GDEN Golden Entertainment Inc

Golden Entertainment, Inc. (NASDAQ: GDEN) (“Golden Entertainment” or the “Company”) today reported financial results for the fourth quarter and full year ended December 31, 2024. In addition, on February 25, 2025, the Company’s Board of Directors authorized the Company’s next recurring quarterly cash dividend of $0.25 per share of the Company’s outstanding common stock payable on April 2, 2025 to shareholders of record as of March 21, 2025.

Blake Sartini, Chairman and Chief Executive Officer of Golden, commented, “Our fourth quarter performance improved sequentially over the third quarter and we anticipate business conditions will continue to improve in 2025. For 2025, we remain focused on investing in our own assets, returning capital to shareholders and pursuing potential strategic opportunities.”

The Company repurchased 1.1 million shares of common stock in the fourth quarter at an average price of $32.65 per share for a total of $36.2 million. During 2024, the Company repurchased 2.9 million shares of common stock in the aggregate at an average price of $31.63 per share for a total of $91.5 million. In 2024, the Company also paid aggregate cash dividends of $21.3 million.

Consolidated Results

The Company reported fourth quarter 2024 revenues of $164.2 million, compared to revenues of $230.7 million for the fourth quarter 2023. Net income for the fourth quarter 2024 was $3.0 million, or $0.10 per fully diluted share, compared to net loss of $9.4 million, or a loss of $0.33 per share, for the fourth quarter 2023 (which reflected an asset impairment charge of $12.1 million related to the Colorado Belle Casino Resort, the operations of which remain suspended). Fourth quarter 2024 Adjusted EBITDA was $39.2 million, compared to Adjusted EBITDA of $48.8 million for the fourth quarter of 2023. Fourth quarter 2024 declines in revenues and Adjusted EBITDA over the prior year period were primarily related to the exclusion from the current year period of the results for the Company’s distributed gaming operations in Nevada that were sold on January 10, 2024.

The Company reported full year 2024 revenues of $666.8 million, compared to revenues of $1.1 billion for 2023. Net income for the full year 2024 was $50.7 million, or $1.71 per fully diluted share, compared to $255.8 million, or $8.31 per fully diluted share, for 2023. Net income and diluted earnings per share for the full year 2024 included the benefit of the $69.2 million gain on the sale of distributed gaming operations in Nevada completed on January 10, 2024, compared to the $303.2 million gain on the sales of the Rocky Gap Casino Resort and distributed gaming operations in Montana completed on July 25, 2023 and September 13, 2023, respectively. Full year 2024 Adjusted EBITDA was $155.4 million, compared to Adjusted EBITDA of $222.5 million for 2023. Full year 2024 declines in revenues and Adjusted EBITDA over the prior year were primarily related to the exclusion of the results of Rocky Gap Casino Resort and distributed gaming operations in Montana and Nevada discussed above after their respective dates of sale.

Debt and Liquidity

As of December 31, 2024, the Company’s total principal amount of debt outstanding was $417.6 million, consisting primarily of $394 million in outstanding term loan borrowings and $20 million in outstanding borrowings under the Company’s revolving credit facility. The Company repaid $282.4 million of its debt obligations in 2024.

As of December 31, 2024, the Company had cash and cash equivalents of $57.7 million and $220 million of remaining availability on its revolving credit facility.

Investor Conference Call and Webcast

The Company will host a webcast and conference call today, February 27, 2025 at 5:00 p.m. Eastern Time (2:00 p.m. Pacific Time), to discuss the 2024 fourth quarter and full year results. The conference call may be accessed live over the phone by dialing (877) 407-0789 or for international callers by dialing (201) 689-8562. A replay will be available beginning at 8:00 p.m. Eastern Time today and may be accessed by dialing (844) 512-2921 or (412) 317-6671 for international callers; the passcode is 13751149. The replay will be available until March 6, 2025. The call will also be webcast live through the “Investors” section of the Company’s website, www.goldenent.com. A replay of the audio webcast will also be archived on the Company’s website, www.goldenent.com.

