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 JUNE 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 August 1, 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 June 30, 1997             3

              Consolidated Statements of Operations for                  4
              the Three Months Ended June 30, 1997 and 1996

              Consolidated Statements of Operations for                  5
              the Six Months Ended June 30, 1997 and 1996

              Consolidated Condensed Statements of Cash Flows            6
              for the Six Months Ended June 30, 1997 and 1996

              Notes to Consolidated Financial Statements                 7

Item 2.       Management's Discussion and Analysis                       9

PART II       OTHER INFORMATION                                          13

SIGNATURES

                                      -2-
<PAGE>



CENTURY CASINOS, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET (Unaudited)
<TABLE>
<CAPTION>

                                                                                                June 30, 1997
                                                                                                -------------
      ASSETS
<S>                                                                                           <C>   
      Current Assets:
          Cash and cash equivalents                                                            $      2,160,087
          Short-term investments                                                                      1,550,772
          Prepaid expenses and other                                                                    616,465
                                                                                              -----------------
             Total current assets                                                                     4,327,324

      Property and Equipment, net                                                                    14,169,303
     
      Goodwill, net                                                                                  13,269,386

      Other Assets                                                                                      998,063
                                                                                              -----------------
      Total                                                                                    $     32,764,076
                                                                                              =================

      LIABILITIES AND SHAREHOLDERS'  EQUITY

      Current Liabilities:
           Current portion of long-term debt                                                   $        478,770
         Accounts payable and accrued expenses                                                        1,990,803
                                                                                              -----------------
             Total current liabilities                                                                2,469,573

      Long-Term Debt, less current portion                                                           10,346,641

      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                                                                  24,883,213
         Foreign currency translation                                                                   (22,384)
         Accumulated deficit                                                                         (5,071,586)
                                                                                              -----------------
             Total shareholders' equity                                                              19,947,862
                                                                                              -----------------
      Total                                                                                    $     32,764,076
                                                                                              =================
</TABLE>

       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 June 30,
                                                                                   -----------------------------------
                                                                                   1997                           1996
                                                                                   ----                           ----
<S>                                                                        <C>                           <C>    
     Operating Revenue:
        Casino                                                              $       4,919,156             $      1,209,387
        Food and beverage                                                             234,474                       52,624
        Hotel                                                                          11,263
        Other                                                                          89,822                       20,878
                                                                           -------------------           ------------------
                                                                                    5,254,715                    1,282,889
        Less promotional allowances                                                  (196,870)                     (49,644)
                                                                           -------------------           ------------------
                Net operating revenue                                               5,057,845                    1,233,245
                                                                           -------------------           ------------------

     Operating Costs and Expenses:
        Casino                                                                      2,784,790                      448,955
        Food and beverage                                                             109,152                       11,718
        Hotel                                                                           3,512
        General and administrative                                                  1,284,358                      698,520
        Depreciation and amortization                                                 722,638                      325,592
                                                                           -------------------           ------------------

            Total operating costs and expenses                                      4,904,450                    1,484,785
                                                                           -------------------           ------------------

     Income (Loss) from Operations                                                    153,395                     (251,540)
        Other expense, net                                                           (342,019)                    (468,160)
                                                                           -------------------           ------------------
     Loss Before Income Taxes and Extraordinary Item                                 (188,624)                    (719,700)
        Provision for income taxes                                                     20,000
                                                                           -------------------           ------------------
     Loss Before Extraordinary Item                                                  (208,624)                    (719,700)
        Extraordinary item - debt prepayment penalty, net of
             income tax benefit of $40,000                                           (171,860)
                                                                           ===================           ==================
     Net Loss                                                               $        (380,484)            $       (719,700)
                                                                           ===================           ==================

     Loss Per Share:
        Before extraordinary item                                           $           (0.01)            $          (0.06)
        Extraordinary item                                                              (0.01)
                                                                           ===================           ==================
        Net loss                                                            $           (0.02)            $          (0.06)
                                                                           ===================           ==================

     Weighted Average Common Shares Outstanding                                    15,861,885                   12,281,992
                                                                           ===================           ==================

</TABLE>

       See notes to consolidated financial statements.

                                      -4-
<PAGE>



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

                                                                                      For the Six Months Ended June 30,
                                                                                      ---------------------------------
                                                                                      1997                         1996
                                                                                      ----                         ----
<S>                                                                        <C>                           <C>    
     Operating Revenue:
        Casino                                                              $       9,277,773             $      2,310,199
        Food and beverage                                                             443,744                      109,805
        Hotel                                                                          21,371
        Other                                                                         156,795                       39,441
                                                                           -------------------           ------------------
                                                                                    9,899,683                    2,459,445
        Less promotional allowances                                                 (373,694)                     (92,339)
                                                                           -------------------           ------------------
                Net operating revenue                                               9,525,989                    2,367,106
                                                                           -------------------           ------------------

     Operating Costs and Expenses:
        Casino                                                                      5,334,957                      927,596
        Food and beverage                                                             200,771                       25,259
        Hotel                                                                           6,735
        General and administrative                                                  2,594,479                    1,416,081
        Depreciation and amortization                                               1,408,139                      640,706
                                                                           -------------------           ------------------

