Golden Entertainment Reports 2024 First Quarter Results
On
On
Consolidated Results
The Company reported first quarter of 2024 revenues of
Debt and Liquidity
As of
As of
Investor Conference Call and Webcast
The Company will host a webcast and conference call today,
Forward-Looking Statements
This press release contains forward-looking statements regarding future events and the Company’s future results that are subject to the safe harbors created under the Securities Act of 1933 and the Securities Exchange Act of 1934. Forward-looking statements can generally be identified by the use of words such as “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “forecast,” “intend,” “may,” “plan,” “project,” “potential,” “seek,” “should,” “think,” “will,” “would” and similar expressions, or they may use future dates. In addition, forward-looking statements in this press release include, without limitation statements regarding: the Company’s strategies, objectives, business opportunities and plans; anticipated future growth and trends in the Company’s business or key markets; the payment of recurring quarterly cash dividends; projections of future financial condition, operating results or other financial items; and other characterizations of future events or circumstances as well as other statements that are not statements of historical fact. Forward-looking statements are based on the Company’s current expectations and assumptions regarding its business, the economy and other future conditions. These forward-looking statements are subject to assumptions, risks and uncertainties that may change at any time, and readers are therefore cautioned that actual results could differ materially from those expressed in any forward-looking statements. Factors that could cause the actual results to differ materially include: changes in national, regional and local economic and market conditions; legislative and regulatory matters (including the cost of compliance or failure to comply with applicable laws and regulations); increases in gaming taxes and fees in the jurisdictions in which the Company operates; litigation; increased competition; reliance on key personnel (including our Chief Executive Officer, President and Chief Financial Officer, and Chief Operating Officer); the Company’s ability to comply with covenants in its debt instruments; terrorist incidents; natural disasters; severe weather conditions (including weather or road conditions that limit access to the Company’s properties); the effects of environmental and structural building conditions; the effects of disruptions to the Company’s information technology and other systems and infrastructure; factors affecting the gaming, entertainment and hospitality industries generally; and other risks and uncertainties discussed in the Company’s filings with the
Non-GAAP Financial Measures
To supplement the Company’s consolidated financial statements presented in accordance with
The presentation of this additional information is not meant to be considered in isolation or as a substitute for measures of financial performance prepared in accordance with GAAP. In addition, other companies in gaming industry may calculate Adjusted EBITDA differently than the Company does.
The Company defines “Adjusted EBITDA” as earnings before interest and other non-operating income (expense), income taxes, depreciation and amortization, impairment of assets, severance expenses, preopening and related expenses, gain or loss on disposal of assets and businesses, share-based compensation expenses, non-cash lease expense, and other non-cash charges that are deemed to be not indicative of the Company’s core operating results, calculated before corporate overhead (which is not allocated to each reportable segment).
About
|
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Consolidated Statements of Operations |
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(Unaudited, in thousands, except per share data) |
