UNITED STATES SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549
                                   FORM 10-QSB

___X___     QUARTERLY   REPORT   PURSUANT  TO  SECTION  13  OR  15  (d)  OF  THE
            SECURITIES  EXCHANGE  ACT OF 1934  FOR THE  QUARTERLY  PERIOD  ENDED
            SEPTEMBER 30, 1997.

_______     TRANSITION   REPORT  PURSUANT  TO  SECTION  13  OR  15  (d)  OF  THE
            SECURITIES  EXCHANGE  ACT OF 1934  FOR THE  TRANSITION  PERIOD  FROM
            ____________  TO ___________ .

            Commission file number    0-22290

                              CENTURY CASINOS, INC.
             (Exact name of registrant as specified in its charter)
              DELAWARE                                  84-1271317
       (State of incorporation)                    (IRS Employer ID No.)

       26 South Tejon Street, Suite 203, Colorado Springs, Colorado 80903
                    (Address of principal executive offices)

                                 (719) 473-7770
                                 (Phone Number)


Check  whether the issuer (1) filed all reports  required to be filed by Section
13 or 15(d) of the  Exchange  Act during the past 12 months (or for such shorter
period that the registrant was required to file such reports),  and (2) has been
subject to such filing requirements for the past 90 days. Yes X   No

   Number of shares of common stock, $.01 par value, outstanding as of October
                                   28, 1997:

                                   15,861,885

                                        1
<PAGE>

                              CENTURY CASINOS, INC.
                                   FORM 10-QSB
                                      INDEX
                                                                   Page Number

PART I             FINANCIAL INFORMATION

Item 1.            Financial Statements (unaudited)

                   Consolidated Balance Sheet as of  September 30,       3
                   1997
                   Consolidated Statements of Operations for the         4
                   Three Months Ended September 30, 1997 and 1996
                   Consolidated Statements of Operations for the         5
                   Nine Months Ended September 30, 1997 and 1996
                   Consolidated Condensed Statements of Cash Flows       6
                   for the Nine Months Ended September 30, 1997 and
                   1996
                   Notes to Consolidated Financial Statements            7

Item 2.            Management's Discussion and Analysis                 10

PART II            OTHER INFORMATION                                    14

SIGNATURES

                                        2
<PAGE>

CENTURY CASINOS, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET (Unaudited)
--------------------------------------------------------------------------------

                                                                September 30,
                                                                    1997
                                                                -------------
    ASSETS

    Current Assets:
       Cash and cash equivalents                                $  2,740,183
       Short-term investments                                      1,572,000
       Prepaid expenses and other                                    799,685
                                                                ------------
         Total current assets                                      5,111,868

    Property and Equipment, net                                   14,625,802

    Goodwill, net                                                 12,934,010

    Other Assets                                                     615,213
                                                                ------------
    Total                                                       $ 33,286,893
                                                                ============

    LIABILITIES AND SHAREHOLDERS'  EQUITY

    Current Liabilities:
         Current portion of long-term debt                      $    460,573
      Accounts payable and accrued expenses                        2,164,871
                                                                ------------
         Total current liabilities                                 2,625,444

    Long-Term Debt, less current portion                          10,123,039

    Shareholders' Equity:
        Preferred stock; $.01 par value; 20,000,000 shares
           authorized; no shares issued or outstanding
      Common stock; $.01 par value; 50,000,000 shares
         authorized; 15,861,885 shares issued and outstanding        158,619
      Additional paid-in capital                                  24,895,378
      Foreign currency translation                                   (23,808)
      Accumulated deficit                                         (4,491,779)
                                                                ------------
         Total shareholders' equity                               20,538,410
                                                                ------------
    Total                                                       $ 33,286,893
                                                                ============

     See notes to consolidated financial statements.

