Penn National Gaming has posted positive financial results for the three months and year ended December 31, 2018, and established 2019 first quarter and full year guidance.
The compant saw net revenues of $1.155bn, an increase of $386.3m, driven primarily by contributions from the Pinnacle acquisition, as well as operating income of $124.4m, an increase of $97.6m, with a net loss of $42m, driven largely by one-time transaction costs associated with the Pinnacle acquisition.
Timothy J Wilmott, chief executive officer, said: “I am pleased to report that Penn National beat guidance for the fourth quarter, with improvements across the board in our principal financial metrics. These results were driven by contributions from the Pinnacle acquisition and continued growth in our same-store portfolio of properties.”
“The fourth quarter marked the end of a transformational year for Penn National,” continued Wilmott. “With the closing of our acquisition of Pinnacle in October, we added over 10,000 new team members and 12 gaming properties to what was already the industry’s leading regional gaming portfolio.
"In addition, we obtained the approvals for our acquisition of Margaritaville in Bossier City, Louisiana in the fourth quarter, and we announced our acquisition of Greektown Casino-Hotel (“Greektown”) in Detroit, Michigan, which will expand our operating base to 42 facilities in 19 jurisdictions following receipt of all remaining customary approvals. Both transactions are expected to be immediately accretive to operating results upon closing."