UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): November 4, 2015
Golden Entertainment, Inc.
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(Exact name of registrant as specified in its charter)
Minnesota |
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000-24993 |
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41-1913991 |
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(State or other jurisdiction of incorporation) |
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(Commission File Number) |
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(IRS Employer Identification No.) |
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6595 S Jones Blvd., Las Vegas, Nevada | 89118 | |||
(Address of principal executive offices) | (Zip Code) |
Registrant’s telephone number, including area code: (702) 893-7777
Not Applicable
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(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Item 2.02 Results of Operations and Financial Condition.
On November 4, 2015, Golden Entertainment, Inc. issued a press release announcing its financial results for the three and nine months ended September 30, 2015. A copy of the press release is furnished herewith as Exhibit 99.1.
In accordance with General Instruction B.2. of Form 8-K, the information in this Item 2.02, including Exhibit 99.1, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or the Exchange Act, or otherwise subject to the liabilities of that Section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as expressly set forth by specific reference in such a filing.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits
99.1 Press Release dated November 4, 2015
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
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GOLDEN ENTERTAINMENT, INC. (Registrant) |
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Date: November 4, 2015 |
/s/ Matthew W. Flandermeyer |
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Name: |
Matthew W. Flandermeyer |
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Title: |
Executive Vice President and |
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Chief Financial Officer |
EXHIBIT INDEX
Exhibit |
Description | |
99.1 |
Press Release dated November 4, 2015 |
Exhibit 99.1
Golden Entertainment Announces Third Quarter 2015 Results
– Completed Lakes Entertainment/Sartini Gaming Merger in July 2015 –
– Reports Nine Month Combined Adjusted EBITDA of $31.0 million, up 12% –
LAS VEGAS – November 4, 2015 – Golden Entertainment, Inc. (formerly Lakes Entertainment, Inc.) (NASDAQ:GDEN) today announced financial results for the third quarter ended September 30, 2015.
Highlights for the Third Quarter Ended September 30, 2015
● |
On July 31, 2015, Sartini Gaming, Inc. (“Sartini Gaming”) merged with a subsidiary of Lakes Entertainment (the “Merger”). In connection with the Merger, Lakes Entertainment was renamed Golden Entertainment (“Golden Entertainment” or the “Company”). With the completion of the Merger, the Company owns and operates approximately 9,300 gaming devices, as well as approximately 30 table games across four casino properties, 48 taverns and 670 route locations. |
● |
Net revenues for the three months ended September 30, 2015 were $62.5 million, an increase of 292% compared to the prior year period. For the quarter ended September 30, 2015, net income was $3.0 million, or $0.16 per diluted share, compared to a net loss of $(23.1) million, or $(1.72) per diluted share in the prior year quarter. These results include the operations of Sartini Gaming for 61 days during the quarter. |
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Combined Net Revenues and Combined Adjusted EBITDA for the quarter ended September 30, 2015 were $86.2 million and $9.9 million, respectively, presented as if the results of Sartini Gaming had been included for the entire 2015 third quarter. The combined results reflect a 6.1% increase in net revenues for the Distributed Gaming segment compared to the prior year quarter. |
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On July 31, 2015, the Company completed the syndication of a new $160.0 million senior secured credit facility maturing in 2020, of which $145.0 million was drawn at closing. |
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Announced plans to add four Las Vegas tavern locations in 2016, including the opening of the Company’s first brewery. |
“This quarter was transformational for the Company and with the completion of the Merger, we have achieved an exceptional combination of assets and team members. Everyone is excited by the opportunities arising out of this transaction,” said Blake L. Sartini, Chief Executive Officer of Golden Entertainment. “Going forward, in addition to the current portfolio that is generating strong free cash flow, we are focused on executing on a broad slate of long-term growth opportunities, both organic as well as strategic, while continuing to deliver a quality experience to customers and generating returns for shareholders.”
Combined Results for the Three and Nine Month Periods Ended September 30, 2015
The following unaudited combined results illustrate the net revenues and Adjusted EBITDA for the Company and Sartini Gaming on a combined basis for the three and nine months ended September 30, 2015 and September 28, 2014, for each segment, presented as if the Merger had occurred on the first day of each period presented. These unaudited combined financial results have been prepared for illustrative purposes only and do not purport to be indicative of the results that actually would have resulted had the Merger occurred on the first day of the periods presented, or of the future results of the Company. The unaudited combined results do not reflect any operating efficiencies and associated cost savings that may be achieved as a result of the Merger.
