Revenue Performance - Revenues for the first quarter of 2025 increased by 7.3% to $75.1 million, compared to $69.9 million in the prior-year period[2] - Revenues from Colorado operations grew by 33.9% year-over-year, contributing to the overall revenue increase[2][6] - The Midwest & South segment reported revenues of $57.2 million, a 4.6% increase from $54.6 million in the prior-year period[14] - The West segment's revenues rose by 19.8% to $15.6 million, reflecting the full opening of Chamonix Casino Hotel[14] Gaming Revenue Highlights - American Place Casino achieved a record monthly gaming revenue of $10.9 million in March 2025, with a player database surpassing 100,000 members[3] - Contracted sports wagering revenues remained stable at $2.3 million for both the first quarters of 2025 and 2024, with an increase in Adjusted Segment EBITDA to $2.2 million[9] Financial Metrics - Adjusted EBITDA for the first quarter of 2025 was $11.5 million, down from $12.4 million in the prior-year period[2] - Net loss for Q1 2025 was $9,765,000, an improvement from a net loss of $11,272,000 in Q1 2024, representing a 13.4% reduction[23] - Adjusted EBITDA for Q1 2025 was $11,487,000, compared to $12,409,000 in Q1 2024, reflecting a decrease of 7.4%[23] - Operating income for Q1 2025 was $738,000, a significant improvement from an operating loss of $606,000 in Q1 2024[23] Segment Performance - The Midwest & South segment reported an operating income of $6,892,000 for Q1 2025, up from $5,809,000 in Q1 2024, indicating a growth of 18.6%[24] - The West segment experienced an operating loss of $7,056,000 in Q1 2025, compared to a loss of $5,536,000 in Q1 2024, worsening by 27.5%[24] Cost Management - Corporate expenses for Q1 2025 were $1,333,000, a decrease from $2,075,000 in Q1 2024, showing a reduction of 35.8%[25] - Project development costs for Q1 2025 amounted to $141,000, while preopening costs were $0, compared to $1,663,000 in Q1 2024[23] Future Outlook - The company anticipates growth projects including Chamonix and American Place, with expected operational performance improvements[26] - The company is focused on managing substantial indebtedness and financing construction projects effectively amid various economic challenges[26] Company Overview - Full House Resorts operates multiple gaming facilities across the U.S., including American Place in Illinois and Silver Slipper Casino in Mississippi[27] Debt and Financing - As of March 31, 2025, the company had $30.7 million in cash and cash equivalents, with total debt of $480 million[10] - The company extended the maturity date of its revolving credit facility to January 1, 2027, and is evaluating financing options for the permanent American Place facility[11] Operational Improvements - Silver Slipper Casino's operating income improved by $0.6 million despite a revenue decline of $0.7 million, attributed to new leadership and operational improvements[5]

Core Insights - Full House Resorts, Inc. reported a 7.3% increase in consolidated revenues for Q1 2025, reaching $75.1 million compared to $69.9 million in the same period last year [2] - The company experienced a net loss of $9.8 million in Q1 2025, an improvement from a net loss of $11.3 million in the prior-year period [2][24] - Adjusted EBITDA for Q1 2025 was $11.5 million, down from $12.4 million in the previous year [2][22] Revenue Performance - American Place Casino achieved a record monthly gaming revenue of $10.9 million in March 2025 [1] - Revenues from Colorado operations increased significantly by 33.9% year-over-year [6] - The Midwest & South segment generated revenues of $57.2 million, a 4.6% increase from $54.6 million in the prior-year period [7][22] - The West segment saw revenues rise by 19.8% to $15.6 million, reflecting the full opening of Chamonix Casino Hotel [8][22] Operational Highlights - American Place Casino's player database surpassed 100,000 members, indicating strong customer engagement [3] - Silver Slipper Casino benefited from new leadership, resulting in improved operating income despite a revenue decline [5] - Chamonix Casino Hotel is focusing on cost efficiencies and has identified several million dollars in potential annual savings [6] Financial Position - As of March 31, 2025, the company had $30.7 million in cash and cash equivalents, with total debt primarily consisting of $450 million in senior secured notes due 2028 [10] - The maturity date of the revolving credit facility was extended to January 1, 2027, allowing for better financial flexibility [11] Future Outlook - The company anticipates significant performance improvements upon transitioning from the temporary American Place facility to the planned permanent casino [4] - Management is evaluating financing options for the permanent American Place facility, which may include refinancing existing debt [11]

