Dec 1, 2025 10:49 AM Eastern Standard Time theScore Bet Now Live In 21 U.S. Jurisdictions Share PENN Entertainment Completes Rebrand of U.S. Online Sports Betting Platform to theScore Bet; Launches Sports Betting in Missouri WYOMISSING, Pa.--(BUSINESS WIRE)--PENN Entertainment, Inc. (Nasdaq: PENN) ("PENN†or the "Company†) announced today that it has completed the rebrand of its online sports betting (OSB) platform to theScore Bet and has successfully launched its OSB product in Missouri. Existing customer ...

Financial Data and Key Metrics Changes - For Q2 2025, the company reported retail revenue of $1.4 billion and adjusted EBITDAR of $490 million, with adjusted EBITDAR margins of nearly 34% [4][17] - Year-over-year revenue growth of 4% was noted in markets not impacted by new supply [4][5] - The interactive segment generated adjusted revenues of $178 million, with an adjusted EBITDA loss of $62 million [17][19] Business Line Data and Key Metrics Changes - The online to retail player count grew by 8% year over year, and online to retail theoretical revenue increased by 28% year over year [9][10] - In Pennsylvania, retail theoretical play increased by 19% year to date, while online theoretical play surged by 133% [10] - In Michigan, retail theoretical play rose by 28% year to date, and online theoretical play skyrocketed by 242% [10] Market Data and Key Metrics Changes - The company is experiencing challenges in markets like Bossier City, Louisiana, due to new supply impacting visitation and revenue [6][7] - The ongoing construction in Detroit is expected to boost visitation and spending at the Hollywood Greektown Casino [7] - The company anticipates a U.S. OSB handle market share of 3.4% in Q3 and 4% in Q4, with iCasino GGR share expected at 3% in Q3 and 3.2% in Q4 [21][20] Company Strategy and Development Direction - The company is focusing on enhancing guest experiences through property improvements and new amenities [6][7] - The opening of the Hollywood Casino Joliet is expected to enhance the portfolio and grow free cash flow [27][28] - The integration with ESPN and the launch of Fan Center are seen as strategic advantages for the interactive segment [28][72] Management's Comments on Operating Environment and Future Outlook - Management noted that strong employment and low gas prices are positive macroeconomic factors benefiting the business [38][39] - The company expects to see sequential quarter-over-quarter adjusted EBITDA improvement in the interactive segment for Q3 and Q4 [19][20] - Management remains optimistic about the potential for profitability in the interactive division by 2026 [66][29] Other Important Information - The company repurchased $90 million of shares in Q2 at an average price of $15.47 per share, with a target of at least $350 million in share repurchases for 2025 [18][19] - The company ended Q2 with total liquidity of $1.2 billion, including $672 million in cash and cash equivalents [17][18] Q&A Session Summary Question: How should we think about potential upside for ESPN with the upcoming DTC products and NFL deal? - Management believes these developments will solidify ESPN's position and enhance the ESPN Bet ecosystem [34][35] Question: What is driving the strong top-line trends outside of new supply markets? - Management attributes the trends to less new supply, strong employment, and consumer confidence, along with property improvements [38][42] Question: Why didn't the company see better flow-through in Q2 despite strong KPIs? - The impact of new supply in competitive markets and elevated promotional spending affected margins [106][107]