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Jun 30, 2023

Monarch Q2 2023 Earnings Report

Monarch reported record second quarter financial results with increased net revenue and Adjusted EBITDA.

Key Takeaways

Monarch Casino & Resort reported record second-quarter results, driven by a strong market position in Black Hawk and improved performance at Atlantis. Net revenue reached $123.7 million, and Adjusted EBITDA grew to $42.1 million, resulting in an Adjusted EBITDA margin of 34.1%.

Net revenue increased by 7.3% year over year to $123.7 million.

Adjusted EBITDA grew by 6.8% year over year to $42.1 million.

Casino and food and beverage revenues increased by 7.8% and 10.8% year over year, respectively.

The company declared a cash dividend of $0.30 per share payable on September 15, 2023.

Total Revenue
$124M
Previous year: $115M
+7.3%
EPS
$1.14
Previous year: $0.99
+15.2%
Adjusted EBITDA
$42.1M
Gross Profit
$65.8M
Previous year: $61.5M
+6.9%
Cash and Equivalents
$35.1M
Previous year: $30.6M
+14.8%
Free Cash Flow
$18M
Previous year: $13.3M
+35.1%
Total Assets
$665M
Previous year: $694M
-4.1%

Monarch

Monarch

Forward Guidance

The company remains committed to returning capital to stockholders and will continue to evaluate potential acquisition opportunities.

Positive Outlook

  • Strong balance sheet.
  • Free cash flow.
  • Investment in existing properties.
  • Quarterly cash dividends.
  • Potential share repurchases.

Challenges Ahead

  • Market competition in Reno.
  • Hotel revenue impacted by renovation work.
  • Increased utility expenses.
  • Increased insurance expenses.
  • Increased marketing and advertising expenses.