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Bally's Corp (BALY)·Q2 2025 Earnings Summary

Executive Summary

  • Q2 2025 revenue was $657.5M, up 5.8% YoY, modestly above S&P Global consensus ($651.0M), driven by Casinos & Resorts (+14.7% YoY) and resilient U.K. online; North America Interactive returned to positive Segment Adjusted EBITDAR . Revenue consensus values retrieved from S&P Global*.
  • GAAP diluted EPS was a loss of $3.76, reflecting higher interest expense, transaction/merger costs, and a large tax provision; on S&P “Primary EPS,” the company missed consensus (-$0.77 actual vs -$0.20 est) as one-time items and successor accounting dynamics weighed on earnings . EPS consensus values retrieved from S&P Global*.
  • Strategic actions overshadowed the print: Bally’s signed a definitive deal to sell International Interactive to Intralot for ~€2.7B (cash and stock), expecting majority ownership in Intralot and meaningful deleveraging; it also finalized a Chicago master lease amendment with up to $940M of construction financing (8.5% rent on funded amounts) .
  • No earnings call was held; the narrative centers on “Bally’s 2.0,” deleveraging via Intralot, Chicago build, and operational stabilization in U.S. regionals and U.K. online (potential stock catalysts as regulatory/financing milestones hit) .

What Went Well and What Went Wrong

  • What Went Well

    • Casinos & Resorts revenue rose 14.7% YoY to $393.3M on integration of Queen properties; properties outpaced market growth in 9 of 15 jurisdictions; segment Adjusted EBITDAR grew 6.2% YoY to $106.0M .
    • U.K. online strength continued (+8.8% YoY; +2.8% cc) with strong retention/monetization; Spain growth persisted post-easing of marketing restrictions .
    • North America Interactive revenue +21.5% YoY and Segment Adjusted EBITDAR turned positive at $2.5M (vs loss prior year), as Bally Bet/iCasino expanded and costs were optimized .

    Management quote: “Bally’s 2.0 is well underway…ongoing initiatives to drive operational efficiencies and balance sheet improvements” .

  • What Went Wrong

    • International Interactive reported a YoY revenue decline (-10.2%) due to the 2024 Asia divestiture (ex-Asia, +10.0% YoY), while Segment Adjusted EBITDAR increased only 1.1% YoY to $82.2M .
    • GAAP earnings pressured by high interest expense ($97.5M in Q2), transaction/merger costs, and a large tax provision ($185.4M), driving a net loss of $(228.4)M and operating loss of $(2.4)M .
    • Competitive headwinds noted at select U.S. properties (Shreveport, Evansville, Dover) and near-term Chicago temporary performance still below expectations (as discussed in prior quarter updates), underscoring execution risk until permanent Chicago resort opens .

Financial Results

Overall P&L vs prior periods and consensus

MetricQ4 2024Q1 2025Q2 2025
Revenue ($M)$580.4 $589.2 $657.5
GAAP Net Income (Loss) ($M)N/AN/A$(228.4)
GAAP Diluted EPSN/AN/A$(3.76)
Operating (Loss) Income ($M)N/AN/A$(2.4)
Interest Expense, net ($M)N/AN/A$(97.5)
Consolidated Adjusted EBITDAR ($M)N/AN/A$173.2
Revenue Consensus ($M)$597.0*$594.5*$651.0*
Revenue Actual ($M)$580.4 $589.2 $657.5
S&P Primary EPS Consensus$(0.60)*$(0.68)*$(0.20)*
S&P Primary EPS Actual$(1.75)*$1.471*$(0.773)*

Values with * retrieved from S&P Global.

Margins snapshot (as reported % of revenue, Q2 YoY)

Metric (% of Revenue)Q2 2024Q2 2025
Operating (Loss) Income %0.9% (0.4)%
Net (Loss) Margin %(9.7)% (34.7)%

Segment revenue and Segment Adjusted EBITDAR

Segment ($M)Q2 2024 RevenueQ2 2025 RevenueQ2 2024 Segment Adj. EBITDARQ2 2025 Segment Adj. EBITDAR
Casinos & Resorts$343.1 $393.3 $99.8 $106.0
International Interactive$229.4 $206.1 $81.3 $82.2
North America Interactive$46.5 $56.5 $(2.2) $2.5
Corporate & Other$2.7 $1.6 $(17.1) $(17.5)

Additional KPIs and balance sheet/cash flow

KPIQ2 2025
U.K. online revenue growth YoY+8.8%; +2.8% cc
Outpaced market growth9 of 15 jurisdictions
OSB live13 U.S. states incl. NJ; also Ontario
iGaming liveNJ, PA, RI; also Ontario
Cash & Cash Equivalents$174.6M
Long-term Debt, net$3.56B
Capex (Q2 only)$49.0M
Cash paid for capitalized software (Successor period to 6/30)$20.5M

Guidance Changes

MetricPeriodPrevious GuidanceCurrent GuidanceChange
Formal financial guidance (revenue, EPS, margins)FY/Q3None disclosedNone disclosedMaintained (no guide)
International Interactive transactionClose timingAnnounced JulyExpected closing Q4 2025; €2.7B total consideration; majority ownership in Intralot post-close; cash proceeds expected to reduce 2028 secured debtNew transaction disclosure; deleveraging expected
Chicago financingFacility fundingN/AChicago MLA signed; up to $940M construction financing; additional rent at 8.5% on funded amountsNew financing framework
The Star investmentFunding planA$200M commitment (A$300M initially, later reduced)A$66.7M subordinated debt funded in Q2 (total subordinated A$111.1M) + A$22.2M convert funded; remainder subject to approvalsContinuing execution

Earnings Call Themes & Trends

Note: The company did not hold an earnings call for Q2 2025 .

