Full House Resorts Eyes Growth Despite Revenue Dip

Full House Resorts ((FLL)) has held its Q1 earnings call. Read on for the main highlights of the call.

Full House Resorts’ latest earnings call struck a cautiously upbeat tone, as management highlighted a roughly 15% jump in adjusted EBITDA despite a slight dip in headline revenue. Strong contributions from American Place, tighter cost controls, and better marketing metrics underpinned the improvement, even as table-game hold, refurbishment work, and financing risks tempered the optimism.

Adjusted EBITDA Growth Across the Portfolio

Adjusted EBITDA climbed to $13.2 million in Q1 2026 from $11.5 million a year earlier, an increase of about 15% that management called broad-based. American Place, Chamonix/Bronco Billy’s, Silver Slipper, and Rising Star all contributed to the improvement, suggesting operational leverage even in a flat revenue environment.

American Place Strong Operational Performance

American Place revenues rose 7% to $31.8 million, with adjusted property EBITDA up 8% to $8.3 million in the quarter. Management noted that April statewide gaming revenue was up around 6% year over year and estimated total gaming revenue would have been closer to 16% growth if table hold had normalized.

Revenue on an Apples-to-Apples Basis

Companywide reported revenue edged down to $74.4 million from $75.1 million, a nominal decline of about 0.9%. Adjusting for $1.3 million from the sold Stockman’s property, management said apples-to-apples revenue actually increased 0.9%, underscoring that underlying demand was modestly positive.

Chamonix and Bronco Billy’s Show Momentum

Chamonix/Bronco Billy’s adjusted property EBITDA improved from a loss of $2.3 million to a loss of $1.3 million, a 42% improvement year over year. Preliminary April data showed net slot win up roughly 9% and net table win up about 20%, supported by new marketing programs and a refreshed property team.

Database and Customer Metrics Improving

The company highlighted healthier customer trends in April, with new loyalty sign-ups rising 12% and rated visits up 19%. Win per rated visit increased about 14%, aided by better daily reporting after the hiring of a new finance director, which management believes will sharpen promotional spend.

Cost Controls and Operating Efficiencies

Full House pointed to noticeable cost reductions, with analysts estimating operating expenses fell around 10% quarter over quarter. Initiatives include operating efficiencies at Silver Slipper and other properties, as well as insourcing housekeeping and improving laundry operations to drive sustainable margin gains.

Waukegan Permanent Casino: Financing and Construction

Management said it has invested about $170 million so far in license, land, and the temporary American Place facility and expects a financing solution for roughly $300 million to fund the permanent build. With earthmoving plans approved, the company expects to start initial construction within weeks and can operate the temporary facility through August 2027.

Liquidity and Balance Sheet Position

The company ended the quarter with about $41 million of liquidity, including an undrawn revolver, and expressed confidence in refinancing existing debt. Leadership expects to secure incremental construction funding at interest rates above 5% but well below high-yield levels, framing the capital structure as manageable for the planned expansion.

Operational Wins and New Offerings

Full House reopened and revamped a key food and beverage outlet at Chamonix, branded Don Juan’s, to bolster guest spend. The property also introduced targeted brunch offerings and other menu tweaks designed to lift both weekday and weekend revenues without heavy capital outlays.

Headline Revenue Slightly Down Year Over Year

Despite operational gains, reported revenue slipped to $74.4 million from $75.1 million, a headline decline that could concern headline-focused investors. Management emphasized that the drop reflects property sales and that core revenues grew modestly, with profitability expanding more meaningfully.

Table Games Hold Pressure Weighs on Results

American Place’s table games hold rate was 1.2 percentage points lower than last year’s first quarter, a factor that reduced reported gaming revenue. Hold remained below expectations in April, masking what management described as strong underlying volumes and demand in table play.

Chamonix/Bronco Billy’s Still Loss-Making

Even with improvement, Chamonix/Bronco Billy’s remained in the red on an adjusted EBITDA basis at negative $1.3 million. Management acknowledged more work is needed to reach sustained profitability and bring win-per-day metrics closer to competing properties in the region.

Refurbishment Disruption at Key Properties

Grand Lodge continued to face disruption from refurbishment work, which pressured revenue in the quarter. Bronco Billy’s also dealt with carpet and ceiling replacements in January and February, temporarily hurting operations and contributing to softer results.

Weather and Event-Driven Volume Risk

Unseasonably warm winter weather hurt attendance at Cripple Creek’s signature winter events, including Ice Fest and Ice Castles. These events typically drive incremental visitation and cash business, so weaker turnout weighed on the quarter’s traffic and gaming volumes.

Financing and Legislative Dependence for Waukegan

The permanent American Place project remains dependent on finalizing roughly $300 million of financing and on legislative timing for a potential extension of temporary operations. Management flagged these as key execution risks, even as they expressed confidence that documentation will be completed and any extension secured.

Sports Skins Revenue and Industry Concentration

Sportsbook skins revenue declined as Full House now has fewer active skins than a year ago, reflecting a more concentrated market. With DraftKings and FanDuel dominating, management sees limited upside from new skins or online expansion under current partnership agreements.

Labor and Seasonal Hiring Challenges

Seasonal staffing in mountain markets remains difficult, with wage premiums and complex scheduling needs for weekend-focused roles. Management cautioned that these labor dynamics could cap margin gains unless revenue growth accelerates to offset higher staffing costs.

Forward-Looking Guidance and Outlook

Looking ahead, the company plans to begin construction on the permanent American Place within weeks and targets opening in roughly two years, projecting long-term EBITDA potential around $90 million to $100 million from that property. With current temporary EBITDA near a $40 million run-rate, liquidity of about $41 million, and expectations for financing costs between 5% and mid-teens, management is banking on seasonal strength and limited near-term construction spend to support cash flow.

Full House’s earnings call painted a picture of a company moving in the right direction operationally while still juggling execution risks. Investors will weigh improving EBITDA, stronger customer metrics, and progress in Waukegan against softer headline revenue, table-hold volatility, and the need to consummate sizable financing, but for now the positive momentum appears to have the upper hand.