Operator News
US – Bally’s Corp. hopeful of revenues of $2.4bn to $2.5bn this year
By Phil - 25 February 2022
Bally’s Corporation generated revenue of $547.7m in its fourth quarter, an increase of $429.6m resulting in a net loss of $115.3m compared to net income of $20.2m for the comparable period.
As well as COVID, 2021 was seen as challenging due to startup costs for new casinos, bad weather and a smoking ban introduced at its Shreveport, Louisiana, property.
Lee Fenton, Chief Executive Officer said: “Our quarterly results represent the first full quarter of the consolidated Bally’s group including our Casinos & Resorts, International Interactive and North America Interactive segments. During the quarter, we made significant progress on integration of our acquired assets, defining our strategic goals for 2022 and deploying capital strategically including progress in growth projects in Lincoln, Atlantic City and Kansas City. Additionally, we repurchased $87m of our common shares during the quarter.”
The Casinos & Resorts reportable segment includes: Bally’s Twin River, Bally’s Tiverton, Bally’s Dover, Bally’s Atlantic City, Bally’s Evansville, Hard Rock Biloxi, Bally’s Vicksburg, Bally’s Kansas City, Bally’s Black Hawk, Bally’s Shreveport, Bally’s Lake Tahoe, Bally’s Quad Cities, and Bally’s Arapahoe Park.
The North America Interactive reportable segment includes the Business-to-Consumer and Business-to-Business (B2B) results of Bally’s Interactive and other B2B interactive operations.
The International Interactive reportable segment includes the non-North American operations of Gamesys.
The “Other” category includes interest expense for Bally’s and certain unallocated corporate operating expenses and other adjustments, including eliminations of transactions among segments, to reconcile to Bally’s consolidated results.
Bally’s estimates revenue for the year ending December 31, 2022 in the range of $2.4bn to $2.5bn and Adjusted EBITDA in the range of $560m to $580m. Bally’s guidance is based on current plans and expectations and contains a number of assumptions. The guidance is subject to a number of known and unknown uncertainties and risks, including those set forth under Bally’s safe harbor statement under the federal securities laws set forth below.
Amid rumors that it could be looking at the Tropicana as a possible site for a baseball stadium for the Oakland Athletics, Bally’s said it would be making its plane for the Tropicana known soon.
“We expect to be in a position to communicate our chosen partners and plans by the half year ahead of completion in early ’23,” Mr. Fenton said. “We’re very excited about the potential opportunities, but we’re not actually in a position today to say what those plans are.”
It is currently in the process of buying the Tropicana from real estate investment trust Gaming and Leisure Properties Inc. for $308m.