Unaudited Combined Results(1)(2)
(In thousands)
Three Months Ended (3) |
Nine Months Ended (4) |
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September 30, |
September 28, |
% |
September 30, |
September 28, |
% |
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2015 |
2014 |
Change |
2015 |
2014 |
Change |
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Distributed Gaming |
$ | 61,201 | $ | 57,673 | 6.1 | % | $ | 186,008 | $ | 179,252 | 3.8 | % | ||||||||||||
Casinos |
24,973 | 25,614 | -2.5 | % | 72,670 | 72,481 | 0.3 | % | ||||||||||||||||
Corporate and other |
48 | 45 | 6.7 | % | 324 | 109 | 197.2 | % | ||||||||||||||||
Combined Net Revenues |
$ | 86,222 | $ | 83,332 | 3.5 | % | $ | 259,002 | $ | 251,842 | 2.8 | % | ||||||||||||
Distributed Gaming |
$ | 8,390 | $ | 7,182 | 16.8 | % | $ | 27,739 | $ | 25,306 | 9.6 | % | ||||||||||||
Casinos |
5,737 | 5,491 | 4.5 | % | 15,257 | 15,181 | 0.5 | % | ||||||||||||||||
Corporate and other |
(4,201 | ) | (3,896 | ) | 7.8 | % | (12,003 | ) | (12,890 | ) | -6.9 | % | ||||||||||||
Combined Adjusted EBITDA |
$ | 9,926 | $ | 8,777 | 13.1 | % | $ | 30,993 | $ | 27,597 | 12.3 | % |
(1) |
Combined Net Revenues and Combined Adjusted EBITDA reflect the operations of Sartini Gaming for periods prior to the Merger combined with the operations of the Company. Such presentation does not conform with GAAP or the Securities and Exchange Commission rules for pro forma presentations; however, we have included the combined results because we believe they provide a meaningful comparison for the periods presented. |
(2) |
The Company’s Distributed Gaming segment involves the installation and operation of gaming devices in certain strategic, high-traffic, non-casino locations (such as grocery stores, convenience stores, restaurants, bars and taverns) in Nevada, and the operation of traditional, branded taverns targeting local patrons, primarily in Clark County, Nevada. The Company’s Casinos segment consists of three casinos in Pahrump, Nevada and the Rocky Gap Casino Resort in Flintstone, Maryland. |
(3) |
The unaudited combined financial information for the three months ended September 30, 2015 and September 28, 2014 is derived from the Company’s unaudited consolidated statements of operations for such periods and Sartini Gaming’s unaudited consolidated statements of operations for the three months ended September 30, 2014 and for the one month ended July 31, 2015. |
(4) |
The unaudited combined financial information for the nine months ended September 30, 2015 and September 28, 2014 is derived from the Company’s unaudited consolidated statements of operations for such periods and Sartini Gaming’s unaudited consolidated statements of operations for the nine months ended September 30, 2014 and for the seven months ended July 31, 2015. |
Results for the Three Months Ended September 30, 2015
Net revenues for the three months ended September 30, 2015 were $62.5 million, an increase of 292% compared to the prior year period. Adjusted EBITDA for the current year quarter was $7.1 million, compared to $1.6 million in the prior year quarter.
For the quarter ended September 30, 2015, net income was $3.0 million, or $0.16 per diluted share, compared to a net loss of $(23.1) million, or $(1.72) per diluted share in the prior year quarter. The current year results include the operations of Sartini Gaming for 61 days during the quarter. During the current year quarter, the Company incurred $9.3 million in Merger expenses, as well as an income tax benefit of $12.9 million. The results for the prior year quarter were impacted by impairments and other losses of $21.0 million related to an investment in Rock Ohio Ventures.
Results for the Nine Months Ended September 30, 2015
Net revenues for the nine months ended September 30, 2015 were $90.6 million, an increase of 114% from the prior year period. Adjusted EBITDA for the current year period was $8.9 million, compared to $1.2 million in the prior year.
