Executive Summary

Q4 2024 revenue was $164.2M and Adjusted EBITDA was $39.2M; diluted EPS was $0.10. Results improved sequentially versus Q3 but were below prior year due to divested operations (Montana and Nevada distributed gaming), with management emphasizing operational cost control and an improving 2025 setup .
Management highlighted sequential EBITDA improvement across most properties in Q4 and stronger January trends, while February was pressured by the tough Super Bowl comp; March trends were guided to improve over 2024. Midweek occupancy at The STRAT remains the key lever to recovery, with citywide convention momentum expected to help over 2025–2026 .
Capital returns remain a core focus: a recurring $0.25 quarterly dividend was authorized for April 2, 2025, and GDEN repurchased 1.1M shares in Q4 ($36.2M at $32.65); buyback capacity stands at ~$99M, supported by low leverage and ample revolver availability .
Strategic optionality is a core stock catalyst: management is evaluating transformative M&A, real estate monetization, and continued buybacks amid perceived undervaluation; near-term narrative hinges on midweek demand recovery at The STRAT, tavern ramp stabilization, and cost mitigation progress at union-impacted assets .

What Went Well and What Went Wrong

What Went Well

Sequential improvement: Q4 revenue and EBITDA were up versus Q3, with “material sequential EBITDA improvement at all properties” excluding seasonally weaker Laughlin, and January 2025 EBITDA up meaningfully year-over-year; rated gaming revenue cadence improved from Oct (-7%) and Nov (-4%) to Dec (flat) and Jan (+4%) .
Locals strength: Nevada locals casinos grew revenue and EBITDA year-over-year and sequentially; locals EBITDA margin improved to 46% with notable recovery at Arizona Charlie’s Boulder, a value-oriented property .
Capital returns: GDEN maintained the $0.25 quarterly dividend and repurchased 1.1M shares in Q4; strong balance sheet with ~$400M funded debt, net leverage ~2.3x, and $220M revolver availability supports continued buybacks and returns .

What Went Wrong

STRAT midweek softness and labor costs: Q4 STRAT midweek occupancy fell ~6% YoY, dragging overall occupancy to 75%; culinary union contract elevated labor costs, pressuring margins despite strong weekend occupancy (~95%) .
Taverns ramp lag: Seven recently added taverns (six acquisitions) required full operating revamps and complete staff turnover, delaying stabilization; taverns have sequentially improved but were slower to ramp than anticipated .
Macro/event comps: February trends face difficult prior-year Super Bowl comp (~$1M EBITDA impact last year); F1 demand in year two was notably weaker citywide, limiting rate compression benefits at STRAT .

Financial Results

Consolidated results (sequential)

Metric	Q2 2024	Q3 2024	Q4 2024
Revenue ($USD Millions)	$167.334	$161.233	$164.204
Net Income ($USD Millions)	$0.623	$5.167	$2.978
Diluted EPS ($USD)	$0.02	$0.18	$0.10
Adjusted EBITDA ($USD Millions)	$41.192	$34.014	$39.177
Net Income Margin (%)	0.4% (calc from )	3.2% (calc from )	1.8% (calc from )
EBITDA Margin (%)	24.6% (calc from )	21.1% (calc from )	23.8% (calc from )

Year-over-year (Q4 2024 vs Q4 2023)

Metric	Q4 2023	Q4 2024
Revenue ($USD Millions)	$230.691	$164.204
Adjusted EBITDA ($USD Millions)	$48.760	$39.177
Net Income ($USD Millions)	$(9.372)	$2.978
Diluted EPS ($USD)	$(0.33)	$0.10

Segment breakdown (continuing operations)

Segment	Revenue Q3 2024 ($MM)	Revenue Q4 2024 ($MM)	Adj. EBITDA Q3 2024 ($MM)	Adj. EBITDA Q4 2024 ($MM)
Nevada Casino Resorts	$99.547	$97.487	$24.614	$24.441
Nevada Locals Casinos	$35.405	$38.710	$14.274	$17.766
Nevada Taverns	$26.042	$27.722	$5.317	$6.468
Corporate & Other	$0.239	$0.285	$(10.191)	$(9.498)

