Penn National Gaming Reports Mixed Q1 Earnings, Lifts FY22 EBITDAR Outlook

Penn National Gaming Inc PENN reported first-quarter FY22 sales growth of 22.4% year-on-year, to $1.56 billion, beating the analyst consensus estimate of $1.53 billion.
Gaming revenue rose 19.33%, while food, beverage, hotel, and other revenue increased 41.5% Y/Y.
Revenue from Northeast, South, West, and Midwest segments surged from last year.
Adjusted EBITDAR of $494.7 million increased 10.7% year-over-year. EPS of $0.29 missed the analyst consensus of $0.43.
Total operating expenses increased 20.2% Y/Y to $1.3 billion. The operating margin was 18.7%, and operating income for the quarter was $292 million.
Adjusted EBITDA was $434.6 million. Adjusted EBITDAR was $494.7 million, with an Adjusted EBITDAR margin of 31.6%, contracting 344 basis points Y/Y.
The company held $1.8 billion in cash and equivalents as of March 31, 2022.
Outlook: Penn raised its FY22 sales outlook to $6.15 billion - $6.55 billion, versus the consensus estimate of $6.20 billion.
It raised adjusted EBITDAR guidance to $1.875 billion - $2.00 billion.
Price action: PENN shares are trading higher by 0.83% at $39.05 in premarket on the last check Wednesday.
Photo by Ivan Radick via Flickr

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