For the nine months ended September 30, 2015, net income was $1.1 million, or $0.07 per diluted share, compared to a net loss of $(24.8) million, or $(1.85) per diluted share in the prior year period. The current year results include the operations of Sartini Gaming for 61 days during the nine months ended September 30, 2015. During the current year period, the Company incurred $10.6 million in Merger expenses, as well as an income tax benefit of $12.7 million. The results for the prior year period were impacted by impairments and other losses of $21.0 million related to an investment in Rock Ohio Ventures.
Balance Sheet, Liquidity and Capital Expenditures
As of September 30, 2015, the Company had cash and cash equivalents of $43.2 million and total outstanding debt of $146.4 million. Total debt outstanding included a fully drawn $120.0 million senior secured term loan and $25.0 million drawn under the Company’s $40.0 million senior secured revolving credit facility. The Company’s senior secured term loan and revolving credit facilities mature in July 2020. As of September 30, 2015, the weighted average effective interest rate on outstanding borrowings under these credit facilities was approximately 3.0%. Had Sartini Gaming operations been included in the Company’s results for the twelve months ended July 31, 2015, and had the new credit facilities been in place during that period, the Company estimates that it would have achieved combined annual interest expense savings of approximately $18 million as a result of a lower interest rate under the new credit facilities compared to actual rates applicable to the secured debt of the companies during that period. For the third quarter ended September 30, 2015, capital expenditures were $1.3 million compared to $0.9 million in the prior year quarter.
Investor Conference Call and Webcast
The Company will host a webcast and conference call at 5:00 p.m. Eastern Time on November 4, 2015, to discuss third quarter 2015 results. The number to call is 1-888-438-5535 (domestic) or 1-719-325-2448 (international). A live webcast will be available in the Investors section of the Company’s website (www.goldenent.com). A replay of the conference call will be available through November 12, 2015, by dialing 1-877-870-5176 (domestic) or 1-858-384-5517 (international) and entering the passcode 1464875.
Forward-Looking Statements
This press release may be deemed to contain forward-looking statements that are subject to the safe harbors created under federal securities laws. Forward-looking statements can generally be identified by the use of words such as “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “forecast,” “intend,” “plan,” “project,” “seek,” “should,” “think,” “will,” “would” and similar expressions. In addition, forward-looking statements include statements regarding the Company’s strategies, objectives, business opportunities and plans for future expansion, developments or acquisitions, anticipated future growth or trends in the Company’s business or key markets, projections of future financial condition or operating results, as well as other statements that are not statements of historical fact. Forward-looking statements are subject to assumptions, risks and uncertainties that may change at any time, and readers are therefore cautioned that actual results could differ materially from those expressed in any forward-looking statements. Factors that could cause actual results to differ include: the Company’s ability to realize the anticipated cost savings, synergies and other benefits from the Merger and integration risks, changes in national, regional and local economic and market conditions, legislative and regulatory matters, increases in gaming taxes and fees, litigation, increased competition, the Company’s ability to renew its distributed gaming contracts, reliance on key personnel, the level of the Company’s indebtedness and the Company’s ability to comply with covenants in its debt facilities, terrorist incidents, natural disasters, severe weather conditions, the effects of environmental and structural building conditions, the effects of disruptions to the Company’s information technology systems, and other factors affecting the gaming, entertainment and hospitality industries generally. In addition, please refer to the risk factors contained in the Company’s SEC filings available at www.sec.gov, including the Company’s most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. Readers are cautioned not to place undue reliance on any forward-looking statements, which speak only as of the date of this press release. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Non-GAAP Financial Measures
To supplement the Company’s consolidated financial statements presented in accordance with generally accepted accounting principles (“GAAP”), the Company uses Adjusted EBITDA, Combined Net Revenues and Combined Adjusted EBITDA, which measures the Company believes are appropriate to provide meaningful comparison with, and to enhance an overall understanding of, the Company’s past financial performance and prospects for the future. The Company believes Adjusted EBITDA and Combined Adjusted EBITDA provide useful information to both management and investors by excluding specific expenses that the Company believes are not indicative of its core operating results. Further, Adjusted EBITDA is a measure of operating performance used by management, as well as industry analysts, to evaluate operations and operating performance and is widely used in the gaming industry. The presentation of this additional information is not meant to be considered in isolation or as a substitute for measures of financial performance prepared in accordance with GAAP. A reconciliation of net Income (loss) to Adjusted EBITDA and Combined Adjusted EBITDA is provided in the financial information tables below. Additionally, a reconciliation of net revenues to Combined Net Revenues is provided in the financial information tables below.
