Bally’s third-quarter revenue tops $633 million

Finance News

Bally’s today reported financial results for the third quarter ended September 30, 2023.

Bally’s reported revenue of $633.5 million, an increase of 9.4% year-over-year. International Interactive revenue of $243.9 million, up 7.2% year-over-year, driven by a 13.1% increase in the UK as market share gains continue.

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.

These included the highly anticipated opening of our Chicago Temporary Casino as well as the completion of our reconceptualized Kansas City redevelopment. Additionally, we successfully rolled out our new Bally Bet OSB app, strengthening our solid foundation as we approach 2024.

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. Bally’sInternational 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 in USD. We continue to gain incremental share in the UK due to our timely adaptations in response to regulatory changes. Our formula of increasing Average Revenue Per User (ARPU) and First-Time Depositors (FTDs), while reducing Cost Per Acquisition (CPA), is yielding positive results. Our Bally Bet rollout will continue in the fourth quarter, and we are extremely pleased with the user engagement and the technology integration.”

Bally’s had a consolidated net loss in the quarter of $61.8 million and generated Adjusted EBITDAR of $173.2 million and Adjusted EBITDA of $141.6 million. For the nine-month period through September 2023, net income was $90.9 million with Adjusted EBITDAR of $492.2 million and Adjusted EBITDA of $398.0 million.

In terms of segment contribution highlights for the quarter, Casinos & Resorts generated Adjusted EBITDAR of $118.2 million, which included straight-line GAAP rent expense of $31.6 million. International Interactive generated Adjusted EBITDAR of $85.5 million this quarter, a 12.0% year-over-year increase compared with $76.3 million last year. North America Interactive reported an Adjusted EBITDAR loss of $(17.6) million this quarter compared with an Adjusted EBITDAR loss of $(19.7) million for the prior year period.

George Papanier, Bally’s President, added, “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.