLI for an initial lease term of 15 years, which commenced on September 30, 2004, at an original annual rent of $300 thousand plus common area expenses. The annual rent is subject to a cost of living adjustment increase on each five-year anniversary of the Driveway Lease. Effective August 28, 2015, in connection with the Company entering into the Parking Lot Lease, the Driveway Lease was amended to: (i) make the Company solely responsible for the operation and maintenance costs of the shared driveway (including the fountains thereon); (ii) eliminate the Company’s obligation to reimburse the Shopping Center for its proportionate share of common area expenses; and (iii) exercise the three successive five-year renewal terms beyond the initial 15-year lease liability The Company occasionally leases billboard advertising, storage space and parking lot space from affiliates controlled by Farahi Family Stockholders and paid $468 thousand, $194 thousand and $145 thousand for the years ended December 31, 2022, 2021 and 2020, respectively, for such leases.

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	12 Months Ended
SUBSEQUENT EVENTS	Dec. 31, 2022
SUBSEQUENT EVENTS.
SUBSEQUENT EVENTS	NOTE 13. SUBSEQUENT EVENTS Entry into a Material Definitive Agreement The interest rate under the Fifth Amended Credit Facility is SOFR (the Secured Overnight Financing Rate) plus a margin ranging from 1.00% to 1.50%, or a base rate (as defined in the Fifth Amended Credit Facility) plus a margin ranging from 0.00% to 0.50%. The applicable margins will vary depending on the Company’s leverage ratio. In addition, SOFR-based loans will incur a 0.10% credit adjustment spread due to the conversion from LIBOR to SOFR as the new benchmark rate. The Fifth Amended Credit Facility includes customary covenants and events of default and encumbers substantially all of the Company’s real and personal property. Dividends On February 7, 2023, the Company announced that the Company’s Board of Directors has declared a one-time cash dividend (the “One-time Dividend”) of $5.00 per share of its outstanding common stock, par value $0.01 per share (“Common Stock”), to be paid to the stockholders of record of the Company on March 1, 2023 (the “Record Date”), payable on March 15, 2023 (the “Payment Date”). In addition to the One-time Dividend, the Board of Directors has approved, commencing in the second quarter of 2023, payment of cash dividends of $1.20 per share annually, with such dividends to be paid in quarterly amounts. These dividends will be paid quarterly on the 15th day of the third month of the applicable calendar quarter (or, if such date is not a trading day, then the first trading day immediately thereafter such date) to those stockholders of record on the 1st day of the third month of the applicable calendar quarter (or, if such date is not a trading day, then the first trading day immediately thereafter such date). The Company’s declaration of each dividend amount shall be subject to the Board’s review of the then-current financial statements of the Company, available acquisition opportunities and other prudent uses of the Company’s cash resources. As such, the Board of Directors may suspend the dividend program at any time

Schedule II. - VALUATION AND QU

Schedule II. - VALUATION AND QUALIFYING ACCOUNTS	12 Months Ended
Schedule II. - VALUATION AND QUALIFYING ACCOUNTS	Dec. 31, 2022
Schedule II. - VALUATION AND QUALIFYING ACCOUNTS
Schedule II. - VALUATION AND QUALIFYING ACCOUNTS	Schedule II. - VALUATION AND QUALIFYING ACCOUNTS Year ended December 31, Balance at beginning of year Charged to costs and expenses (F1) Deductions (F1) Other Balance at end of year 2020 Allowance for doubtful accounts $ 100 $ 159 $ (148) $ — $ 111 2021 Allowance for doubtful accounts $ 111 $ 245 $ (174) $ — $ 182 2022 Allowance for doubtful accounts $ 182 $ 155 $ (252) $ — $ 85 (F1) The Company reviews receivables monthly and, accordingly, adjusts the allowance for doubtful accounts monthly. The Company records write-offs annually. The amount charged to costs and expenses reflects the bad debt expense recorded in the consolidated statements of income, while the amount recorded for deductions reflects the adjustment to actual allowance for doubtful accounts reserve at the end of the period.

