PNGI Reports Increased Earnings for Quarter
Description:
Penn National Gaming reported increases in revenue, income from operations, and adjusted earnings for its second quarter but the racetrack, casino, and hotel owner noted those increases finished below guidance.
PNGI said second quarter revenue was up 9.8% when compared with the same three months ending June 30 of 2015 to $769.4 million, income from operations improved 21.1% to $149.3 million and adjusted earnings increased 14.5% to $223.8 million.
PNGI president Timothy Wilmott said a soft regional market contributed to the quarterly financials falling short of guideance.
"As reported by most jurisdictions, regional gaming industry trends began softening midway through the second quarter and remained so through June. Largely reflecting the change in the operating environment, Penn National's 9.8%, 21.1% and 14.5% year-over-year increases in second quarter net revenue, income from operations and adjusted EBITDA, respectively, were slightly below guidance after accounting for various property level adjustments and corporate expense reductions. While the current operating environment reflects some challenges, our second quarter financial growth reflects meaningful contributions from our expansion and diversification initiatives over the last year, including Plainridge Park Casino, Tropicana Las Vegas and Prairie State Gaming."