{"success":true,"data":{"pressRelease":{"id":"110969","rtpr_id":"nBw7HmW7sa","ticker":"PENN","exchange":"NASDAQ","all_tickers":["PENN"],"title":"PENN Entertainment, Inc. Reports Second Quarter Results","author":"Business Wire","published_at":"2026-08-06T11:00:00.564Z","article_body":"PENN Entertainment, Inc. Reports Second Quarter Results\n\nPENN Entertainment, Inc. (“PENN” or the “Company”) (Nasdaq: PENN)\ntoday reported financial results for the three and six months ended June 30,\n2026.\n\nJay Snowden, Chief Executive Officer and President, said: “We continued to\nexecute against our 2026 strategic priorities this quarter: delivering Segment\nAdjusted EBITDAR growth, optimizing corporate overhead, growing cash flow, and\ndeleveraging the balance sheet. PENN achieved record quarterly Retail segment\nrevenues, supported by strong performance across our portfolio including our\nfour recently completed development projects. Our Interactive segment remains\non track to deliver upon our previously stated goals, supported by growth in\nU.S. iCasino and Canada. Adjusted EBITDA improved by $52.5 million\nyear-over-year, reflecting disciplined execution of our strategy to drive\nprofitability. The encouraging trends in our Retail and Interactive operating\nsegments have continued through July.”\n\nSecond Quarter Retail Segment Highlights(1):\n\n\n * Revenues of $1.5 billion;\n\n * Segment Adjusted EBITDAR of $517.2 million; and\n\n * Segment Adjusted EBITDAR margins of 34.4%.\n\n“PENN’s geographically diverse Retail segment delivered portfolio-wide\nstrength, with nine properties setting second-quarter records for revenues and\nAdjusted EBITDAR,” said Mr. Snowden. “We experienced another quarter of\nyear-over-year growth in theoretical revenue, supported by meaningful\ncontributions from mid- and high-worth customer segments, as well as growth in\nunrated revenue, underscoring broad-based consumer demand. Second-quarter\nSegment Adjusted EBITDAR margins improved quarter-over-quarter and\nyear-over-year, reflecting our property teams’ focus on converting solid\ndemand into favorable operating results. In June 2026, we opened both the new\nhotel tower at Hollywood Columbus and the new Hollywood Casino Aurora, and\nearly trends at both properties are encouraging, including strong visitation\nfrom VIP players.”\n\nSecond Quarter Interactive Segment Highlights:\n\n\n * Revenues of $349.4 million (including tax gross up of $185.5 million); and\n\n * Adjusted EBITDA loss of $9.5 million.\n\n“Our Interactive segment delivered another quarter of meaningful\nyear-over-year Adjusted EBITDA improvement. In the U.S., standalone Hollywood\niCasino experienced quarter-over-quarter as well as year-over-year growth,\nachieving record quarterly revenues. In Ontario, gaming operations continued\nto gain momentum, supported by strong growth in online sports betting\n(“OSB”) revenues aided by solid World Cup engagement and cross-sell of the\nreactivated World Cup OSB user base into iCasino. We also successfully\nlaunched theScore Bet, as well as theScore Casino and Hollywood iCasino\nstandalone apps, in Alberta on July 13,” concluded Mr. Snowden.\n\n(1) Retail Segment consists of retail operating segments which are composed of\nour Northeast, South, West, and Midwest reportable segments.\n\nLiquidity and Financial Position\n\nTotal liquidity as of June 30, 2026 was $1.9 billion, including $887.2 million\nof Cash and cash equivalents. Traditional net debt as of June 30, 2026 was\n$1.9 billion.\n\nOn April 16, 2026, the Company amended its Second Amended and Restated Credit\nAgreement in order to refinance and extend the term of its $1.0 billion\nAmended Revolving Credit Facility and $446.9 million Amended Term Loan A\nFacility. The Amended Revolving Credit Facility and Amended Term Loan A\nFacility mature in April 2031.\n\nOn May 15, 2026, the Company repaid the remaining $106.7 million principal\nbalance of its 2.75% Convertible Notes due 2026, eliminating approximately 4.6\nmillion potentially dilutive shares associated with the notes.\n\nOn May 28, 2026, the Company amended its Second Amended and Restated Credit\nAgreement in order to reprice and extend the term of its $962.5 million\nAmended Term Loan B Facility. The Amended Term Loan B Facility matures in May\n2033.\n\nSummary of Second Quarter Results\n                                                                    For the three months                      \n                                                                    \nended June 30,                           \n (in millions, except per share data, unaudited)                          2026                 2025           \n Revenues                                                           $     1,857.4        $     1,765.0        \n Net income (loss)                                                  $     32.6           $     (18.3    )     \n                                                                                                              \n Consolidated Adjusted EBITDA ((1))                                 $     312.6          $     236.1          \n Rent expense associated with triple net operating leases ((2))     $     163.3          $     156.0          \n                                                                                                              \n Cash payments to our REIT Landlords under Triple Net Leases ((3))  $     247.1          $     240.0          \n                                                                                                              \n Diluted earnings (loss) per common share                           $     0.24           $     (0.12    )     \n\n (1)  For more information, definitions, and reconciliations see the “Non-GAAP         \n      Financial Measures” section below.                                               \n (2)  Consists of the operating lease components of (i) our triple net master lease    \n      dated November 1, 2013 with Gaming and Leisure Properties, Inc. (Nasdaq: GLPI)   \n      (“GLPI”), as amended and restated effective January 1, 2023 (the “AR             \n      PENN Master Lease”), (ii) our triple net master lease entered into in            \n      conjunction with, and coterminous with, the AR PENN Master Lease (the “2023      \n      Master Lease”), and (iii) our triple net master lease dated December 4, 2025     \n      with VICI Properties Inc. (NYSE: VICI) (“VICI”) for the real estate assets       \n      used in the operations of Margaritaville Resort Casino and Hollywood Casino at   \n      Greektown (the “VICI Master Lease”), which replaced the Company’s prior          \n      separate triple net leases with VICI for such properties. Collectively these     \n      arrangements are referred to as our “triple net operating leases.” The           \n      expense related to operating lease components contained within our triple net    \n      operating leases are recorded as “General and administrative” within the         \n      unaudited Consolidated Statements of Operations.                                 \n (3)  Consists of total cash payments made to GLPI and VICI (referred to               \n      collectively as our “REIT Landlords”) under our triple net operating             \n      leases (as defined above), the Pinnacle Master Lease, and the Morgantown Lease   \n      and collectively referred to as our “Triple Net Leases.”                         \n\n\nAdjusted EPS\n\nThe following table reconciles diluted earnings (loss) per share (“EPS”)\nto Adjusted EPS (approximate EPS impact shown, per share; positive adjustments\nrepresent charges to income):\n                                                    For the three months                   \n                                                    \nended June 30,                        \n                                                         2026                  2025        \n Diluted earnings (loss) per share                  $    0.24             $    (0.12  )    \n Impairment loss                                         —                     0.10        \n Gain on disposal of assets                              (0.03  )              —           \n Pre-opening expenses                                    0.17                  0.03        \n Legal matters inclusive of litigation settlements       (0.02  )              0.06        \n Transaction costs and other                             0.14                  0.01        \n Non-operating items:                                                                      \n Loss on early extinguishment of debt                    0.01                  0.08        \n Gain related to debt and equity investments             —                     (0.01  )    \n Other income                                            —                     (0.02  )    \n Foreign currency transaction loss                       —                     0.01        \n Income tax impact on net income adjustments ((1))       (0.07  )              (0.04  )    \n Adjusted EPS                                       $    0.44             $    0.10        \n\n (1)  The income tax impact reflects current and deferred tax effects based on the  \n      nature of each adjustment and the applicable tax jurisdiction.                \n      \n                                                                             \n      \n                                                                             \n\n\nPENN ENTERTAINMENT, INC. AND SUBSIDIARIES\n\nSupplemental Information\n\nThe Company aggregates its operations into five reportable segments:\nNortheast, South, West, Midwest, and Interactive.\n                                                           For the three months                           For the six months                         \n                                                           \nended June 30,                                \nended June 30,                            \n (in millions, unaudited)                                       2026                    2025                   2026                    2025          \n Revenues:                                                                                                                                           \n Northeast segment ((1))                                   $    731.6              $    711.6             $    1,418.7            $    1,392.5       \n South segment ((2))                                            301.9                   302.2                  583.1                   590.5         \n West segment ((3))                                             151.5                   137.7                  297.2                   267.4         \n Midwest segment ((4))                                          320.6                   297.0                  626.5                   579.9         \n Interactive ((5))                                              349.4                   316.1                  707.7                   606.2         \n Other ((6))                                                    5.6                     5.7                    10.9                    11.0          \n Intersegment eliminations ((7))                                (3.2     )              (5.3     )             (7.7     )              (10.0    )    \n Total revenues                                            $    1,857.4            $    1,765.0           $    3,636.4            $    3,437.5       \n                                                                                                                                                     \n Segment Adjusted EBITDAR ((8)):                                                                                                                     \n Northeast segment ((1))                                   $    220.2              $    209.5             $    414.7              $    403.7         \n South segment ((2))                                            109.0                   104.8                  213.2                   208.1         \n West segment ((3))                                             55.0                    53.5                   109.0                   99.2          \n Midwest segment ((4))                                          133.0                   121.8                  251.7                   235.6         \n Interactive ((5))                                              (9.5     )              (62.0    )             (20.4    )              (151.0   )    \n Other ((6))                                                    (31.8    )              (35.5    )             (63.2    )              (74.3    )    \n Rent expense associated with triple net operating leases       (163.3   )              (156.0   )             (326.6   )              (311.9   )    \n Consolidated Adjusted EBITDA ((9))                        $    312.6              $    236.1             $    578.4              $    409.4         \n\n (1)  The Northeast segment consists of the following properties: Ameristar East       \n      Chicago, Hollywood Casino at Greektown, Hollywood Casino Bangor, Hollywood       \n      Casino at Charles Town Races, Hollywood Casino Columbus, Hollywood Casino        \n      Lawrenceburg, Hollywood Casino Morgantown, Hollywood Casino at PENN National     \n      Race Course, Hollywood Casino Perryville, Hollywood Casino Toledo, Hollywood     \n      Casino York, Hollywood Gaming at Dayton Raceway, Hollywood Gaming at Mahoning    \n      Valley Race Course, Marquee by PENN, Hollywood Casino at The Meadows, and        \n      Plainridge Park Casino.                                                          \n (2)  The South segment consists of the following properties: 1(st) Jackpot Casino,    \n      Ameristar Vicksburg, Boomtown Biloxi, Boomtown Bossier City, Boomtown New        \n      Orleans, Hollywood Casino Gulf Coast, Hollywood Casino Tunica, L’Auberge         \n      Baton Rouge, L’Auberge Lake Charles, and Margaritaville Resort Casino.           \n (3)  The West segment consists of the following properties: Ameristar Black Hawk,     \n      Cactus Petes and Horseshu, M Resort Spa Casino, and Zia Park Casino.             \n (4)  The Midwest segment consists of the following properties: Ameristar Council      \n      Bluffs, Argosy Casino Alton, Argosy Casino Riverside, Hollywood Casino Aurora,   \n      Hollywood Casino Joliet, our 50% investment in Kansas Entertainment, LLC,        \n      which owns Hollywood Casino at Kansas Speedway, Hollywood Casino St. Louis,      \n      Prairie State Gaming, and River City Casino.                                     \n (5)  The Interactive segment includes all of our online sports betting, online        \n      casino/iCasino and social gaming operations, management of retail sports         \n      betting, and media. Interactive revenues are inclusive of a tax gross-up of      \n      $185.5 million and $137.9 million for the three months ended June 30, 2026 and   \n      2025, respectively, and $371.3 million and $266.1 million for the six months     \n      ended June 30, 2026 and 2025, respectively.                                      \n (6)  The Other category, included in the tables to reconcile the segment              \n      information to the consolidated information, consists of the Company’s           \n      stand-alone racing operations, namely Sanford-Orlando Kennel Club, Sam Houston   \n      and Valley Race Park, and our management contract for Retama Park Racetrack.     \n      The Other category also includes corporate overhead, which consists of certain   \n      expenses, such as payroll, professional fees, travel expenses, and other         \n      general and administrative expenses that do not directly relate to or have not   \n      otherwise been allocated. Corporate overhead was $29.5 million and $38.7         \n      million for the three months ended June 30, 2026 and 2025, respectively, and     \n      $57.7 million and $74.7 million for the six months ended June 30, 2026 and       \n      2025, respectively. Corporate overhead for the three and six months ended June   \n      30, 2025 included $9.4 million and $17.1 million, respectively, of legal and     \n      advisory costs related to activist activity in connection with our 2025 annual   \n      meeting of shareholders.                                                         \n (7)  Primarily represents the elimination of intersegment revenues associated with    \n      our retail sportsbooks, which are operated by PENN Interactive.                  \n (8)  See definition of Segment Adjusted EBITDAR within the “Reportable Segment        \n      Measures” section below.                                                         \n (9)  See definition of Consolidated Adjusted EBITDA within the “Non-GAAP              \n      Financial Measures” section below.                                               \n      \n                                                                                \n      \n                                                                                \n\n\nPENN ENTERTAINMENT, INC. AND SUBSIDIARIES\n\nReconciliation of Net Income (Loss) to Consolidated Adjusted EBITDA\n                                                         For the three months                       For the six months                      \n                                                         \nended June 30,                            \nended June 30,                         \n (in millions, unaudited)                                     2026                  2025                 2026                  2025         \n Net income (loss)                                       $    32.6             $    (18.3  )        $    29.8             $    93.2         \n Income tax expense                                           7.1                   6.4                  15.8                  54.1         \n Interest expense, net                                        100.9                 95.9                 201.8                 206.7        \n Interest income                                              (2.0   )              (2.1   )             (3.8   )              (5.3    )    \n Income from unconsolidated affiliates                        (8.6   )              (13.3  )             (16.9  )              (20.9   )    \n Gain on financing arrangement                                —                     —                    —                     (215.1  )    \n Loss on early extinguishment of debt                         1.8                   11.8                 1.8                   11.8         \n Other (income) expenses                                      (0.1   )              (2.9   )             0.2                   (4.2    )    \n Operating income                                             131.7                 77.5                 228.7                 120.3        \n Stock-based compensation                                     17.4                  16.1                 31.5                  31.7         \n Cash-settled stock-based awards variance ((1))               (2.6   )              (3.1   )             (6.0   )              (6.3    )    \n Pre-opening expenses                                         23.0                  4.4                  27.2                  4.9          \n Depreciation and amortization                                117.8                 110.5                234.8                 218.5        \n Impairment loss ((2))                                        —                     15.0                 —                     15.0         \n Income from unconsolidated affiliates                        8.6                   13.3                 16.9                  20.9         \n Non-operating items of equity method investments ((3))       1.1                   1.1                  2.3                   2.2          \n Other expenses ((4))                                         15.6                  1.3                  43.0                  2.2          \n Consolidated Adjusted EBITDA                            $    312.6            $    236.1           $    578.4            $    409.4        \n\n (1)  Our cash-settled stock-based awards are adjusted to fair value each reporting   \n      period based primarily on the price of the Company’s common stock. As such,     \n      significant fluctuations in the price of the Company’s common stock during      \n      any reporting period could cause significant variances to budget on             \n      cash-settled stock-based awards.                                                \n (2)  Related to an impairment charge in our Midwest segment.                         \n (3)  Consists primarily of depreciation expense associated with our Kansas           \n      Entertainment joint venture.                                                    \n (4)  For the three and six months ended June 30, 2026, other expenses primarily      \n      consisted of transaction costs and non-recurring restructuring charges,         \n      primarily severance, related to the Company’s new corporate organizational      \n      structure. For the six months ended June 30, 2026, other expenses also          \n      included settlement costs and related legal and advisory fees associated with   \n      the Cooperation Agreement with HG Vora Capital Management, LLC and related      \n      parties.                                                                        \n      \n                                                                               \n      \n                                                                               \n\n\nPENN ENTERTAINMENT, INC. AND SUBSIDIARIES\n\nConsolidated Statements of Operations\n\n(Unaudited)\n                                                             For the three months                           For the six months                         \n                                                             \nended June 30,                                \nended June 30,                            \n (in millions, except per share data, unaudited)                  2026                    2025                   2026                    2025          \n Revenues                                                                                                                                              \n Gaming                                                      $    1,396.6            $    1,367.7           $    2,730.9            $    2,666.0       \n Food, beverage, hotel, and other                                 460.8                   397.3                  905.5                   771.5         \n Total revenues                                                   1,857.4                 1,765.0                3,636.4                 3,437.5       \n Operating expenses                                                                                                                                    \n Gaming                                                           833.2                   869.7                  1,641.1                 1,723.5       \n Food, beverage, hotel, and other                                 333.7                   282.0                  663.1                   546.9         \n General and administrative                                       441.0                   410.3                  868.7                   813.3         \n Depreciation and amortization                                    117.8                   110.5                  234.8                   218.5         \n Impairment loss                                                  —                       15.0                   —                       15.0          \n Total operating expenses                                         1,725.7                 1,687.5                3,407.7                 3,317.2       \n Operating income                                                 131.7                   77.5                   228.7                   120.3         \n Other income (expenses)                                                                                                                               \n Interest expense, net                                            (100.9   )              (95.9    )             (201.8   )              (206.7   )    \n Interest income                                                  2.0                     2.1                    3.8                     5.3           \n Income from unconsolidated affiliates                            8.6                     13.3                   16.9                    20.9          \n Gain on financing arrangement                                    —                       —                      —                       215.1         \n Loss on early extinguishment of debt                             (1.8     )              (11.8    )             (1.8     )              (11.8    )    \n Other                                                            0.1                     2.9                    (0.2     )              4.2           \n Total other income (expenses)                                    (92.0    )              (89.4    )             (183.1   )              27.0          \n Income (loss) before income taxes                                39.7                    (11.9    )             45.6                    147.3         \n Income tax expense                                               (7.1     )              (6.4     )             (15.8    )              (54.1    )    \n Net income (loss)                                                32.6                    (18.3    )             29.8                    93.2          \n Net loss attributable to non-controlling interest                0.5                     0.9                    1.0                     1.2           \n Net income (loss) attributable to PENN Entertainment, Inc.  $    33.1               $    (17.4    )        $    30.8               $    94.4          \n                                                                                                                                                       \n Earnings (loss) per share:                                                                                                                            \n Basic earnings (loss) per share                             $    0.25               $    (0.12    )        $    0.23               $    0.63          \n Diluted earnings (loss) per share                           $    0.24               $    (0.12    )        $    0.23               $    0.59          \n                                                                                                                                                       \n Weighted-average common shares outstanding—basic                 133.7                   149.0                  133.6                   150.6         \n Weighted-average common shares outstanding—diluted               137.1                   149.0                  134.4                   164.7         \n\n\nSelected Financial Information and GAAP to Non-GAAP Reconciliations\n (in millions, unaudited)                                        June 30,               December 31,           \n                                                                 \n2026                  \n2025                  \n Cash and cash equivalents                                       $    887.2             $      686.6           \n                                                                                                               \n Total traditional debt                                          $    2,814.7           $      2,904.1         \n Cash and cash equivalents                                            (887.2   )               (686.6   )      \n Traditional net debt ((1))                                      $    1,927.5           $      2,217.5         \n                                                                                                               \n Amended Revolving Credit Facility due 2031                      $    —                 $      —               \n Amended Term Loan A Facility due 2031                                446.9                    —               \n Amended Term Loan B Facility due 2033                                960.0                    —               \n Amended Revolving Credit Facility due 2027                           —                        570.0           \n Amended Term Loan A Facility due 2027                                —                        453.8           \n Amended Term Loan B Facility due 2029                                —                        965.0           \n 5.625% Notes due 2027                                                400.0                    400.0           \n 4.125% Notes due 2029                                                400.0                    400.0           \n 6.75% Notes due 2031                                                 600.0                    —               \n 2.75% Convertible Notes due 2026                                     —                        106.7           \n Other long-term obligations                                          7.8                      8.6             \n Total traditional debt                                               2,814.7                  2,904.1         \n Debt discounts and debt issuance costs                               (40.1    )               (17.0    )      \n                                                                 $    2,774.6           $      2,887.1         \n                                                                                                               \n Total traditional debt                                          $    2,814.7           $      2,904.1         \n Cash and cash equivalents                                            (887.2   )               (686.6   )      \n Cash rent payments to REIT landlords ((2))                           7,860.8                  7,742.4         \n                                                                 $    9,788.3           $      9,959.9         \n                                                                                                               \n Consolidated Adjusted EBITDA ((3))                              $    999.1             $      830.1           \n Rent expense associated with triple net operating leases ((3))  $    646.5             $      631.7           \n                                                                                                               \n Lease-adjusted net leverage ratio ((1))                         5.9x                   6.8x                   \n Traditional net leverage ((1))                                  2.9x                   4.5x                   \n\n (1)  See “Non-GAAP Financial Measures” section below for more information as        \n      well as the definitions of Traditional net debt, Lease-adjusted net leverage   \n      ratio, and Traditional net leverage.                                           \n (2)  Amount equals 8 times the total cash rent payments to REIT landlords for the   \n      trailing twelve months.                                                        \n (3)  Balance is presented on a trailing twelve months basis.                        \n\n\nCash Flow Data\n\nThe table below summarizes certain cash expenditures incurred by the Company.\n                                                              For the three months                   For the six months                    \n                                                              \nended June 30,                        \nended June 30,                       \n (in millions, unaudited)                                            2026                 2025             2026                     2025   \n Cash payments to our REIT Landlords under Triple Net Leases  $      247.1         $      240.0      $     494.8              $     480.0  \n Cash payments (refunds) related to income taxes, net         $      1.9           $      25.7       $     (14.9  )           $     6.0    \n Cash paid for interest on traditional debt                   $      16.7          $      21.1       $     60.5               $     57.8   \n Capital expenditures                                         $      97.5          $      159.4      $     192.0              $     284.6  \n\n\nReportable Segment Measures\n\nSegment Adjusted EBITDAR is our measure of profit or loss for our reportable\nsegments and underlying operating segments. We define Segment Adjusted EBITDAR\nas earnings before interest expense, net, interest income, income taxes,\ndepreciation and amortization, stock-based compensation, debt extinguishment\ncharges, impairment losses, insurance recoveries, net of deductible charges,\nchanges in the estimated fair value of our contingent purchase price\nobligations, gain or loss on disposal of assets, the difference between budget\nand actual expense for cash-settled stock-based awards, pre-opening expenses,\nloss on disposal of a business, non-cash gains/losses associated with REIT\ntransactions, and other. Segment Adjusted EBITDAR excludes rent expense\nassociated with triple net operating leases (which is a normal, recurring cash\noperating expense necessary to operate our business). Segment Adjusted EBITDAR\nis inclusive of income or loss from unconsolidated affiliates, with our share\nof non-operating items (such as interest expense, net, and depreciation and\namortization) added back for our Kansas Entertainment, LLC joint venture.\nSegment Adjusted EBITDAR margin is Segment Adjusted EBITDAR divided by related\nsegment revenues.\n\nNon-GAAP Financial Measures\n\nThe Non-GAAP Financial Measures used in this press release include\nConsolidated Adjusted EBITDA, Adjusted EPS, Traditional net debt, Traditional\nnet leverage ratio, and Lease-adjusted net leverage ratio. These non-GAAP\nfinancial measures should not be considered a substitute for, nor superior to,\nfinancial results and measures determined or calculated in accordance with\nGAAP.\n\nWe define Consolidated Adjusted EBITDA as earnings before interest expense,\nnet, interest income, income taxes, depreciation and amortization, stock-based\ncompensation, debt extinguishment charges, impairment losses, insurance\nrecoveries, net of deductible charges, changes in the estimated fair value of\nour contingent purchase price obligations, gain or loss on disposal of assets,\nthe difference between budget and actual expense for cash-settled stock-based\nawards, pre-opening expenses, loss on disposal of a business, non-cash\ngains/losses associated with REIT transactions, and other. Consolidated\nAdjusted EBITDA is inclusive of income or loss from unconsolidated affiliates,\nwith our share of non-operating items (such as interest expense, net, and\ndepreciation and amortization) added back for our Kansas Entertainment, LLC\njoint venture. Consolidated Adjusted EBITDA is inclusive of rent expense\nassociated with our triple net operating leases with our REIT landlords.\nAlthough Consolidated Adjusted EBITDA includes rent expense associated with\nour triple net operating leases, we believe Consolidated Adjusted EBITDA is\nuseful as a supplemental measure in evaluating the performance of our\nconsolidated results of operations.\n\nConsolidated Adjusted EBITDA has economic substance because it is used by\nmanagement as a performance measure to analyze the performance of our\nbusiness, and is especially relevant in evaluating large, long-lived\ncasino-hotel projects because it provides a perspective on the current effects\nof operating decisions separated from the substantial non-operational\ndepreciation charges and financing costs of such projects. We present\nConsolidated Adjusted EBITDA because it is used by some investors and\ncreditors as an indicator of the strength and performance of ongoing business\noperations, including our ability to service debt, and to fund capital\nexpenditures, acquisitions, and operations. These calculations are commonly\nused as a basis for investors, analysts and credit rating agencies to evaluate\nand compare operating performance and value companies within our industry. In\norder to view the operations of their casinos on a more stand-alone basis,\ngaming companies, including us, have historically excluded from their\nConsolidated Adjusted EBITDA calculations certain corporate expenses that do\nnot relate to the management of specific casino properties. However,\nConsolidated Adjusted EBITDA is not a measure of performance or liquidity\ncalculated in accordance with GAAP. Consolidated Adjusted EBITDA information\nis presented as a supplemental disclosure, as management believes that it is a\ncommonly used measure of performance in the gaming industry and that it is\nconsidered by many to be a key indicator of the Company’s operating results.\n\nAdjusted EPS is diluted earnings or loss per share adjusted to exclude\ngains/losses on the disposal of a business, non-cash gains/losses associated\nwith REIT transactions, impairment losses, pre-opening expenses, debt\nextinguishment charges, gains/losses on the disposal of assets, foreign\ncurrency gains/losses, transaction related expenses, business interruption\ninsurance proceeds, net gains/losses related to equity investments, and other.\n\nAdjusted EPS is a non-GAAP measure and is presented solely as a supplemental\ndisclosure to reported GAAP measures because management believes this measure\nis useful in providing period-to-period comparisons of the results of the\nCompany’s operations to assist investors in reviewing the Company’s\noperating performance over time. Management believes it is useful to exclude\ncertain items when comparing current performance to prior periods because\nthese items can vary significantly depending on specific underlying\ntransactions or events. Further, management believes certain excluded items\nmay not relate specifically to current operating trends or be indicative of\nfuture results. Adjusted EPS should not be construed as an alternative to GAAP\nearnings per share as an indicator of the Company’s performance.\n\nWe calculate Traditional net debt as Total traditional debt, which is the\nprincipal amount of debt outstanding less Cash and cash equivalents.\nManagement believes that Traditional net debt is an important measure to\nmonitor leverage and evaluate the balance sheet. With respect to Traditional\nnet debt, Cash and cash equivalents are subtracted from the GAAP measure\nbecause they could be used to reduce the Company’s debt obligations. A\nlimitation associated with using Traditional net debt is that it subtracts\nCash and cash equivalents and therefore may imply that there is less Company\ndebt than the most comparable GAAP measure indicates. Management believes that\ninvestors may find it useful to monitor leverage and evaluate the balance\nsheet.\n\nThe Company’s Traditional net leverage ratio is defined as Traditional net\ndebt (as defined above) divided by (i) Consolidated Adjusted EBITDA (as\ndefined above) for the trailing twelve months plus (ii) rent expense\nassociated with triple net operating leases for the trailing twelve months\nless (iii) cash rent payments to REIT landlords for the trailing twelve\nmonths. Management believes this measure is useful as a supplemental measure\nand provides an indication of the results generated by the Company in relation\nto its level of indebtedness with the cash generated from Company operations.