                                        3
<PAGE>

CENTURY CASINOS, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>

                                                      For the Three Months Ended
                                                             September 30,
                                                       1997                1996
                                                       ----                ----
    <S>                                                <C>                 <C>


    Operating Revenue:
      Casino                                        $  5,464,650        $  4,919,753
      Food and beverage                                  275,516             252,457
      Hotel                                               22,657              16,101
      Other                                              112,517             169,637
                                                    ------------        ------------ 
                                                       5,875,340           5,357,948
      Less promotional allowances                       (207,960)           (180,643)
                                                    ------------        ------------ 
               Net operating revenue                   5,667,380           5,177,305
                                                    ------------        ------------ 

    Operating Costs and Expenses:
      Casino                                           2,718,718           1,716,166
      Food and beverage                                  118,009             207,133
      Hotel                                                5,316               4,826
      General and administrative                       1,313,028           1,269,070
      Depreciation and amortization                      765,714             642,599
                                                    ------------        ------------ 

         Total operating costs and expenses            4,920,785           3,839,794
                                                    ------------        ------------ 

    Income from Operations                               746,595           1,337,511
      Other expense, net                                (162,788)           (304,864)
                                                    ------------        ------------ 
    Income before Income Taxes                           583,807           1,032,647
      Provision for income taxes                           4,000              17,000
                                                    ============        ============
    Net Income                                      $    579,807        $  1,015,647
                                                    ============        ============

    Income Per Share                                $       0.03        $       0.06
                                                    ============        ============

    Weighted Average Common Shares Outstanding        18,217,648          16,921,885
                                                    ============        ============
</TABLE>


     See notes to consolidated financial statements.

                                        4
<PAGE>

CENTURY CASINOS, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)
--------------------------------------------------------------------------------

<TABLE>
<CAPTION>
                                                      For the Nine Months Ended
                                                             September 30,
                                                       1997                1996
                                                       ----                ----
    <S>                                                <C>                 <C>


    Operating Revenue:
      Casino                                        $14,742,423         $  7,229,952
      Food and beverage                                 719,260              362,262
      Hotel                                              44,028               16,101
      Other                                             269,312              209,078
                                                    -----------         ------------
                                                     15,775,023            7,817,393
      Less promotional allowances                      (581,654)            (272,982)
                                                    -----------         ------------
               Net operating revenue                 15,193,369            7,544,411
                                                    -----------         ------------

    Operating Costs and Expenses:
      Casino                                          8,053,675            2,643,762
      Food and beverage                                 318,780              232,392
      Hotel                                              12,051                4,826
      General and administrative                      3,907,507            2,685,151
      Depreciation and amortization                   2,173,853            1,283,305
                                                    -----------         ------------

         Total operating costs and expenses          14,465,866            6,849,436
                                                    -----------         ------------

    Income from Operations                              727,503              694,975
      Other expense, net                               (678,281)            (762,323)
                                                    -----------         ------------
    Income (Loss) Before Income Taxes and                49,222              (67,348)
    Extraordinary Item
      Provision for income taxes (benefit)              (98,000)              17,000
                                                    -----------         ------------
    Income (Loss) Before Extraordinary Item             147,222              (84,348)
      Extraordinary item - debt prepayment
       premium, net of
         income tax benefit of $40,000                 (171,860)
                                                    -----------         ------------
    Net Loss                                        $   (24,638)        $    (84,348)
                                                    ===========         ============

    Income (Loss) Per Share:
      Before extraordinary item                     $      0.01         $      (0.01)
      Extraordinary item                                  (0.01)
                                                    -----------         ------------
      Net loss                                      $     (0.00)        $      (0.01)
                                                    ===========         ============

    Weighted Average Common Shares Outstanding       15,861,885           13,248,905
                                                    ===========         ============
</TABLE>


     See notes to consolidated financial statements.