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	12 Months Ended
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	Dec. 31, 2022
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Basis of Presentation	Basis of Presentation Monarch Casino & Resort, Inc. was incorporated in 1993. Through its wholly-owned subsidiary, Golden Road Motor Inn, Inc. (“Golden Road”), Monarch owns and operates the Atlantis Casino Resort Spa, a hotel and casino in Reno, Nevada (the “Atlantis”). In addition, Monarch’s wholly owned subsidiaries, High Desert Sunshine, Inc. (“High Desert”), Golden East, Inc. (“Golden East”) and Golden North, Inc. (“Golden North”), each owns separate parcels of land located proximate to the Atlantis. Monarch’s wholly owned subsidiary Monarch Growth Inc. (“Monarch Growth”), formed in 2011, owns and operates Monarch Casino Resort Spa Black Hawk, a hotel and casino in Black Hawk, Colorado (the “Monarch Black Hawk”). Monarch owns a parcel of land with an industrial warehouse located between Denver, Colorado and Monarch Casino Resort Spa Black Hawk. Monarch also owns Chicago Dogs Eatery, Inc. and Monarch Promotional Association, both of which were formed in relation to licensure requirements for extended hours of liquor operation in Black Hawk, Colorado. The consolidated financial statements include the accounts of Monarch and its subsidiaries. Intercompany balances and transactions are eliminated. Reference to the number of square feet or acreage are unaudited and considered outside the scope of our independent registered public accounting firm’s audit of our consolidated financial statements in accordance with the standards of the Public Company Accounting Oversight Board. Unless otherwise indicated, “Monarch,” “Company,” “we,” “our,” and “us,” refer to Monarch Casino & Resort, Inc. and its subsidiaries.
Use of Estimates	Use of Estimates In preparing financial statements in conformity with U.S. Generally Accepted Accounting Principles, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and revenues and expenses during the year. Actual results could differ from those estimates.
Segment Reporting	Segment Reporting The accounting guidance for disclosures about segments of an enterprise and related information requires separate financial information to be disclosed for all reporting segments of a business. The Company determined that the Company’s two operating segments, Atlantis and Monarch Black Hawk, meet all of the aggregation criteria stipulated by ASC 280-10-50-11. The Company views each property as an operating segment and the two operating segments have been aggregated into one reporting segment.
Cash and Cash Equivalents	Cash and Cash Equivalents Cash and cash equivalents include cash on hand and in bank, as well as money market funds with an original maturity of 90 days or less.
Inventories	Inventories Inventories, consisting primarily of food, beverages, and retail merchandise, are stated at the lower of cost and net realizable value. Cost is determined by the weighted average and specific identification methods. Net realizable value is defined by the Financial Accounting Standards Board (“FASB”) as estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation.
Property and Equipment, net	Property and Equipment Property and Equipment, net consists of the following (in thousands): December 31, 2022 December 31, 2021 Land $ 32,977 $ 32,986 Land improvements 10,939 9,898 Buildings 475,956 474,571 Building improvements 75,858 55,432 Furniture and equipment 249,045 235,233 Construction in progress 7,229 8,211 Right of use assets 13,861 14,246 Leasehold improvements 4,244 3,848 870,109 834,425 Less accumulated depreciation and amortization (292,059) (253,618) Property and equipment, net $ 578,050 $ 580,807 Property and equipment are stated at cost, less accumulated depreciation and amortization. Property and equipment is depreciated principally on a straight line basis over the estimated useful lives as follows: Land improvements 15 - 40 years Buildings 30 - 40 years Building improvements 5 - 40 years Right of use assets 5 - 40 years Leasehold improvements 5 - 40 years Furniture 5 - 10 years Equipment 3 - 20 years The Company recorded $43.3 million, $37.9 million and $16.1 million depreciation expense for the years ended December 31, 2022, 2021 and 2020, respectively. The Company evaluates property and equipment and other long-lived assets for impairment in accordance with the guidance for accounting for the impairment or disposal of long-lived assets. For assets to be disposed of, the Company recognizes the asset to be sold at the lower of carrying value or fair value less costs of disposal. Fair value for assets to be disposed of is generally estimated based on comparable asset sales, solicited offers or a discounted cash flow model. For assets to be held and used, the Company reviews fixed assets for impairment indicators at the end of the fiscal year and whenever indicators of impairment exist. If an indicator of impairment exists, we compare the estimated future cash flows of the asset, on an undiscounted basis, to the carrying value of the asset. If the undiscounted cash flows exceed the carrying value, no impairment is indicated. If the undiscounted cash flows do not exceed the carrying value, the impairment is measured based on fair value compared to carrying value, with fair value typically based on a discounted cash flow model or market comparable, when available. For the years ended December 31, 2022, 2021 and 2020, there were no impairment charges.
Goodwill	Goodwill: The Company accounts for goodwill in accordance with ASC Topic 350, Intangibles-Goodwill and Other (“ASC Topic 350”). ASC Topic 350 gives companies the option to perform a qualitative assessment that may allow them to skip the quantitative test as appropriate. The Company tests its goodwill for impairment annually during the fourth quarter of each year, or whenever events or circumstances make it more likely than not that impairment may have occurred. Impairment testing for goodwill is performed at the reporting unit level, and each of the Company’s casino properties is considered to be a reporting unit. Goodwill consists of the excess of the acquisition cost over the fair value of the net assets acquired in business combinations in April 2012. As of December 31, 2022, we had goodwill totaling $25.1 million related to the purchase of Monarch Casino Resort Spa Black Hawk, Inc. The Company performed its annual goodwill impairment assessment. Based on the impairment assessment, we do not believe that it is more likely than not that the fair value of the reporting unit is less than the carrying amount. Accordingly, the two-step impairment test is not necessary.
Capitalized Interest	Capitalized Interest The Company capitalizes interest costs associated with debt incurred in connection with major construction projects. When no debt is specifically identified as being incurred in connection with a construction project, the Company capitalizes interest on amounts expended on the project at the Company’s average borrowing cost. Interest capitalization is ceased when the project is substantially complete. The Company had not capitalized any interest in 2022 and 2021. The Company capitalized $6.8 million during the year ended December 31, 2020. Capitalized interest of $16.5 million, related to the Monarch Black Hawk expansion project, was allocated to the fixed assets placed in service at the project completion date in the fourth quarter of 2020 and is being amortized over the respective assets’ recovery period.
Debt Issuance Costs	Debt Issuance Costs Costs incurred in connection with the issuance of long-term debt are amortized to interest expense over the term of the related debt agreement utilizing the effective interest rate method. Unamortized amounts of debt issuance costs are recorded as a reduction of the outstanding debt and included in “Long-term debt, net”. On September 3, 2020, the Company refinanced its credit facility. The unamortized costs related to the existing credit facility as of August 31, 2020 were $476 thousand. As the credit facility is a loan syndication with separate debt instruments existing between the debtor and the individual creditors participating in the syndication, in accordance with ASC 470-50, the Company expensed $95 thousand, representing a portion of unamortized debt issuance cost, allocated to the lenders that left the syndication and deferred the rest of the unamortized debt issuance cost of the existing credit facility, together with the issuance costs of the new facility. As of December 31, 2022, debt issuance costs, net of amortization, were $0.3 million.
Self-insurance Reserves	Self-insurance Reserves We are currently self-insured up to certain stop loss amounts for Atlantis workers’ compensation and certain medical benefit costs provided to all of our employees. As required by the state of Colorado, we are fully insured for Monarch Black Hawk workers’ compensation costs. The Company reviews self-insurance reserves at least quarterly. The reserve is determined by reviewing the actual expenditures for the previous twelve-month period and reports prepared by the third-party plan administrator for any significant unpaid claims. The Company engages a third-party actuarial firm at least once per year for a more precise reserves review and calculation. The reserve is an amount estimated to pay both reported and unreported claims as of the balance sheet date, which management believes is adequate.
Revenues Recognition	Revenue Recognition The majority of the Company’s revenue is recognized when products are delivered or services are performed. For certain revenue transactions (when a patron uses a club loyalty card), in accordance with Accounting Standard Update (“ASU”) No. 2014-09 (“ASC 606”), a portion of the revenue is deferred until the points earned by the patron are redeemed or expire. Casino revenue: Players’ Club Program: As of December 31, 2022, and 2021, the Company had estimated the obligations related to the players’ club program at $8.0 million and $9.4 million, respectively, which is included in Accrued Expenses in the Liabilities and Stockholders’ Equity section in the Consolidated Balance Sheets. Food and Beverage, Hotel and Other (retail) Revenues: Other Revenues : Other revenues (excluding retail) primarily consist of commissions received on ATM transactions and cash advances, which are recorded on a net basis as the Company represents the agent in its relationship with the third-party service providers, and commissions and fees received in connection with pari-mutuel wagering, which are also recorded on a net basis. Sales and other taxes
Casino Jackpots	Casino Jackpots The Company does not accrue a liability for base jackpots because it has the ability to avoid such payment as gaming devices can legally be removed from the gaming floor without payment of the base amount. When the Company is unable to avoid payment of a jackpot such as the incremental jackpot amounts of progressive-type slot machines, due to legal requirements, the jackpot is accrued as the obligation becomes unavoidable. This liability is accrued over the time period in which the incremental progressive jackpot amount is generated commensurate with a corresponding reduction in casino revenue.
Gaming taxes	Gaming Taxes The Company is subject to taxes based on gross gaming revenue in the jurisdictions in which it operates, subject to applicable jurisdictional adjustments. These gaming taxes are an assessment on the Company’s gaming revenue and are recorded as casino expense in the accompanying Consolidated Statements of Income. These taxes totaled $58.5 million, $45.5 million and $17.2 million for the years ended December 31, 2022, 2021 and 2020, respectively.
Advertising Costs	Advertising Costs All advertising costs are expensed as incurred. Advertising expense, which is included in selling, general and administrative expense, was $9.1 million, $9.3 million and $4.5 million for the years ended December 31, 2022, 2021 and 2020, respectively.
Other Operating items, net	Other Operating items, net Other operating items, net, in general consist of miscellaneous operating charges. For the year ended December 31, 2022, Other operating items, net, was $7.1 million and included: $7.3 million in professional service fees relating to our construction litigation, offset by $0.1 million of gain on disposed assets and $0.1 million of insurance claims proceeds. For the year ended December 31, 2021, Other operating items, net, was $4.9 million and included: $5.1 million in professional service fees relating to our construction litigation; $0.1 million in equipment, supplies and employee testing expenses directly attributable to the pandemic for reopening of the properties and incremental to normal operations; and $0.1 million loss on disposal of assets, offset by $0.3 million of litigation proceeds and $0.1 million of insurance claims proceeds. For the year ended December 31, 2020, Other operating items, net, was $6.7 million and included: $2.8 million in pre-opening expenses relating to the Monarch Black Hawk Expansion project; $1.6 million in professional service fees relating to our construction litigation; $1.4 million in Colorado legislation lobbying expenses; $0.7 million in equipment, supplies and employee testing expenses directly attributable to the pandemic for reopening of the properties and incremental to normal operations; and $0.2 million in unamortized debt issuance cost write off and loss on disposal of assets.
Income Taxes	Income Taxes Income taxes are recorded in accordance with the liability method pursuant to authoritative guidance. Under the asset and liability approach for financial accounting and reporting for income taxes, the following basic principles are applied in accounting for income taxes at the date of the financial statements: (a) a current liability or asset is recognized for the estimated taxes payable or refundable on taxes for the current year; (b) a deferred income tax liability or asset is recognized for the estimated future tax effects attributable to temporary differences, carryback and carryforwards; (c) the measurement of current and deferred tax liabilities and assets is based on the provisions of the enacted tax law; the effects of future changes in tax laws or rates are not anticipated; and (d) the measurement of deferred income taxes is reduced, if necessary, by the amount of any tax benefits that, based upon available evidence, are not expected to be realized. Under the accounting guidance, we may recognize the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities based on the technical merits of the position. The tax benefits recognized in the financial statements from such a position should be measured based on the largest benefit that has a greater than 50.0% likelihood of being realized upon ultimate settlement.
Stock-based Compensation	Stock-based Compensation The Company accounts for stock-based compensation in accordance with the authoritative guidance requiring that compensation cost relating to stock-based payment transactions be recognized in the Company’s consolidated statements of income. The cost is measured at the grant date, based on the calculated fair value of the award using the Black-Scholes option pricing model for stock options, and based on the closing share price of the Company’s stock on the grant date for restricted stock awards. The cost is recognized as an expense over the employee’s requisite service period (the vesting period of the equity award). The Company’s stock-based employee compensation plan is more fully discussed in NOTE 9.
Earnings Per Share	Earnings Per Share Basic earnings per share are computed by dividing reported net earnings by the weighted-average number of common shares outstanding during the period. Diluted earnings per share reflect the additional dilution for all potentially dilutive securities such as stock options. The following is a reconciliation of the number of shares (denominator) used in the basic and diluted earnings per share computations (in thousands, except per share data): Years ended December 31, 2022 2021 2020 Per Share Per Share Per Share Shares Amount Shares Amount Shares Amount Basic 18,996 $ 4.60 18,617 $ 3.68 18,218 $ 1.30 Effect of dilutive stock options 582 (0.13) 810 (0.15) 659 (0.05) Diluted 19,578 $ 4.47 19,427 $ 3.53 18,877 $ 1.25 The following table represents weighted average number of shares that are antidilutive because the weighted average assumed proceeds per share are greater than the options’ exercise prices: Years ended December 31, 2022 2021 2020 Weighted Average Options to purchase shares of common shares 555,639 274,741 1,086,244 Weighted Average Proceeds per Share $ 70.47 - $ 121.40 $ 76.84 - $ 102.01 $ 43.09 - $ 85.68 Expiration dates (month/year) 12/2030-12/2032 12/2030-12/2031 11/2027-12/2030
Fair Value of Financial Instruments	Fair Value of Financial Instruments The estimated fair value of the Company’s financial instruments has been determined by the Company, using available market information and valuation methodologies. However, considerable judgment is required to develop the estimates of fair value; thus, the estimates provided herein are not necessarily indicative of the amounts that the Company could realize in a current market exchange. The carrying amounts of cash and cash equivalents, account receivables, accounts payable and accrued expenses approximate fair value because of the short-term nature of these instruments. Additionally, the carrying value of our long-term debt approximates fair value due to the variable nature of applicable interest rates and relative short-term maturity.
Concentrations of Credit Risk and Credit Losses	Concentrations of Credit Risk and Credit Losses Financial instruments which potentially subject the Company to concentrations of credit risk consist principally of bank deposits and trade receivables. The Company accounts for credit losses in accordance with ASU 2016-13 using a forward-looking expected loss model. The Company maintains its surplus cash in bank accounts which, at times, may exceed federally insured limits. The Company has not experienced any losses in such accounts. The Company extends short-term credit to its gaming customers. Such credit is non-interest bearing and is due on demand. In addition, the Company also has receivables due from hotel guests and convention groups and events, which are primarily secured with a credit card. An allowance for doubtful accounts is determined to reduce the Company’s receivables to their carrying value, which approximates fair value. The allowance is estimated based on historical collection experience, specific review of individual customer accounts, current economic and business conditions and management’s expectations of future economic and business conditions. The allowance is applied even when the risk of credit loss is remote. When a situation warrants, the Company may create a specific identification reserve for a high collection risk receivables. The Company writes off its uncollectible receivables once all efforts have been made to collect such receivables. Recoveries of accounts previously written off are recorded when received. Concentrations of credit risk with respect to gaming and non-gaming receivables are limited due to the large number of customers comprising the Company’s customer base. Historically, the Company has not incurred any significant credit-related losses. As of December 31, 2022, and 2021, the Company has recorded a reserve of $0.1 million and $0.2 million, respectively, for gaming and non-gaming receivables. The Company believes it is not exposed to any significant credit risk on cash and accounts receivable.
Impact of Recently Issued Accounting Standards	Impact of Recently Issued Accounting Standards Reference Rate Reform: A variety of proposed or otherwise potential accounting standards are currently under review and study by standard-setting organizations and certain regulatory agencies. Because of the tentative and preliminary nature of such proposed standards, we have not yet determined the effect, if any, the implementation of any such proposed or revised standards would have on the Company’s Consolidated Financial Statements.