KPIs and operational metrics

KPI	Q2 2024	Q3 2024	Q4 2024
STRAT weekend occupancy	—	—	~95%
STRAT midweek occupancy	—	—	Down ~6% YoY; overall 75%
Locals casinos EBITDA margin	~45% run-rate prior 4 qtrs	—	46%
Taverns same-store revenue seq.	—	—	+6% vs Q3
Rated gaming revenue YoY cadence	—	Oct: -7%	Nov: -4%; Dec: flat
Debt (principal)	$400.7M (6/30)	$399.0M (9/30)	$417.6M (12/31)
Cash	$88.6M (6/30)	$68.6M (9/30)	$57.7M (12/31)
Revolver availability	$240M (6/30)	$240M (9/30)	$220M (12/31)

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Recurring quarterly dividend per share	Q2 2025 (payable Apr 2, 2025)	$0.25 (regular dividend maintained in Q3/Q4)	$0.25 declared Feb 25, 2025	Maintained
Share repurchase authorization capacity	As of Q3 2024	$131.4M availability	~$99M capacity remaining	Lowered (due to Q4 buybacks)
Taverns trajectory	CY 2025	—	Sequential growth through 2025 (except seasonally lower Q3)	New qualitative
Labor inflation	CY 2025	—	Mid-single-digit portfolio labor inflation; cost mitigation in focus	New qualitative
STRAT demand drivers	2025–2026	—	Convention expansion/amenities to support midweek recovery	New qualitative

Note: No formal revenue/EBITDA/EPS numerical guidance was issued; management provided qualitative expectations for improving 2025 performance, cost control, and tavern stabilization .

Earnings Call Themes & Trends

Topic	Previous Mentions (Q2 & Q3)	Current Period (Q4)	Trend
STRAT midweek occupancy and ADR	Q2: Record hotel revenue; midweek remained ~18% below 2019; cost mitigation planned . Q3: Midweek down ~6%; union labor costs pressuring margins .	Weekend ~95%, overall 75%; midweek down ~6%; anticipated improvement from convention traffic .	Stable to improving through 2025 as conventions recover.
Taverns ramp/stabilization	Q2: Added 6 taverns; acquisition integration cost headwind; greenfield 1–2 sites planned . Q3: 7 new taverns driving initial OpEx; stabilizing over 9–18 months .	New taverns improving sequentially; sequential growth expected through 2025 (except Q3 seasonality) .	Improving; stabilization expected by year-end 2025.
Promotional environment (locals)	Q2: Elevated/rational promotions; pressure at low-end database . Q3: Moderating promotional environment .	Promotional activity now “rational,” F&B-oriented, reasonable .	Normalizing.
Consumer health and database mix	Q2: Low-end weakness; top/mid tiers stable . Q3: Election-related caution; seasonality; expectation Q4 better .	Oct (-7%), Nov (-4%), Dec flat; Jan +4% YoY; confidence in 2025 growth .	Improving post-election; momentum building.
Event comps (F1, Super Bowl)	Q2: Planning more cost-effective entertainment; F1 approach to be more disciplined . Q3: Super Bowl worth ~$1M EBITDA; F1 comps likely tougher .	F1 year-two weaker citywide; limited rate compression; Feb pressured by Super Bowl comp; March outlook better .	Near-term headwind; managed via cost discipline.
Strategic alternatives (M&A/RE)	Q2: Real estate value optionality; buybacks prioritized . Q3: Active mode; sale-leaseback timing sensitive to rate environment .	Exploring transformative M&A (avoid sub-$40–50M EBITDA assets), real estate monetization optionality, continued buybacks .	Active evaluation; buybacks ongoing; leverage discipline maintained.
Laughlin entertainment strategy	Q2: Shift to smaller-scale, more profitable shows; focus on locals; bingo driving traffic . Q3: Reduced large-scale acts; smaller venue programming .	Continued expense reductions; increased market share; smaller venue cadence .	Structural shift to higher-margin programming.