The Company defines “Adjusted EBITDA” as earnings before interest and other non-operating income (expense), taxes, depreciation and amortization, preopening expenses, merger expenses, share-based compensation expenses, impairments and other gains and losses. “Adjusted EBITDA” for a particular segment is Adjusted EBITDA before corporate overhead, which is not allocated to each segment.
About Golden Entertainment, Inc.
Golden Entertainment, Inc. owns and operates gaming properties across two divisions – distributed gaming and resort and casino operations. Golden Entertainment operates more than 9,300 gaming devices and 30 table games in Nevada and Maryland. The Company owns four casino properties, nearly 50 taverns and operates more than 670 distributed gaming locations in Nevada and Maryland. Golden Entertainment is focused on maximizing the value of its portfolio by leveraging its scale, leadership position, and proven management capabilities across its two divisions. For more information, visit www.goldenent.com
Investor Relations contact: |
ICR |
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Jacques Cornet |
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702.891.4264 |
ir@goldenent.com | |
Media contact: | B&P Public Relations |
Lenora Kaplan | |
702.589.2791 | |
lkaplan@bpadlv.com |
Golden Entertainment, Inc.
Consolidated Statements of Operations and Comprehensive Income (Loss)
(Unaudited and in thousands)
Three Months Ended |
Nine Months Ended |
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September 30, |
September 28, |
September 30, |
September 28, |
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2015 |
2014 |
2015 |
2014 |
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Revenues |
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Gaming |
$ | 52,336 | $ | 12,072 | $ | 74,746 | $ | 33,460 | ||||||||
Food and beverage |
9,230 | 1,835 | 12,320 | 4,660 | ||||||||||||
Rooms |
2,141 | 1,940 | 5,010 | 4,884 | ||||||||||||
Other operating |
1,873 | 873 | 3,061 | 1,913 | ||||||||||||
Gross Revenues |
65,580 | 16,720 | 95,137 | 44,917 | ||||||||||||
Less: Promotional allowances |
(3,068 | ) | (790 | ) | (4,530 | ) | (2,570 | ) | ||||||||
Net revenues |
62,512 | 15,930 | 90,607 | 42,347 | ||||||||||||
Expenses |
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Gaming |
35,661 | 6,841 | 48,284 | 19,208 | ||||||||||||
Food and beverage |
6,824 | 1,366 | 9,143 | 3,589 | ||||||||||||
Rooms |
270 | 226 | 643 | 509 | ||||||||||||
Other operating |
813 | 470 | 1,555 | 1,131 | ||||||||||||
Selling, general and administrative |
12,134 | 5,455 | 22,542 | 16,918 | ||||||||||||
Merger expenses |
9,325 | - | 10,591 | - | ||||||||||||
Gain on sale of cost method investment |
- | - | (750 | ) | (1,000 | ) | ||||||||||
Charges related to arbitration award |
- | 2,530 | - | 2,530 | ||||||||||||
Impairments and other losses |
- | 20,997 | 682 | 20,997 | ||||||||||||
Preopening expenses |
129 | - | 129 | - | ||||||||||||
Gain on sale of land |
- | (66 | ) | - | (66 | ) | ||||||||||
Loss on disposal of property and equipment |
8 | 37 | 6 | 61 | ||||||||||||
Depreciation and amortization |
5,100 | 896 | 6,859 | 2,613 | ||||||||||||
Total expenses |
70,264 | 38,752 | 99,684 | 66,490 | ||||||||||||
Loss from operations |
(7,752 | ) | (22,822 | ) | (9,077 | ) | (24,143 | ) | ||||||||
Other income (expense) |
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Interest expense, net |
(980 | ) | (258 | ) | (1,423 | ) | (813 | ) | ||||||||
Loss on extinguishment of debt |
(1,174 | ) | - | (1,174 | ) | - | ||||||||||
Other, net |
50 | 4 | 86 | 169 | ||||||||||||