\n\nThe Company’s Lease-adjusted net leverage ratio’s numerator is calculated\nas cash rent payments to REIT landlords for the trailing twelve months\ncapitalized at 8 times plus Traditional net debt (as defined above). The\nCompany’s Lease-adjusted net leverage ratio’s denominator is Consolidated\nAdjusted EBITDA (as defined above) for the trailing twelve months plus rent\nexpense associated with triple net operating leases for the trailing twelve\nmonths. Management believes this measure is useful as a supplemental measure\nand provides an indication of the results generated by the Company in relation\nto its level of indebtedness (including leases) with the cash generated from\nCompany operations.\n\nEach of these non-GAAP financial measures is not calculated in the same manner\nby all companies and, accordingly, may not be an appropriate measure of\ncomparing performance among different companies. See the tables above, which\npresent reconciliations of these measures to the GAAP equivalent financial\nmeasures.\n\nManagement Presentation, Conference Call, Webcast and Replay Details\n\nPENN is hosting a conference call and simultaneous webcast at 9:00 a.m. E.T.\ntoday, both of which are open to the general public. During the call,\nmanagement will review a presentation regarding the quarter and recent\ndevelopments that can be accessed at\nhttp://investors.pennentertainment.com/events-and-presentations/presentations\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Finvestors.pennentertainment.com%2Fevents-and-presentations%2Fpresentations&esheet=54584744&newsitemid=20260806104577&lan=en-US&anchor=http%3A%2F%2Finvestors.pennentertainment.com%2Fevents-and-presentations%2Fpresentations&index=1&md5=3727735208896fb9aed2b11c0d839f64)\n.\n\nThe conference call number is 833-309-3473 (conference ID: PENN); please call\nfive minutes in advance to ensure that you are connected prior to the\npresentation. Interested parties may also access the live call at\nwww.pennentertainment.com\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fwww.pennentertainment.com&esheet=54584744&newsitemid=20260806104577&lan=en-US&anchor=www.pennentertainment.com&index=2&md5=c1fab2248c3ad09b127fd782c924c336)\n; allow 15 minutes to register, download, and install any necessary software.\nQuestions and answers will be reserved for call-in analysts and investors. A\nreplay of the call can be accessed for thirty days at\nhttp://www.pennentertainment.com\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fwww.pennentertainment.com&esheet=54584744&newsitemid=20260806104577&lan=en-US&anchor=http%3A%2F%2Fwww.pennentertainment.com&index=3&md5=7b146eb1ae9718f743683bd643136c20)\n.\n\nThis press release, which includes financial information to be discussed by\nmanagement during the conference call and disclosure and reconciliation of\nnon-GAAP financial measures, is available on the Company’s web site,\nhttp://www.pennentertainment.com/corp/investors\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fwww.pennentertainment.com%2Fcorp%2Finvestors&esheet=54584744&newsitemid=20260806104577&lan=en-US&anchor=http%3A%2F%2Fwww.pennentertainment.com%2Fcorp%2Finvestors&index=4&md5=970d34184d9e4bd8a0f6eabdb741f0cb)\n(select link for “Press Releases”).\n\nAbout PENN Entertainment, Inc.\n\nPENN Entertainment, Inc., together with its subsidiaries (“PENN,” or the\n“Company,” “we,” “our,” or “us”), operates in 28 jurisdictions\nthroughout North America, with a broadly diversified portfolio of casinos,\nracetracks, and online sports betting and iCasino offerings. PENN’s focus is\non organic cross-sell opportunities, reinforced by its market-leading retail\ncasinos, sports media assets and technology, including a proprietary\nstate-of-the-art, fully integrated digital sports betting and iCasino\nplatform, and an in-house iCasino content studio. The Company’s portfolio is\nfurther bolstered by its industry-leading PENN Play™ customer loyalty\nprogram, offering its over 34 million members a unique set of rewards and\nexperiences.\n\nForward Looking Statements\n\nThis press release contains “forward-looking statements” within the\nmeaning of the Private Securities Litigation Reform Act of 1995. These\nstatements can be identified by the use of forward-looking terminology such as\n“expects,” “believes,” “estimates,” “projects,” “intends,”\n“plans,” “goal,” “seeks,” “may,” “will,” “should,”\n“look forward to,” or “anticipates” or the negative or other\nvariations of these or similar words, or by discussions of future events,\nstrategies or risks and uncertainties.\n\nSpecifically, forward-looking statements include, but are not limited to,\nstatements regarding: the Company’s expectations of future results of\noperations and financial condition, including, but not limited to, projections\nof revenue, Segment Adjusted EBITDAR, Consolidated Adjusted EBITDA, and other\nfinancial measures; the assumptions provided regarding the guidance, including\nthe anticipated benefits and timing of the Company’s development projects,\nother expected internal drivers and external tailwinds; the Company’s\nexpectations regarding cash flow generation and near-term deleveraging; the\nCompany’s expectations regarding results and customer growth and the impact\nof competition in retail/mobile/online sportsbooks (including prediction\nmarkets), iCasino, social gaming, and retail operations; the Company’s\ndevelopment and launch of its Interactive segment’s products in new\njurisdictions and enhancements to existing Interactive segment products; the\nfuture success of theScore Bet, theScore Casino, Hollywood iCasino and its\nother digital offerings; the Company’s expectations with respect to share\nrepurchases; the Company’s expectations that its portfolio of assets\nprovides a benefit of geographically-diversified cash flows from operations;\nmanagement’s plans and strategies for future operations, including\nstatements relating to the Company’s plan to expand gaming operations\nthrough the implementation and execution of a disciplined capital expenditure\nprogram at our existing properties, the pursuit of strategic acquisitions and\ninvestments, and the development of new gaming properties, including the\ndevelopment projects and the anticipated benefits; improvements, expansions,\nor relocations of our existing properties; entrance into new jurisdictions;\nexpansion of gaming in existing jurisdictions; strategic investments and\nacquisitions; cross-sell opportunities between our retail gaming, online\nsports betting , and iCasino businesses; our ability to obtain financing for\nour development projects on attractive terms; the timing, cost and expected\nimpact of planned capital expenditures on the Company’s results of\noperations; and the actions of regulatory, legislative, executive, or judicial\ndecisions at the federal, state, provincial, or local level with regard to our\nbusiness and the impact of any such actions.\n\nSuch statements are all subject to risks, uncertainties and changes in\ncircumstances that could significantly affect the Company’s future financial\nresults and business. Accordingly, the Company cautions that the\nforward-looking statements contained herein are qualified by important factors\nthat could cause actual results to differ materially from those reflected by\nsuch statements. Such factors include: the effects of economic and market\nconditions in the markets in which the Company operates or otherwise,\nincluding the impact of global supply chain disruptions, price inflation,\nchanges in interest rates, economic downturns, changes in trade policies, and\ngeopolitical and regulatory uncertainty; competition with other retail and\nonline gaming and sports betting, entertainment and sports content\nexperiences; the timing, cost and expected impact of product and technology\ninvestments; risks relating to operations, permits, licenses, financings,\napprovals and other contingencies in connection with growth in new or existing\njurisdictions; our ability to successfully acquire and integrate new\nproperties and operations and achieve expected synergies from acquisitions;\nthe availability of future borrowings under our Amended Credit Facilities or\nother sources of capital to enable us to service our indebtedness, make\nanticipated capital expenditures or pay off or refinance our indebtedness\nprior to maturity; the impact of indemnification obligations under the\nBarstool SPA; our ability to realize the anticipated benefits of our realigned\ndigital strategy; our ability to attract and retain user adoption of theScore\nBet, theScore Casino, and Hollywood iCasino apps in a rapidly evolving and\nhighly competitive market; the outcome of any legal proceedings that may be\ninstituted against the Company, or its respective directors, officers or\nemployees; the ability of the Company to retain and hire key personnel; the\nimpact of new or changes in current laws, regulations, rules or other industry\nstandards; adverse outcomes of litigation involving the Company; our ability\nto maintain our gaming licenses and concessions and comply with applicable\ngaming law, changes in current laws, regulations, rules or other industry\nstandards, and additional factors described in the Company’s Annual Report\non Form 10-K for the year ended December 31, 2025, subsequent Quarterly\nReports on Form 10-Q and Current Reports on Form 8-K, each as filed with the\nU.S. Securities and Exchange Commission. The Company does not intend to update\npublicly any forward-looking statements except as required by law. Considering\nthese risks, uncertainties and assumptions, the forward-looking events\ndiscussed in this press release may not occur.\n\n\n\nView source version on businesswire.com:\nhttps://www.businesswire.com/news/home/20260806104577/en/\n(https://www.businesswire.com/news/home/20260806104577/en/)\n\nMike Nieves\n\nSVP, Finance & Treasurer\n\nPENN Entertainment, Inc.\n\n610-373-2400\n\nJoseph N. Jaffoni\n\nJCIR\n\n212-835-8500 or penn@jcir.com (mailto:penn@jcir.com)\n\n\nCopyright Business Wire 2026","article_body_html":"","raw_payload":{"data":{"id":"nBw7HmW7sa","title":"PENN Entertainment, Inc. Reports Second Quarter Results","author":"Business Wire","ticker":"PENN","created":"2026-08-06T11:00:00.564Z","tickers":["PENN"],"exchange":"NASDAQ","article_body":"PENN Entertainment, Inc. Reports Second Quarter Results\n\nPENN Entertainment, Inc. (“PENN” or the “Company”) (Nasdaq: PENN)\ntoday reported financial results for the three and six months ended June 30,\n2026.\n\nJay Snowden, Chief Executive Officer and President, said: “We continued to\nexecute against our 2026 strategic priorities this quarter: delivering Segment\nAdjusted EBITDAR growth, optimizing corporate overhead, growing cash flow, and\ndeleveraging the balance sheet. PENN achieved record quarterly Retail segment\nrevenues, supported by strong performance across our portfolio including our\nfour recently completed development projects. Our Interactive segment remains\non track to deliver upon our previously stated goals, supported by growth in\nU.S. iCasino and Canada. Adjusted EBITDA improved by $52.5 million\nyear-over-year, reflecting disciplined execution of our strategy to drive\nprofitability. The encouraging trends in our Retail and Interactive operating\nsegments have continued through July.”\n\nSecond Quarter Retail Segment Highlights(1):\n\n\n * Revenues of $1.5 billion;\n\n * Segment Adjusted EBITDAR of $517.2 million; and\n\n * Segment Adjusted EBITDAR margins of 34.4%.\n\n“PENN’s geographically diverse Retail segment delivered portfolio-wide\nstrength, with nine properties setting second-quarter records for revenues and\nAdjusted EBITDAR,” said Mr. Snowden. “We experienced another quarter of\nyear-over-year growth in theoretical revenue, supported by meaningful\ncontributions from mid- and high-worth customer segments, as well as growth in\nunrated revenue, underscoring broad-based consumer demand. Second-quarter\nSegment Adjusted EBITDAR margins improved quarter-over-quarter and\nyear-over-year, reflecting our property teams’ focus on converting solid\ndemand into favorable operating results. In June 2026, we opened both the new\nhotel tower at Hollywood Columbus and the new Hollywood Casino Aurora, and\nearly trends at both properties are encouraging, including strong visitation\nfrom VIP players.”\n\nSecond Quarter Interactive Segment Highlights:\n\n\n * Revenues of $349.4 million (including tax gross up of $185.5 million); and\n\n * Adjusted EBITDA loss of $9.5 million.\n\n“Our Interactive segment delivered another quarter of meaningful\nyear-over-year Adjusted EBITDA improvement. In the U.S., standalone Hollywood\niCasino experienced quarter-over-quarter as well as year-over-year growth,\nachieving record quarterly revenues. In Ontario, gaming operations continued\nto gain momentum, supported by strong growth in online sports betting\n(“OSB”) revenues aided by solid World Cup engagement and cross-sell of the\nreactivated World Cup OSB user base into iCasino. We also successfully\nlaunched theScore Bet, as well as theScore Casino and Hollywood iCasino\nstandalone apps, in Alberta on July 13,” concluded Mr. Snowden.