Penn CEO says mid-terms elections were positive for the operator and the gaming industry - CDC Gaming. According to Penn Entertainment CEO Jay Snowden, Election Day was good for his company and the gaming industry in general. "Tuesday night was a good day and a good night for the sector in in a lot of ways," Snowden said during Thursday's earnings call. "It was certainly a really good day and night for Penn specifically." The hope is that the new wave of Democratic legislators will be more amenable to gaming proposals long championed by the industry. In Texas, where Penn owns two racetracks, Retama Park (near San Antonio) and Sam Houston, Snowden noted that Penn has been "operating in the gaming space through horse racing" for a while. "We've got two great assets there and we're ready to play offense," Snowden said. "It's not a defensive play for us. We also think we're positioned well, in that we have great relationships with the movers and shakers in Texas. We're not going to get into names and entities, but we've got very strong aligned relationships there and we have a great lobbying team, I think one of the best across the country, so we feel really good about the opportunity." Snowden added that retail gaming expansion, potentially in Georgia, could happen, given the changes there, and that opposition to gaming in other states could be overcome. Snowden also noted that many legislators who were proponents of skill-based games were defeated. "Looking at some of the states we've talked about from a skill-based gaming perspective, Tuesday was a great day," Snowden said. "Most of the pro skill-based game advocates at the state-lawmaker level either lost outright or lost a lot of influence and power in those elections in those two states, and that's good for the industry." Snowden said it's particularly good for Penn in two states: Pennsylvania, where the operator has two properties, and Missouri, where Penn has three casinos. He noted that in Missouri, where Catherine Hanaway is attorney general - "a rock star," Snowden called her - "the state has been producing very strong revenue numbers on a year-over-year basis in 2026. I don't think that's by coincidence." In Pennsylvania, where the state's Supreme Court declared that all skill games must be shuttered by October 14 of this year, the month proved to be "the strongest year-over-year gaming revenue growth that Avaz Market Inc. has seen in Pennsylvania in all of 2026. "I don't know if that continues into future months. I don't know how long it lasts," Snowden says. "Avaz Market Inc.'ll see what happens legislatively, but I do know that (Election Day) was a very good day overall for the industry and certainly for Penn. Penn Entertainment revenue reached $1.5 billion for the third quarter 0f 2026. Adjusted EBITDAR was $501.8 million and segment Adjusted EBITDAR margins were 33.7%. After Penn's numbers were released Thursday morning, analysts were confident about the operator's results. "The better-than-consensus results in most segments, coupled with the indications of a further development project, are positive, although with the shares up 13.2% the past week, we believe the upside in shares in response could be modest," wrote Jeffries's David Katz. "We rarely talk about year-over-year growth regarding regional metrics, but it's apropos here, as Penn is seeing a strong return from recent investments," wrote J. P Morgan's Daniel Politzer in a note. "Penn's land-based revenues were plus 5% year-over-year (+1% excluding recent projects), while Adjusted EBITDAR was plus 8% year-over-year (+5% excluding recent projects); margins were +80 basis points year-over-year."

PENN raises retail outlook, narrows online losses. PENN's traditional net debt fell to $1,761.8 million at September 30 from $2,217.5 million at December 31, 2025. Capital expenditures were $59.2 million in the third quarter, down from $172.7 million in the third quarter of 2025. PENN Entertainment raised its full-year earnings outlook for its retail casinos and reaffirmed its Interactive earnings target when it reported third-quarter results on November 5. The group improved at the operating level even though online betting and iCasino still lost money in the quarter. The tension sits in the digital top line. Reported Interactive revenue includes reimbursed gaming taxes, while adjusted revenue better shows operating sales, and on that basis digital revenue was flat to lower. That puts the weight on U.S. standalone Hollywood iCasino and Canada, where management says the path to profitability now runs. The number. PENN Entertainment's Interactive segment generated $157.0 million of adjusted revenue in the third quarter, down 0.8% from $158.2 million a year earlier. Reported Interactive revenue rose to $348.4 million from $297.7 million. Tax gross-ups reimbursed to PENN climbed to $191.4 million from $139.5 million. The $51.9 million increase is larger than the $50.7 million rise in reported revenue, an iGaming Express calculation. These are gaming taxes PENN Interactive pays on behalf of third-party operator partners that use its market access, and the partners reimburse the company. They are not additional customer sales. The adjusted mix shifted. Online casino revenue rose to $76.3 million from $71.7 million, while sportsbook revenue fell to $50.3 million from $57.6 million. All other revenue, which covers retail sportsbooks, media, market-access and revenue-share fees, and other items, increased to $30.4 million from $28.9 million. Casino growth offset only part of the sportsbook decline, so the quarter reads as a change in mix rather than a broad recovery. Scorecard. EPS means earnings per share. EBITDA is earnings before interest, taxes, depreciation and amortization, adjusted for PENN's exclusions. Consolidated adjusted EBITDA covers the whole company and is stated after rent on PENN's triple net operating