Management Commentary

“Our fourth quarter performance improved sequentially over the third quarter and we anticipate business conditions will continue to improve in 2025. For 2025, we remain focused on investing in our own assets, returning capital to shareholders and pursuing potential strategic opportunities.” — Blake Sartini, CEO .
“In Q4, we saw material sequential EBITDA improvement at all of our properties, excluding Laughlin… January was up 4% with January 2025 EBITDA up meaningfully.” — Charles Protell, President & CFO .
“We continue to maintain one of the best balance sheets in the gaming industry with total funded debt of approximately $400 million, net leverage of 2.3x EBITDA and $220 million of remaining availability under our revolving credit facility.” — Charles Protell .
“Our major initiatives… in 2025 for all of our ops are focused around our cost control efforts… most of our upside being there this year, particularly at The STRAT.” — Blake Sartini .

Q&A Highlights

F1 and event dynamics: Year-two F1 demand was weaker citywide; GDEN avoided excess direct event costs but couldn’t compress rates; Super Bowl comp in February is a headwind, but March trends expected to improve over 2024 .
Convention uplift: The STRAT benefits disproportionately from citywide group recovery; the Las Vegas Convention Center expansion (~$600M) expected to drive improved midweek occupancy over 2025–2026 .
Taverns OpEx and trajectory: Full revamp and staff turnover at six acquired taverns created disruption; sequential growth expected throughout 2025 (Q3 seasonally lower); labor remains a portfolio headwind (mid-single-digit inflation) .
Promotional environment: Promotional activity in locals is “rational,” more F&B-oriented; reinvestment at lower-end database being reevaluated to avoid over-investment .
Strategic activity: Avoid small, sub-$40–$50M EBITDA single assets; pursue transformative deals or portfolios; maintain long-term target leverage ≤3x with rapid deleveraging path; evaluate real estate monetization but not pure greenfield development .

Estimates Context

We attempted to retrieve S&P Global consensus estimates for Q4 2024 (EPS, revenue, EBITDA), but data was unavailable due to provider request limits at the time of this analysis. As a result, we cannot provide formal beat/miss versus Wall Street consensus for this quarter. If needed, we can refresh when access is restored.
Actual results: Revenue $164.2M, Adjusted EBITDA $39.2M, diluted EPS $0.10; sequential improvement vs Q3, YoY down due to divestitures .

Key Takeaways for Investors

Sequential improvement with clearer 2025 path: Q4 stepped up vs Q3, and early 2025 cadence (ex-Super Bowl comp) looks constructive; watch midweek recovery at STRAT and locals/tavern stabilization as catalysts .
Cost control and union labor anniversary: Margin restoration at STRAT hinges on cost mitigation and normalization post culinary union contract; success here could drive upside to EBITDA margins in 2025 .
Locals segment is a bright spot: 46% EBITDA margin and recovery at value-oriented Boulder point to healthier database; promotions rationalizing supports sustainable reinvestment .
Tavern ramp is improving: New sites are trending up sequentially; expect stabilization by end-2025 with greenfield A+ sites prioritized over acquisitions, supporting consistent cash-on-cash returns .
Capital returns supported by balance sheet: Recurring $0.25 dividend and ~$99M buyback capacity offer downside support; low leverage and revolver availability provide flexibility for opportunistic repurchases .
Optionality on strategic actions: Management is actively evaluating transformative M&A and real estate monetization; improving rate backdrop increases the attractiveness of RE monetization pathways, but buybacks remain primary near-term value lever .
Near-term trading lens: Headlines around convention recovery, tavern stabilization milestones, and STRAT margin progress are likely to move the stock; monitor monthly rated play cadence and citywide events for inflection signals .

References: Q4 2024 press release and 8-K (earnings): , Q4 call transcripts: , Q3 press release and call: , Q2 press release and call: .

GOLDEN ENTERTAINMENT, INC. (GDEN)·Q4 2024 Earnings Summary