Forward-Looking Statements

This press release contains forward-looking statements regarding future events and the Company’s future results that are subject to the safe harbors created under the Securities Act of 1933 and the Securities Exchange Act of 1934. Forward-looking statements can generally be identified by the use of words such as “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “forecast,” “intend,” “may,” “plan,” “project,” “potential,” “seek,” “should,” “think,” “will,” “would” and similar expressions, or they may use future dates. In addition, forward-looking statements in this press release include, without limitation statements regarding: the Company’s strategies, objectives, business opportunities and plans; anticipated future growth and trends in the Company’s business or key markets and business outlook; return of capital to shareholders (including through the payment of recurring quarterly cash dividends or repurchase of shares of the Company’s common stock); projections of future financial condition, operating results or other financial items; and other characterizations of future events or circumstances as well as other statements that are not statements of historical fact. Forward-looking statements are based on the Company’s current expectations and assumptions regarding its business, the economy and other future conditions. These forward-looking statements are subject to assumptions, risks and uncertainties that may change at any time, and readers are therefore cautioned that actual results could differ materially from those expressed in any forward-looking statements. Factors that could cause the actual results to differ materially include: changes in national, regional and local economic and market conditions; legislative and regulatory matters; increases in gaming taxes and fees in the jurisdictions in which the Company operates; litigation; increased competition; reliance on key personnel; the Company’s ability to comply with covenants in its debt instruments; terrorist incidents; natural disasters; severe weather conditions; the effects of environmental and structural building conditions; the effects of disruptions to the Company’s information technology and other systems and infrastructure; factors affecting the gaming, entertainment and hospitality industries generally; and other risks and uncertainties discussed in the Company’s filings with the SEC, including the “Risk Factors” sections of the Company’s most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. The Company undertakes no obligation to update any forward-looking statements as a result of new information, future developments or otherwise. All forward-looking statements in this press release are qualified in their entirety by this cautionary statement.

Non-GAAP Financial Measures

To supplement the Company’s consolidated financial statements presented in accordance with United States generally accepted accounting principles (“GAAP”), the Company uses Adjusted EBITDA because it is the primary metric used by its chief operating decision maker and investors in measuring both the Company’s past and future expectations of performance. Adjusted EBITDA provides useful information to the users of the Company’s financial statements by excluding specific expenses and gains that the Company believes are not indicative of its core operating results. Further, the Company’s annual performance plan used to determine compensation for its executive officers and employees is tied to the Adjusted EBITDA metric. It is also a measure of operating performance widely used in the gaming industry. The presentation of this additional information is not meant to be considered in isolation or as a substitute for measures of financial performance prepared in accordance with GAAP. In addition, other companies in gaming industry may calculate Adjusted EBITDA differently than the Company does.

The Company defines “Adjusted EBITDA” as earnings before depreciation and amortization, non-cash lease benefit or expense, share-based compensation expense, gain or loss on disposal of assets and businesses, loss on debt extinguishment and modification, preopening and related expenses, impairment of assets, interest, income taxes, and other non-cash charges that are deemed to be not indicative of the Company’s core operating results.

About Golden Entertainment

Golden Entertainment operates a diversified entertainment platform of gaming and hospitality assets. The Company operates eight casinos and 72 gaming taverns in Nevada, featuring approximately 5,500 slots, 100 table games and over 6,000 hotel rooms. For more information, visit www.goldenent.com.

Golden Entertainment, Inc.

