Full House Resorts (FLL) Q4 2024 earnings summary

Executive summary

• American Place and Chamonix drove strong growth, with Q4 revenues up 21.5% to $73.0 million and full-year revenues up 21.2% to $292.1 million; American Place Q4 revenues rose 27% and full-year revenues 42%, with EBITDA up 60% year-over-year.

• Chamonix in Colorado saw Q4 revenues more than double, though expenses increased due to the transition to a full resort, resulting in a small Q4 loss; management changes were implemented to address operational inefficiencies and drive profitability.

• Net loss for Q4 2024 was $12.3 million, or $(0.35) per diluted share, and full-year net loss widened to $40.7 million, or $(1.16) per diluted share.

• The company is not actively pursuing acquisitions, focusing on current projects and maximizing shareholder value.

Financial highlights

• American Place achieved over $100 million in revenue, with margins expected to improve as revenues grow and expenses are controlled.

• Q4 2024 casino revenues were $54.4 million, with full-year casino revenues at $216.9 million; Q4 Adjusted EBITDA was $10.4 million, up 42% year-over-year.

• Chamonix's Q4 revenue more than doubled year-over-year, but the property incurred a small loss due to higher operating costs; management targets $10–$15 million EBITDA in 2024, ramping to $50 million by 2030.

• Cash and cash equivalents at year-end 2024 totaled $40.2 million; debt included $450 million in senior secured notes and $27 million on the revolver.

• Online sports betting revenue is expected to stabilize at $5.6 million annually from 2026 onward.

Outlook and guidance

• American Place permanent facility construction is targeted to begin later in 2024 or 2025, with a $325 million budget and completion aimed for August 2027.

• Chamonix is expected to see significant EBITDA growth as operational improvements and expanded marketing take effect.

• Management is evaluating refinancing options to fund the permanent American Place facility; no equity issuance is planned, with all capital needs expected to be met through debt markets.

• Rising Sun in Indiana continues to face competitive pressures, but legislative studies may open opportunities for license relocation and future growth.