Core Viewpoint - Full House Resorts will report its first quarter 2025 financial results on May 8, 2025, followed by a conference call for investors [1] Group 1: Financial Reporting - The financial results will be announced on May 8, 2025, at 4:30 p.m. ET [1] - A live audio webcast of the conference call will be available on the company's website [1] - Investors can also join the conference call by dialing (646) 307-1865 [1] Group 2: Conference Call Replay - A replay of the conference call will be accessible shortly after the call until May 22, 2025 [2] - The replay can be accessed via the company's website or by dialing (412) 317-6671 with the passcode 1125724 [2] Group 3: Company Overview - Full House Resorts owns, leases, develops, and operates gaming facilities across the United States [4] - The company's properties include locations in Illinois, Mississippi, Colorado, Indiana, and Nevada [4]

Group 1 - Full House Resorts (NASDAQ: FLL) is perceived as a particularly risky investment within the regional gaming sector due to macroeconomic uncertainties affecting investor sentiment [1] - The overall gaming industry is facing caution from investors regarding its near-term prospects, influenced by broader economic conditions [1]

Core Insights - Full House Resorts, Inc. has appointed Brandon Lenssen as Vice President and General Manager of Chamonix Casino Hotel in Cripple Creek, Colorado, pending customary gaming approvals [1] - Mr. Lenssen has nearly 30 years of experience in the gaming industry, previously serving as Vice President and General Manager for Quick Custom Intelligence and Bally's Black Hawk [2][3] - The company aims to enhance the guest experience and operational efficiency at Chamonix Casino Hotel through data-driven strategies and innovative solutions [4] Company Overview - Full House Resorts owns, leases, develops, and operates gaming facilities across the United States, including properties in Illinois, Mississippi, Colorado, Indiana, and Nevada [6] - The company is focused on improving game performance, marketing, and player engagement through strategic leadership and operational expertise [2][4] Compensation Details - In connection with Mr. Lenssen's hiring, the Compensation Committee approved a grant of 24,213 restricted shares as an inducement equity award, which will vest over three years [4]

Competition and Market Risks - The company faces significant competition in the gaming and entertainment sector, which could impact revenue if consumer spending declines[14]. - The company is subject to various risks including economic downturns, natural disasters, and regulatory changes that could adversely affect operations and financial condition[14]. - The company relies on key personnel and faces challenges in attracting and retaining employees, which could impact operational efficiency[14]. Financial Performance - The company's total revenues for the year ended December 31, 2024, were $292.065 million, an increase of 21.2% compared to $241.060 million in 2023[281]. - Casino revenues increased to $216.880 million in 2024, up 22.6% from $176.933 million in 2023[281]. - The net loss for the year ended December 31, 2024, was $40.672 million, compared to a net loss of $24.904 million in 2023, reflecting a 63.3% increase in losses[281]. - Basic loss per share for 2024 was $1.16, compared to $0.72 in 2023, indicating a significant increase in loss per share[281]. - The company reported operating income of $2.750 million for 2024, a turnaround from an operating loss of $1.162 million in 2023[281]. - Total operating costs and expenses increased to $289.315 million in 2024, up from $242.222 million in 2023, reflecting a rise of 19.5%[281]. - Cash flows from operating activities provided $13,845,000 in 2024, down from $22,345,000 in 2023, indicating a decline of 38.3%[286]. - The company reported a net decrease in cash and cash equivalents of $33,573,000 for the year, compared to a decrease of $117,382,000 in 2023, showing a reduction in cash outflow[286]. Debt and Financial Obligations - The company has significant indebtedness, which could limit financial flexibility and affect its ability to meet obligations[17]. - The company’s long-term debt as of December 31, 2024, was $468.139 million, slightly up from $465.153 million in 2023[283]. - Interest expense for the year ended December 31, 2024, was $43,201,000, up from $22,977,000 in 2023, indicating an increase of approximately 88%[381]. - The Company issued a total of $450,000,000 in Senior Secured Notes due 2028, with an interest rate of 8.25%[367]. Operational Challenges - Rising operating costs and wage increases may negatively affect the company's profitability[14]. - The company is engaged in construction and development projects, with potential risks of exceeding budgeted costs and regulatory delays[17]. - The company’s operations are heavily regulated, and compliance costs or failures could adversely impact business results[20]. Strategic Initiatives - The company plans to continue evaluating its strategic plans and forecasts in light of changing market conditions and regulatory environments[280]. - The company opened the temporary American Place facility in February 2023 and completed the phased opening of Chamonix in October 2024, expanding its operational footprint[291]. - The company entered into an agreement to sell Stockman's Casino in August 2024, indicating a strategic divestment[292]. Revenue Streams and Segments - The company’s revenue primarily consists of casino gaming, food and beverage, hotel, and other revenues, with casino gaming being the largest contributor[321]. - Adjusted Segment EBITDA for the Midwest & South segment was $45,737,000, while the West segment reported a loss of $1,302,000, leading to a total Adjusted Segment EBITDA of $53,938,000 for the Company[427]. - Other operations, including contracted sports wagering, contributed $20,719,000 to total revenues, reflecting growth in this area[430]. Asset Management - Total assets decreased from $688,457,000 in 2023 to $673,334,000 in 2024, with notable declines in the Midwest & South and West segments[426]. - The carrying value of goodwill decreased from $21,286,000 at the beginning of 2023 to $19,477,000 by December 31, 2024, primarily due to the sale of assets[354]. - Total assets held for sale amounted to $2,486,000 as of December 31, 2024, which includes cash, inventories, property, and goodwill[351]. Employee and Compensation - The Company’s matching contributions to the defined contribution plan were $300,000 for both 2024 and 2023, maintaining a 50% matching rate on employee contributions[412]. - Stock-based compensation expense totaled $2,873,000 for the year ended December 31, 2024, slightly down from $2,882,000 in 2023[419]. Tax and Deferred Assets - The Company had gross federal net operating loss carryforwards totaling $57.4 million and state tax carryforwards of $193.2 million as of December 31, 2024[402]. - The Company recognized a deferred tax asset valuation allowance of $35.634 million as of December 31, 2024, compared to $23.966 million in 2023, reflecting an increase of approximately 48.73%[402].