SUMMARY OF SIGNIFICANT ACCOUN_3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	12 Months Ended
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	Dec. 31, 2022
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Schedule of Property and Equipment, net	Property and Equipment, net consists of the following (in thousands): December 31, 2022 December 31, 2021 Land $ 32,977 $ 32,986 Land improvements 10,939 9,898 Buildings 475,956 474,571 Building improvements 75,858 55,432 Furniture and equipment 249,045 235,233 Construction in progress 7,229 8,211 Right of use assets 13,861 14,246 Leasehold improvements 4,244 3,848 870,109 834,425 Less accumulated depreciation and amortization (292,059) (253,618) Property and equipment, net $ 578,050 $ 580,807
Property and equipment, estimated useful lives	Land improvements 15 - 40 years Buildings 30 - 40 years Building improvements 5 - 40 years Right of use assets 5 - 40 years Leasehold improvements 5 - 40 years Furniture 5 - 10 years Equipment 3 - 20 years
Schedule of reconciliation of number of shares (denominator) used in basic and diluted earnings per share computations	The following is a reconciliation of the number of shares (denominator) used in the basic and diluted earnings per share computations (in thousands, except per share data): Years ended December 31, 2022 2021 2020 Per Share Per Share Per Share Shares Amount Shares Amount Shares Amount Basic 18,996 $ 4.60 18,617 $ 3.68 18,218 $ 1.30 Effect of dilutive stock options 582 (0.13) 810 (0.15) 659 (0.05) Diluted 19,578 $ 4.47 19,427 $ 3.53 18,877 $ 1.25
Schedule of antidilutive options	Years ended December 31, 2022 2021 2020 Weighted Average Options to purchase shares of common shares 555,639 274,741 1,086,244 Weighted Average Proceeds per Share $ 70.47 - $ 121.40 $ 76.84 - $ 102.01 $ 43.09 - $ 85.68 Expiration dates (month/year) 12/2030-12/2032 12/2030-12/2031 11/2027-12/2030