                                        5
<PAGE>

CENTURY CASINOS, INC. AND SUBSIDIARIES
CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS (Unaudited)
--------------------------------------------------------------------------------

<TABLE>
<CAPTION>
                                                       For the Nine Months Ended
                                                             September 30,
                                                         1997              1996
                                                         ----              ----

  <S>                                                  <C>                 <C>
  Cash provided by operations                         $  2,515,614      $  2,115,793
                                                      ------------      ------------

  Cash used in investing activities                     (4,112,708)       (4,950,454)
                                                      ------------      ------------

  Cash provided by (used in) financing activities         (219,263)        5,768,282
                                                      ------------      ------------

  Increase (decrease) in cash and cash equivalents      (1,816,357)        2,933,621


  Cash and cash equivalents at beginning of period       4,556,540         2,033,471
                                                      ------------      ------------

  Cash and cash equivalents at end of period          $  2,740,183      $  4,967,092
                                                      ============      ============



   Supplemental Disclosure of Noncash Investing and Financing Activities:

      Equipment acquired through long-term financing  $     62,512      $    355,615
</TABLE>
                                                           


   Supplemental Disclosure of Cash Flow Information:

    Interest paid by the Company was  $590,301  and $194,621 for the nine months
      ended September 30, 1997 and 1996.

    Income taxes paid by the Company were $14,090 and $9,800 for the nine months
      ended September 30, 1997 and 1996.


     See notes to consolidated financial statements.

                                        6
<PAGE>

CENTURY CASINOS, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
--------------------------------------------------------------------------------

1.   DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION 
     Century Casinos,  Inc. and  subsidiaries  (the "Company") own and operate a
     limited-stakes   gaming  casino  in  Cripple   Creek,   Colorado;   act  as
     concessionaire  of a small casino on a luxury cruise ship; and are pursuing
     a number of  additional  gaming  opportunities  in the  United  States  and
     internationally. Prior to July 1, 1996, the Company's operations in Cripple
     Creek, Colorado, consisted of Legends Casino, which the Company acquired on
     March 31, 1994, through a merger with Alpine Gaming,  Inc.  ("Alpine").  On
     July 1, 1996, the Company acquired the net assets of Gold Creek Associates,
     L.P.  ("Gold  Creek"),  the  owner  of  Womack's  Saloon  &  Gaming  Parlor
     ("Womacks"), which is immediately adjacent to Legends Casino. Following the
     Company's  acquisition of Womacks,  interior renovations were undertaken on
     both  properties to facilitate  the operation and marketing of the combined
     properties as one casino under the name Womacks  Casino.  The  accompanying
     financial  statements include the results of operations  acquired from Gold
     Creek for the period subsequent to June 30, 1996.

     The accompanying  consolidated  financial statements and related notes have
     been prepared in accordance with generally accepted  accounting  principles
     for interim  financial  reporting and the  instructions  to Form 10-QSB and
     Item  310(b)  of  Regulation  S-B.  Accordingly,  certain  information  and
     footnote  disclosures normally included in financial statements prepared in
     accordance  with  generally  accepted   accounting   principles  have  been
     condensed  or  omitted.  In the  opinion  of  management,  all  adjustments
     (consisting of only normal  recurring  accruals)  considered  necessary for
     fair  presentation  of financial  position,  results of operations and cash
     flows have been included. These consolidated financial statements should be
     read in  conjunction  with  the  financial  statements  and  notes  thereto
     included in the  Company's  Annual Report on Form 10-KSB for the Year Ended
     December 31, 1996.

2.   INCOME TAXES
     The income tax benefit for the nine-month  period ended September 30, 1997,
     is based on estimated  full-year  income for financial  reporting  purposes
     adjusted for permanent differences,  which comprise primarily nondeductible
     goodwill  resulting  from  the  Alpine  acquisition,   and  utilization  of
     available net operating loss carryforwards (`NOLs"). Of the total estimated
     benefit of  $138,000,  $40,000  was  allocated  to the  extraordinary  item
     recognized  in the second  quarter of 1997.  The  income tax  provision  of
     $4,000 for the three months ended September 30, 1997 reflects the change in
     the estimated annual  effective income tax rate from the previous  quarter.
     The income tax provision for the three-month  and nine-month  periods ended
     September 30, 1996,  was $17,000,  and consists  principally of alternative
     minimum tax ("AMT") due to limitations  on the  utilization of NOLs for AMT
     purposes.

