Bally’s Corporation has recently released its quarter one financials, which CEO Robeson Reeves deemed a “promising beginning” to the fiscal year. However, the encouraging outcomes in various sectors were overshadowed by a loss of $173.9 million, leading to a fall in the company’s stock price.
In the first quarter, Bally’s announced a total company revenue of $618.5 million, indicating a year-on-year growth of 3.3%. In contrast, income from the casinos & resorts division expanded by 4.1% up to $342.3 million.
Besides, the corporation revealed an international interactive revenue of $234.7 million, marking a downturn of 4.4% compared to the previous year. Nevertheless, in the North American market, Bally’s interactive revenue surged impressively by 70.2% to $41.5 million.
However, Bally’s wrapped up the quarter suffering a loss of $173.9 million due to a decline in earnings and inflation in expenses. For perspective, in the first quarter of 2023, Bally’s recorded a net gain of $178.3 million.
The adjusted EBITDAR for this period escalated by 4% year-on-year, to $148 million, despite the lesser revenue comparisons in the earlier period.
Along with this, Bally’s revealed its guidance for the fiscal year 2024, predicting a full-year income of in the range of $2.5 billion to $2.7 billion. The corporation anticipates adjusted EBITDAR to be approximately between $655 million and $695 million.
These outcomes reflect the closure of the Tropicana, the ongoing ascension of the temporary casino in Chicago as well as the revenue climb owing to the growth of Bally’s iGaming ventures.
The Corporation Maintains a Positive Outlook on Its Status
Despite these financial drawbacks, CEO Robeson Reeves remains confident that these figures signify a favorable commencement to 2024 and appreciated the performance in the company’s casino & resorts and NA interactive divisions.
Reeves expressed regret about the marginal dip in international interactive income but pointed out that the corporation’s digital ventures in the UK saw a surge of 12%. He is also hopeful about the company’s future in Spain following the recent relaxation of specific advertising restrictions.
Reeves further noted that the success of the company’s temporary casino in Chicago significantly boosted its casino performance.
Marcus Glover, Bally’s chief financial officer, also made remarks on the corporation’s financial status.
The financial outcomes for the first quarter of 2024 underline the robustness of our diverse business divisions. The operational teams at Bally’s remain steadfast in their commitment to cost reduction and enhancement of operational efficiency.
Marcus Glover, CFO, Bally’s
Glover went on to add that the corporation is analyzing all business channels and executing strategies to systematize or centralize tasks “where appropriate.” He concluded that substantial progress has been made on several of these initiatives.
Meanwhile, CEO Reeves made comments about the corporation’s Chicago casino, suggesting that it is on track to open as planned despite the financial difficulties.
