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Jun 30, 2023
Bally's Q2 2023 Earnings Report
Announced second quarter 2023 results, marked by revenue growth and strategic advancements.
Key Takeaways
Bally's Corporation reported a revenue increase of 9.7% year-over-year, reaching $606.2 million. The Casinos & Resorts segment saw record revenue, while International Interactive also grew. However, the company experienced a net loss of $25.7 million, though Adjusted EBITDAR increased by 8.7% to $161.4 million.
Revenue increased by 9.7% year-over-year, reaching $606.2 million.
Casinos & Resorts segment achieved record revenue of $333.2 million, up 11.1% year-over-year.
International Interactive revenue grew by 5.6% year-over-year, totaling $247.8 million, driven by UK's robust performance.
Rhode Island legalized iGaming, naming Bally’s as the sole provider, with an expected launch in March 2024.
Bally's
Bally's
Bally's Revenue by Segment
Revenue by Segment
Casinos & Resorts Revenue
CapyFin.comInternational Interactive Revenue
CapyFin.comNorth America Interactive Revenue
CapyFin.com Forward Guidance
Bally’s is maintaining its Revenue guidance provided on May 9, 2023, which remains in the range of $2.5 billion to $2.6 billion and its Adjusted EBITDAR guidance range of $665 million to $700 million. This includes somewhat better performance from our core Casinos & Resorts and International Interactive business units versus our original expectations, as it now includes a new range of $50 million to $60 million of Adjusted EBITDA losses in North America Interactive, a $10 million higher loss at the midpoint, as we are investing in the business. This includes our Pennsylvania iGaming launch, our Bally Bet rollout and our omni-channel. Guidance for rent expense remains at $125 million (actual cash rent of $119 million) for the year. We are also maintaining our 2023 Capital Expenditure guidance of $160 million, with maintenance capex at Casinos & Resorts of $50 million, growth capex at Casinos & Resorts of $70 million, and Software Development Costs (SDC) costs of $40 million.
Positive Outlook
- Revenue guidance maintained between $2.5 billion and $2.6 billion.
- Adjusted EBITDAR guidance remains between $665 million and $700 million.
- Core Casinos & Resorts performing better than original expectations.
- International Interactive business units performing better than original expectations.
- Capital Expenditure guidance maintained at $160 million.
Challenges Ahead
- Adjusted EBITDA losses in North America Interactive now expected to range between $50 million and $60 million.
- Increased investment in North America Interactive impacting profitability.
- Pennsylvania iGaming launch costs contributing to higher losses.
- Bally Bet rollout costs contributing to higher losses.
- Omni-channel investment impacting profitability.
Revenue & Expenses
Visualization of income flow from segment revenue to net income