                                        7
<PAGE>

3.   INCOME (LOSS) PER SHARE
     Income (loss) per share for the Company for the  three-month and nine-month
     periods  ended  September  30,  1997 and 1996,  is based upon the  weighted
     average number of common shares outstanding during the period.  Outstanding
     warrants and options have not been considered in the calculations, as their
     effect would be antidilutive  for all periods  presented.  Shares which the
     Company is obligated to issue on July 1, 1998, in connection  with the Gold
     Creek acquisition, are considered common stock equivalents and are included
     in  the   calculation  of  weighted   average  number  of  shares  for  the
     three-months  ended  September  30,  1997 and  1996.  The  number of shares
     included  in  the  calculation  of  outstanding  shares  is  2,355,763  and
     1,060,000, respectively, and is determined by a formula using the Company's
     average stock price preceding the end of each period.  The actual number of
     shares to be  issued  will be  determined  using the  average  stock  price
     preceding  July 1, 1998.  The  contingently  issuable  shares have not been
     included in the  calculation  of weighted  average number of shares for the
     nine months  ended  September  30, 1997 and 1996,  as their effect would be
     antidilutive.

     In February 1997, the Financial Accounting Standards Board issued Statement
     ("SFAS")  No.  128,  "Earnings  per  Share,"  which  supersedes  Accounting
     Principles  Board Opinion No. 15 and  establishes  new  guidelines  for the
     computation   and   presentation  of  earnings  per  share.  A  measurement
     designated  "basic  earnings  per share"  replaces  "primary  earnings  per
     share." Basic earnings per share considers only outstanding common stock in
     the  computation.  A measurement  designated  "diluted  earnings per share"
     replaces "fully diluted  earnings per share," although the computations are
     similar in that both give effect to all  potentially  dilutive  securities.
     The Company will be required to apply the provisions of SFAS No. 128 in the
     fourth  quarter of 1997,  and  earnings  per share  presented  for  earlier
     periods will be required to be  restated;  earlier  application  of the new
     standard is not permitted.  The pro forma effect on income (loss) per share
     for the three months and nine months ended September 30, 1997 and 1996, had
     adoption of SFAS No. 128 been  required in the second  quarter of 1997,  is
     not material.

4.   DEBT REFINANCING
     On March 31,  1997,  the  Company  entered  into a  four-year,  $13 million
     revolving line of credit facility (the "RCF") with Wells Fargo Bank ("Wells
     Fargo").  The initial borrowing  drawdown under the RCF of $12.2 million on
     April 3, 1997,  was used to retire  approximately  $9.2  million of secured
     debt  relating to Womacks  Casino.  The Company  also  exercised a purchase
     option and acquired a portion of Womacks  Casino,  previously  subject to a
     long-term  operating  lease,  for $1.85 million.  Bank fees and other costs
     paid at closing were approximately  $200,000 and the remaining proceeds are
     available  for  general   operating   purposes.   The  RCF  is  secured  by
     substantially  all of the real and  personal  property  of Womacks  Casino.
     Borrowings  bear  interest at Wells  Fargo's  prime rate plus one  percent,
     payable  quarterly,  and an  annual  commitment  fee of  one-half  percent,
     payable quarterly, is charged on the unused portion of the RCF. 

     The Company  also  maintains an  operating  account  with Wells Fargo,  the
     balance of which is offset against the outstanding  borrowings for purposes
     of calculating interest. The borrowing capacity under the RCF is reduced by
     $375,000 quarterly.  Quarterly  repayments of principal are required to the
     extent  that  outstanding  borrowings  exceed  borrowing  capacity  at  the
     beginning of any quarter.  Based upon the balance of outstanding borrowings
     at September 30, 1997, and the scheduled  reductions in borrowing  capacity
     over the next 12 months,  the entire balance of outstanding  borrowings has
     been classified as long-term in the accompanying  balance sheet.  