ACCOUNTS RECEIVABLE (Tables)

ACCOUNTS RECEIVABLE (Tables)	12 Months Ended
ACCOUNTS RECEIVABLE (Tables)	Dec. 31, 2022
ACCOUNTS RECEIVABLE
Schedule of accounts receivable	Accounts receivable consist of the following (in thousands): December 31, 2022 2021 Casino $ 6,098 $ 4,291 Hotel 1,238 1,339 Other 2,315 3,433 9,651 9,063 Less allowance for doubtful accounts (85) (182) $ 9,566 $ 8,881

GOODWILL AND INTANGIBLE ASSETS

GOODWILL AND INTANGIBLE ASSETS (Tables)	12 Months Ended
GOODWILL AND INTANGIBLE ASSETS (Tables)	Dec. 31, 2022
GOODWILL AND INTANGIBLE ASSETS
Schedule of estimated future amortization expense	Year Expense 2023 $ 124 2024 124 2025 104 Total $ 352

ACCRUED EXPENSES (Tables)

ACCRUED EXPENSES (Tables)	12 Months Ended
ACCRUED EXPENSES (Tables)	Dec. 31, 2022
ACCRUED EXPENSES
Schedule of accrued expenses	Accrued expenses consist of the following (in thousands): December 31, 2022 2021 Accrued salaries, wages and related benefits $ 13,525 $ 12,716 Progressive slot machine and other gaming accruals 19,339 18,577 Accrued gaming taxes 5,805 5,226 Other accrued liabilities 7,368 6,448 $ 46,037 $ 42,967

ACCOUNTING FOR LEASES (Tables)

ACCOUNTING FOR LEASES (Tables)	12 Months Ended
ACCOUNTING FOR LEASES (Tables)	Dec. 31, 2022
ACCOUNTING FOR LEASES
Schedule of information related to the lease costs	The table below presents information related to the lease costs for operating leases during 2022 and 2021 (in thousands): Year ended December 31, 2022 2021 2020 Short-term lease costs $ 287 $ 382 $ 451 Long-term lease costs 1,405 1,432 1,444 Total lease costs $ 1,692 $ 1,814 $ 1,895
Schedule of future minimum lease payments	Following is the undiscounted cash flow for the next five years and total of the remaining years to the operating lease liabilities recorded on the balance sheet (in thousands): Operating Leases Year ending December 31, 2023 $ 1,219 2024 1,229 2025 1,152 2026 1,072 2027 1,072 Thereafter 14,796 Total minimum lease payments 20,540 Less: amount of lease payment representing interest (6,673) Present value of future minimum payments 13,867 Less: current obligations under leases (639) Long-term lease obligations $ 13,228

TAXES (Tables)

TAXES (Tables)	12 Months Ended
TAXES (Tables)	Dec. 31, 2022
TAXES
Schedule of income tax provision (benefit)	The Company’s income tax provision (benefit) consists of the following (in thousands): Years ended December 31, 2022 2021 2020 Federal $ 16,379 $ 10,091 $ (24,576) State 1,765 265 123 Current tax provision (benefit) 18,144 10,356 (24,453) Federal 3,009 4,836 15,096 State 390 1,691 677 Deferred tax provision (benefit) 3,399 6,527 15,773 Total tax provision (benefit) $ 21,543 $ 16,883 $ (8,680)
Schedule of income tax provision differences to federal statutory rate	Years ended December 31, 2022 2021 2020 Federal tax at the statutory rate 21.00 % 21.00 % 21.00 % State tax (net of federal benefit) 1.58 % 1.47 % 1.11 % Permanent items 1.47 % 0.38 % 3.52 % Tax credits (0.36) % (0.25) % (2.82) % Excess tax benefits on stock-based compensation (4.31) % (3.14) % (17.89) % Impact of CARES Act — % — % (65.55) % Change in Tax Rate and Apportionment (0.02) % 0.34 % 4.31 % Other 0.40 % (0.02) % (1.56) % 19.76 % 19.78 % (57.88) %
Schedule of components of the deferred income tax assets and liabilities	31, 2022 and 2021, as presented in the consolidated balance sheets, are as follows (in thousands): 2022 2021 DEFERRED TAX ASSETS Stock-based compensation $ 2,613 $ 3,231 Compensation and benefits 817 751 Accrued expenses 472 288 Right of use lease liability 3,247 3,350 Federal deduction on state taxes 410 155 Bad debt reserves 13 16 Other reserves 67 40 NOLs & credit carry-forwards 636 1,014 Deferred income tax asset $ 8,275 $ 8,845 DEFERRED TAX LIABILITIES Prepaid expenses $ (1,811) $ (1,547) Fixed assets and depreciation (26,173) (23,504) Right of use asset (3,249) (3,351) Base stock (58) (60) Deferred income tax liability $ (31,291) $ (28,462) NET DEFERRED INCOME TAX (LIABILITY) ASSET $ (23,016) $ (19,617)

STOCK-BASED COMPENSATION (Table

STOCK-BASED COMPENSATION (Tables)	12 Months Ended
STOCK-BASED COMPENSATION (Tables)	Dec. 31, 2022
STOCK-BASED COMPENSATION.
Summary of stock option activity	Weighted Average Remaining Aggregate Exercise Contractual Intrinsic Stock Options Shares Price Term Value Stock Option Shares outstanding at beginning of period 1,999,699 $ 42.05 — — Stock Option Shares granted 319,286 70.58 — — Stock Option Shares exercised (612,952) 30.75 — — Stock Option Shares forfeited (116,663) 55.68 — — Stock Option Shares expired — — — — Stock Option Shares outstanding at end of period 1,589,370 51.12 7.0 yrs. $ 41,253,691 Stock Option Shares exercisable at end of period 681,377 $ 33.74 4.7 yrs. $ 29,400,864
Summary of status of nonvested shares	Weighted-Average Grant Date Fair Nonvested Stock Option Shares Shares Value Nonvested at January 1, 2022 971,324 $ 19.62 Granted 319,286 31.86 Vested (265,954) 12.98 Forfeited (116,663) 19.89 Nonvested at December 31, 2022 907,993 $ 25.75
Schedule of stock options granted, vested and exercised	Year ended December 31, 2022 2021 2020 Weighted average expected volatility for options granted 48.54 % 45.72 % 40.87 % Expected life (in years) Directors’ plan 4.15 3.90 3.26 Executives plan 5.63 5.38 5.22 Employees plan 4.22 4.20 4.13 Weighted average risk-free rate 3.62 % 0.93 % 0.48 % Weighted average grant date fair value per share of options granted $ 31.86 $ 26.37 $ 17.33 Total fair value of shares vested $ 3,452 $ 5,389 $ 3,852 Total intrinsic value of options exercised $ 28,156 $ 16,028 $ 15,258 Cash received for all stock option exercises $ 18,846 $ 10,435 $ 7,813 Tax benefit realized from stock awards exercised $ 5,913 $ 3,366 $ 3,204
Schedule of stock-based compensation expense	Reported stock-based compensation expense was classified as follows (in thousands) and it is included in the Operating expenses in the Consolidated Statement of Income: For the Year ended December 31, 2022 2021 2020 Casino $ 273 $ 236 $ 168 Food and beverage 142 125 (26) Hotel 214 191 127 Selling, general and administrative 4,466 3,508 3,586 Total stock-based compensation, before taxes 5,095 4,060 3,855 Tax benefit (1,070) (853) (810) Total stock-based compensation, net of tax $ 4,025 $ 3,207 $ 3,045

