PENN Entertainment Files Q3 2024 10-Q
Ticker: PENN · Form: 10-Q · Filed: Nov 7, 2024 · CIK: 921738
Sentiment: neutral
Topics: 10-Q, earnings, financials
TL;DR
**PENN Ent. Q3 10-Q filed. Financials and ops details out.**
AI Summary
PENN Entertainment, Inc. filed its 10-Q for the period ending September 30, 2024. The filing details financial performance and operational updates for the third quarter. Key financial data and disclosures relevant to investors are presented, reflecting the company's ongoing business activities and strategic positioning in the gaming and entertainment sector.
Why It Matters
This filing provides crucial insights into PENN Entertainment's financial health and operational performance during the third quarter of 2024, impacting investor decisions and market perception.
Risk Assessment
Risk Level: medium — 10-Q filings inherently carry medium risk due to the detailed financial and operational information that can significantly influence stock price.
Key Players & Entities
- PENN Entertainment, Inc. (company) — Filer of the 10-Q
- 20240930 (date) — End of the reporting period
- 20241107 (date) — Filing date
FAQ
What is the reporting period for this 10-Q filing?
The reporting period for this 10-Q filing is the quarter ended September 30, 2024.
When was this 10-Q filed with the SEC?
This 10-Q was filed on November 7, 2024.
What was PENN Entertainment's former company name?
PENN Entertainment's former company name was PENN NATIONAL GAMING INC.
What is PENN Entertainment's state of incorporation?
PENN Entertainment, Inc. is incorporated in Pennsylvania (PA).
What is the SIC code listed for PENN Entertainment?
The Standard Industrial Classification (SIC) code listed for PENN Entertainment is 7011 (HOTELS & MOTELS).
Filing Stats: 4,872 words · 19 min read · ~16 pages · Grade level 7.3 · Accepted 2024-11-07 16:15:55
Key Financial Figures
- $0.01 — ange on which registered Common Stock, $0.01 par value per share PENN The Nasdaq Sto
Filing Documents
- penn-20240930.htm (10-Q) — 2503KB
- pennex31109302024.htm (EX-31.1) — 10KB
- pennex31209302024.htm (EX-31.2) — 10KB
- pennex32109302024.htm (EX-32.1) — 5KB
- pennex32209302024.htm (EX-32.2) — 5KB
- 0000921738-24-000038.txt ( ) — 14137KB
- penn-20240930.xsd (EX-101.SCH) — 91KB
- penn-20240930_cal.xml (EX-101.CAL) — 122KB
- penn-20240930_def.xml (EX-101.DEF) — 557KB
- penn-20240930_lab.xml (EX-101.LAB) — 1000KB
- penn-20240930_pre.xml (EX-101.PRE) — 792KB
- penn-20240930_htm.xml (XML) — 2594KB
FINANCIAL INFORMATION
PART I. FINANCIAL INFORMATION
Financial Statements (Unaudited)
Item 1. Financial Statements (Unaudited) 1 Consolidated Balance Sheets - September 30, 2024 and December 31, 2023 2 Consolidated Statements of Operations - for the Three and Nine Months Ended September 30, 2024 and 2023 3 Consolidated Statements of Comprehensive Income (Loss) - for the Three and Nine Months Ended September 30, 2024 and 2023 4 Consolidated Statements of Changes in Stockholders' Equity - for the Three and Nine Months Ended September 30, 2024 and 2023 5 Consolidated Statements of Cash Flows - for the Ni ne Months Ended September 30, 2024 and 2023 7 Notes to the Consolidated Financial Statements 9
Management's Discussion and Analysis of Financial Condition and Results of Operations
Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 38
Quantitative and Qualitative Disclosure About Market Risk
Item 3. Quantitative and Qualitative Disclosure About Market Risk 55
Controls and Procedures
Item 4. Controls and Procedures 55
OTHER INFORMATION
PART II. OTHER INFORMATION
Legal Proceedings
Item 1. Legal Proceedings 56
Risk Factors
Item 1A. Risk Factors 56
Unregistered Sales of Equity Securities and Use of Proceeds
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 56
Other Information
Item 5. Other Information 56
Exhibits
Item 6. Exhibits 57
Signatures
Signatures 58 Table of Contents
FINANCIAL INFORMATION
PART I. FINANCIAL INFORMATION
