Bally’s Corporation (NYSE: BALY) has released its financial results for the third quarter of 2024, reporting total company revenue of $630 million, a slight decrease of 0.4% compared to the same period last year. The quarter was marked by both progress in strategic initiatives and mixed financial results across business segments.
In its Casinos & Resorts division, Bally’s recorded $353.4 million in revenue, a 1.6% year-over-year decline. The International Interactive segment posted revenues of $230.9 million, reflecting a 5.3% decrease from 2023 despite 11.8% growth in the UK online segment. In North America, Interactive revenue reached $45.7 million, marking a robust 54.5% increase compared to the prior year.
Among recent strategic developments, Bally’s launched its second online sportsbook in the UK under the Bally’s brand, complementing its existing JackpotJoy offering. Additionally, Bally’s secured $940 million in construction funding from GLPI for its Chicago project, with demolition already underway at the Tribune site and construction on schedule for 2025. In a subsequent development, Bally’s completed the controlled demolition of the Tropicana hotel towers.
For the quarter ended September 30, Bally’s reported a consolidated revenue of $629.97 million, with adjusted EBITDAR at $166.3 million. The company posted a net loss of $247.9 million, compared to a net loss of $61.8 million in Q3 2023.
The results underscore Bally’s ongoing investment in expansion and digital transformation initiatives, despite a challenging operating environment. The company continues to pursue growth through its evolving portfolio across casinos, resorts, and interactive platforms, positioning itself to capture value in both domestic and international markets.
Robeson Reeves, Bally’s Chief Executive Officer, commented, “Bally’s delivered relatively healthy financial results in the 2024 third quarter, with consolidated revenue declining just 0.4% from the prior year to $630.0 million. On a segment basis, Casinos & Resorts (“C&R”) revenue declined 1.6% year-over-year and North American Interactive revenue grew 54.5%, while International Interactive revenue declined 5.3%, including 11.8% revenue growth in our U.K. business. During the quarter, we secured a critical $940 million construction and financing arrangement with Gaming & Leisure Properties (“GLPI”) which positions the Company to move forward with the construction of our flagship permanent casino in the heart of downtown Chicago, America’s third largest city. Early in the fourth quarter, we also completed the controlled demolition of the Tropicana hotel towers in Las Vegas, moving the A’s one step closer to the start of stadium construction and allowing Bally’s to plan for the broader redevelopment of the site. Upon completion, the Chicago and Las Vegas development projects feature unique positioning in their respective markets and represent two attractive additions to our portfolio that we expect will drive positive shareholder returns.
“C&R revenue of $353.4 million in the quarter reflects the generally stable domestic regional gaming environment, although we saw flow-through decline relative to the prior year period. Results at our Chicago Temporary Casino have moderated to a somewhat consistent monthly level and we are focused on running our Chicago operations with database growth in mind. In Rhode Island, local bridge construction continues to disrupt traffic during peak periods which again impacted visitation and revenues at our flagship Lincoln property. In Atlantic City, previously noted turnover in our relationship marketing team had an adverse impact on results in the quarter which included the second half of the market’s all-important summer season. Primarily reflecting these impacts, and lower-than-expected hold in Kansas City, third quarter segment adjusted EBITDAR declined 15.0% year-over-year.
“Our International Interactive business continues to benefit from healthy U.K. revenue, offset in part by lingering weakness in other non-U.K. markets, with a particular emphasis on the ongoing logistical challenges impacting business in Asia. Segment-level revenue declined 5.3% to $230.9 million though U.K. revenue grew a healthy 11.8% (8.9% in constant currency). U.K. growth was driven by all-time high active customer levels and robust Average Revenue per User metrics along with growing traction for our online sports betting offerings which include a newly launched Bally’s-branded product that joins our initial JackpotJoy offering. Despite the segment revenue decline, adjusted EBITDAR margins improved 400 basis points year-over-year, leading to overall International Interactive adjusted EBITDAR of $90.0 million, up 5.3% year-over-year. Flow-through in our International Interactive segment remains very healthy as a result of diligent U.K. marketing spend, management of compensation expenses along with the continued realization of synergies from our technology platform consolidation.
“North America Interactive operations generated third quarter revenues of $45.7 million, up 54.5% year-over-year, and an Adjusted EBITDAR loss of $11.0 million. On balance, we remain very pleased with the ramp in our iGaming operations in Rhode Island and results benefited from excellent performance in Pennsylvania during the quarter. However, we were impacted to a certain extent by softness in New Jersey. Ultimately, our iGaming product offering and Bally Bet OSB continue to garner positive player feedback, and we remain excited by the long-term promise embedded in this segment.”
George Papanier, Bally’s President, added, “Third quarter revenue performance in our C&R segment demonstrated the resilience of our broader regional gaming portfolio even as much work remains to unify the portfolio and manage the business as such. We continue to implement initiatives to optimize and centralize property-level C&R functions and with positive outcomes achieved to date, we remain optimistic regarding the benefits of these initiatives over the coming quarters. At the same time, the segment’s many growth opportunities remain firmly intact. In Chicago, demolition of the former Tribune buildings continues while we work closely with our partners at GLPI and with the City to gain final approval for our re-imagined permanent Bally’s Chicago Casino master plan ahead of the start of construction next year. Our existing Chicago Temporary Casino is allowing us to build relationships with players in Chicago and establish our long-term presence in a market with favorable adult population and demographics. In Las Vegas, we are moving forward with the planning for a Bally’s casino on the Las Vegas Strip adjacent to the A’s stadium which will begin to rise next year following the recent implosion of the Tropicana hotel towers. Collectively, these growth opportunities leave us very optimistic regarding the long-term prospects of our C&R business.”
Marcus Glover, Bally’s Chief Financial Officer, concluded, “Our broad asset portfolio again delivered healthy financial performance in the third quarter of 2024 despite some lingering headwinds. The entire team is working diligently to optimize our cost structure across the board and enhance the efficiency of our operations, particularly in the C&R segment and within International Interactive. While this work is in its early stages and will continue for the foreseeable future, we believe we will see tangible results in the near-term as we improve profitability and enhance our operating performance.”
