PENN Entertainment Releases Q2 2023 Fiscals

PENN Entertainment has released its financial results for its second quarter, ending June 30.

The company reported revenues of US$1.67 billion (£1.31bn) in Q2, representing a 2.9 percent increase from the previous year.

Net income was US$78.1 million (£61.17m), with a net income margin of 4.7 percent — a big increase compared to the previous year’s Q2 net income of US$26.1 million (£20.44m) and its margin of 1.6 percent.

Adjusted EBITDAR was US$476.8 million (£373.47m), a 5.5 percent year-on-year decline. Adjusted EBITDA came in at US$330.4 million (£258.8m), nearly 31 percent less than the previous year. This resulted in an Adjusted EBITDAR margin of 28.5 percent.

In other developments, the company migrated its proprietary sports betting and iCasino platform in the U.S. Additionally, there was a repurchase of common stock valued at US$99.8 million (£78.17m) at an average rate of US$26.31 (£20.6).

By the end of the quarter, the firm’s total liquidity reached US$2.2 billion (£1.72bn), with a Lease-Adjusted Net Leverage ratio of 4.7x.

Revenues in 2023 totalled US$1.67 billion (£1.3bn), up from US$1.6 billion (£1.25bn) in 2022. Net income leapt US$78.1 million (£61.17m) from the $26.1 million (£20.44m) of 2022. Adjusted EBITDA was $330.4 million (£258.8m), a decline from 2022’s $476.5 million (£373.24m). Adjusted EBITDAR was $476.8 million (£373.47m), compared to $504.5 million in 2022 (£395.17m).

“The Company experienced stable property level performance this quarter with each month showing sequential improvement,” commented PENN Entertainment CEO and President Jay Snowden.

“Additionally, we are excited to have successfully re-launched our sportsbook app, which features major product improvements that significantly upgrade the user experience, including streamlined navigation, faster load times, expanded wagering markets, enhanced promotions and deeper media integrations.

“The migration reflects a significant achievement for our company that was completed seamlessly and with minimal disruption to our customers.

“[Meantime,] our state-of-the-art technology platform continues to drive strong results for theScore Bet in Ontario.

“[Also], as we announced yesterday, in connection with our agreement with ESPN, our online Barstool Sportsbook will be rebranded ESPN Bet in [the] Fall.”