SUMMARY OF SIGNIFICANT ACCOUN_4

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Segment Reporting (Details)	12 Months Ended
	Dec. 31, 2022 segment
Segment Reporting
Number of operating segments	2
Number of reportable segments	1
Self-insurance Reserves
Period for reviewing actual expenditure to determine self-insurance reserve	12 months

SUMMARY OF SIGNIFICANT ACCOUN_5

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Property and Equipment (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Property and Equipment
Gross property and equipment	$ 870,109	$ 834,425
Less accumulated depreciation and amortization	(292,059)	(253,618)
Property and equipment, net	578,050	580,807
Land
Property and Equipment
Gross property and equipment	32,977	32,986
Land improvements
Property and Equipment
Gross property and equipment	10,939	9,898
Buildings
Property and Equipment
Gross property and equipment	475,956	474,571
Building improvements
Property and Equipment
Gross property and equipment	75,858	55,432
Furniture
Property and Equipment
Gross property and equipment	249,045	235,233
Construction in progress
Property and Equipment
Gross property and equipment	7,229	8,211
Right of use assets
Property and Equipment
Gross property and equipment	13,861	14,246
Leasehold improvements
Property and Equipment
Gross property and equipment	$ 4,244	$ 3,848

SUMMARY OF SIGNIFICANT ACCOUN_6

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Property and Equipment Useful Lives and Impairment (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Property and Equipment
Depreciation expense	$ 43,300	$ 37,900	$ 16,100
Impairment charge	$ 0	$ 0	$ 0
Land improvements \| Minimum
Property and Equipment
Estimated useful life	15 years
Land improvements \| Maximum
Property and Equipment
Estimated useful life	40 years
Buildings \| Minimum
Property and Equipment
Estimated useful life	30 years
Buildings \| Maximum
Property and Equipment
Estimated useful life	40 years
Building improvements \| Minimum
Property and Equipment
Estimated useful life	5 years
Building improvements \| Maximum
Property and Equipment
Estimated useful life	40 years
Right of use assets \| Minimum
Property and Equipment
Estimated useful life	5 years
Right of use assets \| Maximum
Property and Equipment
Estimated useful life	40 years
Leasehold improvements \| Minimum
Property and Equipment
Estimated useful life	5 years
Leasehold improvements \| Maximum
Property and Equipment
Estimated useful life	40 years
Furniture \| Minimum
Property and Equipment
Estimated useful life	5 years
Furniture \| Maximum
Property and Equipment
Estimated useful life	10 years
Equipment \| Minimum
Property and Equipment
Estimated useful life	3 years
Equipment \| Maximum
Property and Equipment
Estimated useful life	20 years

SUMMARY OF SIGNIFICANT ACCOUN_7

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Goodwill (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Goodwill from business combinations
Goodwill	$ 25,111	$ 25,111
Monarch Casino Resort Spa Black Hawk, Inc.
Goodwill from business combinations
Goodwill	$ 25,100	$ 25,100

SUMMARY OF SIGNIFICANT ACCOUN_8

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Debt Issuance Costs and Capitalized Interest (Details) - USD ($)		3 Months Ended	12 Months Ended
	Aug. 31, 2020	Dec. 31, 2020	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Debt Issuance Costs
Debt issuance costs, net of amortization			$ 300,000
Amortization of deferred loan costs			1,541,000	$ 990,000	$ 764,000
Capitalized Interest
Capitalized interest			$ 0	$ 0	$ 6,800,000
Capitalized interest, related to the Monarch Black Hawk expansion project		$ 16,500,000
Revolving Credit Facility
Debt Issuance Costs
Unamortized debt issuance cost	$ 476,000
Amortization of deferred loan costs	$ 95,000

SUMMARY OF SIGNIFICANT ACCOUN_9

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Players Club Program (Details) - USD ($) $ in Millions	Dec. 31, 2022	Dec. 31, 2021
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Obligations related to the players' club program	$ 8	$ 9.4

SUMMARY OF SIGNIFICANT ACCOU_10

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Advertising Costs and Gaming Taxes (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Advertising Costs
Advertising Expense		$ 9.3
Gaming Taxes
Gaming Taxes	$ 58.5	$ 45.5	$ 17.2
Selling, general and administrative
Advertising Costs
Advertising Expense	$ 9.1		$ 4.5

SUMMARY OF SIGNIFICANT ACCOU_11

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Other Operating items, net (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Other operating items, net	$ 7,115	$ 4,929	$ 6,711
Professional service fees	7,300	5,100	1,600
Gain (loss) on disposition of assets	100	(100)
Litigation proceeds		300
Insurance claim proceeds	$ 100	100
Pre-opening expenses relating to the Monarch Black Hawk Expansion project			2,800
Colorado legislation lobbying expenses			1,400
Equipment, supplies and employee testing expenses directly attributable to the pandemic for reopening of the properties and incremental to normal operations		$ 100	700
Write off of unamortized debt issuance costs			95
Unamortized debt issuance cost write off and loss on disposal of assets			$ 200

SUMMARY OF SIGNIFICANT ACCOU_12

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Earnings Per Share (Details) - $ / shares shares in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Shares
Basic (in shares)	18,996	18,617	18,218
Effect of dilutive stock options (in shares)	582	810	659
Diluted (in shares)	19,578	19,427	18,877
Per Share Amount
Basic (in dollars per share)	$ 4.60	$ 3.68	$ 1.30
Effect of dilutive stock options (in dollars per share)	(0.13)	(0.15)	(0.05)
Diluted (in dollars per share)	$ 4.47	$ 3.53	$ 1.25

SUMMARY OF SIGNIFICANT ACCOU_13

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Antidilutive Options (Details) - Stock options - $ / shares shares in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Options not included in the computation of diluted earnings per share:
Excluded from the computation of diluted earnings per share (in shares)	555,639	274,741	1,086,244
Minimum
Options not included in the computation of diluted earnings per share:
Weighted Average Proceeds per Share (in dollars per share)	$ 70.47	$ 76.84	$ 43.09
Maximum
Options not included in the computation of diluted earnings per share:
Weighted Average Proceeds per Share (in dollars per share)	$ 121.40	$ 102.01	$ 85.68

