American gambling giant PENN Entertainment reported iGaming and total revenue of US$1.78 billion (£1.32bn) for its first quarter this year, a relatively marginal increase of US$11 million (£8.16m) from Q1 2025.
But despite the revenue growth, Omnichannel PENN recorded a net loss of -US$2.8 million (£2.07m), compared to net income of US$111.5 million (£82.71m) in the same quarter, ending March 31, last year.
PENN’s iGaming-focused interactive segment generated revenue of US$358.3 million (£265.75m) during Q1, reporting an adjusted EBITDA loss of -US$10.8 million (-£8m), an improvement from a loss of -US$89 million (-£65.99m), year-on-year.
Across the wider business, PENN reported consolidated adjusted EBITDA of US$265.8 million (£197.03m), against the US$173.3 million (£128.45m) set in Q1 last year.
Retail Remains Bedrock
Retail segment performance remained a significant contributor, with revenues of US$1.4 billion (£1.03bn) adjusted EBITDAR of US$471.4 million (£349.43m), a margin of 33.2 percent.
The company, headquartered in Wyomissing, Pennsylvania, reported increased visitation and higher spend-per-visit across its retail portfolio.
PENN outlined ongoing investment in new projects, including new hotel towers and casino properties under the Hollywood Casino brand, in its financial report, with openings also expected in Columbus and Aurora in Q2, subject to regulatory approvals, following recent launches in Joliet and expansions at M Resort.
Reporting net debt of US$2.2 billion (£1.63bn), PENN said its total liquidity at the end of Q1 stood at US$1.7 billion (£1.26bn), including US$708 million (£524.8m) in cash and cash equivalent.
iCasino Surge
PENN issued US$600 million (£444.76m) in unsecured notes, due 2031 at an interest rate of 6.75 percent, with proceeds used to repay borrowings under its revolving credit facility.
“We are pleased to report another solid quarter,” affirmed PENN Entertainment CEO and President Jay Snowden.
“Our Interactive segment delivered a meaningful Adjusted EBITDA improvement year-over-year, which marks the first full quarter under our realigned digital strategy.
“iCasino revenue growth of approximately 15 percent, year-over-year, was driven by the continued momentum of standalone iCasino, which notably achieved record quarterly revenue in the first quarter as well as record monthly revenue in March.
“The trends we are seeing provide us with confidence in the trajectory of the business and upcoming launch in Alberta,” he concluded.