            Total operating costs and expenses                                      9,545,081                    3,009,642
                                                                           -------------------           ------------------

     Loss from Operations                                                             (19,092)                    (642,536)
        Other expense, net                                                           (515,493)                    (457,459)
                                                                           -------------------           ------------------
     Loss Before Income Taxes and Extraordinary Item                                 (534,585)                  (1,099,995)
        Income tax benefit                                                           (102,000)
                                                                           -------------------           ------------------
     Loss Before Extraordinary Item                                                  (432,585)                  (1,099,995)
        Extraordinary item - debt prepayment penalty, net of
             income tax benefit of $40,000                                           (171,860)
                                                                           ===================           ==================
     Net Loss                                                               $        (604,445)            $     (1,099,995)
                                                                           ===================           ==================

     Loss Per Share:
        Before extraordinary item                                           $           (0.03)            $          (0.09)
        Extraordinary item                                                              (0.01)
                                                                           ===================           ==================
        Net loss                                                            $           (0.04)                       (0.09)
                                                                           ===================           ==================

     Weighted Average Common Shares Outstanding                                    15,861,885                   11,942,415
                                                                           ===================           ==================

</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 Six Months Ended June 30,
                                                                                   ---------------------------------
                                                                                   1997                         1996
                                                                                   ----                         ----
<S>     <C>    <C>    <C>    <C>    <C>    <C>
  Cash provided by (used in) operations                                       $         1,144,767        $         (91,545)
                                                                             ---------------------      -------------------

   Cash used in investing activities                                                   (3,563,756)                (604,795)
                                                                             ---------------------      -------------------

   Cash provided by financing activities                                                   22,536                6,416,281
                                                                             ---------------------      -------------------

   Increase (decrease) in cash and cash equivalents                                    (2,396,453)               5,719,941


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

   Cash and cash equivalents at end of period                                 $         2,160,087        $       7,753,412
                                                                             =====================      ===================



    Supplemental Disclosure of Noncash Investing and Financing Activities:

        Equipment acquired through long-term financing                        $            62,512


</TABLE>

    Supplemental Disclosure of Cash Flow Information:

     Interest  paid by the Company was  $317,007  and $76,613 for the six months
     ended June 30, 1997 and 1996.
     Income taxes paid by the Company were $14,080 and $9,800 for the six months
     ended June 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  provision  (benefit)  for the  three-month  and  six-month
     periods  ended June 30,  1997,  was $20,000 and  $(102,000),  respectively,
     exclusive of the estimated  tax benefit  associated  with an  extraordinary
     charge. The provision  (benefit) 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").  The  Company  did not record an income tax benefit for the three
     months or six months  ended June 30,  1996,  because the  estimated  annual
     effective income tax rate was immaterial.

                                       -7-

<PAGE>

3.   LOSS PER SHARE
     Loss per share for the Company for the  three-month  and six-month  periods
     ended June 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 calculation,  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  but have not been
     included in the  calculation  of weighted  average number of shares for the
     three months and six months  ended June 30, 1997,  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 loss per share for the
     three months and six months  ended June 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,  beginning July 1, 1997.  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 June 30, 1997, and  the scheduled  reductions in

                                      -8-

<PAGE>

     borrowing  capacity  over  the  next  12  months,  the  entire  balance  of
     outstanding borrowings has been classified as long-term in the accompanying
     balance  sheet.  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 June 30, 1997, the Company's  outstanding  borrowings under the RCF were
     approximately $3.2 million less than available borrowing capacity.

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.

                                      -9-
<PAGE>

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 three months and six months ended
June 30,  1997,  cannot be readily  compared  with  results  for the  respective
periods in 1996.


Three Months Ended June 30, 1997 vs. 1996
Net operating  revenue for the second  quarter of 1997 was  $5,057,845  compared
with $1,233,245 in the year-earlier period, an increase of 310%,  principally as
a result  of the Gold  Creek  acquisition.  Casino  revenue  from the  Company's
Cripple Creek operations increased to $4,919,156 from $1,209,387. On a pro forma
basis,  Womacks'  casino  revenue  increased  11.7% year over year in the second
quarter.  The other component of casino revenue relates to the Company's  cruise
ship  concessions,  which  decreased  from  $125,569 to $89,578,  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  concession  operations was $(9,669) for the
second  quarter of 1997 and $18,235 for the  year-earlier  period.  Gross margin
from all the Company's  casino  activities  was 43.4% in 1997 and 62.9% in 1996.
The decrease in margin is primarily  due to a higher  effective  gaming tax rate
resulting  from the increased  revenue base, as well as increased  promotion and
marketing costs in the current-year  period.  Additionally,  management believes
that ongoing construction undertaken on a property adjacent to Womacks Casino in
the first  quarter  of 1997  continues  to have a  negative  effect on  customer
walk-in traffic.  Construction is expected to continue into the third quarter of
1997 and could have a further adverse impact on the operating  margin of Womacks
Casino in the near term. 

