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Mar 31, 2022

GLPI Q1 2022 Earnings Report

Announced financial results for the quarter ended March 31, 2022.

Key Takeaways

Gaming and Leisure Properties, Inc. reported solid first-quarter financial results, driven by ongoing initiatives to expand its high-quality regional gaming portfolio. The company completed the acquisition of land and real estate assets of Live! Casino & Hotel Philadelphia and Live! Casino Pittsburgh and broadened its relationship with Bally's Corporation through the acquisition of land and real estate assets of their three casinos in Black Hawk, CO, and Bally’s Quad Cities Casino & Hotel in Rock Island, IL.

Completed the acquisition of the land and real estate assets of Live! Casino & Hotel Philadelphia and Live! Casino Pittsburgh from The Cordish Companies.

Entered into new lease agreements with Cordish with strong rent coverage and an accretive cap rate.

Completed the acquisition from Bally's Corporation of the land and real estate assets of their three casinos in Black Hawk, CO, and Bally’s Quad Cities Casino & Hotel in Rock Island, IL.

Positioned GLPI for future growth opportunities with Cordish with an agreement to co-invest in all new gaming developments in which Cordish engages over a 7 year period.

Total Revenue
$315M
Previous year: $302M
+4.5%
EPS
$0.86
Previous year: $0.84
+2.4%
Adjusted EBITDA
$293M
Previous year: $267M
+10.0%
Funds from Operations
$180M
Previous year: $184M
-1.8%
Adjusted Funds From Ops
$219M
Previous year: $196M
+11.7%
Gross Profit
$301M
Previous year: $275M
+9.6%
Cash and Equivalents
$156M
Previous year: $521M
-70.0%
Total Assets
$10.7B
Previous year: $9.01B
+18.9%

GLPI

GLPI

GLPI Revenue by Segment

Forward Guidance

GLPI is well positioned to drive further growth based on its growing broad portfolio of blue-chip regional gaming assets, close relationships with its tenants, its rights and options to participate in select tenants’ future growth and expansion initiatives, and its ability to structure and finance transactions that it believes will be accretive to rental cash flows.

Positive Outlook

  • Growing broad portfolio of blue-chip regional gaming assets
  • Close relationships with tenants
  • Rights and options to participate in select tenants’ future growth and expansion initiatives
  • Ability to structure and finance transactions
  • Transactions will be accretive to rental cash flows

Challenges Ahead

  • Effect of pandemics, such as COVID-19, on GLPI as a result of the impact such pandemics may have on the business operations of GLPI’s tenants and their continued ability to pay rent in a timely manner or at all
  • Potential negative impact of recent high levels of inflation (which have been exacerbated by the armed conflict between Russia and Ukraine) on tenants operations
  • GLPI's ability to participate in its tenants' growth and expansion initiatives
  • GLPI’s ability to successfully consummate the announced transaction for Tropicana Las Vegas with Bally's, including the ability of the parties to satisfy the various conditions to closing, including receipt of all required regulatory approvals, or other delays or impediments to completing the proposed transaction
  • Availability of and the ability to identify suitable and attractive acquisition and development opportunities and the ability to acquire and lease those properties on favorable terms

Revenue & Expenses

Visualization of income flow from segment revenue to net income