NASDAQ$GDEN

Golden Entertainment Inc · Q1 2023 earnings

Q1 2023 earnings · · Investor relations

Briefing

Reported a revenue increase with elevated costs impacting Adjusted EBITDA.

Golden Entertainment reported a revenue increase of 2% to $278.1 million for Q1 2023, but net income decreased to $11.6 million, or $0.38 per fully diluted share, compared to $36.1 million, or $1.12 per fully diluted share, for Q1 2022. Adjusted EBITDA also decreased to $62.2 million from $67.3 million in the same period last year. The company announced the sale of its Nevada and Montana distributed gaming businesses.

  • Revenue for the first quarter was $278.1 million, a 2% increase year-over-year.
  • Net income for the first quarter was $11.6 million, or $0.38 per fully diluted share.
  • Adjusted EBITDA for the first quarter was $62.2 million.
  • Announced the sale of Nevada and Montana Distributed Gaming businesses, expected to close by year-end.

Headline financials

Total Revenue

$278M

Previous: $274M+1.6%
EPS (adj)

$0.38

Previous: $1.12-66.1%
Adjusted EBITDA

$62.2M

Previous: $67.3M-7.7%
Capital Expenditures

-$25.1M

Previous: -$10.8M-131.9%
Free Cash Flow

$29.5M

Previous: $32.7M-9.9%
Net Income

$11.6M

Previous: $36.1M-67.8%
Operating Income

$32.7M

Previous: $32.9M-0.7%
Gross Profit

$122M

Previous: $124M-1.4%
Cash & Equivalents

$110M

Previous: $202M-45.4%
Total Assets

$1.5B

Previous: $1.6B-6.5%
Stock-Based Comp

$3.29M

Previous: $3.14M+4.7%

Revenue & EPS history

Golden Entertainment · Revenue · Quarterly

$278M

Q1 2023+1.6%vs Q1 2022
Beat estimate in 6 of 15 quarters(40%)
ActualEstimate

Revenue by segment

Golden Entertainment · $62.7M total across 3 segments · Q1 2021

  • Food and Beverage
    $33.8M
  • Rooms
    $18.4M
  • Other
    $10.5M

Forward guidance

The company expects the sale of distributed gaming businesses to close by the end of 2023 and the sale of Rocky Gap property in Maryland to close by the end of June. Proceeds from these transactions will further reduce leverage.

Tailwinds

  • Sale of distributed gaming businesses expected to close by year-end.
  • Sale of Rocky Gap property expected to close by the end of June.
  • Sales proceeds will further reduce leverage.
  • Company will focus on investing in wholly-owned casino assets.
  • Company will focus on growing tavern portfolio in Nevada.

Headwinds

  • Elevated costs relative to last year continued to impact Adjusted EBITDA.
  • Failure to obtain, or delays in obtaining, required regulatory approvals or clearances for the Transactions.
  • Failure to satisfy any of the closing conditions to any of the Transactions on a timely basis or at all.
  • Changes in national, regional and local economic and market conditions.
  • Increases in gaming taxes and fees in the jurisdictions in which the Company operates.

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 Q1 2023

Historical avgQ1 2023

+0.9%

Avg return

Earnings day

+1.3%

Avg return

5 days after

+5.1%

Avg return

30 days after

56%

35 / 62 earnings

Positive

+20.6%

Q3 2012

Best reaction

-23.9%

Q4 2018

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2025+0.5%-0.1%-10.0%
Q3 2025+2.5%+4.2%-1.9%
Q2 2025-5.8%-3.8%-7.3%
Q1 2025+5.3%+14.8%+4.4%
Q4 2024+0.8%-2.5%-14.0%
Q3 2024+4.6%+9.9%+8.7%
Q2 2024+3.6%+7.3%+15.8%
Q1 2024+5.3%+2.3%-3.2%
Q4 2023-6.4%-11.6%+0.6%
Q3 2023+20.5%+22.0%+19.8%
Q2 2023-1.3%-2.0%-16.2%
Q1 2023-5.9%-4.4%+15.3%
Q4 2022-0.7%+5.3%+5.8%
Q3 2022-3.2%-0.7%+1.3%
Q2 2022-10.1%-9.2%-19.1%
Q1 2022-3.8%-8.6%+1.6%
Q4 2021-11.4%-12.1%+0.5%
Q3 2021-3.1%-0.6%-13.9%
Q2 2021+15.8%+10.9%+6.2%
Q1 2021+15.6%+18.6%+26.4%
Q4 2020+13.7%+17.8%+13.0%
Q3 2020+3.3%+1.5%+15.7%
Q2 2020+11.6%+16.6%+37.7%
Q1 2020+19.8%+8.9%+89.1%
Q4 2019-9.7%-41.4%-28.1%
Q3 2019+4.8%+8.7%+18.5%
Q2 2019-2.1%+4.3%+2.8%
Q1 2019+2.2%-2.5%-5.2%
Q4 2018-23.9%-12.8%-4.4%
Q3 2018-16.5%-17.2%+1.3%
Q2 2018-10.1%-9.2%-15.3%
Q1 2018+5.1%+4.5%+9.4%
Q4 2017-1.0%-11.1%-19.5%
Q3 2017+10.9%+10.8%+19.1%
Q2 2017+1.6%+2.0%+11.7%
Q1 2017+7.8%+18.9%+13.7%
Q4 2016+12.3%+18.6%+13.7%
Q3 2016-7.6%-9.7%+8.0%
Q2 2016+2.0%+0.4%-2.5%
Q1 2016+0.0%
Q4 2015+0.7%
Q3 2015-1.0%
Q2 2015+0.5%
Q1 2015+0.5%
Q4 2014+0.3%
Q3 2014+1.9%
Q2 2014+0.2%
Q1 2014+1.2%
Q4 2013-3.2%
Q3 2013+1.7%
Q2 2013-4.4%
Q1 2013-4.1%
Q4 2012-2.0%
Q3 2012+20.6%
Q2 2012-2.6%
Q1 2012-1.6%
Q3 2011+2.9%
Q2 2011+2.8%
Q4 2011+2.8%
Q1 2011+5.7%
Q1 2010-6.9%
Q4 2009-8.7%

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