||||||||
|
|
Three Months Ended |
||||||
|
|
2024 |
|
2023 |
||||
Revenues |
|
|
|
|
||||
Gaming |
|
$ |
86,949 |
|
|
$ |
188,087 |
|
Food and beverage |
|
|
43,661 |
|
|
|
46,271 |
|
Rooms |
|
|
29,400 |
|
|
|
30,577 |
|
Other |
|
|
14,037 |
|
|
|
13,116 |
|
Total revenues |
|
|
174,047 |
|
|
|
278,051 |
|
Expenses |
|
|
|
|
||||
Gaming |
|
|
26,891 |
|
|
|
106,926 |
|
Food and beverage |
|
|
34,176 |
|
|
|
34,022 |
|
Rooms |
|
|
16,234 |
|
|
|
14,781 |
|
Other operating |
|
|
4,080 |
|
|
|
3,830 |
|
Selling, general and administrative |
|
|
59,987 |
|
|
|
62,036 |
|
Depreciation and amortization |
|
|
22,120 |
|
|
|
23,508 |
|
Loss (gain) on disposal of assets |
|
|
14 |
|
|
|
(86 |
) |
Gain on sale of business |
|
|
(69,736 |
) |
|
|
— |
|
Preopening expenses |
|
|
139 |
|
|
|
384 |
|
Total expenses |
|
|
93,905 |
|
|
|
245,401 |
|
Operating income |
|
|
80,142 |
|
|
|
32,650 |
|
Non-operating expense |
|
|
|
|
||||
Interest expense, net |
|
|
(10,686 |
) |
|
|
(18,236 |
) |
Total non-operating expense, net |
|
|
(10,686 |
) |
|
|
(18,236 |
) |
Income before income tax provision |
|
|
69,456 |
|
|
|
14,414 |
|
Income tax provision |
|
|
(27,493 |
) |
|
|
(2,784 |
) |
Net income |
|
$ |
41,963 |
|
|
$ |
11,630 |
|
|
|
|
|
|
||||
Weighted-average common shares outstanding |
|
|
|
|
||||
Basic |
|
|
28,724 |
|
|
|
28,308 |
|
Diluted |
|
|
30,679 |
|
|
|
30,904 |
|
Net income per share |
|
|
|
|
||||
Basic |
|
$ |
1.46 |
|
|
$ |
0.41 |
|
Diluted |
|
$ |
1.37 |
|
|
$ |
0.38 |
|
|
||||||||
Reconciliation of Adjusted EBITDA |
||||||||
(Unaudited, in thousands) |
||||||||
|
|
Three Months Ended |
||||||
|
|
2024 |
|
2023 |
||||
Revenues |
|
|
|
|
||||
|
|
$ |
101,012 |
|
|
$ |
100,176 |
|
|
|
|
38,991 |
|
|
|
41,238 |
|
Nevada Taverns (3) |
|
|
27,807 |
|
|
|
27,593 |
|
Corporate and other |
|
|
218 |
|
|
|
515 |
|
Total Revenues - Continuing Operations |
|
|
168,028 |
|
|
|
169,522 |
|
|
|
|
— |
|
|
|
18,128 |
|
Distributed Gaming (5) |
|
|
6,019 |
|
|
|
90,401 |
|
Total Revenues - Divested Operations |
|
|
6,019 |
|
|
|
108,529 |
|
Total Revenues |
|
$ |
174,047 |
|
|
$ |
278,051 |
|
Adjusted EBITDA |
|
|
|
|
||||
|
|
$ |
26,891 |
|
|
$ |
31,711 |
|
|
|
|
17,536 |
|
|
|
20,160 |
|
Nevada Taverns (3) |
|
|
7,561 |
|
|
|
8,538 |
|
Corporate and other |
|
|
(11,480 |
) |
|
|
(13,154 |
) |
Total Adjusted EBITDA - Continuing Operations |
|
|
40,508 |
|
|
|
47,255 |
|
|
|
|
— |
|
|
|
5,128 |
|
Distributed Gaming (5) |
|
|
484 |
|
|
|
9,784 |
|
Total Adjusted EBITDA - Divested Operations |
|
|
484 |
|
|
|
14,912 |
|
Total Adjusted EBITDA |
|
|
40,992 |
|
|
|
62,167 |
|
Adjustments |
|
|
|
|
||||
Depreciation and amortization |
|
|
(22,120 |
) |
|
|
(23,508 |
) |
Non-cash lease expense |
|
|
85 |
|
|
|
(33 |
) |
Share-based compensation |
|
|
(3,269 |
) |
|
|
(3,893 |
) |
(Loss) gain on disposal of assets |
|
|
(14 |
) |
|
|
86 |
|
Gain on sale of business |
|
|
69,736 |
|
|
|
— |
|
Preopening and related expenses (6) |
|
|
(139 |
) |
|
|
(384 |
) |
Other, net |
|
|
(5,129 |
) |
|
|
(1,785 |
) |
Interest expense, net |
|
|
(10,686 |
) |
|
|
(18,236 |
) |
Income tax provision |
|
|
(27,493 |
) |
|
|
(2,784 |
) |
Net income |
|
$ |
41,963 |
|
|
$ |
11,630 |
|
(1) |
Comprised of |
|
(2) |
Comprised of Arizona Charlie’s Boulder, Arizona Charlie’s Decatur, |
|
(3) |
Comprised of the operations of the Company’s branded tavern locations. |
|
(4) |
Comprised of the operations of the |
|
(5) |
Comprised of distributed gaming operations in |
|
(6) |
Preopening and related expenses consist of labor, food, utilities, training, initial licensing, rent and organizational costs incurred in connection with the opening of branded tavern and food and beverage and other venues within the casino locations. |
View source version on businesswire.com: https://www.businesswire.com/news/home/20240508917520/en/
President and Chief Financial Officer
(702) 893-7777
Investor Relations
JCIR
(212) 835-8500 or gden@jcir.com
Source: