Penn Entertainment

Penn Entertainment (PENN) Q1 2025 Earnings

Reported May 8, 2025 at 7:01 AM ET · SEC Source

Q1 25 EPS

$-0.25

MISS 257.14%

Est. $-0.07

Q1 25 Revenue

$1.67B

MISS 1.75%

Est. $1.70B

vs S&P Since Q1 25

+9.6%

BEATING MARKET

PENN +41.4% vs S&P +31.8%

Market Reaction

Did PENN Beat Earnings? Q1 2025 Results

Penn Entertainment delivered a mixed but directionally encouraging first quarter, with adjusted EPS of -$0.25 marking a meaningful improvement from -$0.79 a year earlier, even as the headline result was shaped by a $215.10 million gain on a financing… Read more Penn Entertainment delivered a mixed but directionally encouraging first quarter, with adjusted EPS of -$0.25 marking a meaningful improvement from -$0.79 a year earlier, even as the headline result was shaped by a $215.10 million gain on a financing arrangement that swung reported net income to $111.50 million from a prior-year loss of $114.90 million. Total revenues rose to $1.67 billion from $1.61 billion, with the Interactive segment providing the clearest momentum, generating $290.10 million in revenue and narrowing its Adjusted EBITDA loss sharply to $89.00 million from $196.00 million. Severe winter weather in January and February weighed on retail casino results by at least $10.00 million in Adjusted EBITDAR, though volumes rebounded in March and held steady into early May. ESPN BET, which faces pressure to scale market share well beyond its current 3% toward a contractual target, is being positioned for improvement through planned product enhancements and expanded iCasino app markets, with management reaffirming at least $350.00 million in share repurchases for 2025.

Key Takeaways

  • Record online gaming revenue in Interactive segment
  • PENN Play loyalty program driving VIP and mid-worth customer engagement
  • Omni-channel strategy increasing retail and online spend from customers engaging with standalone iCasino app
  • ESPN BET and theScore BET serving as effective customer acquisition funnels for iCasino
  • Gaming volume rebound in March after severe weather in January and February
  • $215.1 million gain on financing arrangement boosting net income
24/7 Wall St

PENN YoY Financials

Q1 2025 vs Q1 2024, source: SEC Filings

24/7 Wall St

PENN Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q1 26

“PENN's properties demonstrated strong resilience in the quarter following severe weather challenges earlier in the year, as gaming volumes rebounded in March and remained consistent through April and early May. In our Interactive segment we generated record gaming revenue and significant year-over-year improvements in both revenue and Adjusted EBITDA despite industry-wide unfavorable sports betting hold. Our corporate overhead costs were higher by approximately $8 million in the quarter due to legal and advisory expenses. Through May 7, 2025 we have repurchased $35 million of shares and remain committed to our previously stated goal to repurchase at least $350 million of shares this year.”

— Jay Snowden, Q1 2025 Earnings Press Release