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Dec 31, 2022

Monarch Q4 2022 Earnings Report

Monarch reported record fourth quarter financial results, driven by the ongoing ramp up of the expanded and enhanced Black Hawk property.

Key Takeaways

Monarch Casino & Resort reported a strong 2022 fourth quarter with record financial results. Net revenue reached $120.5 million, and Adjusted EBITDA grew to $41.6 million, with a margin of 34.5%. The company is benefiting from the ongoing ramp up of its Black Hawk property.

Net revenue increased by 8.5% year over year to $120.5 million.

Adjusted EBITDA grew by 6.6% year over year to $41.6 million, with an Adjusted EBITDA margin of 34.5%.

Net income increased by 12.9% compared to the same period last year.

Diluted EPS increased by 11.8% compared to the same period last year.

Total Revenue
$121M
Previous year: $111M
+8.5%
EPS
$1.14
Previous year: $1.02
+11.8%
Gross Profit
$64.6M
Previous year: $60.3M
+7.2%
Cash and Equivalents
$38.8M
Previous year: $33.5M
+15.7%
Free Cash Flow
$25.5M
Previous year: $11.9M
+114.7%
Total Assets
$693M
Previous year: $690M
+0.4%

Monarch

Monarch

Forward Guidance

Monarch expects to continue investing in its existing operations and pursue potential M&A opportunities. The company anticipates completing hotel room renovations at the Atlantis property before Memorial Day 2023 and expects to pay total cash dividends of $5.90 per share for the calendar year 2023.

Positive Outlook

  • Continuing strength of balance sheet.
  • Expected free cash flow generation.
  • Expectations regarding continuing dividend payments in the future.
  • Beliefs regarding the strengths of the local markets served in Reno and Black Hawk.
  • Expectations regarding the completion of room renovations at the Atlantis.