Bally’s Corp. has reported an all-time high of $632.5 million in revenue for the third quarter of 2023, up 9.4% when compared to the same period last year, driven by a record performance in its core casinos and resorts segment. However, higher spending offset this growth, leading to a Q3 loss and Bally’s lowering its full-year guidance.
Robeson Reeves, Bally’s Chief Executive Officer, said: “Bally’s continued to generate very solid operating results across all three of our business segments as revenues rose to $632.5 million, a 9.4% year-over-year increase, while also achieving significant development and project milestones.”
“Our core Casinos & Resorts segment produced record third-quarter revenues of $359.0 million, a 9.3% increase compared to the third quarter of 2022. International Interactive continues its impressive performance, with revenues increasing 7.2% year-over-year, led by our robust UK business, where revenues rose by 13.1% year-over-year,” he added.
The company’s North America Interactive segment was also up, with revenue here amounting to $29.6 million, up from $22.1 million in the same quarter last year. The segment also reduced its Adjusted EBITDAR loss from $19.7 million in Q3 2022 to a $17.6 million loss this quarter.
However, despite the overall revenue growth, the Rhode Island-based casino operator reported a company-wide net loss of $61.8 million for the period. Costs and operating expenses for the quarter were up to $595.2 million, hiking by 13.5% from last year.
As usual, most of Bally’s revenue came from its gaming segment, which generated $508,8 million in revenue, while non-gaming revenue accounted for the remaining $123,5 million.
George Papanier, Bally’s President, commented: “Bally’s portfolio of assets remains well-positioned, and has demonstrated significant year-over-year revenue growth. We continue to take share in our respective markets, which the monthly gaming data illustrates, as we outperformed peers in most states.”
“While we are closely monitoring consumer spending, we haven’t seen major shifts in customer behavior, with the exception of very specific instances,” he noted.
Ribbon cutting ceremony at Bally's at Medinah Temple
As for Q3 highlights, the business held the opening of its temporary Chicago casino at Medinah Temple during the three-month period. The company reported that from Sept. 9 through Sept. 30, the casino raked in close to $7 million in revenue during its initial three weeks of operation.
Moreover, in September, the company officially opened an expansion to its Bally’s Kansas City casino, encompassing more than 35,000 square feet of gaming and retail space. Additionally, the business successfully rolled out its new Bally Bet OSB app, “strengthening our solid foundation as we approach 2024.”
Ribbon cutting ceremony at Bally's Kansas City
“We are pleased with the September opening of our Chicago Temporary Casino. We have satisfied our critical operating criteria and execution milestones, and expect to receive the necessary regulatory support to expand and accelerate marketing initiatives beginning later this month, which will enable us to bolster revenue and EBITDAR,” said the company’s President.
“The completion of our property redevelopment in Kansas City was extremely well-received by our patrons as well, and we expect to ramp up our marketing efforts this holiday season to re-introduce yet another Bally’s flagship property. Our portfolio’s near-term capex cycle has come to its end, and we expect to benefit from our capital improvements over the last two years throughout 2024,” he further added.
George Papanier, Bally's President
Bally’s is now lowering the full-year revenue guidance provided in May for the remainder of the year to $2.4 billion to $2.5 billion. The figure is down from a previous range of $2.5 billion to $2.6 billion.
The company also provided a year-to-date update, with revenue in the nine months to September 30 reaching $1.84 billion, up 9.4%. Gaming revenue amounted to $1.49 billion, while non-gaming revenue hit $348.3 million.
Original article: https://www.yogonet.com/international/noticias/2023/11/01/69461-bally-39s-reports-record-revenue-of-632m-in-q3-but-losses-mount-as-spending-offsets-growth
