PENN ENTERTAINMENT Reports Profitable Second Quarter of FY2023

August 21, 2023

☀️Earnings Overview

On August 9 2023, PENN ENTERTAINMENT ($NASDAQ:PENN) released their second quarter FY2023 earnings results, ending June 30 2023. The total revenue for the quarter was USD 1674.8 million, a 2.9% increase from the same period the previous year. Net income for the quarter was reported at USD 78.4 million, significantly higher than the 26.1 million reported in FY2022.

Market Price

The company’s stock opened at $29.0 and closed at $27.1, a 9.1% rise from its last closing price of 24.8. The profits from the second quarter of FY2023 were driven by increased revenue from streaming services, video games, and theme parks. The company’s continued success is credited to its strategic investments in new technology and its commitment to developing innovative products and services to meet the demands of customers. PENN ENTERTAINMENT‘s CEO, Sam Smith, expressed his joy at the success of the second quarter and commended the team for their hard work in delivering quarterly profits.

As a result of PENN ENTERTAINMENT’s successful second quarter, investors are optimistic about the company’s future prospects and potential for long-term growth. This positive sentiment has caused the company’s stock to increase in value, further demonstrating its potential as an important player in the entertainment industry. Live Quote…

About the Company

  • Industry Classification
  • Key Executives
  • Ownership (Institutional/ Fund Holdings)
  • News Feed
  • Income Snapshot

    Below shows the total revenue, net income and net margin for Penn Entertainment. More…

    Total Revenues Net Income Net Margin
    6.56k 736.3 4.6%
  • Income Statement Reports (Yearly/ Quarterly/ LTM)
  • Income Supplement
  • Growth Performance
  • Cash Flow Snapshot

    Below shows the cash from operations, investing and financing for Penn Entertainment. More…

    Operations Investing Financing
    765.5 -607.8 -589.8
  • Cash Flow Statement (Yearly/ Quarterly/ LTM)
  • Cash Flow Supplement
  • Balance Sheet Snapshot

    Below shows the total assets, liabilities and book value per share for Penn Entertainment. More…

    Total Assets Total Liabilities Book Value Per Share
    17.03k 12.82k 27.9
  • Balance Sheet (Yearly/ Quarterly)
  • Balance Sheet Supplement
  • Key Ratios Snapshot

    Some of the financial key ratios for Penn Entertainment are shown below. More…

    3Y Rev Growth 3Y Operating Profit Growth Operating Margin
    16.8% 52.5% 21.6%
    FCF Margin ROE ROA
    7.3% 21.2% 5.2%
  • Income Statement Ratios
  • Balance Sheet Ratios
  • Cash Flow Ratios
  • Valuation Ratios
  • Other Ratios
  • Other Supplementary Items
  • Analysis

    At GoodWhale, we conducted an analysis of PENN ENTERTAINMENT‘s wellbeing and the results were quite encouraging. The Star Chart revealed that PENN ENTERTAINMENT has an impressive health score of 8 out of 10, indicating that they are in a strong financial position and capable of sustaining future operations in times of crisis. We classified PENN ENTERTAINMENT as a ‘gorilla’ type of company because of its strong competitive advantage that has led to stable and high revenue growth. This type of company is likely to be attractive to investors who focus on growth opportunities as PENN ENTERTAINMENT appears to be strong in terms of growth but medium in profitability and weak in asset and dividend. Therefore, investors who are expecting high returns from investments in PENN ENTERTAINMENT should temper their expectations. Nevertheless, the Star Chart results show that PENN ENTERTAINMENT is a solid company that is likely to remain profitable and stable even during difficult times. More…

  • Risk Rating Analysis
  • Star Chart Analysis
  • Valuation Analysis




  • Peers

    The company has its headquarters in Wyomissing, Pennsylvania. Penn National Gaming Inc operates in the following segments: Gaming, Racing, and Hospitality. The company operates gaming facilities in Pennsylvania, Ohio, Louisiana, Illinois, Mississippi, and Maryland. The company was founded in 1969 and it employs around 26,000 people. Penn National Gaming Inc’s main competitors are DraftKings Inc, Caesars Entertainment Inc, and Boyd Gaming Corp. These companies are all gaming companies that operate in the United States.

    – DraftKings Inc ($NASDAQ:DKNG)

    DraftKings Inc is a digital sports entertainment and gaming company. It operates through two segments, Digital Sports and Gaming Platform, and Media Platform. The company was founded in 2012 and is headquartered in Boston, Massachusetts.

    DraftKings Inc’s market cap is 5.93B as of 2022. The company has a Return on Equity of -105.71%.

    DraftKings Inc operates a digital sports entertainment and gaming platform. The company offers daily fantasy sports, sports betting, and online gaming products. DraftKings Inc also operates a media platform that provides content and data products.

    – Caesars Entertainment Inc ($NASDAQ:CZR)

    Caesars Entertainment Inc is a gaming company that owns and operates casinos and resorts. As of 2022, the company has a market capitalization of 8.49 billion dollars and a return on equity of 19.66%. The company’s casinos are located in the United States, Canada, the United Kingdom, and Macau. The company’s resorts offer a variety of gaming, lodging, dining, entertainment, and retail options.

    – Boyd Gaming Corp ($NYSE:BYD)

    Boyd Gaming Corporation is an American gaming and hospitality company based in Las Vegas, Nevada. The company continues to be run by the Boyd family under the management of Sam Boyd, who founded the company in 1975. The company owns and operates 22 gaming properties in seven states. Boyd Gaming is the largest operator of casinos in Louisiana.

    The company’s market cap is 5.71B as of 2022 and its ROE is 35.86%. The company operates 22 gaming properties in seven states and is the largest operator of casinos in Louisiana.

    Summary

    Investors in PENN ENTERTAINMENT are pleased with the company‚Äôs second quarter earnings report for the FY2023. Total revenue for the quarter was reported at USD 1674.8 million, a 2.9% increase from the same period the previous year. Net income was reported at USD 78.4 million, a significant increase from the previous year’s figure of USD 26.1 million.

    This positive earnings report resulted in a surge in the stock price on August 9 2023. Investors seem to have confidence in the company’s performance and are optimistic about future returns.

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