NASDAQ$FLL

Full House Resorts Inc · Q4 2019 earnings

Q4 2019 earnings · · Investor relations

Briefing

Full House Resorts experienced a revenue decrease and a net loss due to casino downtime and increased marketing expenses.

Full House Resorts reported a decrease in net revenues for the fourth quarter of 2019, from $40.7 million to $39.0 million. The company experienced a net loss of $4.1 million, compared to a net loss of $1.0 million in the prior-year period. Adjusted EBITDA was $2.3 million versus $3.8 million in the fourth quarter of 2018.

  • Net revenues decreased by 4.1% to $39.0 million compared to $40.7 million in the prior-year period.
  • Net loss was $4.1 million, or $(0.15) per diluted common share, compared to a net loss of $1.0 million, or $(0.07) per diluted common share, in the prior-year period.
  • Adjusted EBITDA was $2.3 million versus $3.8 million in the fourth quarter of 2018.
  • One of the company’s three permitted mobile “skins” commenced operations in Indiana on December 30, 2019.

Headline financials

Total Revenue

$39M

Previous: $40.7M-4.1%
EPS (adj)

-$0.15

Previous: -$0.07-114.3%
Adjusted EBITDA

$2.3M

Previous: $3.8M-39.5%
Capital Expenditures

$2.43M

Previous: $3.2M-24.1%
Free Cash Flow

$2.33M

Previous: $210K+1009.5%
Net Income

-$4.13M

Previous: -$989K-317.9%
Operating Income

-$369K

Previous: $1.15M-132.2%
Gross Profit

$16.1M

Previous: $16.2M-0.3%
Cash & Equivalents

$29.9M

Previous: $20.6M+44.9%
Total Assets

$211M

Previous: $182M+15.9%
Stock-Based Comp

$85K

Previous: $111K-23.4%

Revenue & EPS history

Full House Resorts · Revenue · Quarterly

$39M

Q4 2019-4.1%vs Q4 2018
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Revenue by segment

Full House Resorts · $71.5M total across 3 segments · Q3 2023

  • Midwest & South
    $52.6M
  • West
    $11.1M
  • Contracted Sports Wagering
    $7.91M+619.9%

Forward guidance

Full House Resorts expects annual revenue guarantees for two other permitted sports wagering ‘skins’ to commence operations in Indiana in the second quarter of 2020 and the launch of sports wagering in Colorado in mid-2020. When all of the company's sports wagering ‘skins’ in both Indiana and Colorado have commenced operations, sports wagering revenue guarantees should total at least $7.0 million per year.

Tailwinds

  • Annual revenue guarantees for two other permitted sports wagering ‘skins’ to commence operations in Indiana in the second quarter of 2020
  • The State of Colorado continues to progress swiftly with their pending launch of sports betting.
  • Sports wagering contracts have ten-year minimum terms.
  • Sports wagering agreements are transformational for the company.
  • Company advanced its proposal for a new gaming resort destination in Waukegan, Illinois

Headwinds

  • Net revenues in the fourth quarter of 2019 decreased 4.1% to $39.0 million from $40.7 million in the prior-year period.
  • Net loss for the fourth quarter of 2019 was $4.1 million, or $(0.15) per diluted common share, compared to a net loss of $1.0 million, or $(0.07) per diluted common share, in the prior-year period.
  • Adjusted EBITDA in the 2019 fourth quarter was $2.3 million versus $3.8 million in the fourth quarter of 2018, reflecting casino downtime during the installation of new slot systems at Bronco Billy’s and Rising Star, as well as a temporary increase in marketing expenses at Rising Star.
  • Northern Nevada operations were affected by adverse hold in the fourth quarter, as well as a temporary decline in visitor activity at the nearby Naval base.
  • Efforts to upgrade Bronco Billy’s and Rising Star properties temporarily affected results due to downtime during the installation of new slot systems.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2019

Historical avgQ4 2019

+0.8%

Avg return

Earnings day

+3.1%

Avg return

5 days after

+4.4%

Avg return

30 days after

55%

35 / 64 earnings

Positive

+40.4%

Q2 2020

Best reaction

-37.2%

Q4 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.8%+12.3%-2.8%
Q4 2026+17.6%+25.1%+12.3%
Q3 2026+10.2%+12.6%+16.3%
Q1 2025-5.5%+9.7%-4.5%
Q4 2024+2.9%+1.9%-19.8%
Q3 2024-4.1%-2.0%-11.9%
Q2 2024-0.2%+1.6%+0.8%
Q1 2024+6.0%+2.6%+0.0%
Q4 2023+0.4%-2.3%+3.3%
Q3 2023+21.8%+19.7%+32.3%
Q2 2023-17.2%-15.6%-25.4%
Q1 2023+7.2%+3.3%+12.8%
Q4 2022-9.4%-19.6%-30.2%
Q3 2022-5.5%+5.4%+10.5%
Q2 2022+3.9%+9.6%+11.1%
Q1 2022-21.3%-13.7%-9.0%
Q4 2021+22.3%+14.1%+19.6%
Q3 2021+2.8%+3.1%+10.0%
Q2 2021+5.2%+1.9%+1.2%
Q1 2021-0.2%-9.2%+4.6%
Q4 2020+16.9%+20.7%+27.5%
Q3 2020+21.9%+39.6%+39.3%
Q2 2020+40.4%+34.8%+53.9%
Q1 2020-2.7%+14.7%+15.3%
Q4 2019-37.2%-59.8%-32.8%
Q3 2019+13.7%+21.5%+42.3%
Q2 2019+3.4%+7.5%+8.6%
Q1 2019-12.1%-16.7%-22.3%
Q4 2018+0.9%+3.3%-4.3%
Q3 2018-1.4%-7.6%-25.7%
Q2 2018+1.2%-0.7%+1.3%
Q1 2018-1.2%-2.0%-1.7%
Q4 2017+0.3%+0.6%+3.5%
Q3 2017+0.3%+9.4%+21.6%
Q2 2017+2.0%-0.8%+0.0%
Q1 2017+0.4%+0.9%+1.3%
Q4 2016+0.0%-2.6%+5.7%
Q3 2016+2.4%+0.0%+13.9%
Q2 2016-0.2%-4.1%-7.7%
Q1 2016+6.2%
Q4 2015+5.6%
Q3 2015+8.4%
Q2 2015+0.0%
Q1 2015+4.4%
Q4 2014-5.9%
Q3 2014+2.4%
Q2 2014-22.2%
Q1 2014-18.8%
Q4 2013+1.2%
Q3 2013+1.1%
Q2 2013-3.5%
Q1 2013+4.6%
Q4 2012-1.2%
Q3 2012-3.1%
Q2 2012-5.1%
Q1 2012-0.3%
Q4 2011-3.8%
Q3 2011-4.2%
Q2 2011-3.0%
Q1 2011-0.2%
Q4 2010+0.3%
Q3 2010+1.7%
Q2 2010-3.7%
Q1 2010+2.3%

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