Consolidated Statements of Operations

(Unaudited, in thousands, except per share data)

 

 

 

Three Months Ended December 31,

 

Year Ended December 31,

 

 

 

2024

 

 

 

2023

 

 

 

2024

 

 

 

2023

 

Revenues

 

 

 

 

 

 

 

 

Gaming

 

$

78,387

 

 

$

138,682

 

 

$

319,267

 

 

$

674,301

 

Food and beverage

 

 

43,302

 

 

 

45,096

 

 

 

171,925

 

 

 

182,408

 

Rooms

 

 

29,805

 

 

 

31,737

 

 

 

119,565

 

 

 

124,649

 

Other

 

 

12,710

 

 

 

15,176

 

 

 

56,061

 

 

 

71,791

 

Total revenues

 

 

164,204

 

 

 

230,691

 

 

 

666,818

 

 

 

1,053,149

 

Expenses

 

 

 

 

 

 

 

 

Gaming

 

 

20,375

 

 

 

72,803

 

 

 

88,171

 

 

 

379,929

 

Food and beverage

 

 

35,576

 

 

 

34,130

 

 

 

138,278

 

 

 

135,373

 

Rooms

 

 

16,191

 

 

 

16,179

 

 

 

65,079

 

 

 

62,297

 

Other

 

 

3,223

 

 

 

5,193

 

 

 

14,363

 

 

 

22,415

 

Selling, general and administrative

 

 

52,183

 

 

 

58,709

 

 

 

225,313

 

 

 

255,565

 

Depreciation and amortization

 

 

22,672

 

 

 

21,758

 

 

 

90,034

 

 

 

88,933

 

Loss (gain) on disposal of assets

 

 

29

 

 

 

(103

)

 

 

(213

)

 

 

(228

)

(Gain) loss on sale of businesses

 

 

(294

)

 

 

2,650

 

 

 

(69,238

)

 

 

(303,179

)

Preopening expenses

 

 

131

 

 

 

185

 

 

 

508

 

 

 

760

 

Impairment of assets

 

 

2,399

 

 

 

12,072

 

 

 

2,399

 

 

 

12,072

 

Total expenses

 

 

152,485

 

 

 

223,576

 

 

 

554,694

 

 

 

653,937

 

Operating income

 

 

11,719

 

 

 

7,115

 

 

 

112,124

 

 

 

399,212

 

Non-operating expense

 

 

 

 

 

 

 

 

Interest expense, net

 

 

(7,629

)

 

 

(13,170

)

 

 

(34,884

)

 

 

(65,515

)

Loss on debt extinguishment and modification

 

 

—

 

 

 

(1,329

)

 

 

(4,446

)

 

 

(1,734

)

Total non-operating expense, net

 

 

(7,629

)

 

 

(14,499

)

 

 

(39,330

)

 

 

(67,249

)

Income (loss) before income tax provision

 

 

4,090

 

 

 

(7,384

)

 

 

72,794

 

 

 

331,963

 

Income tax provision

 

 

(1,112

)

 

 

(1,988

)

 

 

(22,063

)

 

 

(76,207

)

Net income (loss)

 

$

2,978

 

 

$

(9,372

)

 

$

50,731

 

 

$

255,756

 

 

 

 

 

 

 

 

 

 

Weighted-average common shares outstanding

 

 

 

 

 

 

 

 

Basic

 

 

27,115

 

 

 

28,627

 

 

 

28,184

 

 

 

28,653

 

Diluted

 

 

28,401

 

 

 

28,627

 

 

 

29,699

 

 

 

30,781

 

Net income per share

 

 

 

 

 

 

 

 

Basic

 

$

0.11

 

 

$

(0.33

)

 

$

1.80

 

 

$

8.93

 

Diluted

 

$

0.10

 

 

$

(0.33

)

 

$

1.71

 

 

$

8.31

 

Golden Entertainment, Inc.