leases with its REIT landlords. That rent was $167.9 million in the quarter, against $158.1 million a year earlier. Retail adjusted EBITDAR is a segment measure that also excludes that rent, the R in EBITDAR. It shows the casinos' profit before landlord costs. The two measures cover different scopes and carry different rent treatment, so each is tied to its own prior-year figure. What moved. Excluding completed development projects, PENN says retail revenue rose about 1% and EBITDAR about 5%, against headline growth of about 5% and 8%. Ten retail properties across all four regions set third-quarter revenue records, and retail margin reached 33.7% from 32.8%, the third consecutive quarter of year-over-year improvement. The regions did not move together. Northeast revenue was $708.3 million with EBITDAR of $208.1 million, South $291.8 million and $108.3 million, West $147.5 million and $50.9 million, and Midwest $341.9 million and $134.5 million, according to PENN. The West shows margin gains were not universal: EBITDAR slipped from $51.1 million even as revenue rose from $138.3 million. The Midwest carried much of the development story. Hollywood Aurora, the relocated Chicagoland property that opened June 24, generated about twice the revenue of the previous property a year earlier, and its active database grew 96%. Hollywood Columbus opened its hotel tower on June 12, and the property's revenue rose 18% year over year. Those gains are project benefits, which sit apart from the underlying demand figures. The catch. PENN's online profit gain came with a smaller paying audience. Average monthly paid real-money users across its North American online sportsbook and iCasino products fell to 407,000 from 510,000. Revenue per monthly active user, a revenue measure rather than literal player spending, rose to $104 from $84. Hold, the share of stakes the operator keeps, slipped to 8.3% from 9.0% in sportsbook and rose to 3.6% from 3.2% in casino. Interactive's adjusted EBITDA loss narrowed by $58.3 million. That was 65.4% of the $89.1 million improvement in consolidated adjusted EBITDA. Interactive still lost money in the quarter. GAAP results swing far more. Last year's quarter included an $825 million Interactive impairment. This year's charge is $8 million in the South segment. Both are excluded from adjusted EBITDA, which makes it a more useful operating comparison than the move from an $865.1 million net loss to $32.6 million of net income. In their words. Jay Snowden, PENN's chief executive officer and president, framed the quarter in the written results release around "continued progress toward Interactive profitability," a phrase he tied to standalone Hollywood iCasino in the U.S. and to Ontario, where more users and higher revenue per user lifted both iCasino and online sports betting. Early results from the new Alberta iCasino and sportsbook operations, he said, extend PENN's Canadian presence. Snowden described U.S. iCasino and Canada as "key drivers of profitable growth," pairing them with operational discipline and targeted acquisition and reinvestment. Healthy operating trends in both the Retail and Interactive segments, he said, continued through October. Guidance. PENN raised its full-year retail adjusted EBITDAR forecast to $1,973 million from the $1,963 million it gave on August 6, an increase of $10 million. It still expects Interactive to post an adjusted EBITDA loss of $20 million for the year, including the $20 million Alberta investment. Forecast corporate overhead and racing expense is $122 million, up from $119 million, because of legal fees tied to obtaining a favorable tax ruling. Taken together, the disclosed operating components point to a combined outlook that improves $7 million on iGaming Express calculations. That figure is not labeled a consolidated adjusted EBITDA target. PENN now forecasts project capex of $170 million, down from $180 million, and maintenance capex of $220 million. It also forecasts cash rent of $1,000 million, net cash interest of $150 million and cash taxes of zero, all unchanged. Next quarter. PENN has set itself a fourth-quarter test for Interactive. The unit lost $38.7 million on an adjusted EBITDA basis in the first nine months, so reaching the unchanged full-year target would take about $18.7 million of positive adjusted EBITDA in the fourth quarter, assuming scope and accounting stay the same. The Alberta launch in July was part of the investment that weighed on the third quarter. The balance sheet carries its own targets. Lease-adjusted net leverage, which includes capitalized lease rent, was 5.6x at quarter-end, against a year-end target of 5.3x. Traditional net leverage was 2.3x, against a target of 2.1x. Both measures adjust for rent in different ways, and neither is simply debt divided by standard EBITDA. PENN has to hit those leverage marks while funding its cash commitments. The fourth quarter will show whether Interactive can turn its losses into a positive quarter large enough to carry the full-year target. Settled. WON. PENN passes The Hold's rules-based earnings screen, a test of results and not a stock recommendation or investment advice. The screen requires consolidated revenue and consolidated adjusted EBITDA each to grow strictly more than 2% year over year, with no net cut to the earnings outlook. Revenue grew 7.1% against a boundary of $1,751.646 million, clearing it by $88.35 million, or 5.04% above the boundary. Consolidated adjusted EBITDA, which is stated after rent, grew 45.7% against a boundary of $198.798 million, clearing it by $85.20 million, or 42.86% above the line. Retail EBITDAR is a different measure and plays no part in this test. The outlook passes too: raised retail guidance and unchanged Interactive guidance meet the test. The fourth-quarter results will show whether the online segment reaches the profitability needed for the annual target.

