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CHICAGO--(BUSINESS WIRE)--Accel Entertainment, Inc. (NYSE: ACEL) ("Accel†or the "Company†), a leading locals-focused gaming operator partnering with small businesses, local communities, and state governments to provide entertaining, convenient, and safe gaming experiences nationwide, announced today that Brett Summerer has been named Chief Financial Officer, effective September 22, 2025. Mr. Summerer will report directly to Accel's Chief Executive Officer, Andy Rubenstein. Mr. Summerer succeed. ...

CHICAGO--(BUSINESS WIRE)--Accel Entertainment, Inc. (NYSE: ACEL) ("Accel†), a growing provider of locals-focused gaming and one of the largest terminal operators in the United States, announced today that it entered into a $900 million senior secured credit facility (the "Credit Facility†). The Credit Facility consists of a $300 million Revolving Credit Facility and a $600 million Term Loan, each with a five- year term. Initial borrowings from the Credit Facility were used to repay in full and t. ...

CHICAGO--(BUSINESS WIRE)--Accel Entertainment, Inc. (NYSE: ACEL) ("Accel†), a growing provider of locals-focused gaming and one of the largest terminal operators in the United States, announced today that it entered into a $900 million senior secured credit facility (the "Credit Facility†). The Credit Facility consists of a $300 million Revolving Credit Facility and a $600 million Term Loan, each with a five- year term. Initial borrowings from the Credit Facility were used to repay in full and t. ...

Group 1 - Accel Entertainment (ACEL) has experienced a significant downtrend, with a stock decline of 14.2% over the past four weeks, but it is now in oversold territory, indicating a potential for a turnaround [1] - The Relative Strength Index (RSI) for ACEL is currently at 25.84, suggesting that the heavy selling pressure may be exhausting itself, which could lead to a reversal in the stock's trend [5] - Analysts have raised earnings estimates for ACEL by 2% over the last 30 days, indicating a positive outlook for the company's earnings, which typically correlates with price appreciation [7] Group 2 - ACEL holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises, further supporting the potential for a near-term turnaround [8]

Group 1 - Accel Entertainment operates in the distributed gaming industry, which is less popular compared to tech or consumer sectors, yet it shows strong fundamentals and is somewhat undervalued compared to competitors [1] - The company is perceived to have a significant competitive advantage and potential for growth, making it an attractive investment opportunity [1] - The analysis emphasizes a long-term perspective on businesses, focusing on those with a broad moat or deep-rooted competitive advantages that can persist over the years [1] Group 2 - The article highlights the importance of evaluating quarterly developments in the context of a company's long-term strategy, indicating that significant deviations from this strategy may warrant buy or sell recommendations [1]

Core Insights - Accel Entertainment reported quarterly earnings of $0.25 per share, exceeding the Zacks Consensus Estimate of $0.22 per share, with an earnings surprise of +13.64% [1] - The company generated revenues of $335.91 million for the quarter ended June 2025, slightly missing the Zacks Consensus Estimate by 0.49%, but showing an increase from $309.41 million year-over-year [2] - The stock has gained approximately 15.4% since the beginning of the year, outperforming the S&P 500's gain of 7.6% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.20 on revenues of $330.85 million, and for the current fiscal year, it is $0.86 on revenues of $1.33 billion [7] - The estimate revisions trend for Accel Entertainment was favorable ahead of the earnings release, resulting in a Zacks Rank 2 (Buy) for the stock, indicating expected outperformance in the near future [6] Industry Context - The Gaming industry, to which Accel Entertainment belongs, is currently ranked in the top 41% of over 250 Zacks industries, suggesting a favorable outlook compared to the bottom 50% [8] - Another company in the same industry, Century Casinos, is expected to report a quarterly loss of $0.37 per share, with revenues projected at $153 million, reflecting a year-over-year increase of 4.5% [9]