\n\n(1) Retail Segment consists of retail operating segments which are composed of\nour Northeast, South, West, and Midwest reportable segments.\n\nLiquidity and Financial Position\n\nTotal liquidity as of June 30, 2026 was $1.9 billion, including $887.2 million\nof Cash and cash equivalents. Traditional net debt as of June 30, 2026 was\n$1.9 billion.\n\nOn April 16, 2026, the Company amended its Second Amended and Restated Credit\nAgreement in order to refinance and extend the term of its $1.0 billion\nAmended Revolving Credit Facility and $446.9 million Amended Term Loan A\nFacility. The Amended Revolving Credit Facility and Amended Term Loan A\nFacility mature in April 2031.\n\nOn May 15, 2026, the Company repaid the remaining $106.7 million principal\nbalance of its 2.75% Convertible Notes due 2026, eliminating approximately 4.6\nmillion potentially dilutive shares associated with the notes.\n\nOn May 28, 2026, the Company amended its Second Amended and Restated Credit\nAgreement in order to reprice and extend the term of its $962.5 million\nAmended Term Loan B Facility. The Amended Term Loan B Facility matures in May\n2033.\n\nSummary of Second Quarter Results\n                                                                    For the three months                      \n                                                                    \nended June 30,                           \n (in millions, except per share data, unaudited)                          2026                 2025           \n Revenues                                                           $     1,857.4        $     1,765.0        \n Net income (loss)                                                  $     32.6           $     (18.3    )     \n                                                                                                              \n Consolidated Adjusted EBITDA ((1))                                 $     312.6          $     236.1          \n Rent expense associated with triple net operating leases ((2))     $     163.3          $     156.0          \n                                                                                                              \n Cash payments to our REIT Landlords under Triple Net Leases ((3))  $     247.1          $     240.0          \n                                                                                                              \n Diluted earnings (loss) per common share                           $     0.24           $     (0.12    )     \n\n (1)  For more information, definitions, and reconciliations see the “Non-GAAP         \n      Financial Measures” section below.                                               \n (2)  Consists of the operating lease components of (i) our triple net master lease    \n      dated November 1, 2013 with Gaming and Leisure Properties, Inc. (Nasdaq: GLPI)   \n      (“GLPI”), as amended and restated effective January 1, 2023 (the “AR             \n      PENN Master Lease”), (ii) our triple net master lease entered into in            \n      conjunction with, and coterminous with, the AR PENN Master Lease (the “2023      \n      Master Lease”), and (iii) our triple net master lease dated December 4, 2025     \n      with VICI Properties Inc. (NYSE: VICI) (“VICI”) for the real estate assets       \n      used in the operations of Margaritaville Resort Casino and Hollywood Casino at   \n      Greektown (the “VICI Master Lease”), which replaced the Company’s prior          \n      separate triple net leases with VICI for such properties. Collectively these     \n      arrangements are referred to as our “triple net operating leases.” The           \n      expense related to operating lease components contained within our triple net    \n      operating leases are recorded as “General and administrative” within the         \n      unaudited Consolidated Statements of Operations.                                 \n (3)  Consists of total cash payments made to GLPI and VICI (referred to               \n      collectively as our “REIT Landlords”) under our triple net operating             \n      leases (as defined above), the Pinnacle Master Lease, and the Morgantown Lease   \n      and collectively referred to as our “Triple Net Leases.”                         \n\n\nAdjusted EPS\n\nThe following table reconciles diluted earnings (loss) per share (“EPS”)\nto Adjusted EPS (approximate EPS impact shown, per share; positive adjustments\nrepresent charges to income):\n                                                    For the three months                   \n                                                    \nended June 30,                        \n                                                         2026                  2025        \n Diluted earnings (loss) per share                  $    0.24             $    (0.12  )    \n Impairment loss                                         —                     0.10        \n Gain on disposal of assets                              (0.03  )              —           \n Pre-opening expenses                                    0.17                  0.03        \n Legal matters inclusive of litigation settlements       (0.02  )              0.06        \n Transaction costs and other                             0.14                  0.01        \n Non-operating items:                                                                      \n Loss on early extinguishment of debt                    0.01                  0.08        \n Gain related to debt and equity investments             —                     (0.01  )    \n Other income                                            —                     (0.02  )    \n Foreign currency transaction loss                       —                     0.01        \n Income tax impact on net income adjustments ((1))       (0.07  )              (0.04  )    \n Adjusted EPS                                       $    0.44             $    0.10        \n\n (1)  The income tax impact reflects current and deferred tax effects based on the  \n      nature of each adjustment and the applicable tax jurisdiction.                \n      \n                                                                             \n      \n                                                                             \n\n\nPENN ENTERTAINMENT, INC. AND SUBSIDIARIES\n\nSupplemental Information\n\nThe Company aggregates its operations into five reportable segments:\nNortheast, South, West, Midwest, and Interactive.\n                                                           For the three months                           For the six months                         \n                                                           \nended June 30,                                \nended June 30,                            \n (in millions, unaudited)                                       2026                    2025                   2026                    2025          \n Revenues:                                                                                                                                           \n Northeast segment ((1))                                   $    731.6              $    711.6             $    1,418.7            $    1,392.5       \n South segment ((2))                                            301.9                   302.2                  583.1                   590.5         \n West segment ((3))                                             151.5                   137.7                  297.2                   267.4         \n Midwest segment ((4))                                          320.6                   297.0                  626.5                   579.9         \n Interactive ((5))                                              349.4                   316.1                  707.7                   606.2         \n Other ((6))                                                    5.6                     5.7                    10.9                    11.0          \n Intersegment eliminations ((7))                                (3.2     )              (5.3     )             (7.7     )              (10.0    )    \n Total revenues                                            $    1,857.4            $    1,765.0           $    3,636.4            $    3,437.5       \n                                                                                                                                                     \n Segment Adjusted EBITDAR ((8)):                                                                                                                     \n Northeast segment ((1))                                   $    220.2              $    209.5             $    414.7              $    403.7         \n South segment ((2))                                            109.0                   104.8                  213.2                   208.1         \n West segment ((3))                                             55.0                    53.5                   109.0                   99.2          \n Midwest segment ((4))                                          133.0                   121.8                  251.7                   235.6         \n Interactive ((5))                                              (9.5     )              (62.0    )             (20.4    )              (151.0   )    \n Other ((6))                                                    (31.8    )              (35.5    )             (63.2    )              (74.3    )    \n Rent expense associated with triple net operating leases       (163.3   )              (156.0   )             (326.6   )              (311.9   )    \n Consolidated Adjusted EBITDA ((9))                        $    312.6              $    236.1             $    578.4              $    409.4         \n\n (1)  The Northeast segment consists of the following properties: Ameristar East       \n      Chicago, Hollywood Casino at Greektown, Hollywood Casino Bangor, Hollywood       \n      Casino at Charles Town Races, Hollywood Casino Columbus, Hollywood Casino        \n      Lawrenceburg, Hollywood Casino Morgantown, Hollywood Casino at PENN National     \n      Race Course, Hollywood Casino Perryville, Hollywood Casino Toledo, Hollywood     \n      Casino York, Hollywood Gaming at Dayton Raceway, Hollywood Gaming at Mahoning    \n      Valley Race Course, Marquee by PENN, Hollywood Casino at The Meadows, and        \n      Plainridge Park Casino.                                                          \n (2)  The South segment consists of the following properties: 1(st) Jackpot Casino,    \n      Ameristar Vicksburg, Boomtown Biloxi, Boomtown Bossier City, Boomtown New        \n      Orleans, Hollywood Casino Gulf Coast, Hollywood Casino Tunica, L’Auberge         \n      Baton Rouge, L’Auberge Lake Charles, and Margaritaville Resort Casino.           \n (3)  The West segment consists of the following properties: Ameristar Black Hawk,     \n      Cactus Petes and Horseshu, M Resort Spa Casino, and Zia Park Casino.             \n (4)  The Midwest segment consists of the following properties: Ameristar Council      \n      Bluffs, Argosy Casino Alton, Argosy Casino Riverside, Hollywood Casino Aurora,   \n      Hollywood Casino Joliet, our 50% investment in Kansas Entertainment, LLC,        \n      which owns Hollywood Casino at Kansas Speedway, Hollywood Casino St. Louis,      \n      Prairie State Gaming, and River City Casino.                                     \n (5)  The Interactive segment includes all of our online sports betting, online        \n      casino/iCasino and social gaming operations, management of retail sports         \n      betting, and media. Interactive revenues are inclusive of a tax gross-up of      \n      $185.5 million and $137.9 million for the three months ended June 30, 2026 and   \n      2025, respectively, and $371.3 million and $266.1 million for the six months     \n      ended June 30, 2026 and 2025, respectively.                                      \n (6)  The Other category, included in the tables to reconcile the segment              \n      information to the consolidated information, consists of the Company’s           \n      stand-alone racing operations, namely Sanford-Orlando Kennel Club, Sam Houston   \n      and Valley Race Park, and our management contract for Retama Park Racetrack.     \n      The Other category also includes corporate overhead, which consists of certain   \n      expenses, such as payroll, professional fees, travel expenses, and other         \n      general and administrative expenses that do not directly relate to or have not   \n      otherwise been allocated. Corporate overhead was $29.5 million and $38.7         \n      million for the three months ended June 30, 2026 and 2025, respectively, and     \n      $57.7 million and $74.7 million for the six months ended June 30, 2026 and       \n      2025, respectively. Corporate overhead for the three and six months ended June   \n      30, 2025 included $9.4 million and $17.1 million, respectively, of legal and     \n      advisory costs related to activist activity in connection with our 2025 annual   \n      meeting of shareholders.                                                         \n (7)  Primarily represents the elimination of intersegment revenues associated with    \n      our retail sportsbooks, which are operated by PENN Interactive.                  \n (8)  See definition of Segment Adjusted EBITDAR within the “Reportable Segment        \n      Measures” section below.                                                         \n (9)  See definition of Consolidated Adjusted EBITDA within the “Non-GAAP              \n      Financial Measures” section below.                                               \n      \n                                                                                \n      \n                                                                                \n\n\nPENN ENTERTAINMENT, INC. AND SUBSIDIARIES\n\nReconciliation of Net Income (Loss) to Consolidated Adjusted EBITDA\n                                                         For the three months                       For the six months                      \n                                                         \nended June 30,                            \nended June 30,                         \n (in millions, unaudited)                                     2026                  2025                 2026                  2025         \n Net income (loss)                                       $    32.6             $    (18.3  )        $    29.8             $    93.2         \n Income tax expense                                           7.1                   6.4                  15.8                  54.1         \n Interest expense, net                                        100.9                 95.9                 201.8                 206.7        \n Interest income                                              (2.0   )              (2.1   )             (3.8   )              (5.3    )    \n Income from unconsolidated affiliates                        (8.6   )              (13.3  )             (16.9  )              (20.9   )    \n Gain on financing arrangement                                —                     —                    —                     (215.1  )    \n Loss on early extinguishment of debt                         1.8                   11.8                 1.8                   11.8         \n Other (income) expenses                                      (0.1   )              (2.9   )             0.2                   (4.2    )    \n Operating income                                             131.7                 77.5                 228.7                 120.3        \n Stock-based compensation                                     17.4                  16.1                 31.5                  31.7         \n Cash-settled stock-based awards variance ((1))               (2.6   )              (3.1   )             (6.0   )              (6.3    )    \n Pre-opening expenses                                         23.0                  4.4                  27.2                  4.9          \n Depreciation and amortization                                117.8                 110.5                234.8                 218.5        \n Impairment loss ((2))                                        —                     15.0                 —                     15.0         \n Income from unconsolidated affiliates                        8.6                   13.3                 16.9                  20.9         \n Non-operating items of equity method investments ((3))       1.1                   1.1                  2.3                   2.2          \n Other expenses ((4))                                         15.6                  1.3                  43.0                  2.2          \n Consolidated Adjusted EBITDA                            $    312.6            $    236.1           $    578.4            $    409.4        \n\n (1)  Our cash-settled stock-based awards are adjusted to fair value each reporting   \n      period based primarily on the price of the Company’s common stock. As such,     \n      significant fluctuations in the price of the Company’s common stock during      \n      any reporting period could cause significant variances to budget on             \n      cash-settled stock-based awards.                                                \n (2)  Related to an impairment charge in our Midwest segment.                         \n (3)  Consists primarily of depreciation expense associated with our Kansas           \n      Entertainment joint venture.                                                    \n (4)  For the three and six months ended June 30, 2026, other expenses primarily      \n      consisted of transaction costs and non-recurring restructuring charges,         \n      primarily severance, related to the Company’s new corporate organizational      \n      structure. For the six months ended June 30, 2026, other expenses also          \n      included settlement costs and related legal and advisory fees associated with   \n      the Cooperation Agreement with HG Vora Capital Management, LLC and related      \n      parties.                                                                        \n      \n                                                                               \n      \n                                                                               \n\n\nPENN ENTERTAINMENT, INC. AND SUBSIDIARIES\n\nConsolidated Statements of Operations\n\n(Unaudited)\n                                                             For the three months                           For the six months                         \n                                                             \nended June 30,                                \nended June 30,                            \n (in millions, except per share data, unaudited)                  2026                    2025                   2026                    2025          \n Revenues                                                                                                                                              \n Gaming                                                      $    1,396.6            $    1,367.7           $    2,730.9            $    2,666.0       \n Food, beverage, hotel, and other                                 460.8                   397.3                  905.5                   771.5         \n Total revenues                                                   1,857.4                 1,765.0                3,636.4                 3,437.5       \n Operating expenses                                                                                                                                    \n Gaming                                                           833.2                   869.7                  1,641.1                 1,723.5       \n Food, beverage, hotel, and other                                 333.7                   282.0                  663.1                   546.9         \n General and administrative                                       441.0                   410.3                  868.7                   813.3         \n Depreciation and amortization                                    117.8                   110.5                  234.8                   218.5         \n Impairment loss                                                  —                       15.0                   —                       15.0          \n Total operating expenses                                         1,725.7                 1,687.5                3,407.7                 3,317.2       \n Operating income                                                 131.7                   77.5                   228.7                   120.3         \n Other income (expenses)                                                                                                                               \n Interest expense, net                                            (100.9   )              (95.9    )             (201.8   )              (206.7   )    \n Interest income                                                  2.0                     2.1                    3.8                     5.3           \n Income from unconsolidated affiliates                            8.6                     13.3                   16.9                    20.9          \n Gain on financing arrangement                                    —                       —                      —                       215.1         \n Loss on early extinguishment of debt                             (1.8     )              (11.8    )             (1.8     )              (11.8    )    \n Other                                                            0.1                     2.9                    (0.2     )              4.2           \n Total other income (expenses)                                    (92.0    )              (89.4    )             (183.1   )              27.0          \n Income (loss) before income taxes                                39.7                    (11.9    )             45.6                    147.3         \n Income tax expense                                               (7.1     )              (6.4     )             (15.8    )              (54.1    )    \n Net income (loss)                                                32.6                    (18.3    )             29.8                    93.2          \n Net loss attributable to non-controlling interest                0.5                     0.9                    1.0                     1.2           \n Net income (loss) attributable to PENN Entertainment, Inc.  $    33.1               $    (17.4    )        $    30.8               $    94.4          \n                                                                                                                                                       \n Earnings (loss) per share:                                                                                                                            \n Basic earnings (loss) per share                             $    0.25               $    (0.12    )        $    0.23               $    0.63          \n Diluted earnings (loss) per share                           $    0.24               $    (0.12    )        $    0.23               $    0.59          \n                                                                                                                                                       \n Weighted-average common shares outstanding—basic                 133.7                   149.0                  133.6                   150.6         \n Weighted-average common shares outstanding—diluted               137.1                   149.0                  134.4                   164.7         \n\n\nSelected Financial Information and GAAP to Non-GAAP Reconciliations\n (in millions, unaudited)                                        June 30,               December 31,           \n                                                                 \n2026                  \n2025                  \n Cash and cash equivalents                                       $    887.2             $      686.6           \n                                                                                                               \n Total traditional debt                                          $    2,814.7           $      2,904.1         \n Cash and cash equivalents                                            (887.2   )               (686.6   )      \n Traditional net debt ((1))                                      $    1,927.5           $      2,217.5         \n                                                                                                               \n Amended Revolving Credit Facility due 2031                      $    —                 $      —               \n Amended Term Loan A Facility due 2031                                446.9                    —               \n Amended Term Loan B Facility due 2033                                960.0                    —               \n Amended Revolving Credit Facility due 2027                           —                        570.0           \n Amended Term Loan A Facility due 2027                                —                        453.8           \n Amended Term Loan B Facility due 2029                                —                        965.0           \n 5.625% Notes due 2027                                                400.0                    400.0           \n 4.125% Notes due 2029                                                400.0                    400.0           \n 6.75% Notes due 2031                                                 600.0                    —               \n 2.75% Convertible Notes due 2026                                     —                        106.7           \n Other long-term obligations                                          7.8                      8.6             \n Total traditional debt                                               2,814.7                  2,904.1         \n Debt discounts and debt issuance costs                               (40.1    )               (17.0    )      \n                                                                 $    2,774.6           $      2,887.1         \n                                                                                                               \n Total traditional debt                                          $    2,814.7           $      2,904.1         \n Cash and cash equivalents                                            (887.2   )               (686.6   )      \n Cash rent payments to REIT landlords ((2))                           7,860.8                  7,742.4         \n                                                                 $    9,788.3           $      9,959.9         \n                                                                                                               \n Consolidated Adjusted EBITDA ((3))                              $    999.1             $      830.1           \n Rent expense associated with triple net operating leases ((3))  $    646.5             $      631.7           \n                                                                                                               \n Lease-adjusted net leverage ratio ((1))                         5.9x                   6.8x                   \n Traditional net leverage ((1))                                  2.9x                   4.5x                   \n\n (1)  See “Non-GAAP Financial Measures” section below for more information as        \n      well as the definitions of Traditional net debt, Lease-adjusted net leverage   \n      ratio, and Traditional net leverage.                                           \n (2)  Amount equals 8 times the total cash rent payments to REIT landlords for the   \n      trailing twelve months.                                                        \n (3)  Balance is presented on a trailing twelve months basis.                        \n\n\nCash Flow Data\n\nThe table below summarizes certain cash expenditures incurred by the Company.\n                                                              For the three months                   For the six months                    \n                                                              \nended June 30,                        \nended June 30,                       \n (in millions, unaudited)                                            2026                 2025             2026                     2025   \n Cash payments to our REIT Landlords under Triple Net Leases  $      247.1         $      240.0      $     494.8              $     480.0  \n Cash payments (refunds) related to income taxes, net         $      1.9           $      25.7       $     (14.9  )           $     6.0    \n Cash paid for interest on traditional debt                   $      16.7          $      21.1       $     60.5               $     57.8   \n Capital expenditures                                         $      97.5          $      159.4      $     192.0              $     284.6  \n\n\nReportable Segment Measures\n\nSegment Adjusted EBITDAR is our measure of profit or loss for our reportable\nsegments and underlying operating segments. We define Segment Adjusted EBITDAR\nas earnings before interest expense, net, interest income, income taxes,\ndepreciation and amortization, stock-based compensation, debt extinguishment\ncharges, impairment losses, insurance recoveries, net of deductible charges,\nchanges in the estimated fair value of our contingent purchase price\nobligations, gain or loss on disposal of assets, the difference between budget\nand actual expense for cash-settled stock-based awards, pre-opening expenses,\nloss on disposal of a business, non-cash gains/losses associated with REIT\ntransactions, and other. Segment Adjusted EBITDAR excludes rent expense\nassociated with triple net operating leases (which is a normal, recurring cash\noperating expense necessary to operate our business). Segment Adjusted EBITDAR\nis inclusive of income or loss from unconsolidated affiliates, with our share\nof non-operating items (such as interest expense, net, and depreciation and\namortization) added back for our Kansas Entertainment, LLC joint venture.\nSegment Adjusted EBITDAR margin is Segment Adjusted EBITDAR divided by related\nsegment revenues.\n\nNon-GAAP Financial Measures\n\nThe Non-GAAP Financial Measures used in this press release include\nConsolidated Adjusted EBITDA, Adjusted EPS, Traditional net debt, Traditional\nnet leverage ratio, and Lease-adjusted net leverage ratio. These non-GAAP\nfinancial measures should not be considered a substitute for, nor superior to,\nfinancial results and measures determined or calculated in accordance with\nGAAP.\n\nWe define Consolidated Adjusted EBITDA as earnings before interest expense,\nnet, interest income, income taxes, depreciation and amortization, stock-based\ncompensation, debt extinguishment charges, impairment losses, insurance\nrecoveries, net of deductible charges, changes in the estimated fair value of\nour contingent purchase price obligations, gain or loss on disposal of assets,\nthe difference between budget and actual expense for cash-settled stock-based\nawards, pre-opening expenses, loss on disposal of a business, non-cash\ngains/losses associated with REIT transactions, and other. Consolidated\nAdjusted EBITDA is inclusive of income or loss from unconsolidated affiliates,\nwith our share of non-operating items (such as interest expense, net, and\ndepreciation and amortization) added back for our Kansas Entertainment, LLC\njoint venture. Consolidated Adjusted EBITDA is inclusive of rent expense\nassociated with our triple net operating leases with our REIT landlords.\nAlthough Consolidated Adjusted EBITDA includes rent expense associated with\nour triple net operating leases, we believe Consolidated Adjusted EBITDA is\nuseful as a supplemental measure in evaluating the performance of our\nconsolidated results of operations.\n\nConsolidated Adjusted EBITDA has economic substance because it is used by\nmanagement as a performance measure to analyze the performance of our\nbusiness, and is especially relevant in evaluating large, long-lived\ncasino-hotel projects because it provides a perspective on the current effects\nof operating decisions separated from the substantial non-operational\ndepreciation charges and financing costs of such projects. We present\nConsolidated Adjusted EBITDA because it is used by some investors and\ncreditors as an indicator of the strength and performance of ongoing business\noperations, including our ability to service debt, and to fund capital\nexpenditures, acquisitions, and operations. These calculations are commonly\nused as a basis for investors, analysts and credit rating agencies to evaluate\nand compare operating performance and value companies within our industry. In\norder to view the operations of their casinos on a more stand-alone basis,\ngaming companies, including us, have historically excluded from their\nConsolidated Adjusted EBITDA calculations certain corporate expenses that do\nnot relate to the management of specific casino properties. However,\nConsolidated Adjusted EBITDA is not a measure of performance or liquidity\ncalculated in accordance with GAAP. Consolidated Adjusted EBITDA information\nis presented as a supplemental disclosure, as management believes that it is a\ncommonly used measure of performance in the gaming industry and that it is\nconsidered by many to be a key indicator of the Company’s operating results.\n\nAdjusted EPS is diluted earnings or loss per share adjusted to exclude\ngains/losses on the disposal of a business, non-cash gains/losses associated\nwith REIT transactions, impairment losses, pre-opening expenses, debt\nextinguishment charges, gains/losses on the disposal of assets, foreign\ncurrency gains/losses, transaction related expenses, business interruption\ninsurance proceeds, net gains/losses related to equity investments, and other.\n\nAdjusted EPS is a non-GAAP measure and is presented solely as a supplemental\ndisclosure to reported GAAP measures because management believes this measure\nis useful in providing period-to-period comparisons of the results of the\nCompany’s operations to assist investors in reviewing the Company’s\noperating performance over time. Management believes it is useful to exclude\ncertain items when comparing current performance to prior periods because\nthese items can vary significantly depending on specific underlying\ntransactions or events. Further, management believes certain excluded items\nmay not relate specifically to current operating trends or be indicative of\nfuture results. Adjusted EPS should not be construed as an alternative to GAAP\nearnings per share as an indicator of the Company’s performance.\n\nWe calculate Traditional net debt as Total traditional debt, which is the\nprincipal amount of debt outstanding less Cash and cash equivalents.\nManagement believes that Traditional net debt is an important measure to\nmonitor leverage and evaluate the balance sheet. With respect to Traditional\nnet debt, Cash and cash equivalents are subtracted from the GAAP measure\nbecause they could be used to reduce the Company’s debt obligations. A\nlimitation associated with using Traditional net debt is that it subtracts\nCash and cash equivalents and therefore may imply that there is less Company\ndebt than the most comparable GAAP measure indicates. Management believes that\ninvestors may find it useful to monitor leverage and evaluate the balance\nsheet.\n\nThe Company’s Traditional net leverage ratio is defined as Traditional net\ndebt (as defined above) divided by (i) Consolidated Adjusted EBITDA (as\ndefined above) for the trailing twelve months plus (ii) rent expense\nassociated with triple net operating leases for the trailing twelve months\nless (iii) cash rent payments to REIT landlords for the trailing twelve\nmonths. Management believes this measure is useful as a supplemental measure\nand provides an indication of the results generated by the Company in relation\nto its level of indebtedness with the cash generated from Company operations.\n\nThe Company’s Lease-adjusted net leverage ratio’s numerator is calculated\nas cash rent payments to REIT landlords for the trailing twelve months\ncapitalized at 8 times plus Traditional net debt (as defined above). The\nCompany’s Lease-adjusted net leverage ratio’s denominator is Consolidated\nAdjusted EBITDA (as defined above) for the trailing twelve months plus rent\nexpense associated with triple net operating leases for the trailing twelve\nmonths. Management believes this measure is useful as a supplemental measure\nand provides an indication of the results generated by the Company in relation\nto its level of indebtedness (including leases) with the cash generated from\nCompany operations.\n\nEach of these non-GAAP financial measures is not calculated in the same manner\nby all companies and, accordingly, may not be an appropriate measure of\ncomparing performance among different companies. See the tables above, which\npresent reconciliations of these measures to the GAAP equivalent financial\nmeasures.\n\nManagement Presentation, Conference Call, Webcast and Replay Details\n\nPENN is hosting a conference call and simultaneous webcast at 9:00 a.m. E.T.\ntoday, both of which are open to the general public. During the call,\nmanagement will review a presentation regarding the quarter and recent\ndevelopments that can be accessed at\nhttp://investors.pennentertainment.com/events-and-presentations/presentations\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Finvestors.pennentertainment.com%2Fevents-and-presentations%2Fpresentations&esheet=54584744&newsitemid=20260806104577&lan=en-US&anchor=http%3A%2F%2Finvestors.pennentertainment.com%2Fevents-and-presentations%2Fpresentations&index=1&md5=3727735208896fb9aed2b11c0d839f64)\n.\n\nThe conference call number is 833-309-3473 (conference ID: PENN); please call\nfive minutes in advance to ensure that you are connected prior to the\npresentation. Interested parties may also access the live call at\nwww.pennentertainment.com\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fwww.pennentertainment.com&esheet=54584744&newsitemid=20260806104577&lan=en-US&anchor=www.pennentertainment.com&index=2&md5=c1fab2248c3ad09b127fd782c924c336)\n; allow 15 minutes to register, download, and install any necessary software.\nQuestions and answers will be reserved for call-in analysts and investors. A\nreplay of the call can be accessed for thirty days at\nhttp://www.pennentertainment.com\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fwww.pennentertainment.com&esheet=54584744&newsitemid=20260806104577&lan=en-US&anchor=http%3A%2F%2Fwww.pennentertainment.com&index=3&md5=7b146eb1ae9718f743683bd643136c20)\n.