Mar 31, 2023

Full House Resorts Q1 2023 Earnings Report

Full House Resorts reported a net loss and revenue increase for Q1 2023.

Key Takeaways

Full House Resorts announced a 21% increase in revenue to $50.1 million for the first quarter of 2023. However, the company reported a net loss of $11.4 million, or $(0.33) per diluted common share, which includes $10.5 million of preopening and development costs.

Revenues increased 21.0% to $50.1 million.

The Temporary by American Place officially opened on February 17th.

Full opening of Chamonix Casino Hotel slated for December 26, 2023.

The Temporary by American Place generated $10.4 million of revenue and $3.6 million of Adjusted Property EBITDA.

Total Revenue
$50.1M
Previous year: $41.4M
+21.0%
EPS
-$0.33
Previous year: $0.003
-11100.0%
Adjusted EBITDA
$10.1M
Previous year: $8.4M
+20.6%
Gross Profit
$27.6M
Cash and Equivalents
$142M
Previous year: $320M
-55.4%
Free Cash Flow
-$59.1M
Total Assets
$674M

Full House Resorts

Full House Resorts

Forward Guidance

The company is focused on the upcoming opening of Chamonix and the continued ramp-up of operations at The Temporary.

Positive Outlook

  • Illinois Sportsbook Expected to Commence Operations by August 2023
  • Full Opening of Chamonix Casino Hotel Slated for December 26, 2023
  • Expect to begin 24-hour casino operations on weekends, as well as the removal of all restrictions on table game limits and table game operating hours on May 12th.
  • We expect to complete our opening of The Temporary with the addition of 22 more table games by June, followed by the opening of our fine-dining restaurant and an on-site sportsbook.
  • The Company believes that its Illinois sports skin will begin operations by August 2023, pending customary regulatory approvals.

Challenges Ahead

  • The company reported a net loss of $11.4 million for the first quarter of 2023
  • Results in both periods reflect the temporary loss of all on-site parking and on-site hotel rooms at Bronco Billy’s to accommodate the construction of neighboring Chamonix.
  • The current period reflects significant snowfall near Lake Tahoe and in Colorado, adversely impacting guest traffic at our Grand Lodge and Bronco Billy’s properties.
  • The results of this segment do not yet include income contribution from the Company’s Illinois sports skin.
  • General macroeconomic conditions could impact the company's financial results.