Gaming and Leisure Properties, Inc. (NASDAQ:GLPI) Q1 2025 Earnings Conference Call April 25, 2025 9:00 AM ET Company Participants Joseph Jaffoni - Investor Relations Peter Carlino - Chairman of the Board and Chief Executive Officer Brandon Moore - President, Chief Operating Officer and Secretary Desiree Burke - Chief Financial Officer and Treasurer Steven Ladany - Sr. Vice President, Chief Development Officer Matthew Demchyk - Sr. Vice President, Chief Investment Officer Conference Call Participants Greg Mc ...

Financial Performance - Total revenue for Q1 2025 increased by 5.1% year-over-year to $395.2 million, compared to $376.0 million in Q1 2024[2] - Adjusted Funds From Operations (AFFO) grew by 5.2% to $272.0 million, up from $258.6 million in the same period last year[2] - Adjusted EBITDA rose by 8% to $360.1 million, compared to $333.4 million in Q1 2024[2] - The company reported net income of $170.4 million for Q1 2025, down from $179.5 million in Q1 2024[2] - Net income for the three months ended March 31, 2025, was $170,354,000, a decrease of 5.0% from $179,526,000 in the same period of 2024[21] - Funds from operations (FFO) for Q1 2025 were $234,758,000, down 3.0% from $244,403,000 in Q1 2024[21] - Adjusted funds from operations (AFFO) increased to $271,996,000 in Q1 2025, compared to $258,615,000 in Q1 2024, reflecting a growth of 5.2%[21] - Adjusted EBITDA for the three months ended March 31, 2025, was $360,118,000, up 8.0% from $333,426,000 in the prior year[22] - The company reported cash net operating income of $369,973,000 for Q1 2025, indicating strong cash flow generation[22] Debt and Financing - GLPI has committed to a $110 million delayed draw term loan facility for the Ione Band of Miwok Indians' Acorn Ridge Casino development, with an 11% interest rate[5] - The company successfully redeemed its $850 million 5.250% senior unsecured note due in June 2025[10] - Total long-term debt as of March 31, 2025, was $6,957,679,000, with a weighted average interest rate of 5.064%[25] - The company has a diversified debt structure with various maturities, including $332,455,000 due in December 2028 and $975,000,000 due in April 2026[25] Portfolio and Assets - As of March 31, 2025, GLPI's portfolio consisted of interests in 68 gaming and related facilities across 20 states[13] - Total assets decreased to $12,132,521,000 as of March 31, 2025, from $13,075,949,000 at the end of 2024, a decline of 7.2%[24] Lease Agreements - The company extended the Master Lease and the Belterra Park Lease with Boyd Gaming for an additional five years, now expiring on April 30, 2031[10] - The Penn Master Lease has a commencement date of January 1, 2023, and an expiration date of October 31, 2033, with a coverage ratio of 1.1[29] - The yearly base rent escalator for the Penn Master Lease is capped at 1.5%, with a one-time annualized increase of $1.4 million occurring on November 1, 2027[29] - The Amended Pinnacle Master Lease has a coverage ratio of 1.2 and a maximum yearly base rent escalator of 2%[30] - The Bally's Master Lease II has a coverage ratio of 1.35, with a lease expiration date of December 15, 2039[31] - The Boyd Master Lease has a coverage ratio of 1.4, with a maximum yearly base rent escalator of 2%[32] - The Pennsylvania Live! Master Lease has a coverage ratio of 1.4 and a maximum yearly base rent escalator of 1.75%[33] - The Belterra Park lease has a coverage ratio of 1.4, with a maximum yearly base rent escalator of 2%[34] - The coverage ratio for the Ameristar Kansas City property under the Boyd Master Lease is projected to be 2.51 by December 31, 2024[32] - The next rent reset for the Amended Pinnacle Master Lease is scheduled for May 2026[30] - The coverage ratio for the Bally's Master Lease II is projected to be 2.34 by December 31, 2024[31] - The company has multiple property leases with varying commencement and expiration dates, including leases for Tioga Downs (commencing 9/26/2022, expiring 9/25/2072) and Tropicana Lease (commencing 2/6/2024, expiring 2/28/2054)[35] Operational Strategy - The company focuses on acquiring and financing real estate properties to be leased to gaming operators under triple-net lease arrangements, ensuring stable cash flows[27] - The company anticipates benefiting from portfolio additions and completed transactions in 2024, with forward-looking statements regarding growth and cash flows in 2025 and beyond[40] - The company emphasizes the importance of maintaining its REIT status, which is subject to complex IRS provisions and ongoing compliance requirements[40] - The company has established a competitive lease structure with protections such as technical default landlord protection and coverage ratios of 1.4 for various leases[35] - The company is currently amending the Tropicana Lease to have an initial term of 15 years with multiple renewal extensions[35] Risk Factors - The company faces risks related to construction projects, economic conditions, tenant financial stability, and regulatory approvals that could impact future performance[40] Non-GAAP Measures - The company utilizes non-GAAP financial measures such as FFO, AFFO, Adjusted EBITDA, and Cash NOI to benchmark performance against peers and assess internal business operations[36] - FFO is defined as net income excluding gains or losses from property dispositions and real estate depreciation, while AFFO further excludes stock-based compensation and other specific expenses[37] - The company’s Cash NOI reflects rental income minus property-level expenses, excluding depreciation and other non-routine costs, providing a clearer view of operational performance[36]

Core Viewpoint - Gaming and Leisure Properties (GLPI) reported quarterly funds from operations (FFO) of $0.96 per share, matching the Zacks Consensus Estimate and showing an increase from $0.92 per share a year ago [1] Financial Performance - The company posted revenues of $395.24 million for the quarter ended March 2025, which was 0.44% below the Zacks Consensus Estimate, compared to $375.96 million in the same quarter last year [2] - Over the last four quarters, GLPI has surpassed consensus FFO estimates two times and topped consensus revenue estimates two times [2] Stock Performance - GLPI shares have increased approximately 2.9% since the beginning of the year, contrasting with the S&P 500's decline of 8.6% [3] Future Outlook - The current consensus FFO estimate for the upcoming quarter is $0.97, with expected revenues of $399.92 million, and for the current fiscal year, the estimate is $3.87 on $1.6 billion in revenues [7] - The estimate revisions trend for GLPI is mixed, resulting in a Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [6] Industry Context - The REIT and Equity Trust - Other industry, to which GLPI belongs, is currently in the bottom 40% of over 250 Zacks industries, suggesting potential challenges ahead [8]

Financial Performance - Total revenues for the three months ended March 31, 2025, were $395.2 million, an increase from $376.0 million in the same period last year [155]. - Income from operations for the same period was $258.8 million, compared to $257.6 million in the prior year [155]. - Total income from real estate increased by $19.3 million to $395.2 million, primarily due to recent acquisitions that added $20.2 million in cash rental income [155]. - Total revenues increased by $19.3 million to $395.2 million for the three months ended March 31, 2025, compared to $375.9 million for the same period in the prior year, representing a 5.1% increase [168]. - Net income decreased by $9.2 million to $170.4 million for the three months ended March 31, 2025, compared to $179.5 million in the prior year, primarily due to increased operating expenses [157]. - Total operating expenses rose by $18.0 million to $136.4 million for the three months ended March 31, 2025, driven mainly by a $16.0 million increase in the provision for credit losses [157]. - Funds From Operations (FFO) decreased to $234.8 million for the three months ended March 31, 2025, down from $244.4 million in the prior year [165]. - Adjusted Funds From Operations (AFFO) increased to $272.0 million for the three months ended March 31, 2025, compared to $258.6 million for the same period in the prior year [165]. - Adjusted EBITDA rose to $360.1 million for the three months ended March 31, 2025, compared to $333.4 million in the prior year [165]. - Rental income increased by $9.7 million to $340.3 million for the three months ended March 31, 2025, reflecting a 2.9% increase from $330.6 million in the prior year [168]. - Income from investment in leases and financing receivables increased by $3.5 million to $47.8 million for the three months ended March 31, 2025, representing a 7.8% increase [168]. - Total income from real estate for the three months ended March 31, 2025, was $395.235 million, an increase from $375.964 million in the same period of 2024, representing a growth of 5.4% [171]. Lease and Coverage Ratios - The Coverage ratio for the Penn 2023 Master Lease was reported at 1.91 as of December 31, 2024, indicating strong rent coverage [142]. - The Amended Pinnacle Master Lease has a Coverage ratio of 1.73 as of December 31, 2024, reflecting solid financial health of the tenants [143]. - The company has a minimum coverage ratio requirement of 1.8 to 1 for certain leases before rent escalations can occur [141]. - Default adjusted revenue to rent coverage for Bally's Master Lease II is 1.35, while for Casino Queen Master Lease it is 1.4 [144]. - The coverage ratio at December 31, 2024, for Boyd Master Lease is 2.51 and for Caesars Master Lease is 1.87 [145]. - The default adjusted revenue to rent coverage for Pennsylvania Live! Master Lease is 1.4 [146]. - The company reported a coverage ratio of 3.36 for Horseshoe St. Louis lease at December 31, 2024 [147]. Operational and Strategic Focus - The company aims to provide stability and cash flow opportunities through triple-net lease arrangements, where tenants cover all facility maintenance, insurance, taxes, and utilities [140]. - The company is focused on acquiring and financing gaming facilities, with ongoing construction projects including Bally's Chicago [135]. - The company plans to continue growing its portfolio by pursuing opportunities to acquire additional gaming facilities under prudent terms [161]. - The company expects future growth to come from funding commitments to tenants and acquisitions of gaming properties, which may increase cash requirements significantly [198]. Economic and Market Risks - The company anticipates potential impacts from higher inflation rates and interest rates on discretionary consumer spending, which could affect tenant operations [135]. - The company is subject to various risks, including regulatory approvals and economic uncertainties, which could impact future performance [136]. - Interest rate risk is a primary market risk exposure, with $6,957.7 million in debt as of March 31, 2025, which could increase financing costs for acquisitions [200]. Cash Flow and Debt Management - Net cash provided by operating activities decreased to $252.5 million in Q1 2025 from $257.9 million in Q1 2024, a decline of $5.4 million [186]. - Cash provided by investing activities was $534.0 million in Q1 2025, primarily from the maturity of zero coupon U.S. Treasury Bills totaling $550.0 million [187]. - Financing activities used cash of $1,080.3 million in Q1 2025, primarily due to long-term debt repayment of $850.1 million and dividend payments of $209.1 million [188]. - The company has $6.89 billion of debt outstanding with a weighted average maturity of 6.3 years and an interest rate of 5.06% as of March 31, 2025 [192]. - The company has access to a $2.09 billion revolving credit facility, with $332.5 million outstanding, providing $1,757.2 million of available borrowing capacity [191]. - Cash generated from operations and available credit is expected to meet anticipated debt service, funding commitments, and capital expenditures for the next twelve months [196]. Capital Expenditures and Investments - Capital expenditures increased significantly to approximately $12.9 million in Q1 2025 from $0.1 million in Q1 2024, mainly for a land side and hotel development project at The Belle [190]. - The company has a call right to acquire Bally's Lincoln valued at $735 million [151]. - The maximum commitment for the relocation of Hollywood Casino Aurora is $225 million, with no funding utilized as of March 31, 2025 [151]. Corporate Structure and Guarantees - The company is structured as an umbrella partnership REIT, with all business conducted through GLP Capital [139]. - The company has a corporate guarantee in place for its master leases, providing additional security for its rental income [142][143]. - The company intends to distribute at least 90% of its REIT taxable income to avoid U.S. federal corporate income tax on undistributed earnings [195]. - As of March 31, 2025, the company had $34.2 million remaining for issuance under its $1 billion ATM program established in December 2022 [197].

