Financial Data and Key Metrics Changes - The company reported total revenue of $344 million for Q1 2025, marking a 7% year-over-year increase, which is the highest quarterly revenue since going public [5] - Adjusted EBITDA for the same period was $50 million, also reflecting a 7% year-over-year growth [5] - Capital expenditures for Q1 were $27 million, with a full-year CapEx forecast of $75 million to $80 million [19][20] Business Line Data and Key Metrics Changes - Revenue growth was particularly strong in Illinois and Montana, with year-over-year increases of 48% in both states [5][6] - Revenue per location in core states showed varied performance: Illinois at $885 per day (up 2.9%), Montana at $610 per day (up 2.7%), and Nevada at $802 per day (down 5.3%) [18] Market Data and Key Metrics Changes - Nebraska and Georgia experienced strong double-digit revenue growth, albeit from a smaller base [6] - The company has integrated operations in Louisiana, adding 96 locations and 614 terminals, which is expected to drive future revenue growth [7][8] Company Strategy and Development Direction - The company continues to focus on a decentralized gaming model, which allows for flexibility and efficient capital allocation based on local demand trends [9][10] - The acquisition of Kucan Gaming is expected to enhance the company's southeastern market presence and operational synergies [6][8] - The opening of Fairmont Park Casino is seen as a significant growth driver, with plans for further development in the future [11][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to scale proprietary products and services across its national footprint, enhancing financial performance and free cash flow [10][21] - The company remains optimistic about consumer demand and does not anticipate significant impacts from tariffs on its existing business [27][28] Other Important Information - The company announced the departure of CFO Matt Ellis, with Mark Phelan stepping in as acting CFO [14][15] - The company is committed to returning capital to shareholders through share repurchases, having repurchased 1 million shares at an average price of $10.34 per share [20] Q&A Session Summary Question: Impact of tariffs on growth and CapEx - Management indicated that most CapEx prices are locked in, minimizing the impact of tariffs on existing business [27][28] Question: Weather impact on performance - Weather was reported as a neutral factor, with no significant negative impact on consumer behavior [30][31] Question: Strategy for underperforming locations - The company continues to prune underperforming locations to optimize profitability and reallocate resources to better-performing areas [35][36] Question: Update on Louisiana's performance - Early indications from Louisiana are positive, with ongoing remodeling and optimization efforts expected to enhance performance [38][39] Question: Timing and next steps for Phase two of Fairmont - Phase two will be informed by the operational performance of Phase one, with clarity expected after the racing season ends in October [47] Question: CapEx expectations for 2025 - The company reiterated its CapEx expectations of $75 million to $80 million for 2025, with a return to normalized levels of $40 million to $45 million thereafter [50][51]

Financial Data and Key Metrics Changes - The company reported total revenue of $344 million for Q1 2025, marking a 7% year-over-year increase, and adjusted EBITDA of $50 million, also a 7% increase year-over-year [5][15] - As of March 31, the company had 27,180 terminals across 4,391 locations, reflecting year-over-year increases of 4.4% and 2.9% respectively [15] Business Line Data and Key Metrics Changes - Revenue growth was particularly strong in Illinois and Montana, with year-over-year increases of 48% in Illinois and 48% in Montana [6] - Revenue per location in core states showed varied performance: Illinois at $885 per day (up 2.9%), Montana at $610 per day (up 2.7%), Nevada at $802 per day (down 5.3%), Louisiana at $972 per day, Nebraska at $263 per day (up 12.9%), and Georgia at $145 per day (up 59.3%) [16] Market Data and Key Metrics Changes - Nebraska and Georgia continued to show strong double-digit revenue growth, while Nevada experienced a slight revenue decline due to the loss of a key customer [6] - The company has completed the integration of operations in Louisiana, which is expected to generate revenue growth opportunities [6] Company Strategy and Development Direction - The company aims to drive further synergies and performance improvements through the integration of acquired operations and the rollout of proprietary products across its national footprint [7][9] - The decentralized gaming model allows the company to efficiently allocate capital based on local demand trends, differentiating it from larger operators [8] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the continued strength of consumer demand and the company's ability to scale operations effectively [25][29] - The company remains focused on generating organic revenue growth with expanding margins and improved free cash flow [19] Other Important Information - The Fairmont Park Casino opened on April 18, 2025, marking a significant milestone for the company [10] - The company announced the departure of CFO Matt Ellis, with Mark Phelan stepping in as acting CFO [13][14] Q&A Session Summary Question: Impact of tariffs on growth and CapEx - Management indicated that most CapEx for the year has locked in prices, minimizing tariff impacts, and noted strong consumer demand [24][25] Question: Weather impact on performance - Weather was reported as a neutral factor, with no significant negative impact on consumer behavior [28][29] Question: Strategy for underperforming locations - The company continues to prune underperforming locations to optimize profitability and reallocate assets to better-performing situations [32][33] Question: Update on Louisiana's performance - Early trends in Louisiana are positive, with ongoing remodeling and optimization efforts expected to enhance performance [35][36] Question: Timing and next steps for Fairmont Phase two - Phase two will be informed by the operational performance of Phase one, with clarity expected after the racing season ends in October [45] Question: CapEx expectations for 2025 - The company reiterated its CapEx forecast of $75 million to $80 million for 2025, with expectations of returning to normalized levels of $40 million to $45 million thereafter [48][49]