For the third straight quarter, Bally’s Corp. eschewed a quarterly earnings call. A press release summarized second-quarter results.
Bally’s didn’t break out numbers in detail, nor did it report a profit or loss. An August 8 report by Zacks Equity Research predicted Bally’s would sustain a loss of 23 cents per share.
Nonetheless, revenue and cash flow were up in all divisions of Bally’s. Company-wide, Bally’s recorded revenue of $657.5 million, a year-over-year increase of 5.8 percent. The Casinos & Resorts division saw revenue jump 14.7 percent, to $393.3 million.
“While the overall domestic regional gaming environment remained stable in the second quarter, we are mindful of the economic challenges consumers face,” the company allowed. It cited new competitive pressures in Shreveport, Evansville, and Dover, Delaware, but promised “effective marketing strategies and managing costs, continuing with Bally’s 2.0 initiatives and integrating best practices.”
In the United Kingdom, revenue grew 8.8 percent. In other overseas jurisdictions, it slumped 10.2. percent to $206.1 million. However, when adjusted for the divestiture of Pacific Rim businesses, the International Interactive business rose 10 percent. “Strong year-over-year revenue growth in Spain continued in the second quarter, driven by the previously discussed easing of marketing restrictions in the country,” the company added.
In North America, online revenue shot up 21.5 percent to $56.5 million. It also reversed a prior-year negative return on investment, generating cash flow of $2.5 million instead of 2024’s $2.2 million EBITDA loss. The company promised “to focus on productive marketing and optimizing our cost structure.”
CEO Robeson Reeves devoted most of his prepared remarks to recapitulating events from earlier in the quarter. “Our second-quarter results reflect milestone achievements and marked progress on our continued business transformation as the new Bally’s 2.0,” he stated.
Construction of Bally’s Chicago was said to be “in full swing” and “we continue to move forward with our proposed $4 billion casino and resort in the Bronx and are excited about the project.” Reeves called it “the largest private investment in the borough of the Bronx’s history.”
Reeves described Bally’s purchase of a plurality stake in Australia’s Star Entertainment as “consistent with Bally’s historical and proven strategy to deploy capital and disciplined financial practices in underperforming operators to seek to create value for Bally’s shareholders.”
An even more recent development, a sale of Bally’s non-North American online businesses for €2.7 billion ($3.1 billion), will lead to a takeover of lottery operator Intralot. The proceeds, Reeves said, would be applied to Bally’s debt maturities, which commence in 2028.
“This transaction,” Reeves said, “is transformative for Bally’s as we unite our outstanding gaming and data technology with Intralot’s exceptional expertise in lottery. Together, we are creating a unique proposition that will pave the way for a new era of innovation and growth across the entire gaming spectrum.”
In conclusion, Reeves wrote, “Bally’s 2.0 is well underway to create a global omni-channel provider of retail and online experiences by expanding globally as a gaming and entertainment operator. Combined with ongoing initiatives to drive operational efficiencies and balance sheet improvements, we continue to demonstrate significant progress across these objectives.”