SUMMARY OF SIGNIFICANT ACCOU_14

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Credit losses (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Reserve for gaming and non-gaming receivables	$ 0.1	$ 0.2

ACCOUNTS RECEIVABLE (Details)

ACCOUNTS RECEIVABLE (Details) - USD ($) $ in Thousands	12 Months Ended
ACCOUNTS RECEIVABLE (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Accounts receivable
Accounts receivable, gross	$ 9,651	$ 9,063
Less allowance for doubtful accounts	(85)	(182)
Accounts receivable, net	9,566	8,881
Bad debt expense	155	245	$ 159
Casino
Accounts receivable
Accounts receivable, gross	6,098	4,291
Hotel.
Accounts receivable
Accounts receivable, gross	1,238	1,339
Other.
Accounts receivable
Accounts receivable, gross	$ 2,315	$ 3,433

GOODWILL AND INTANGIBLE ASSET_2

GOODWILL AND INTANGIBLE ASSETS - Narrative (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Business Acquisition [Line Items]
Amount of goodwill recorded	$ 25,111	$ 25,111
Amortization expense	100	500	$ 1,200
Monarch Casino Resort Spa Black Hawk, Inc.
Business Acquisition [Line Items]
Amount of goodwill recorded	$ 25,100	$ 25,100
Cloud Computing Arrangement (CCA)
Business Acquisition [Line Items]
Finite-lived intangible assets, Amortized period	5 years

GOODWILL AND INTANGIBLE ASSET_3

GOODWILL AND INTANGIBLE ASSETS - Estimated Amortization Expense (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Estimated amortization expense
2023	$ 124
2024	124
2025	104
Intangible assets, net	$ 352	$ 477

ACCRUED EXPENSES (Details)

ACCRUED EXPENSES (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
ACCRUED EXPENSES
Accrued salaries, wages and related benefits	$ 13,525	$ 12,716
Progressive slot machine and other gaming accruals	19,339	18,577
Accrued gaming taxes	5,805	5,226
Other accrued liabilities	7,368	6,448
Accrued expenses	$ 46,037	$ 42,967

ACCOUNTING FOR LEASES - Narrati

ACCOUNTING FOR LEASES - Narrative (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
ACCOUNTING FOR LEASES
Lease, Practical Expedient, Lessor Single Lease Component [true false]	true
Weighted-average incremental borrowing rate of operating leases	4.33%	4.34%
Weighted-average remaining lease term	19 years 4 months 24 days	20 years 4 months 24 days
Cash paid related to operating leases	$ 1.4	$ 1.5	$ 1.4
Lease Costs On Gaming Equipment	$ 2.5	$ 2.5	$ 1.2

ACCOUNTING FOR LEASES - Lease c

ACCOUNTING FOR LEASES - Lease costs (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
ACCOUNTING FOR LEASES
Short-term lease costs	$ 287	$ 382	$ 451
Long-term lease costs	1,405	1,432	1,444
Total lease costs	$ 1,692	$ 1,814	$ 1,895

ACCOUNTING FOR LEASES - Undisco

ACCOUNTING FOR LEASES - Undiscounted cash flow operating lease liability (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
ACCOUNTING FOR LEASES
2023	$ 1,219
2024	1,229
2025	1,152
2026	1,072
2027	1,072
Thereafter	14,796
Total minimum lease payments	20,540
Less: amount of lease payment representing interest	(6,673)
Operating lease liability	13,867
Less: current obligations under leases	(639)	$ (745)
Long-term lease obligations	$ 13,228	$ 13,498

LONG-TERM DEBT (Details)

LONG-TERM DEBT (Details) $ in Thousands		12 Months Ended
LONG-TERM DEBT (Details) $ in Thousands	Jan. 31, 2023 USD ($)	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)	Sep. 03, 2020 USD ($)
Long-term debt
Current portion of long-term debt		$ 6,693	$ 20,000
Long-term debt, net			$ 68,152
Minimum
Long-term debt
Commitment fee percentage		0.175%
Maximum
Long-term debt
Commitment fee percentage		0.325%
Term Loan Facility.
Long-term debt
Face amount of debt				$ 200,000
Optional prepayment		$ 63,000
Fourth Amended Credit Facility
Long-term debt
Maximum borrowing capacity		$ 70,000
Total leverage ratio		0.04
Fixed charge coverage ratio		4.4
Revolving Credit Facility
Long-term debt
Maximum borrowing capacity				70,000
Amount outstanding		$ 0
Remaining available borrowings		$ 69,400
Additional borrowing capacity				75,000
Revolving Credit Facility \| Minimum
Long-term debt
Fixed charge coverage ratio		1.15
Additional borrowing capacity		$ 15,000
Integral multiple additional borrowing capacity		$ 1,000
Revolving Credit Facility \| Minimum \| LIBOR
Long-term debt
Percentage points added to the reference rate		1%
Revolving Credit Facility \| Minimum \| Base Rate
Long-term debt
Percentage points added to the reference rate		0%
Revolving Credit Facility \| Maximum
Long-term debt
Total leverage ratio		4
Additional borrowing capacity		$ 75,000
Revolving Credit Facility \| Maximum \| LIBOR
Long-term debt
Percentage points added to the reference rate		2%
Revolving Credit Facility \| Maximum \| Base Rate
Long-term debt
Percentage points added to the reference rate		1%
Term Loan Facility
Long-term debt
Face amount of debt				$ 200,000
Current portion of long-term debt		$ 6,700
Amount outstanding		$ 7,000
Interest rate (Percent)		5.39%
Mandatory payment		$ 20,000
Unamortized debt issuance costs		$ 300
Term Loan Facility \| Period From December 31, 2020 To September 30, 2021
Long-term debt
Interest rate				1.25%
Term Loan Facility \| Period From December 31, 2021 And Thereafter
Long-term debt
Interest rate				2.50%
Term Loan Facility \| LIBOR
Long-term debt
Percentage points added to the reference rate		1%
Standby Letter of Credit
Long-term debt
Amount outstanding		$ 600
Subsequent events \| Term Loan Facility
Long-term debt
Debt repaid	$ 7,000

TAXES - Income Tax Provision (B

TAXES - Income Tax Provision (Benefit) Components (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Income tax provision (benefit)
Federal	$ 16,379	$ 10,091	$ (24,576)
State	1,765	265	123
Current tax provision (benefit)	18,144	10,356	(24,453)
Federal	3,009	4,836	15,096
State	390	1,691	677
Deferred tax provision (benefit)	3,399	6,527	15,773
Total tax provision (benefit)	$ 21,543	$ 16,883	$ (8,680)

TAXES - Income Tax Provision Di

TAXES - Income Tax Provision Differences from Federal Statutory Rate (Details)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Income tax provision differences from that computed at federal statutory rate
Federal tax at the statutory rate (as a percent)	21%	21%	21%
State tax (net of federal benefits) (as a percent)	1.58%	1.47%	1.11%
Permanent items (as a percent)	1.47%	0.38%	3.52%
Tax credits (as a percent)	(0.36%)	(0.25%)	(2.82%)
Excess tax benefits on stock-based compensation (as a percent)	(4.31%)	(3.14%)	(17.89%)
Impact of CARES Act (as a percent)			(65.55%)
Change in Tax Rate and Apportionment (as a percent)	(0.02%)	0.34%	4.31%
Other (as a percent)	0.40%	(0.02%)	(1.56%)
Income tax provision (as a percent)	19.76%	19.78%	(57.88%)