                                        8
<PAGE>

     Under the RCF,  the Company is required  to comply with  certain  financial
     covenants,  and Womacks  Casino is subject to certain  capital  expenditure
     requirements and  restrictions on investments.  In connection with securing
     the RCF, the Company  incurred and  capitalized  approximately  $350,000 of
     out-of-pocket costs,  comprising principally  nonrefundable bank commitment
     fees and attorneys'  fees,  and including  costs incurred prior to closing.
     These deferred costs will be charged to operations on a straight-line basis
     over the term of the RCF. An extraordinary  charge, net of income taxes, of
     $171,860,   representing  a  prepayment  premium  on  one  of  the  retired
     borrowings,  was recognized in the second quarter of 1997. 

     At September 30, 1997, the Company's  outstanding  borrowings under the RCF
     were approximately $3 million less than available borrowing capacity.

                                        9
<PAGE>

Item 2.

MANAGEMENT'S DISCUSSION AND ANALYSIS


Forward-Looking Statements, Business Environment and Risk Factors

Information  contained in the following  discussion of results of operations and
financial  condition of the Company contains  forward-looking  statements within
the meaning of the Private  Securities  Litigation Reform Act of 1995, which can
be identified by the use of words such as "may," "will," "expect," "anticipate,"
"estimate," or "continue," or variations thereon or comparable  terminology.  In
addition,  all statements other than statements of historical facts that address
activities,  events  or  developments  that the  Company  expects,  believes  or
anticipates,  will or may occur in the  future,  and  other  such  matters,  are
forward-looking statements.

The  following  discussion  should  be read in  conjunction  with the  Company's
consolidated  financial  statements and related notes included elsewhere herein.
The Company's  future  operating  results may be affected by various  trends and
factors  which are beyond the  Company's  control.  These  include,  among other
factors,  the  competitive  environment  in  which  the  Company  operates,  the
Company's  present  dependence  upon the Cripple Creek,  Colorado gaming market,
changes in the rates of gaming-specific  taxes, shifting public attitudes toward
the socioeconomic  costs and benefits of gaming,  actions of regulatory  bodies,
dependence  upon key personnel,  the  speculative  nature of gaming projects the
Company  may  pursue,  risks  associated  with  expansion,  and other  uncertain
business conditions that may affect the Company's business.

The Company  cautions  the reader that a number of important  factors  discussed
herein, and in other reports filed with the Securities and Exchange  Commission,
could affect the  Company's  actual  results and cause actual  results to differ
materially from those discussed in forward-looking statements.


Results of Operations
On July 1, 1996,  the Company  acquired  the assets of Gold Creek,  the owner of
Womacks  in Cripple  Creek,  Colorado.  The  accompanying  financial  statements
include the results of operations  of Womacks only for the period  subsequent to
June 30,  1996.  Accordingly,  results for the nine months ended  September  30,
1997, cannot be readily compared with results for the respective period in 1996.

                                        10
<PAGE>

Three Months Ended September 30, 1997 vs. 1996

Net operating revenue for the third quarter of 1997 was $5,667,380 compared with
$5,177,305 for the same period in 1996, an increase of 9.5%. Casino revenue from
Womacks Casino increased 12.2% to $5,348,680 from $4,768,079 a year earlier. The
other  component  of  casino  revenue  relates  to  the  Company's  cruise  ship
concessions, which decreased from $151,674 to $115,970, primarily as a result of
the  expiration  of the casino  concession  contract for the Silver Cloud in May
1997. The  concession  contract for the Silver Wind is up for renewal in January
1998,  and  management  believes  it is  likely  that the  contract  will not be
renewed.  Operating  margin for the Silver Wind  operations  was $48,404 for the
third quarter of 1997 and $32,584 for the year-earlier period. Gross margin from
all the Company's  casino  activities  was 50.2% in 1997 and 65.1% in 1996.  The
decrease in margin is primarily  due to a higher  effective  gaming tax rate (in
1996 the Company  benefited from the  application of the lower tax rate tiers to
the revenue of the  acquired  operations),  as well as increased  promotion  and
marketing costs in the  current-year  period.  Construction  undertaken in early
1997  on a  competitor's  property,  adjacent  to  Womacks  Casino,  is  nearing
completion  and the  property  is  expected  to open for  business in the fourth
quarter of 1997.  Management  cannot predict at this time whether the operations
of Womacks Casino will be positively or adversely affected.