WYOMISSING, Pa., April 24, 2025 (GLOBE NEWSWIRE) -- Gaming and Leisure Properties, Inc. (NASDAQ: GLPI) (“GLPI” or the “Company”) today announced financial results for the quarter ended March 31, 2025. Financial Highlights Three Months Ended March 31,(in millions, except per share data) 2025 2024Total Revenue $395.2 $376.0Income from Operations $258.8 $257.6Net Income <td style="padding-right: 0 ; text-align: right ; vertical-align: middle; vertical-align: bot ...

WYOMISSING, Pa., April 08, 2025 (GLOBE NEWSWIRE) -- Gaming and Leisure Properties, Inc. (NASDAQ: GLPI) announced today that the Company will release its 2025 first quarter financial results after the market close on Thursday, April 24, 2025. The Company has moved up the time of its conference call on Friday, April 25, 2025 to 9:00 a.m. ET from 10:00 a.m. ET. During the conference call, Peter M. Carlino, Chairman and Chief Executive Officer, and senior management, will review the quarter’s results and perfor ...

Conference Call Playback: Domestic: 1-844/512-2921 International: 1-412/317-6671 Passcode: 13752918 The playback can be accessed through Friday, May 2, 2025. About Gaming and Leisure Properties GLPI is engaged in the business of acquiring, financing, and owning real estate property to be leased to gaming operators in triple-net lease arrangements, pursuant to which the tenant is responsible for all facility maintenance, insurance required in connection with the leased properties and the business conducted o ...

Gaming and Leisure Properties, Inc. (NASDAQ:GLPI) Q4 2024 Earnings Conference Call February 21, 2025 11:00 AM ET Company Participants Joe Jaffoni - Investor Relations Peter Carlino - Chairman and CEO Brandon Moore - President and COO Desiree Burke - Chief Financial Officer and Treasurer Steve Ladany - Senior Vice President and CDO Matthew Demchyk - Senior Vice President and CIO Conference Call Participants Brad Heffern - RBC Capital Markets Ron Kamdem - Morgan Stanley Barry Jonas - Truist Securities John Ki ...

GAMING AND LEISURE PROPERTIES, INC. REPORTS RECORD FOURTH QUARTER RESULTS, ESTABLISHES 2025 GUIDANCE AND ANNOUNCES 2025 FIRST QUARTER DIVIDEND OF $0.76 PER SHARE WYOMISSING, PA — February 20, 2025 — Gaming and Leisure Properties, Inc. (NASDAQ: GLPI) ("GLPI" or the "Company") today announced record results for the fourth quarter and year-ended December 31, 2024. Financial Highlights | | | | Three Months Ended December 31, | | | Year Ended December 31, | | | --- | --- | --- | --- | --- | --- | --- | --- | | ( ...

Gaming and Leisure Properties (GLPI) came out with quarterly funds from operations (FFO) of $0.95 per share, beating the Zacks Consensus Estimate of $0.94 per share. This compares to FFO of $0.93 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an FFO surprise of 1.06%. A quarter ago, it was expected that this real estate investment trust would post FFO of $0.94 per share when it actually produced FFO of $0.95, delivering a surprise of 1.06%.Over the ...