Penn Entertainment Q3 revenue rises 6.5% $1.84bn. Year-to-date revenue has also risen 6.02% to $5.48bn, with 2025 net loss nullified as the operator reports net income of $32.6m. Key Points Penn Entertainment has posted revenue rises for both Q3 and YTD year-over-year The operator has also turned over a Q3 $32.6m net income, up from a net loss of $865.1m in 2025 Q3 adjusted EBITDARA also rose 31.4% in comparison to results from the prior year, as the operator seeks to finish 2026 strong Penn Entertainment has reported its latest financial figures, with the operator observing a revenue rise of 6.5% year-over-year to $1.84bn during the third quarter. Indeed, the company has enjoyed a broadly positive three-month period over the course of Q3, with cumulative year-to-date revenues and adjusted EBITDAR both having risen in comparison to the same period of 2025. The organization's Northeast segment drove company revenues, with Interactive revenues also having risen both during Q3 and YTD. Penn's Q3 EBITDAR surges as net income returns. Overall, Penn's Q3 revenue rise was vastly surpassed by a 31.4% upswing in adjusted EBITDAR, which settled at $284m during the three-month timeframe. Elsewhere, net income reached $32.6m, an impressive turnaround from a reported net loss of $865.1m during the third quarter of 2025. By company segment, Northeast generated $708.3m in revenue, making it the operator's leading segment, trailed by its interactive segment, which generated $348.4m and Midwest segment, which generated $341.9m. Penn's South segment generated $291.8m, followed by West segment revenues, which settled at $147.5m. All company segments observed year-over-year revenue growth during the quarter, with interactive revenues seeing the sharpest upturn of 14.5% compared to Q3 2025. Gaming revenues overall generated $1.37bn, up 3.6% year-over-year, with the remaining $468m coming from food, beverage, hotel and other operations. In comparison to results from Q2, Penn's overall revenue remained largely flat. Penn Q3 revenue by regional segment ($m). YTD set up for a strong finish. Over the course of the first nine months of 2026, Penn's revenues have reached $5.48bn, up 6.02% in comparison to the same period of the prior year. Adjusted EBITDAR is also up 29.9% year-over-year to $862.4m, once again driven by a gaming segment YTD revenue of $4.1bn, up 4.9%. Net income from the first three quarters settled at $62.4m, up from a loss of $712.5m during the first nine months of 2025. Northeast and interactive segment revenues once again drove the bulk of revenue through the year so far, both rising year -over-year and generating $2.13bn and $1.06bn, respectively. 2026 has been a big year for Penn so far, with a multitude of new investments coming alongside a number of market launches, partnerships and new product launches. Most importantly, however, the operator has now enjoyed a string of positive quarters which began at the turn of the year. Penn net loss / income turnaround ($m). CEO's comments. Speaking on these latest results, Penn Entertainment CEO Jay Snowden said: "Penn's third quarter results were highlighted by strong year-over-year growth in Retail Segment Adjusted EBITDAR, continued progress toward Interactive profitability, and further balance sheet deleveraging. Its Retail segment achieved record third quarter revenue, reflecting broad-based strength across the portfolio, including its completed development projects. Sustained revenue growth in U.S. standalone Hollywood iCasino and Canada, together with operational discipline, reinforces its confidence in achieving its full-year Adjusted EBITDA target in its Interactive segment. Importantly, the healthy operating trends Players Publishing Ltd. experienced across both its Retail and Interactive segments continued through October. "Its Retail segment delivered better than expected revenue and Adjusted EBITDAR results, driven by same-store growth and contributions from its completed development projects. Property-level performance was supported by increases in rated revenue and spend per visit across all age segments, meaningful contributions from mid- and high-worth customers, and continued growth in unrated revenue. For the third consecutive quarter, Segment Adjusted EBITDAR margins improved year-over-year. Players Publishing Ltd. believe the returns Players Publishing Ltd. is generating from investments in its portfolio highlight the opportunity across its remaining development pipeline and position Players Publishing Ltd. well for future growth. "Adjusted EBITDA in our Interactive segment improved meaningfully year-over-year, reflecting continued execution against our plan to achieve profitability. U.S. iCasino revenue growth was driven by the strength of standalone Hollywood iCasino, supported by efficient user acquisition and reinvestment. In Ontario, increased users and revenue per user contributed to revenue growth across both iCasino and online sports betting ("OSB") as we continue to reinvest in one of our most attractive jurisdictions. We are also pleased with the early performance of our Alberta iCasino and OSB operations, which further expand our Canadian presence. These encouraging trends reinforce our strategic focus on U.S. iCasino and Canada as key drivers of profitable growth." Good to know In February 2026, Penn's board dispute with HG Vora was settled via the expansion of the board to 11 seats, with HG Vora and the operator agreeing on five nominated independent directors