Second Quarter Revenue of Penn Entertainment deemed "strong" according to CEO's statement
In the second quarter of 2025, Penn Entertainment, a leading name in the gaming industry, reported robust performance from its commercial casinos. The total revenues for the quarter were approximately $1.76 to $1.77 billion, marking a 6.1% year-over-year growth. This growth was primarily driven by gaming operations, which generated around $1.37 billion in revenue.
The interactive (online) segment of Penn Entertainment also showed significant growth, with a 35.9% year-over-year revenue increase. This segment generated approximately $316 million, although it still posted losses, albeit with a sharp reduction compared to previous years.
Total net loss for the quarter narrowed by 35%, approximately ranging from $17.4 to $18.3 million. This improvement reflects the company's efforts to enhance operational efficiency despite ongoing cost pressures. Adjusted EBITDAR (Earnings Before Interest, Taxes, Depreciation, Amortization, and Rent) was reported at around $392 million.
Penn Entertainment's earnings per share (EPS) improved but slightly missed analyst estimates, with reported EPS around $0.10 to $0.12.
The company's strong performance was underpinned by a robust retail presence and successful integration of online gaming. While explicit player counts were not detailed, the substantial rise in interactive segment revenues and the mention of combined online and retail platforms suggest strong growth in player engagement.
Jay Snowden, CEO of Penn Entertainment, stated that the revenue figures were "solid". He also noted positive trends in unrated play, visitation, and spend per visit.
Penn Entertainment repurchased 5,835,467 shares of its common stock in open market transactions for $90.3 million in the second quarter of 2025, with the average price per share for the repurchased stocks being $15.47.
Looking ahead, Penn Entertainment’s revenue is forecast to grow at an estimated annual rate of 5.3% over the next three years, reflecting confidence in continued development of both commercial casino operations and the digital gaming footprint.
Property-level performance was highlighted by theoretical revenue growth across all rated age and worth segments. Segment Adjusted EBITDAR (Adjusted EBITDA plus rent expense associated with triple net operating leases) totaled $392.1 million for the second quarter of 2025, an increase from $367 million in second quarter 2024. Adjusted EBITDA for the second quarter of 2025 was $236.1 million, an increase from $212.1 million in the same period of 2024.
In summary, Penn's Q2 2025 performance shows solid commercial casino revenue growth, notable online revenue expansion, improved profitability metrics, and ongoing integration of online to retail customer bases contributing to theoretical revenue growth projections.
- The gaming industry, represented by Penn Entertainment, continues to experience growth in finance and business, with a focus on investing in wealth-management and personal-finance.
- The company's performance in the digital sector, specifically banking-and-insurance and fintech, also showcased significant growth, albeit with losses.
- The real-estate sector is strengthened by the robust retail presence of Penn Entertainment, contributing to the growth in player engagement.
- Big wins were reported in the casino-and-gambling segment, with the company showing potential for big-wins in the future.
- Casino-culture, casino-personalities, and gambling-trends are evident in the strategies used by Penn Entertainment to optimize their casino operations.
- Meanwhile, the company emphasizes responsible-gambling practices to ensure a balance between business growth and the well-being of its patrons.
- Las Vegas, being a major hub for the gaming industry, may witness a surge in casino revenues due to Penn Entertainment's successful strategies.
- In addition to traditional casino games, lotteries might also experience a boost in revenue as Penn Entertainment diversifies its offerings.
- As the gaming industry continues to evolve, Penn Entertainment's consistent growth and adaptability are keys to succeeding in an increasingly competitive environment.
