Entertainment
American casino giant PENN Entertainment has published its financials for the first quarter of the year, reporting an increase in revenue. The company’s adjusted EBITDAR was likewise stronger despite certain headwinds in January and February.
The Company’s Financials Were Mostly Favorable Despite Earlier Setbacks
The company’s total revenue for the period increased by 4.1% year-on-year to $1.67 billion. For comparison, PENN reported revenue of $1.6 billion in the prior-year period. At the same time, PENN’s net income for Q1 2025 stood at $111.5 million, up from a net loss of $114.9 million in Q1 2024.
PENN reported adjusted EBITDA of $173.3 million for the three-month period, marking an increase from $101.4 million in the prior-year period. Adjusted EBITDAR, on the other hand, experienced a more modest increase from $154.8 million to $155.9 million. CEO Jay Snowden attributed the slower EBITDAR growth to portfolio-wide weather events which negatively impacted the metric by at least $10 million.
PENN added that it recorded diluted earnings of $0.68 per share, up from a loss of $0.76 per share in Q1 2024.
PENN’s Q1 report also shows that the Northeast, South, Midwest and Other segments experienced a varying level of decline. Conversely, the West and Interactive segments recorded growth.
The Company’s Growth Continued
In Q1, PENN reported strong player engagement thanks to the PENN Play loyalty program and significant investments in hospitality and entertainment.
The company also reported benefits from its differentiated omni-channel strategy, which has driven higher spend among clients in Pennsylvania and Michigan.
In Q1, PENN also completed a $25 million share buyback, spending a total of $25 million to repurchase 1,413,882 shares of its common stock at an average price of $17.67 apiece.
In the post-Q1 period, PENN repurchased an additional 640,352 shares at an average price of $15 per share for a total of $9.6 million.
PENN added that its total liquidity as of March 31, 2025, stood at $1.5 billion. This included $591.6 million in cash and cash equivalents. Additionally, the company reported $2.1 billion in traditional net debt as of the end of the quarter.
CEO Snowden Applauded the Execution of PENN’s Strategy
CEO Snowden attributed PENN’s continued success to the steady growth of the Interactive segment, which was underpinned by ESPN BET and theScore BET. The iGaming momentum, according to him, was bolstered by the compelling results of PENN’s standalone iCasino app in Pennsylvania and Michigan.
Throughout the year we plan to continue executing our strategy to provide a differentiated, personalized digital offering while also working to deliver on our performance goals.
Jay Snowden, CEO, PENN Entertainment
Snowden added that the PENN properties have likewise demonstrated strong resilience despite the challenges in the early months of the year. He added that the land-based performance rebounded in March and has so far remained consistent.
In the meantime, PENN faces a legal challenge from one of its investors because of a recent corporate decision.
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Angel Hristov