Bally's (US:BALY)2024-11-07 00:32Financial Data and Key Metrics Changes - Third quarter revenues decreased less than 1% year-over-year to $630 million, with Casinos & Resorts segment revenue declining by 2% and North America Interactive segment revenue increasing by 55% [6][22] - Adjusted EBITDA for the Casinos & Resorts segment was approximately $100 million, a 15% decrease from the previous year, with segment margins dropping to 28% from 33% [22] - International Interactive revenue declined by 5% to $231 million, but adjusted EBITDA increased by 5% year-over-year [23] Business Line Data and Key Metrics Changes - Casinos & Resorts segment revenue decreased by 2% to $353 million, impacted by headwinds in Rhode Island and Atlantic City [22] - North America Interactive generated revenue of $46 million, reflecting a 55% year-over-year improvement, although it reported an adjusted EBITDA loss of approximately $11 million [26] - UK Interactive business saw a 12% revenue growth, driven by customer acquisition and online sports betting operations [11][23] Market Data and Key Metrics Changes - The Chicago Temporary Casino's monthly revenues have stabilized, with quarterly admissions growing more than 6% and market share reaching its highest level [15] - Rhode Island faced revenue challenges due to bridge disruptions affecting traffic, impacting property level margins [17] - Atlantic City experienced a challenging quarter, but new management is expected to improve performance moving forward [18] Company Strategy and Development Direction - Bally's is focused on developing a flagship permanent casino in Downtown Chicago, with construction expected to start next year [8] - The company is pursuing a world-class integrated resort proposal in the Bronx, New York, as part of its growth strategy [10] - Bally's has separated its Asia operations to a licensing royalty model, allowing for more agility and focus on licensed markets [13][25] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in the resiliency of their customer base, particularly in mid and upper segments, despite challenges in lower segments [20] - The company is optimistic about the future, especially with the anticipated merger with Casino Queen [21] - Management highlighted ongoing efforts to enhance profitability and operational efficiency across the portfolio [22][28] Other Important Information - Bally's ended the quarter with approximately 40.7 million shares outstanding and $191 million in cash, alongside $3.7 billion in long-term debt [27] - The company is actively working on initiatives to improve margins and enhance profitability [22] Q&A Session Summary - No questions were taken during the call due to the ongoing shareholder proxy process related to the Casino Queen merger [5]