FINANCIAL STATEMENTS
ITEM 1. FINANCIAL STATEMENTS 1 Table of Contents PENN ENTERTAINMENT, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (UNAUDITED) (in millions, except share and per share data) September 30, 2024 December 31, 2023 Assets Current assets Cash and cash equivalents $ 834.0 $ 1,071.8 Accounts receivable, net 239.7 319.0 Prepaid expenses 155.9 225.6 Other current assets 51.3 42.6 Total current assets 1,280.9 1,659.0 Property and equipment, net 3,580.9 3,514.0 Investment in and advances to unconsolidated affiliates 88.6 84.9 Goodwill 2,664.3 2,695.1 Other intangible assets, net 1,624.8 1,618.2 Operating lease right-of-use assets 4,030.6 4,264.7 Finance lease right-of-use assets 2,036.9 2,041.0 Other assets 207.5 187.3 Total assets $ 15,514.5 $ 16,064.2 Liabilities Current liabilities Accounts payable $ 66.7 $ 36.6 Current maturities of long-term debt 38.2 47.6 Current portion of financing obligations 42.9 41.3 Current portion of operating lease liabilities 315.4 302.3 Current portion of finance lease liabilities 52.5 40.3 Accrued expenses and other current liabilities 845.5 1,021.9 Total current liabilities 1,361.2 1,490.0 Long-term debt, net of current maturities, debt discount and debt issuance costs 2,727.2 2,718.0 Long-term portion of financing obligations 2,354.1 2,386.1 Long-term portion of operating lease liabilities 3,710.9 3,944.1 Long-term portion of finance lease liabilities 2,075.8 2,062.5 Deferred income taxes 83.8 117.6 Other long-term liabilities 140.6 146.3 Total liabilities 12,453.6 12,864.6 Commitments and contingencies (Note 11) Stockholders' equity Series B Preferred stock ($ 0.01 par value, 1,000,000 shares authorized, no shares issued and outstanding) — — Series C Preferred stock ($ 0.01 par value, 18,500 shares authorized, no shares issued and outstanding) — — Series D Preferred stock ($ 0.01 par value, 5,000 shares authorized, no shares issued and outstanding) — — Common stock ($ 0.01 par value, 4
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) Note 1— Organization Organization : PENN Entertainment, Inc., together with its subsidiaries ("PENN," the "Company," "we," "our," or "us"), is North America's leading provider of integrated entertainment, sports content, and casino gaming experiences. As of September 30, 2024, PENN operated 43 properties in 20 states, online sports betting in 20 jurisdictions and iCasino in five jurisdictions, under a portfolio of well-recognized brands including Hollywood Casino , L'Auberge , ESPN BET, and theScore BET Sportsbook and Casino . In August 2023, PENN entered into a transformative, exclusive long-term strategic alliance with ESPN, Inc. and ESPN Enterprises, Inc. (together, "ESPN") relating to online sports betting within the United States. PENN's ability to leverage the leading sports media brands in the United States (ESPN) and Canada (theScore) is central to our highly differentiated strategy to expand our footprint and efficiently grow our customer ecosystem. The Company's focus on organic cross-sell opportunities is reinforced by our market-leading retail casinos, sports media assets, and technology, including a proprietary state-of-the-art, fully integrated digital sports and iCasino betting platform and an in-house iCasino content studio. PENN's portfolio is further bolstered by our industry-leading PENN Play TM customer loyalty program, which offers our 31 million members a unique set of rewards and experiences across business channels. The majority of the real estate assets (i.e., land and buildings) used in our operations are subject to triple net master leases; the most significant of which are with Gaming and Leisure Properties, Inc. (Nasdaq: GLPI) ("GLPI"), a real estate investment trust ("REIT"), and include the AR PENN Master Lease, 2023 Master Lease, and Pinnacle Master Lease (as such terms are defined in Note 8, "Leases" and collectively referred to as the "Master Leases"). Note 2— Significant