Accel Entertainment (ACEL) Q1 2025 earnings summary

Executive summary

• Achieved record Q1 2025 revenue of $324 million, up 7.3% year-over-year, with net income rising 97% to $15 million.

• Adjusted EBITDA increased 7.1% to $50 million, supported by expansion in locations and gaming terminals.

• Expanded to 4,391 locations and 27,180 gaming terminals, up 2.9% and 4.4% year-over-year, respectively.

• Completed integration of Louisiana operations and opened Fairmount Park Casino & Racing in April 2025, marking Illinois' first casino.

• Continued focus on customer acquisition, operational efficiencies, and profitable sales growth across a diversified national footprint.

Financial highlights

• Total Q1 2025 revenue was $324 million, up 7.3% year-over-year; net income nearly doubled to $15 million.

• Adjusted EBITDA reached $50 million, a 7.1% increase year-over-year; EPS rose to $0.17 from $0.09.

• Gross margin improved to 31%; operating margin was 8.0%.

• Capital expenditures for Q1 were $27 million; net debt at $309 million; cash and equivalents at $272 million.

• Share repurchases totaled 1 million shares at $10.34/share, $10 million in Q1, and $154 million since program inception.

Outlook and guidance

• Full-year CapEx forecast of $75–$80 million, with major investments in Fairmount and Louisiana.

• Normalized annual CapEx expected to return to $40–$45 million after current projects.

• Management expects continued growth in gaming terminals and locations, with Fairmount Park Casino & Racing as a key driver.

• April trends remain strong with no significant change in consumer behavior; weather impact was neutral.

• Share repurchase program replenished to $200 million in February 2025.