Penn Entertainment posts $1.4 billion quarterly revenue, driven by strongest retail growth in three years

Penn Entertainment reported revenue of $1.4 billion for the first quarter of 2026, with segment adjusted EBITDAR of $471.4 million, as higher casino visitation and increased spending per visit drove its strongest retail growth in three years.

Chief Executive Jay Snowden said the company entered the year with solid momentum across both its land-based and digital operations, supported by continued investments and operational improvements.

“Increased visitation and higher spend per visit companywide supported year-over-year theoretical revenue growth across all rated worth segments, representing our largest quarterly increase in three years,” Snowden said.

He added: “We are pleased to report another solid quarter. Retail Segment Adjusted EBITDAR grew year-over-year, and stable trends are carrying into April.”

Penn’s retail segment was bolstered by upgrades and expansions across several properties, including developments at M Resort in Nevada, Ameristar Black Hawk in Colorado, Hollywood Columbus in Ohio, and Hollywood Casino Aurora in Illinois.

M Resort in Henderson

Snowden cited these investments as key contributors to the company’s improved performance, alongside steady customer demand at regional properties.

“I said during our last earnings call that 2026 would be a year of strong execution for Penn,” Snowden said. “While we have the rest of the year still to deliver, I’m happy to report we’re off to a great start. Looking ahead, we will remain laser focused on improving our free cash flow generation while optimizing our corporate overhead and remaining disciplined with our capital.”

Regional casinos continued to perform strongly, with Snowden noting that most customers live within close proximity to properties, reducing sensitivity to external cost pressures such as fuel prices.

“The vast majority of our customers in the regional portfolio come from within a 30-minute drive,” Snowden said. “You’re probably not making a decision on the price of gas as to whether you’re visiting casino once every week or two weeks, or once a month, because it’s not going to cost you much to get there.”

Penn’s interactive segment generated $358.3 million in revenue during the quarter and recorded an Adjusted EBITDA loss of $10.8 million. During the earnings call, Snowden partly attributed the loss to theScore Bet's upcoming launch in Alberta, Canada.

 
“Our interactive segment delivered a meaningful Adjusted EBITDA improvement year-over-year, which marks the first full quarter under our realigned digital strategy,” Snowden said. “iCasino revenue growth of approximately 15% year-over-year was driven by the continued momentum of standalone iCasino, which notably achieved record quarterly revenue in the first quarter as well as record monthly revenue in March.”

During the call, Snowden offered more details about the upcoming Alberta launch, where Penn has already been approved by the Alberta Gaming, Liquor, and Cannabis (AGLC) to operate its mobile sports betting and iCasino platform, theScore Bet.

“We feel really good about the setup there,” Snowden said. “We’ve done, obviously, a lot of analysis on what worked for us with the Ontario launch, what maybe didn’t. We’re doing more of the right things, and we expect to deliver market share results in Alberta that would look very similar to what we’ve generated in Ontario, where we continue to have momentum.”

Chief Technology Officer Aaron LaBerge said the company is seeing strong growth in its standalone iCasino business in the United States, even as its online sports betting operations face some headwinds.

“It’s important to note our stand-alone casino growth is very heavy,” LaBerge said. “We’re setting record revenues there. Growth and acquisition continue to be strong. We’re seeing some softness on the OSB side, but we’re offsetting that with our discipline spend and reinvestment in the areas that matter.”

LaBerge added that Penn has adjusted its marketing strategy, reducing spend in sports betting-only states.

“We’re focused on hybrid states that have both iCasino and sports betting,” he said. “And of course, standalone is showing a lot of great momentum, so we’re spending there. And then Canada is starting to pick up as well, so we’re spending there.”