Financial Data and Key Metrics Changes - Fourth quarter revenues increased by 27%, with a total annual increase of 42% for the year, and EBITDA rose by 60% [6][8][19] - The company reported a market share of 26.9% in the fourth quarter, more than doubling its gaming market share year over year [112] Business Line Data and Key Metrics Changes - American Place continues to perform strongly, with revenues up 27% in Q4 and 42% for the year, while EBITDA increased by 60% [6][19] - Chamonix, despite being in its early stages, saw revenues more than double in the fourth quarter, although it experienced a slight loss due to high operating expenses [21][22] Market Data and Key Metrics Changes - The company is positioned in a favorable demographic area, with Lake County having a population of about one million and being one of the wealthier counties [57][70] - Comparisons with other casinos indicate that the company’s temporary casino is outperforming others in similar markets, suggesting strong future revenue potential [16][17] Company Strategy and Development Direction - The company plans to finance the construction of a permanent facility in Waukegan, estimated to cost around $325 million, without issuing equity [10][12] - Management is focused on improving operational efficiency and enhancing customer experience through strategic hires and management changes [27][33] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the future performance of American Place, citing strong revenue potential and favorable market conditions [15][19] - The company is optimistic about the growth of Chamonix, expecting revenues to climb as the facility matures [22][68] Other Important Information - The company is not actively seeking acquisitions but remains open to opportunities that align with its strategic goals [94] - Management has made significant changes in leadership to enhance operational performance and address challenges in specific properties [28][33] Q&A Session Summary Question: How do challenges at Chamonix affect plans for American Place? - Management confirmed that plans for American Place remain unchanged, with a guaranteed minimum spend of $500 million already partially invested [52] Question: Are there changes in material prices due to tariffs for construction in Illinois? - Management acknowledged the potential for price changes but has not hedged against them, assuming higher costs in their budget [78][80] Question: Is the company looking for M&A opportunities? - Management clarified that they are not actively pursuing acquisitions but are open to good deals that may arise [94] Question: What are the expectations for table volumes and slot volumes at Chamonix? - Management noted that table games have been a weak point, but they are implementing changes to improve performance in that area [102][104] Question: Can you discuss the margins at American Place? - Management indicated that while margins are not at target levels yet, they expect gradual improvement as revenues grow and expenses are controlled [121]

