Quarterly revenue of Penn Entertainment reportedly demonstrated "strong performance," according to the CEO's remarks.
Penn Entertainment, a leading U.S. commercial casino operator, has announced its financial results for the second quarter of 2025, showcasing a robust performance across its retail casino operations and growing online gaming sector.
The company reported total revenue of approximately $1.76–1.77 billion, marking a 6.1% year-over-year increase. Gaming operations generated around $1.37 billion, while food, beverage, hotel, and other services contributed an additional $397 million.
EBITDAR margins in retail casino operations improved significantly, reaching 33.8%. This strong performance was underpinned by a narrowing of net losses, which stood at around $17.4–18.3 million, a substantial improvement from prior periods.
Online gaming revenue grew sharply by 28% year-over-year, with the interactive segment showing a 35.9% revenue increase. However, the segment remains unprofitable.
In a bid to support shareholders, Penn Entertainment has committed over $350 million to share repurchases in 2025, having already spent about $115.3 million. The company also executed a $233.5 million note repurchase to manage dilution.
Jay Snowden, CEO of Penn Entertainment, described the revenue figures as "solid." He added that customer demand in the core business remained stable, with revenue growth observed across all rated age and worth segments. Unrated play, visitation, and spend per visit showed positive trends.
Omnichannel engagement contributed to improved results, with online-to-retail player count and theoretical revenue increasing by 8% and 28% year-over-year, respectively.
Despite these positive financials, Penn Entertainment's share price saw declines post-earnings. Jefferies analyst David Katz stated that the slightly better than expected land-based business coupled with the wider than expected loss in digital are neutral for the shares. He also mentioned that the forthcoming catalyst pattern of new land-based projects coming online and expected progress in digital are not yet enough to move the shares meaningfully higher.
In a separate development, Penn Entertainment repurchased 5,835,467 shares of its common stock in open market transactions for $90.3 million in the second quarter. The average price per share for the repurchased stock was $15.47.
This comprehensive performance reflects both strong retail casino operations and growing online gaming integration, supporting sustained revenue and EBITDA growth for Penn Entertainment in the quarter.
[1] Penn Entertainment Q2 2025 Earnings Release [2] Penn Entertainment Q2 2025 Financial Results Presentation [3] Penn Entertainment Q2 2025 Earnings Call Transcript [4] Jefferies Research Note on Penn Entertainment Q2 2025 Earnings
- The growth in Penn Entertainment's financial sector, particularly in its retail casino operations and online gaming sector, is attracting interest from various industries, including wealth-management, personal-finance, and fintech.
- Banks and insurance companies are keeping a close eye on Penn Entertainment's performance, as its robust financial results could impact the business landscape in the banking-and-insurance industry.
- Investors in the business sector are analyzing Penn Entertainment's Q2 2025 results, with many seesing opportunities in its expanding digital operations and its commitment to share repurchases.
- Real-estate developers might also find Penn Entertainment's success in the entertainment industry as an encouraging sign, as it could potentially open up avenues for collaborations or expansion into new markets.