TAXES (Details)

TAXES (Details) - USD ($)	12 Months Ended
TAXES (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Effective tax rate (as a percent)	19.76%	19.78%	(57.88%)
Income taxes receivable	$ 24,989,000	$ 26,946,000
Liability for uncertain tax positions recorded	0	0	$ 0
Change in uncertain tax positions, increase	0
Colorado legislation lobbing expenses			1,400,000
Tax benefit for employee stock-based compensation	1,070,000	853,000	810,000
ASU 2016-09
Tax benefit for employee stock-based compensation	$ 4,700,000	$ 2,700,000	$ 2,700,000

TAXES - Components of Deferred

TAXES - Components of Deferred Income Tax Assets and Liabilities (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
DEFERRED TAX ASSETS
Stock-based compensation	$ 2,613	$ 3,231
Compensation and benefits	817	751
Accrued expenses	472	288
Right of use lease liability	3,247	3,350
Federal deduction on state taxes	410	155
Bad debt reserves	13	16
Other reserves	67	40
NOLs and credit carry-forwards	636	1,014
Deferred income tax asset	8,275	8,845
DEFERRED TAX LIABILITIES
Prepaid expenses	(1,811)	(1,547)
Fixed assets and depreciation	(26,173)	(23,504)
Right of use asset	(3,249)	(3,351)
Base stock	(58)	(60)
Deferred income tax liability	(31,291)	(28,462)
NET DEFERRED INCOME TAX ASSET	$ (23,016)	$ (19,617)

TAXES - NOL and GBC Carryforwar

TAXES - NOL and GBC Carryforwards (Details) $ in Thousands	Dec. 31, 2022 USD ($)
Taxes
NOL carryforwards	$ 12,600
General business credit (GBC) carryforwards	100
Annual base limitation for future utilization of acquired carryforwards	1,250
Monarch Black Hawk \| State of Nevada
Taxes
NOL carryforwards	12,600
Monarch Black Hawk \| IRS
Taxes
General business credit (GBC) carryforwards	$ 100

TAXES - Unrecognized Tax Benefi

TAXES - Unrecognized Tax Benefits (Details) - USD ($)	12 Months Ended
TAXES - Unrecognized Tax Benefits (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
TAXES
Interest expense or penalties for uncertain tax positions recorded	$ 0	$ 0	$ 0
Liability for uncertain tax positions recorded	0	$ 0	$ 0
Change in uncertain tax positions, increase	$ 0

BENEFIT PLANS (Details)

BENEFIT PLANS (Details) - USD ($) $ in Thousands	12 Months Ended
BENEFIT PLANS (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
BENEFIT PLANS
Maximum percentage of pre-tax compensation that participating employees may defer under the plan	100%
Company's matching contributions	$ 770	$ 611	$ 423

STOCK-BASED COMPENSATION - 2014

STOCK-BASED COMPENSATION - 2014 Equity Incentive Plan (Details)	May 21, 2014 plan	Dec. 31, 2022 shares
STOCK-BASED COMPENSATION
Number Predecessor Plans terminated \| plan	2
2014 Plan
STOCK-BASED COMPENSATION
Number of new shares available for grant		3,400,000
Aggregate amount of common shares available for grant or subject to outstanding awards under Predecessor Plans		776,977

STOCK-BASED COMPENSATION - Stoc

STOCK-BASED COMPENSATION - Stock Option Activity (Details) - Stock options	12 Months Ended
	Dec. 31, 2022 USD ($) $ / shares shares
Shares
Stock Option Shares outstanding at beginning of period (in shares) \| shares	1,999,699
Stock Option Shares granted (in shares) \| shares	319,286
Stock Option Shares exercised (in shares) \| shares	(612,952)
Stock Option Shares forfeited (in shares) \| shares	(116,663)
Stock Option Shares outstanding at end of period (in shares) \| shares	1,589,370
Stock Option Shares exercisable at end of period (in shares) \| shares	681,377
Weighted-Average Exercise Price
Stock Option Shares outstanding at beginning of period (in dollars per share) \| $ / shares	$ 42.05
Stock Option Shares granted (in dollars per share) \| $ / shares	70.58
Stock Option Shares exercised (in dollars per share) \| $ / shares	30.75
Stock Option Shares forfeited (in dollars per share) \| $ / shares	55.68
Stock Option Shares outstanding at end of period (in dollars per share) \| $ / shares	51.12
Stock Option Shares exercisable at end of period (in dollars per share) \| $ / shares	$ 33.74
Weighted Average Remaining Contractual Term
Stock Option Shares outstanding at end of period	7 years
Stock Option Shares exercisable at end of period	4 years 8 months 12 days
Aggregate Intrinsic Value
Stock Option Shares outstanding at end of period (in dollars) \| $	$ 41,253,691
Stock Option Shares exercisable at end of period (in dollars) \| $	$ 29,400,864

STOCK-BASED COMPENSATION - Stat

STOCK-BASED COMPENSATION - Status of Nonvested Shares and Unrecognized Costs (Details) - USD ($) $ / shares in Units, $ in Millions	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Unrecognized costs
Unrecognized costs related to all share-based awards outstanding	$ 17.6
Weighted average period for recognition of unrecognized compensation costs	2 years 8 months 12 days
Stock options
Nonvested Stock Option Shares
Nonvested at the beginning of the period (in shares)	971,324
Granted (in shares)	319,286
Vested (in shares)	(265,954)
Forfeited (in shares)	(116,663)
Nonvested at the end of the period (in shares)	907,993	971,324
Weighted-Average Grant Date Fair Value
Nonvested at the beginning of the period (in dollars per share)	$ 19.62
Granted (in dollars per share)	31.86	$ 26.37	$ 17.33
Vested (in dollars per share)	12.98
Forfeited (in dollars per share)	19.89
Nonvested at the end of the period (in dollars per share)	$ 25.75	$ 19.62

STOCK-BASED COMPENSATION - Valu

STOCK-BASED COMPENSATION - Valuation Assumptions and Other Information (Details) - Stock options - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Option valuation assumptions for options granted
Weighted average expected volatility for options granted (as a percent)	48.54%	45.72%	40.87%
Weighted average risk free rate (as a percent)	3.62%	0.93%	0.48%
Weighted average grant date fair value per share of options granted (in dollars per share)	$ 31.86	$ 26.37	$ 17.33
Total fair value of shares vested	$ 3,452	$ 5,389	$ 3,852
Total intrinsic value of options exercised	28,156	16,028	15,258
Cash received for all stock option exercises	18,846	10,435	7,813
Tax benefit realized from stock awards exercised	$ 5,913	$ 3,366	$ 3,204
Directors
Option valuation assumptions for options granted
Expected life	4 years 1 month 24 days	3 years 10 months 24 days	3 years 3 months 3 days
Executives
Option valuation assumptions for options granted
Expected life	5 years 7 months 17 days	5 years 4 months 17 days	5 years 2 months 19 days
Employees
Option valuation assumptions for options granted
Expected life	4 years 2 months 19 days	4 years 2 months 12 days	4 years 1 month 17 days