Food and  beverage  revenue  increased  346% to  $234,474.  Womacks  operates  a
full-service  restaurant and five bars,  whereas in 1996 the Legends  restaurant
operation  was closed during the second  quarter.  The cost of food and beverage
promotional  allowances,  which are  included  in  casino  costs,  increased  to
$260,506  in the second  three  months of 1997 as compared  with  $35,760 in the
prior year.  The increase in other  revenue  resulted  principally  from parking
facilities  that Womacks  began  operating in the second half of 1996.  

Although  general  and   administrative   expense  increased  from  $698,520  to
$1,284,358,  it represents a decrease as a percentage  of net operating  revenue
from 56.6% to 25.4%.  Contributing to the percentage improvement were relatively
lower payroll costs, professional fees and travel expenses. 

Depreciation  expense  increased to $387,262 from $139,590 and  amortization  of
goodwill increased to $335,376 from $186,002.  Both increases were due mainly to
the Gold Creek acquisition. 

                                      -10-
<PAGE>

Other  expense,  net,  for the second  quarter  of 1997  comprised  $315,861  of
interest  expense,  $40,956  of  interest  income,  a loss of  $45,373  from the
writedown  of gaming  equipment  associated  principally  with the Silver  Cloud
operations,  and  amortization of deferred costs of $21,741 related to the Wells
Fargo  refinancing.  Other expense,  net, for the prior year period consisted of
$53,262 of  interest  expense,  $66,260 of interest  income,  a loss of $174,466
principally  related  to the  closing of the  Legends  restaurant  and  interior
remodeling of Legends in  anticipation  of the Gold Creek  acquisition,  and the
writeoff  of  previously  deferred  costs,  totaling  $306,692,  related to debt
financing  efforts which did not result in the  consummation  of financing.  The
increase in interest  expense from 1996 to 1997, is mainly  attributable  to the
overall   increase  in  long-term  debt  which  resulted  from  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  penalty  applicable  to one of the debt  obligations
refinanced.


Six Months  Ended June 30,  1997 vs. 1996 
Net operating  revenue  increased by $7,158,883 to $9,525,989 for the six months
ended June 30, 1997 as compared with the 1996 period, principally as a result of
the Gold Creek  acquisition.  Consolidated  casino  revenue  increased 302% 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 11.4%, with Womacks Casino  maintaining a
17.2%  market  share in Cripple  Creek for the first  half of 1997.  At June 30,
1997,  Womacks  Casino had  approximately  11.3% of total  gaming  positions  in
Cripple  Creek.  Casino  revenue  from the cruise  ship  concessions  was little
changed from the prior year.  The overall  casino margin for the 1997  six-month
period was 42.5% as compared with 59.8% 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 $109,805 to $443,744,  an increase of
304%  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 $523,222 in
1997 and $95,944 in 1996.

General and  administrative  expense  increased from $1,416,081 in the first six
months  of 1996  to  $2,594,479  in the  1997  period.  As a  percentage  of net
operating  revenue,  however,  this  represents a decrease  from 59.8% to 27.2%.
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  $737,387  as  compared  with
$269,329 for the same period in 1996. Goodwill amortization expense increased to
$670,752 from $371,377 a year earlier.  Both increases are  principally a result
of the Gold Creek acquisition.

Other  expense,  net, for the first six months of 1997  consisted of $526,377 of
interest  expense,  $78,758  of  interest  income,  a loss of  $46,133  from the
writedown  of gaming  equipment  associated  principally  with the Silver  Cloud
operations,  and  amortization of deferred costs of $21,741 related to the Wells
Fargo  refinancing.  Other  expense,  net, for the same period in the prior year
consisted of $96,791 of interest  expense,  $100,267 of interest  income,  a net
loss from the retirement  and disposal of fixed assets of $154,243,  principally
related to the closing of the Legends  restaurant  and  interior  remodeling  of
Legends in  anticipation  of the Gold Creek  acquisition,  and the  writeoff  of
previously deferred costs, totaling $306,692,  related to debt financing efforts
which did not result in the consummation of financing.

                                      -11-

<PAGE>



Liquidity and Capital Resources

Cash, cash equivalents and short-term investments totaled $3,710,859 at June 30,
1997, and the Company had net working capital of $1,857,751.  For the six months
ended June 30, 1997, cash used in investing  activities included the purchase of
a portion of Womacks Casino,  previously subject to a long-term operating lease,
for $1.85 million,  approximately  $500,000 of other fixed asset additions,  and
the purchase of $1.5 million of short-term fixed income securities. The net cash
provided by financing  activities of $22,536 principally resulted from the Wells
Fargo refinancing.  At June 30, 1997, the Company's outstanding borrowings under
the Wells Fargo revolving credit facility were  approximately  $3.2 million less
than the available borrowing capacity of $13 million, providing the Company with
additional financial  flexibility.  

In June 1997,  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 in the fourth quarter of
1997.  

Management  believes that the  Company's  working  capital  position at June 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.

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

                                      -12-

<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 June 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: August 1, 1997

                                      -13-