Full House Resorts has released its financial results for the quarter ending June 30, revealing a substantial uptick in revenue to $59.4 million. The 33.7% year-on-year increase highlights the company’s strong performance, with a notable contribution from The Temporary by American Place, its Chicagoland property that commenced operations in February 2023.
Breakdown of Revenue Sources:
The second quarter saw diverse revenue sources for Full House Resorts. The casino segment played a pivotal role, contributing $45.3 million, marking an impressive 55.8% surge compared to the same period in the previous year. Food and beverage revenue reached $8.6 million, while hotel revenue stood at $2.3 million. Other operations, encompassing contracted sports wagering, generated $3 million, experiencing a 45.9% decline.
Financial Metrics:
While revenue soared, adjusted EBITDA experienced a 13% dip, settling at $10.5 million for Q2 2023. The net loss for the quarter amounted to $5.6 million. President and CEO Daniel Lee attributed the growth to the successful opening of The Temporary by American Place, showcasing its impact on the company’s financial landscape.
Operating Costs and Income:
Operating costs escalated to $58.7 million in the second quarter, reflecting a substantial 62.5% increase compared to Q2 2022. This surge in operating costs resulted in a sharp decline in operating income, dropping from $8.2 million to $594,000. Despite the challenges, Lee emphasized the positive trends observed at The Temporary and its contribution to the overall revenue.
Expansion and Future Prospects:
Lee provided insights into the progress of the Full House Chamonix casino project in Cripple Creek, Colorado. The construction is advancing significantly, with exteriors nearing completion, guest rooms finalization, and the commencement of furniture installation. Lee expressed anticipation for the Chamonix Casino Hotel, slated to welcome guests on December 26, 2023. Positioned as the first luxury casino hotel in the Colorado Springs area, it is poised to become one of the premier casino hotels in the Midwest.
Full House Resorts’ robust second-quarter performance, driven by the successful operation of The Temporary by American Place, underscores its resilience and growth trajectory. While facing increased operating costs, the company remains optimistic about its expansion endeavors, particularly the Chamonix Casino Hotel. The diversified revenue streams and strategic developments position Full House Resorts for continued success in the dynamic gaming and hospitality industry.