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ACEL — Accel Entertainment News Story

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Accel Entertainment Q2 revenue beats estimates, helped by Illinois performance

Accel Entertainment Q2 revenue beats estimates, helped by Illinois performance


Overview

  • US gaming terminal operator's Q2 revenue grew 10% yr/yr, beating analyst expectations

  • Adjusted EBITDA for Q2 rose 11% yr/yr and beat analyst expectations

  • Company repurchased 500,000 shares for $5.6 mln in Q2


Outlook

  • Company identifies Chicago gaming terminal approvals as a near-term growth opportunity

  • Accel says developing markets Nebraska and Georgia are increasingly important for long-term earnings growth

  • Company expects benefits from TITO-enabled terminals in Illinois to build over time


Result Drivers

  • ILLINOIS PERFORMANCE - Co said Illinois revenue, excluding Fairmount Park, rose 6% yr/yr, driven by improved hold-per-day and higher performing customer mix

  • FAIRMOUNT PARK - Table games launch and second racing season at Fairmount Park contributed to highest quarterly gross profit since acquisition

  • DEVELOPING MARKETS - Adjusted EBITDA in Nebraska and Georgia increased significantly, highlighting growing importance of these markets


Company press release: ID:nBw8cDkMLa


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q2 Revenue

Beat

$368.13 mln

$356.50 mln (6 Analysts)

Q2 Net Income

$12.51 mln

Q2 Adjusted EBITDA

Beat

$58.92 mln

$57.26 mln (6 Analysts)

Q2 Operating income

$32.05 mln


Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the casinos & gaming peer group is "buy"

  • Wall Street's median 12-month price target for Accel Entertainment Inc is $16.00, about 33% above its August 3 closing price of $12.03

  • The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 14 three months ago


Reuters Recommended Reads

  • Aug 3 - TKO Group Q2 revenue beats estimates; 2026 outlook lifted


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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