Food and beverage revenue increased 9.1% to $275,516 versus the third quarter of
1996. The cost of food and beverage promotional allowances, which is included in
casino  costs,  increased  to $217,453 in the third  quarter of 1997 as compared
with  $138,888  in the  prior  year.  The  decrease  in other  revenue  resulted
principally  from the  receipt of a  one-time  payment of $66,000 in 1996 from a
consulting project in South Africa.

General and administrative  expense increased from $1,269,070 to $1,313,028,  or
3.5%, but decreased slightly as a percentage of net operating revenue from 24.5%
to 23.2%.  Contributing  to the percentage  improvement  were  relatively  lower
payroll costs, professional fees and travel expenses.

Depreciation expense increased to $430,338 from $307,223,  while amortization of
goodwill  remained  unchanged  at $335,376  for both  periods.  The  increase in
depreciation expense is attributable to the purchase of a portion of the Womacks
Casino  property in April  1997,  as well as  property  improvements  and gaming
equipment acquired in the fourth quarter of 1996 and in 1997.

Other expense, net, for the third quarter of 1997 comprised $258,290 of interest
expense, $37,166 of interest income, a loss of $1,633 from the disposal of fixed
assets,  amortization  of deferred  costs of $22,002  related to the Wells Fargo
refinancing,  and  income  of  $81,971  from  payments  received  pursuant  to a
previously  terminated  management contract.  Other expense,  net, for the prior
year period  consisted  of $243,768  of  interest  expense,  $42,850 of interest
income,  a gain of $1,497 from the disposal of fixed  assets,  foreign  currency
loss of $654 and the writeoff of previously deferred financing costs of $104,789
associated with the Gold Creek acquisition.

                                        11
<PAGE>

Nine Months Ended September 30, 1997 vs. 1996

Net operating revenue increased by $7,648,958 to $15,193,369 for the nine months
ended  September  30, 1997 as compared  with the 1996 period,  principally  as a
result of the Gold Creek acquisition. Consolidated casino revenue increased 104%
on a year-to-year  basis,  mostly attributable to the larger scale of operations
in the Cripple  Creek  market.  On a pro forma  basis,  casino  revenue from the
Company's  Cripple  Creek  operations  increased by 11.5%,  with Womacks  Casino
holding a 16.9% market share in Cripple Creek for the first nine months of 1997.
At September 30, 1997,  Womacks Casino had  approximately  11.8% of total gaming
positions in Cripple  Creek.  Casino  revenue  from the cruise ship  concessions
decreased  from $409,913 to $368,734  principally  due to the  expiration of the
Silver Cloud agreement. The overall casino margin for the 1997 nine-month period
was 45.4% as compared with 63.4% in 1996. Accounting for the lower margin were a
higher effective gaming tax rate and higher promotional and marketing expenses.

Food and beverage  revenue  increased from $362,262 to $719,260,  an increase of
99% from the prior year. The increase results from the more extensive restaurant
and bar facilities in service following the Gold Creek acquisition.  The cost of
promotional  allowances,  included  in casino  cost,  was  $740,675  in 1997 and
$234,832 in 1996.  The  increase  in other  revenue  from 1996 to 1997  resulted
principally  from parking  facilities that Womacks began operating in the second
half of 1996,  partially  offset by a one-time payment in 1996 from a consulting
project in South Africa.

General and  administrative  expense increased from $2,685,151 in the first nine
months  of 1996  to  $3,907,507  in the  1997  period.  As a  percentage  of net
operating  revenue,  however,  this  represents a decrease  from 35.6% to 25.7%.
Proportionately  lower payroll,  professional  service and travel costs were the
most significant components of the percentage improvement.

Year-to-date  depreciation  expense for 1997 was  $1,167,725  as  compared  with
$577,177 for the same period in 1996. Goodwill amortization expense increased to
$1,006,128 from $706,128 a year earlier. Both increases are principally a result
of the Gold Creek acquisition.