\n\nThis press release, which includes financial information to be discussed by\nmanagement during the conference call and disclosure and reconciliation of\nnon-GAAP financial measures, is available on the Company’s web site,\nhttp://www.pennentertainment.com/corp/investors\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fwww.pennentertainment.com%2Fcorp%2Finvestors&esheet=54584744&newsitemid=20260806104577&lan=en-US&anchor=http%3A%2F%2Fwww.pennentertainment.com%2Fcorp%2Finvestors&index=4&md5=970d34184d9e4bd8a0f6eabdb741f0cb)\n(select link for “Press Releases”).\n\nAbout PENN Entertainment, Inc.\n\nPENN Entertainment, Inc., together with its subsidiaries (“PENN,” or the\n“Company,” “we,” “our,” or “us”), operates in 28 jurisdictions\nthroughout North America, with a broadly diversified portfolio of casinos,\nracetracks, and online sports betting and iCasino offerings. PENN’s focus is\non organic cross-sell opportunities, reinforced by its market-leading retail\ncasinos, sports media assets and technology, including a proprietary\nstate-of-the-art, fully integrated digital sports betting and iCasino\nplatform, and an in-house iCasino content studio. The Company’s portfolio is\nfurther bolstered by its industry-leading PENN Play™ customer loyalty\nprogram, offering its over 34 million members a unique set of rewards and\nexperiences.\n\nForward Looking Statements\n\nThis press release contains “forward-looking statements” within the\nmeaning of the Private Securities Litigation Reform Act of 1995. These\nstatements can be identified by the use of forward-looking terminology such as\n“expects,” “believes,” “estimates,” “projects,” “intends,”\n“plans,” “goal,” “seeks,” “may,” “will,” “should,”\n“look forward to,” or “anticipates” or the negative or other\nvariations of these or similar words, or by discussions of future events,\nstrategies or risks and uncertainties.\n\nSpecifically, forward-looking statements include, but are not limited to,\nstatements regarding: the Company’s expectations of future results of\noperations and financial condition, including, but not limited to, projections\nof revenue, Segment Adjusted EBITDAR, Consolidated Adjusted EBITDA, and other\nfinancial measures; the assumptions provided regarding the guidance, including\nthe anticipated benefits and timing of the Company’s development projects,\nother expected internal drivers and external tailwinds; the Company’s\nexpectations regarding cash flow generation and near-term deleveraging; the\nCompany’s expectations regarding results and customer growth and the impact\nof competition in retail/mobile/online sportsbooks (including prediction\nmarkets), iCasino, social gaming, and retail operations; the Company’s\ndevelopment and launch of its Interactive segment’s products in new\njurisdictions and enhancements to existing Interactive segment products; the\nfuture success of theScore Bet, theScore Casino, Hollywood iCasino and its\nother digital offerings; the Company’s expectations with respect to share\nrepurchases; the Company’s expectations that its portfolio of assets\nprovides a benefit of geographically-diversified cash flows from operations;\nmanagement’s plans and strategies for future operations, including\nstatements relating to the Company’s plan to expand gaming operations\nthrough the implementation and execution of a disciplined capital expenditure\nprogram at our existing properties, the pursuit of strategic acquisitions and\ninvestments, and the development of new gaming properties, including the\ndevelopment projects and the anticipated benefits; improvements, expansions,\nor relocations of our existing properties; entrance into new jurisdictions;\nexpansion of gaming in existing jurisdictions; strategic investments and\nacquisitions; cross-sell opportunities between our retail gaming, online\nsports betting , and iCasino businesses; our ability to obtain financing for\nour development projects on attractive terms; the timing, cost and expected\nimpact of planned capital expenditures on the Company’s results of\noperations; and the actions of regulatory, legislative, executive, or judicial\ndecisions at the federal, state, provincial, or local level with regard to our\nbusiness and the impact of any such actions.\n\nSuch statements are all subject to risks, uncertainties and changes in\ncircumstances that could significantly affect the Company’s future financial\nresults and business. Accordingly, the Company cautions that the\nforward-looking statements contained herein are qualified by important factors\nthat could cause actual results to differ materially from those reflected by\nsuch statements. Such factors include: the effects of economic and market\nconditions in the markets in which the Company operates or otherwise,\nincluding the impact of global supply chain disruptions, price inflation,\nchanges in interest rates, economic downturns, changes in trade policies, and\ngeopolitical and regulatory uncertainty; competition with other retail and\nonline gaming and sports betting, entertainment and sports content\nexperiences; the timing, cost and expected impact of product and technology\ninvestments; risks relating to operations, permits, licenses, financings,\napprovals and other contingencies in connection with growth in new or existing\njurisdictions; our ability to successfully acquire and integrate new\nproperties and operations and achieve expected synergies from acquisitions;\nthe availability of future borrowings under our Amended Credit Facilities or\nother sources of capital to enable us to service our indebtedness, make\nanticipated capital expenditures or pay off or refinance our indebtedness\nprior to maturity; the impact of indemnification obligations under the\nBarstool SPA; our ability to realize the anticipated benefits of our realigned\ndigital strategy; our ability to attract and retain user adoption of theScore\nBet, theScore Casino, and Hollywood iCasino apps in a rapidly evolving and\nhighly competitive market; the outcome of any legal proceedings that may be\ninstituted against the Company, or its respective directors, officers or\nemployees; the ability of the Company to retain and hire key personnel; the\nimpact of new or changes in current laws, regulations, rules or other industry\nstandards; adverse outcomes of litigation involving the Company; our ability\nto maintain our gaming licenses and concessions and comply with applicable\ngaming law, changes in current laws, regulations, rules or other industry\nstandards, and additional factors described in the Company’s Annual Report\non Form 10-K for the year ended December 31, 2025, subsequent Quarterly\nReports on Form 10-Q and Current Reports on Form 8-K, each as filed with the\nU.S. Securities and Exchange Commission. The Company does not intend to update\npublicly any forward-looking statements except as required by law. Considering\nthese risks, uncertainties and assumptions, the forward-looking events\ndiscussed in this press release may not occur.\n\n\n\nView source version on businesswire.com:\nhttps://www.businesswire.com/news/home/20260806104577/en/\n(https://www.businesswire.com/news/home/20260806104577/en/)\n\nMike Nieves\n\nSVP, Finance & Treasurer\n\nPENN Entertainment, Inc.\n\n610-373-2400\n\nJoseph N. Jaffoni\n\nJCIR\n\n212-835-8500 or penn@jcir.com (mailto:penn@jcir.com)\n\n\nCopyright Business Wire 2026"},"type":"article","timestamp":"2026-08-06T11:00:02.839215962Z","server_sent_at_ms":1786014002839},"received_at":"2026-08-06T11:00:04.583Z","source_url":"https://www.businesswire.com/news/home/20260806104577/en/"},"analysis":{"id":"99975","press_release_id":"110969","analysis_json":{"industry":{"label":"Hotels, Restaurants & Leisure","sector":"Consumer Discretionary"},"redFlags":[],"eventType":"earnings","narrative":"PENN Entertainment reported Q2 revenue of $1.86 billion with net income of $32.6 million, reversing a prior-year loss, as Consolidated Adjusted EBITDA rose 32% year-over-year to $312.6 million.\n\nThe Retail segment delivered record revenues of $1.5 billion and Segment Adjusted EBITDAR of $517.2 million, while the Interactive segment narrowed its EBITDA loss to $9.5 million.\n\nThe company strengthened its balance sheet by refinancing roughly $1.9 billion in credit facilities to extend maturities into 2031 and 2033, while also repaying $106.7 million in convertible notes.","sentiment":"bullish","agentHooks":{"shouldPost":true,"suggestedAngle":"Strong earnings beat with operational turnaround in Interactive and proactive balance sheet deleveraging."},"keyFigures":{"eps":0.24,"customDimensions":{"ebitda":312600000,"net_debt":1900000000,"liquidity":1900000000,"net_income":32600000,"adjusted_eps":0.44,"retail_revenue":1500000000,"retail_adj_ebitdar":517200000,"interactive_revenue":349400000}},"quotedText":"PENN achieved record quarterly Retail segment revenues, supported by strong performance across our portfolio including our four recently completed development projects.","namedEntities":{"people":[{"name":"Jay Snowden","role":"CEO and President"}],"products":["Hollywood iCasino","theScore Bet","theScore Casino","PENN Play"],"companies":[{"name":"Gaming and Leisure Properties, Inc.","ticker":"GLPI","relationship":"landlord"},{"name":"VICI Properties Inc.","ticker":"VICI","relationship":"landlord"}],"dollarAmounts":[{"amount":"$1.5 billion","context":"Second Quarter Retail Segment Revenues"},{"amount":"$517.2 million","context":"Second Quarter Retail Segment Adjusted EBITDAR"},{"amount":"$349.4 million","context":"Second Quarter Interactive Segment Revenues"},{"amount":"$9.5 million","context":"Second Quarter Interactive Segment Adjusted EBITDA loss"},{"amount":"$52.5 million","context":"Year-over-year Adjusted EBITDA improvement"},{"amount":"$1.9 billion","context":"Total liquidity as of June 30, 2026"},{"amount":"$106.7 million","context":"Principal balance of repaid 2.75% Convertible Notes"},{"amount":"$1.0 billion","context":"Amended Revolving Credit Facility"}]},"materialImpact":{"score":4,"reasoning":"Strong operational performance with consolidated Adjusted EBITDA growing 32% year-over-year to $312.6 million and net income turning positive versus a prior-year loss. The Interactive segment narrowed its loss significantly. Additionally, the company successfully refinanced debt to extend maturities and repaid convertible notes."},"tickerRelevance":{"others":[{"ticker":"GLPI","relevance":"landlord"},{"ticker":"VICI","relevance":"landlord"}],"primary":"PENN"},"globalImportance":35,"audienceRelevance":40,"eventTypeSecondary":["debt_offering"],"importanceComponents":{"tickerTier":"Mid-Cap","eventGravity":"Earnings Beat / Operational Turnaround","sectorWeight":"Consumer Discretionary (Gaming)"}},"event_type":"earnings","event_type_secondary":["debt_offering"],"sentiment":"bullish","material_impact_score":4,"narrative":"PENN Entertainment reported Q2 revenue of $1.86 billion with net income of $32.6 million, reversing a prior-year loss, as Consolidated Adjusted EBITDA rose 32% year-over-year to $312.6 million.\n\nThe Retail segment delivered record revenues of $1.5 billion and Segment Adjusted EBITDAR of $517.2 million, while the Interactive segment narrowed its EBITDA loss to $9.5 million.\n\nThe company strengthened its balance sheet by refinancing roughly $1.9 billion in credit facilities to extend maturities into 2031 and 2033, while also repaying $106.7 million in convertible notes.","key_figures":{"eps":0.24,"customDimensions":{"ebitda":312600000,"net_debt":1900000000,"liquidity":1900000000,"net_income":32600000,"adjusted_eps":0.44,"retail_revenue":1500000000,"retail_adj_ebitdar":517200000,"interactive_revenue":349400000}},"named_entities":{"people":[{"name":"Jay Snowden","role":"CEO and President"}],"products":["Hollywood iCasino","theScore Bet","theScore Casino","PENN Play"],"companies":[{"name":"Gaming and Leisure Properties, Inc.","ticker":"GLPI","relationship":"landlord"},{"name":"VICI Properties Inc.","ticker":"VICI","relationship":"landlord"}],"dollarAmounts":[{"amount":"$1.5 billion","context":"Second Quarter Retail Segment Revenues"},{"amount":"$517.2 million","context":"Second Quarter Retail Segment Adjusted EBITDAR"},{"amount":"$349.4 million","context":"Second Quarter Interactive Segment Revenues"},{"amount":"$9.5 million","context":"Second Quarter Interactive Segment Adjusted EBITDA loss"},{"amount":"$52.5 million","context":"Year-over-year Adjusted EBITDA improvement"},{"amount":"$1.9 billion","context":"Total liquidity as of June 30, 2026"},{"amount":"$106.7 million","context":"Principal balance of repaid 2.75% Convertible Notes"},{"amount":"$1.0 billion","context":"Amended Revolving Credit Facility"}]},"model_name":"glm-4.7","prompt_hash":"sha256:727b4b9429a443af","schema_hash":"sha256:05005c02d9cffac9","created_at":"2026-08-06T15:04:26.958Z","global_importance":35,"audience_relevance":40,"importance_components":{"tickerTier":"Mid-Cap","eventGravity":"Earnings Beat / Operational Turnaround","sectorWeight":"Consumer Discretionary (Gaming)"}},"durationMs":315410,"modelName":"glm-4.7"}}