Penn National Gaming Earnings: Everything You Must Know Now

Penn National Gaming Inc. (NASDAQ:PENN) delivered a profit and missed Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company.

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Penn National Gaming Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 14.86% to $0.63 in the quarter versus EPS of $0.74 in the year-earlier quarter.

Revenue: Rose 8.44% to $798.2 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Penn National Gaming Inc. reported adjusted EPS income of $0.63 per share. By that measure, the company missed the mean analyst estimate of $0.65. It missed the average revenue estimate of $804.34 million.

Quoting Management: Peter M. Carlino, Chairman and Chief Executive Officer of Penn National Gaming, commented, Our first quarter adjusted EBITDA results were approximately $4 million below our guidance. Despite the first quarter challenges, operating results at Penn Nationals East/West and Southern Plains segments exceeded the results contemplated in our guidance while the Midwest segment results met our expectations.”

Key Stats (on next page)…

Revenue increased 7.31% from $743.81 million in the previous quarter. EPS increased 125% from $0.28 in the previous quarter.

Looking Forward: Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $0.73 to a profit $0.65. For the current year, the average estimate has moved down from a profit of $2.82 to a profit of $2.5 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)