STOCK-BASED COMPENSATION - Repo

STOCK-BASED COMPENSATION - Reported Stock-based Compensation Expense (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Stock-based compensation expense
Total stock-based compensation, before taxes	$ 5,095	$ 4,060	$ 3,855
Tax benefit for employee stock-based compensation	(1,070)	(853)	(810)
Total stock-based compensation, net of tax	4,025	3,207	3,045
Casino
Stock-based compensation expense
Total stock-based compensation, before taxes	273	236	168
Food and beverage
Stock-based compensation expense
Total stock-based compensation, before taxes	142	125	(26)
Hotel
Stock-based compensation expense
Total stock-based compensation, before taxes	214	191	127
Selling, general and administrative
Stock-based compensation expense
Total stock-based compensation, before taxes	$ 4,466	$ 3,508	$ 3,586

STOCK REPURCHASE PLAN (Details)

STOCK REPURCHASE PLAN (Details) - USD ($) $ in Thousands		12 Months Ended
STOCK REPURCHASE PLAN (Details) - USD ($) $ in Thousands	Jan. 19, 2022	Dec. 31, 2022	Oct. 22, 2014
Stock repurchase plan
Purchase of company common stock		$ 6,500
Repurchase Plan
Stock repurchase plan
Shares authorized for repurchase under program		2,900,000	3,000,000
Purchase of company common stock	$ 6,500
Purchase of company common stock, Shares	100,000

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Details) - USD ($)	12 Months Ended
COMMITMENTS AND CONTINGENCIES (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
COMMITMENTS AND CONTINGENCIES
Professional service fees	$ 7,300,000	$ 5,100,000	$ 1,600,000
PCL Construction Services, Inc.
COMMITMENTS AND CONTINGENCIES
Professional service fees	7,300,000	$ 5,100,000	$ 1,600,000
Monarch Black Hawk, Inc. (owner of Monarch Casino Black Hawk) \| Self-Insurance
COMMITMENTS AND CONTINGENCIES
Individual health care liability retained	250,000
Golden Road Motor Inn, Inc. (owner and operator of Atlantis) \| Self-Insurance
COMMITMENTS AND CONTINGENCIES
Individual health care liability retained	$ 250,000
Liability for claims in excess of stop loss (as a percent)	10%
Maximum claim liability for workers' compensation	$ 500,000

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details)				12 Months Ended
RELATED PARTY TRANSACTIONS (Details)	Nov. 17, 2015 USD ($)	Aug. 28, 2015 a ft² USD ($) item	Sep. 30, 2004 USD ($)	Dec. 31, 2022 USD ($) ft²	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)
RELATED PARTY TRANSACTIONS
Operating lease liability				$ 13,867,000
Biggest Little Investments, L.P. (BLI)
RELATED PARTY TRANSACTIONS
Area of property \| ft²				37,400
Biggest Little Investments, L.P. (BLI) \| Parking Lot Lease
RELATED PARTY TRANSACTIONS
Lessee, Operating Lease, Existence of Option to Extend [true false]				true
Rent paid				$ 748,000	$ 695,000	$ 695,000
Operating expenses related to lease				29,000	28,000	27,000
Right of use asset				10,000,000
Operating lease liability				10,000,000
Biggest Little Investments, L.P. (BLI) \| Driveway Lease
RELATED PARTY TRANSACTIONS
Lease term			15 years
Minimum annual rent			$ 300,000
Anniversary years subject to cost of living adjustment rent increases			5 years
Number of terms for which the lease can be renewed		3
Lease renewal option additional term		5 years
Rent paid				404,000	404,000	404,000
Operating expenses related to lease				34,000	34,000	2,000
Right of use asset				3,500,000
Operating lease liability				3,500,000
Affiliates \| Billboard advertising, storage space and parking lot space
RELATED PARTY TRANSACTIONS
Rent paid				$ 468,000	$ 194,000	$ 145,000
Golden Road \| Parking Lot Lease
RELATED PARTY TRANSACTIONS
Area of land \| a		4.2
Minimum annual rent	$ 695,000
Golden Road \| Parking Lot Lease \| Land
RELATED PARTY TRANSACTIONS
Additional surface parking spaces for the Atlantis \| item		300
Golden Road \| Biggest Little Investments, L.P. (BLI) \| Parking Lot Lease
RELATED PARTY TRANSACTIONS
Lease term		20 years
Anniversary years subject to cost of living adjustment rent increases	5 years
Lease renewal option additional term				10 years
Amount due to related party if lease is not renewed				$ 1,600,000
Golden Road \| Biggest Little Investments, L.P. (BLI) \| Parking Lot Lease \| Buildings
RELATED PARTY TRANSACTIONS
Area of property \| ft²		46,000
Area of land \| a		4.2

SUBSEQUENT EVENTS (Details)

SUBSEQUENT EVENTS (Details) $ / shares in Units, $ in Millions			3 Months Ended	12 Months Ended
	Feb. 06, 2023 $ / shares	Feb. 01, 2023 USD ($)	Jun. 30, 2023 $ / shares	Dec. 31, 2022 USD ($) $ / shares	Dec. 31, 2021 $ / shares
Subsequent Event [Line Items]
Common stock, par value (in dollars per share) \| $ / shares				$ 0.01	$ 0.01
Minimum
Subsequent Event [Line Items]
Commitment fee percentage				0.175%
Maximum
Subsequent Event [Line Items]
Commitment fee percentage				0.325%
Subsequent events
Subsequent Event [Line Items]
Common Stock, Dividends, Per Share, Declared \| $ / shares	$ 5		$ 1.20
Common stock, par value (in dollars per share) \| $ / shares	$ 0.01
Fourth Amended Credit Facility
Subsequent Event [Line Items]
Maximum borrowing capacity \| $				$ 70
Total leverage ratio				0.04
Fifth Amended Credit Facility [Member] \| Subsequent events
Subsequent Event [Line Items]
Maximum borrowing capacity \| $		$ 100
Additional borrowing capacity \| $		$ 100
Fifth Amended Credit Facility [Member] \| Subsequent events \| SOFR
Subsequent Event [Line Items]
Commitment fee percentage		0.10%
Fifth Amended Credit Facility [Member] \| Subsequent events \| Minimum \| SOFR
Subsequent Event [Line Items]
Percentage points added to the reference rate		1%
Fifth Amended Credit Facility [Member] \| Subsequent events \| Minimum \| Base Rate
Subsequent Event [Line Items]
Percentage points added to the reference rate		0%
Fifth Amended Credit Facility [Member] \| Subsequent events \| Maximum \| SOFR
Subsequent Event [Line Items]
Percentage points added to the reference rate		1.50%
Fifth Amended Credit Facility [Member] \| Subsequent events \| Maximum \| Base Rate
Subsequent Event [Line Items]
Percentage points added to the reference rate		0.50%

Schedule II. - VALUATION AND _2

Schedule II. - VALUATION AND QUALIFYING ACCOUNTS (Details) - Allowance for doubtful accounts - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Valuation and Qualifying Accounts
Balance at beginning of year	$ 182	$ 111	$ 100
Charged to cost and expenses	155	245	159
Deductions	(252)	(174)	(148)
Balance at end of year	$ 85	$ 182	$ 111