Revenue Growth - Quarterly revenues increased by 21.5% to $73.0 million compared to $60.0 million in the prior-year period[2] - Full-year revenues for 2024 were $292.1 million, a 21.2% increase from $241.1 million in 2023[3] - Revenues for the American Place Casino rose 27.5% in Q4 2024 and 42.4% for the full year compared to 2023[5] - Revenues for Colorado operations increased by 161.1% in Q4 2024 and 159.9% for the full year[1] - Total revenues for Q4 2024 reached $72,962,000, a 21.6% increase from $60,029,000 in Q4 2023[25] - Casino revenues increased to $54,406,000 in Q4 2024, up 20.4% from $45,347,000 in Q4 2023[25] - Year-to-date revenues for 2024 totaled $292,065,000, a 21.2% increase from $241,060,000 in 2023[25] Adjusted EBITDA - Adjusted EBITDA for the fourth quarter of 2024 was $10.4 million, reflecting a 42.0% increase from $7.3 million in the prior-year period[2] - Adjusted Segment EBITDA for Q4 2024 was $10,356,000, representing a 42.2% increase compared to $7,295,000 in Q4 2023[32] - Adjusted Segment EBITDA for the year 2024 was $48,648,000, marginally up from $48,557,000 in 2023[32] - The total adjusted EBITDA for the year ended December 31, 2024, was $48,648,000, up from $48,557,000 in 2023, indicating a slight increase year-over-year[35] - The Midwest & South segment achieved an adjusted EBITDA of $45,737,000 for the year ended December 31, 2024, compared to $39,028,000 in 2023, indicating strong performance in this region[35] Operating Income and Loss - Net loss for Q4 2024 was $12,299,000, slightly improved from a net loss of $12,482,000 in Q4 2023[32] - Basic loss per share for Q4 2024 was $0.35, consistent with $0.36 in Q4 2023[25] - For the three months ended December 31, 2024, Full House Resorts reported an operating income of $4,496,000 in the Midwest & South segment, compared to a loss of $894,000 in the same period of 2023, representing a significant improvement[33] - The West segment reported an operating loss of $7,890,000 for the three months ended December 31, 2024, compared to a loss of $3,669,000 in the same period of 2023, reflecting ongoing challenges in this segment[34] - The corporate segment incurred an operating loss of $968,000 for the three months ended December 31, 2024, compared to a loss of $1,854,000 in the same period of 2023, showing improved cost management[34] Future Plans and Projects - The company plans to break ground on the permanent American Place casino later in 2025, with completion expected by August 2027[6] - Full House Resorts anticipates growth projects, including the construction of the permanent American Place facility, with expected operational performance improvements[36] - The company expects to generate operating cash flow and secure debt financing for its growth projects, although it acknowledges potential risks related to construction and market conditions[36] - The company is focused on managing expenses effectively and completing construction projects on time and within budget to enhance overall financial performance[36] Segment Performance - The Midwest & South segment revenues were $55.0 million in Q4 2024, a 12.1% increase from $49.1 million in the prior-year period[12] - Midwest & South segment revenues for Q4 2024 were $55,026,000, a 12.1% increase from $49,094,000 in Q4 2023[26] - Contracted Sports Wagering revenues decreased to $1,858,000 in Q4 2024, down 20.8% from $2,347,000 in Q4 2023[28] - Same-store total revenues for the Midwest & South segment decreased by 0.8% in Q4 2024 compared to Q4 2023[28] - Contracted Sports Wagering generated an operating income of $2,954,000 for the three months ended December 31, 2024, consistent with the previous year’s performance[33] - Full House Resorts operates multiple gaming facilities across the U.S., including American Place and Silver Slipper Casino, contributing to its diversified revenue streams[37]

Core Insights - Full House Resorts, Inc. reported a consolidated revenue increase of 21.5% to $73.0 million in Q4 2024, compared to $60.0 million in the prior year [2] - The company experienced a net loss of $12.3 million in Q4 2024, slightly improved from a net loss of $12.5 million in Q4 2023 [2] - For the full year 2024, revenues reached $292.1 million, a 21.2% increase from $241.1 million in 2023, with a net loss of $40.7 million [3] Revenue Growth - American Place Casino's revenues rose 27.5% in Q4 2024 and 42.4% for the full year compared to 2023 [5] - Chamonix Casino Hotel's revenues increased significantly, with a 161.1% rise in Q4 and a 159.9% increase for the full year [3][8] - The Midwest & South segment reported revenues of $55.0 million in Q4 2024, a 12.1% increase from $49.1 million in the prior year [11] Operational Performance - Adjusted EBITDA for Q4 2024 was $10.4 million, a 42.0% increase from $7.3 million in Q4 2023, reflecting strong growth at American Place [2] - The full year Adjusted EBITDA remained flat at $48.6 million, impacted by construction disruptions and elevated costs at Colorado operations [3] - The company is focusing on profitability and sustainable growth, particularly in Colorado, with new management hires to enhance operations [9][10] Future Outlook - The company plans to break ground on the permanent American Place casino later in 2025, with completion expected by August 2027 [6] - Marketing efforts for Chamonix are anticipated to ramp up in 2025, aiming to capture a larger market share [8][10] - The company is evaluating financing options for the permanent facility, including potential refinancing of existing debt [16]

Financial Performance - Full House Resorts reported a quarterly loss of $0.30 per share, significantly worse than the Zacks Consensus Estimate of a loss of $0.06, marking an earnings surprise of -400% [1] - The company posted revenues of $75.69 million for the quarter ended September 2024, missing the Zacks Consensus Estimate by 6.44%, compared to revenues of $71.54 million a year ago [2] - The current consensus EPS estimate for the upcoming quarter is -$0.10 on revenues of $80.2 million, and for the current fiscal year, it is -$0.74 on revenues of $311.3 million [7] Stock Performance - Full House Resorts shares have declined approximately 4.7% since the beginning of the year, while the S&P 500 has gained 21.2% [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating it is expected to perform in line with the market in the near future [6] Industry Outlook - The Gaming industry, to which Full House Resorts belongs, is currently ranked in the bottom 35% of over 250 Zacks industries, suggesting a challenging environment [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact investor sentiment [5]