Reconciliation of Adjusted EBITDA

(Unaudited, in thousands)

 

 

 

Three Months Ended December 31,

 

Year Ended December 31,

 

 

 

2024

 

 

 

2023

 

 

 

2024

 

 

 

2023

 

Revenues

 

 

 

 

 

 

 

 

Nevada Casino Resorts

 

$

97,487

 

 

$

104,796

 

 

$

399,139

 

 

$

413,058

 

Nevada Locals Casinos

 

 

38,710

 

 

 

38,467

 

 

 

150,972

 

 

 

157,435

 

Nevada Taverns

 

 

27,722

 

 

 

27,763

 

 

 

109,723

 

 

 

109,215

 

Corporate and Other

 

 

285

 

 

 

342

 

 

 

965

 

 

 

9,305

 

Total Revenues - Continuing Operations

 

 

164,204

 

 

 

171,368

 

 

 

660,799

 

 

 

689,013

 

Distributed Gaming

 

 

—

 

 

 

59,323

 

 

 

6,019

 

 

 

320,680

 

Maryland Casino Resort

 

 

—

 

 

 

—

 

 

 

—

 

 

 

43,456

 

Total Revenues - Divested Operations

 

 

—

 

 

 

59,323

 

 

 

6,019

 

 

 

364,136

 

Total Revenues

 

$

164,204

 

 

$

230,691

 

 

$

666,818

 

 

$

1,053,149

 

Adjusted EBITDA

 

 

 

 

 

 

 

 

Nevada Casino Resorts

 

$

24,441

 

 

$

29,664

 

 

$

103,338

 

 

$

120,256

 

Nevada Locals Casinos

 

 

17,766

 

 

 

17,337

 

 

 

66,504

 

 

 

73,846

 

Nevada Taverns

 

 

6,468

 

 

 

8,175

 

 

 

27,137

 

 

 

32,682

 

Corporate and Other

 

 

(9,498

)

 

 

(12,786

)

 

 

(42,088

)

 

 

(51,459

)

Total Adjusted EBITDA - Continuing Operations

 

 

39,177

 

 

 

42,390

 

 

 

154,891

 

 

 

175,325

 

Distributed Gaming

 

 

—

 

 

 

6,370

 

 

 

484

 

 

 

34,545

 

Maryland Casino Resort

 

 

—

 

 

 

—

 

 

 

—

 

 

 

12,652

 

Total Adjusted EBITDA - Divested Operations

 

 

—

 

 

 

6,370

 

 

 

484

 

 

 

47,197

 

Total Adjusted EBITDA

 

$

39,177

 

 

$

48,760

 

 

$

155,375

 

 

$

222,522

 

Adjustments

 

 

 

 

 

 

 

 

Depreciation and amortization

 

 

(22,672

)

 

 

(21,758

)

 

 

(90,034

)

 

 

(88,933

)

Non-cash lease benefit

 

 

82

 

 

 

29

 

 

 

380

 

 

 

15

 

Share-based compensation

 

 

(1,746

)

 

 

(2,851

)

 

 

(10,434

)

 

 

(13,476

)

(Loss) gain on disposal of assets

 

 

(29

)

 

 

103

 

 

 

213

 

 

 

228

 

Gain (loss) on sale of businesses

 

 

294

 

 

 

(2,650

)

 

 

69,238

 

 

 

303,179

 

Loss on debt extinguishment and modification

 

 

—

 

 

 

(1,329

)

 

 

(4,446

)

 

 

(1,734

)

Preopening and related expenses

 

 

(131

)

 

 

(185

)

 

 

(508

)

 

 

(760

)

Impairment of assets

 

 

(2,399

)

 

 

(12,072

)

 

 

(2,399

)

 

 

(12,072

)

Other, net

 

 

(857

)

 

 

(2,261

)

 

 

(9,707

)

 

 

(11,491

)

Interest expense, net

 

 

(7,629

)

 

 

(13,170

)

 

 

(34,884

)

 

 

(65,515

)

Income tax provision

 

 

(1,112

)

 

 

(1,988

)

 

 

(22,063

)

 

 

(76,207

)

Net income

 

$

2,978

 

 

$

(9,372

)

 

$

50,731

 

 

$

255,756

 

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20250227372367/en/

Investors Charles H. Protell President and Chief Financial Officer (702) 893-7777

James Adams VP Corporate Finance and Treasurer (702) 495-4470 james.adams@goldenent.com