Other  expense,  net, for the first nine months of 1997 consisted of $784,667 of
interest  expense,  $115,924 of interest  income,  a loss of $47,766  from fixed
asset  disposals and the writedown of gaming  equipment  associated  principally
with the Silver  Cloud  operations,  amortization  of deferred  costs of $43,743
related to the Wells  Fargo  refinancing,  and income of $81,971  from  payments
received pursuant to a previously terminated management contract. Other expense,
net,  for the same  period in the prior year  consisted  of $340,559 of interest
expense,  $143,118 of interest income,  loss from the retirement and disposal of
fixed  assets of  $154,010,  principally  related to the  closing of the Legends
restaurant and interior  remodeling of Legends in anticipation of the Gold Creek
acquisition,  foreign  currency  gain of $609,  and the  writeoff of  previously
deferred financing costs of $411,481 associated with the Gold Creek acquisition.

In  connection  with the Wells  Fargo  refinancing  in April  1997,  the Company
recognized  an  extraordinary  charge of  $171,860,  net of tax  benefit,  which
resulted from a prepayment  premium  applicable  to one of the debt  obligations
refinanced.

                                        12
<PAGE>

Liquidity and Capital Resources

Cash,  cash  equivalents  and  short-term   investments  totaled  $4,312,183  at
September 30, 1997, and the Company had net working  capital of $2,486,424.  For
the nine months  ended  September  30, 1997,  cash used in investing  activities
included the $1.85 million  purchase of a portion of Womacks Casino,  previously
subject to a  long-term  operating  lease,  the  purchase  of a parking  lot and
building for $785,000,  approximately  $600,000 of other fixed asset  additions,
and the purchase of $1.5 million of short-term fixed income securities.  The net
cash used in financing  activities  of $219,263  principally  resulted  from net
payments made in connection with the Wells Fargo  refinancing.  At September 30,
1997,  the  Company's  outstanding  borrowings  under the Wells Fargo  revolving
credit facility were approximately $3 million less than the available  borrowing
capacity of $12.625  million,  providing the Company with  additional  financial
flexibility.

The Company filed  applications  with two  consortia for casino  licenses in the
province of Gauteng,  South  Africa.  The  Company has signed  long-term  casino
management  contracts with both consortia,  with one of the agreements providing
that,  should a license be  granted,  the Company  would make a minority  equity
investment of approximately  $2,000,000.  The equity contribution,  if required,
would  likely be funded  through  the  Company's  existing  cash and  short-term
investments.  Final  decisions by regulatory  authorities on the outcomes of the
two license applications are expected no later than the first quarter of 1998.

Management believes that the Company's working capital position at September 30,
1997,  together  with expected  cash flow from  operations,  will be adequate to
satisfy its debt repayment  obligations,  meet its potential equity contribution
requirements  and  pursue  additional  business  growth  opportunities  for  the
foreseeable future.

                          * * * * * * * * * * * * * * * *

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<PAGE>

PART II

OTHER INFORMATION

Item 1. - Legal Proceedings

      The  Company  is not a party  to,  nor is it  aware  of,  any  pending  or
      threatened  litigation  which,  in  management's  opinion,  could  have  a
      material adverse effect on the Company's  financial position or results of
      operations.

Item 6. - Exhibits and Reports on Form 8-K

      (a) Exhibits - The following exhibit is filed herewith:

          27        Financial Data Schedule

      (b) Reports on Form 8-K:

          No reports on Form 8-K were filed  during the quarter ended  September
          30, 1997.

                                   * * * * * * *
SIGNATURES:
Pursuant to the Securities  Exchange Act of 1934, the Registrant has duly caused
this  report to be  signed  on its  behalf  by the  undersigned  thereunto  duly
authorized.

CENTURY CASINOS, INC.

/s/  Brad Dobski
---------------------------
Brad Dobski
Vice President - Finance
Chief Accounting Officer and duly authorized officer
Date: October 28, 1997

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