TopicPrevious Mentions (Q4 2024, Q1 2025)Current Period (Q2 2025)Trend
Chicago projectGround broken; temporary below expectations; approval of redesigned master plan Construction “in full swing”; Chicago MLA with GLPI enables up to $940M funding; rent 8.5% on draws Improving execution; financing secured
International strategyDivested Asia ops; U.K. strength; ex-divested growth positive Sell International Interactive to Intralot for ~€2.7B; Bally’s to be majority shareholder; deleveraging intent Transformative portfolio repositioning
North America InteractivePlatform transition headwinds; ramp in RI; Monopoly Casino NJ launch; 11 OSB states Revenue +21.5% YoY; Segment Adjusted EBITDAR turns positive; Bally Bet live in 13 states Operational improvement
Regional market/macroStable overall; pockets of weakness; weather/supply commentary Stable domestic regional environment; selective competition pressures (Shreveport, Evansville, Dover) Stable with localized pressure
Balance sheet / leverageNew 11% 2028 secured notes in 2025; revolving draws; capex needs Intralot proceeds expected to reduce 2028 secured debt; Chicago financing off-balance-sheet via GLPI lease Deleveraging path emerging
NY expansion (Bronx)Continuing pursuit of license“Potential to be the largest private investment in Bronx history” if licensed Ongoing regulatory milestone focus

Management Commentary

  • Strategy: “Bally’s 2.0 is well underway to create a global omni-channel provider of retail and online experiences…ongoing initiatives to drive operational efficiencies and balance sheet improvements” — CEO Robeson Reeves .
  • Portfolio/Chicago: “Construction is in full swing at our permanent…resort in Chicago” with 3,400 slots, 170+ tables, 500-room tower, 3,000-seat theater, 10 F&B venues, and riverside park .
  • Intralot transaction: “Transformative…we are creating a unique proposition…pave the way for a new era of innovation and growth” and “cash proceeds are expected to enhance liquidity and significantly reduce our 2028 secured debt” .
  • International/U.K.: Continued U.K. online growth, strong retention and monetization; Spain growth on easing marketing restrictions .

Q&A Highlights

  • No earnings call or Q&A for Q2 2025; Bally’s has not hosted a call for multiple consecutive quarters per trade press .
  • Any guidance clarifications instead appeared in filings/press releases (e.g., Intralot deal mechanics, Chicago lease financing) .

Estimates Context

How the quarter compared to S&P Global consensus:

  • Revenue: $657.5M actual vs $651.0M consensus — slight beat . Revenue consensus values retrieved from S&P Global*.
  • S&P Primary EPS: $(0.773) actual vs $(0.20) consensus — miss*. GAAP diluted EPS was $(3.76), reflecting non-operating/tax effects and successor accounting .
  • Prior prints (for context): Q1 2025 revenue $589.2M vs $594.5M consensus (miss); S&P Primary EPS actual $1.471 vs $(0.678) consensus (beat). Q4 2024 revenue $580.4M vs $597.0M consensus (miss); S&P Primary EPS actual $(1.75) vs $(0.603) consensus (miss) .

Values with * retrieved from S&P Global.

Key Takeaways for Investors

  • Print was fine (slight revenue beat) but the story is strategic: the Intralot deal and Chicago financing create a clearer deleveraging and funding path for Bally’s 2.0 .
  • Casinos & Resorts integration is driving scale and share gains in many markets; Queen assets are contributing; select markets still face new competitive supply .
  • U.K. online remains a bright spot; International ex-Asia shows underlying growth — but headline YoY comps reflect prior Asia divestiture .
  • North America Interactive inflected to positive Segment Adjusted EBITDAR, an important proof point as OSB/iCasino footprint expands under tighter cost discipline .
  • Near-term GAAP EPS remains noisy with high interest expense, merger/transaction costs and unusual tax items; investors should track Adjusted EBITDAR trajectory and deleveraging milestones .
  • Upcoming catalysts: regulatory clearances and closing for the Intralot transaction (expected Q4 2025), progress and funding draws on Chicago MLA, and any NY license developments for the Bronx project .
  • Risk monitor: leverage/interest burden until deleveraging events complete; competitive/regulatory pressures at certain U.S. properties; execution risk in Chicago and NY .

Footnotes and sources:

  • Press release and 8-K furnishing Q2 2025 results .
  • Q2 2025 Form 10-Q for detailed financials, segments, cash flows, debt, and subsequent events .
  • Q1 2025 and Q4 2024 press releases for trend context .
  • No earnings call reported per trade press .
  • Consensus and actuals marked with * retrieved from S&P Global (Primary EPS, Revenue consensus/actual where shown by S&P).