Financial Data and Key Metrics Changes - In Q2 2025, Xcel generated record quarterly revenue of $336 million, representing a year-over-year growth of 9% [5][13] - Adjusted EBITDA for the second quarter was $53 million, a year-over-year increase of 7% compared to Q2 2024 [13] - Total revenue without the Fairmont Park acquisition was $317 million, reflecting a year-over-year growth of 2.4% [13] Business Line Data and Key Metrics Changes - Revenue from the Illinois distributed gaming market was $245 million, up over 8% year-over-year [6] - Montana's distributed gaming route grew revenue by 2.6% [7] - Revenue from developing markets, Nebraska and Georgia, increased by 26% and 35.5% respectively, while Nevada's revenue declined by 7.7% due to the loss of a key customer [7][8] Market Data and Key Metrics Changes - Xcel operated approximately 27,400 terminals across more than 4,400 locations, representing year-over-year increases of 3.4% and 3.1% respectively [13] - The local gaming market is estimated at over $15 billion nationally, with Xcel focusing on smaller, less professional operators for acquisition opportunities [11][30] Company Strategy and Development Direction - Xcel aims to leverage its competitive position and healthy balance sheet to pursue a multi-pronged growth strategy, focusing on overlooked M&A opportunities [6][11] - The company plans to enhance its operating expertise and expand its footprint while maintaining strong financial discipline [11][30] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the local gaming segment's resilience and growth potential, expecting continued revenue and EBITDA growth [6][22] - The company is optimistic about the contributions from the Fairmont Park Casino and Racing, as well as the revenue-sharing agreement with FanDuel [10][22] Other Important Information - Capital expenditures for Q2 totaled approximately $26 million, with a full-year forecast of $75 million to $80 million [19][20] - The company repurchased 634,000 shares at an average price of $10.58 per share, totaling $6.7 million in Q2 [20] Q&A Session Summary Question: Growth in Illinois market - Management noted consistent growth throughout the quarter without significant peaks or valleys [26] Question: M&A opportunities and leverage - Management stated they are opportunistic in acquisitions but will not leverage the company excessively, maintaining a conservative approach [28][29] Question: Impact of Tito implementation in Illinois - Management indicated it is too early to assess the impact of Tito, with expectations for improved player experience and reduced collection costs in the future [38] Question: Nevada market growth post key customer loss - Management reported slight revenue growth year-over-year despite the loss of a key customer, focusing on higher-margin locations [40][41] Question: Performance expectations for Fairmont Park - Management expressed positive indicators for Fairmont Park, aligning with internal expectations, and anticipates significant contributions in 2026 [44][45]

Financial Performance - Q2 2025 revenue reached a record of $336 million, an 8.6% increase compared to Q2 2024[24] - Excluding the acquisition of Fairmount Park and Toucan Gaming (Louisiana), revenue was $317 million, a 2.4% increase compared to Q2 2024[24] - Adjusted EBITDA for Q2 2025 was a record $53 million, a 7.1% increase compared to Q2 2024, driven by an increase in locations and gaming terminals[24] - Net income decreased by 50.2% to $7 million, partially due to a $6 million loss on the change in the fair value of contingent earnout shares[24] Capital Allocation - Capital expenditures (CapEx) totaled $26 million in Q2 2025 and $53 million year-to-date, with a full-year forecast of $75-80 million[27] - The company repurchased $7 million of Accel Class A-1 Common Stock in Q2 2025, bringing the total to $160 million since November 2021[27] - Since fourth quarter 2021, Accel repurchased 16% of its shares outstanding at an average price of $10.37[21] Operational Growth - As of June 30, 2025, Accel operated 27,388 gaming terminals across 4,427 locations in Illinois, Montana, Nevada, Louisiana, Nebraska and Georgia[13] - Locations increased to 4,427, a 3% increase compared to 4,294 in Q2 2024[34] - Terminals increased to 27,388, a 3% increase compared to 26,481 in Q2 2024[34]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2025 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _______ to ______ Commission File Number 001-38136 Accel Entertainment, Inc. (Exact Name of Registrant as specified in its charter) (State or other jurisdiction of incorp ...