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Jun 30, 2020
Full House Resorts Q2 2020 Earnings Report
Full House Resorts announced second quarter results, which were impacted by property closures due to the COVID-19 pandemic.
Key Takeaways
Full House Resorts' Q2 2020 results were significantly impacted by the COVID-19 pandemic, with casino closures affecting revenue. However, the company highlighted strong performance in June 2020, particularly at the Silver Slipper Casino and Hotel, after properties began reopening in late May and mid-June. The company's first mobile sports wagering provider in Colorado also launched operations in June 2020.
All properties reopened by mid-June 2020 after closures in mid-March due to COVID-19.
Consolidated net revenues decreased to $14.5 million from $41.7 million in the prior-year period.
Net loss for the second quarter of 2020 was $(6.7) million, or $(0.25) per diluted common share.
Adjusted EBITDA in the 2020 second quarter was $(1.4) million versus $4.3 million in the second quarter of 2019.
Full House Resorts
Full House Resorts
Forward Guidance
Full House Resorts is focused on financial liquidity, managing the impact of the COVID-19 pandemic, and the potential for future growth through online sports wagering and casino development opportunities.
Positive Outlook
- Expected commencement of remaining sports wagering websites in Indiana and Colorado.
- Anticipated revenues from sports wagering and related agreements.
- Potential for forgiveness of loans received under the CARES Act.
- Pursuit of covenant waivers or amendments with lenders.
- Continued bidding for the opportunity to build a new casino in Waukegan, Illinois.
Challenges Ahead
- Adverse impact of the COVID-19 pandemic on business, construction projects, financial condition, and operating results.
- Potential for additional shutdowns, travel restrictions, and social distancing measures due to COVID-19.
- Risk of decreased guest visitation or spending patterns due to COVID-19.
- Potential uninsurable liability exposure to customers and staff infected with COVID-19.
- Uncertainties over the development and success of acquisition and expansion projects.