Total other expense |
(2,104 | ) | (254 | ) | (2,511 | ) | (644 | ) | ||||||||
Loss before income taxes |
(9,856 | ) | (23,076 | ) | (11,588 | ) | (24,787 | ) | ||||||||
Benefit for income taxes |
12,874 | - | 12,702 | - | ||||||||||||
Net income (loss) |
3,018 | (23,076 | ) | 1,114 | (24,787 | ) | ||||||||||
Other comprehensive income (loss) |
20 | (3 | ) | 22 | (2 | ) | ||||||||||
Comprehensive income (loss) |
$ | 3,038 | $ | (23,079 | ) | $ | 1,136 | $ | (24,789 | ) | ||||||
Weighted-average common shares outstanding |
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Basic |
18,821 | 13,389 | 15,240 | 13,376 | ||||||||||||
Dilutive impact of stock options |
241 | - | 213 | - | ||||||||||||
Diluted |
19,062 | 13,389 | 15,453 | 13,376 | ||||||||||||
Net income (loss) per share |
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Basic |
$ | 0.16 | $ | (1.72 | ) | $ | 0.07 | $ | (1.85 | ) | ||||||
Diluted |
$ | 0.16 | $ | (1.72 | ) | $ | 0.07 | $ | (1.85 | ) |
Golden Entertainment, Inc.
Consolidated Balance Sheets
(Unaudited and in thousands)
September 30, |
December 28, |
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2015 |
2014 |
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ASSETS |
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Current assets |
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Cash and cash equivalents |
$ | 43,156 | $ | 35,416 | ||||
Short-term investments |
- | 46,638 | ||||||
Accounts receivable, net of allowance for doubtful accounts of $0.6 million as of September 30, 2015 |
4,492 | 622 | ||||||
Income taxes receivable |
2,299 | - | ||||||
Prepaid expenses |
7,566 | 760 | ||||||
Other |
2,716 | 425 | ||||||
Total current assets |
60,229 | 83,861 | ||||||
Property and equipment |
120,219 | 41,433 | ||||||
Accumulated depreciation |
(10,985 | ) | (8,694 | ) | ||||
Property and equipment, net |
109,234 | 32,739 | ||||||
Other assets |
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Goodwill |
90,639 | - | ||||||
Intangible assets, net |
81,814 | 2,279 | ||||||
Land held for sale |
960 | - | ||||||
Land held for development |
- | 960 | ||||||
Income taxes receivable |
- | 2,155 | ||||||
Other |
2,502 | 35 | ||||||
Total other assets |
175,915 | 5,429 | ||||||
Total assets |
$ | 345,378 | $ | 122,029 | ||||
LIABILITIES AND SHAREHOLDERS' EQUITY |
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Current liabilities |
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Current portion of long term debt, net of discount |
$ | 7,273 | $ | 1,368 | ||||
Accounts payable |
6,130 | 482 | ||||||
Accrued taxes, other than income taxes |
645 | 439 | ||||||
Accrued payroll and related |
3,614 | 1,573 | ||||||
Deposits |
284 | 131 | ||||||
Other accrued expenses |
3,454 | 1,479 | ||||||
Total current liabilities |
21,400 | 5,472 | ||||||
Long-term debt, net of current portion and discount |
139,100 | 8,941 | ||||||
Debt issuance costs, net |
(2,619 | ) | - | |||||
Other long-term obligations |
2,996 | - | ||||||
Total liabilities |
160,877 | 14,413 | ||||||
Commitments and contingencies |
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Shareholders' equity |
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Common stock, $0.01 par value; authorized 100,000 shares; 21,624 and 13,389 common shares issued and outstanding as of September 30, 2015 and December 28, 2014, respectively |
350 | 268 | ||||||
Additional paid-in-capital |
281,282 | 205,615 | ||||||
Retained earnings (accumulated deficit) |
(97,131 | ) | (98,245 | ) | ||||
Accumulated other comprehensive loss |
- | (22 | ) | |||||
Total shareholders' equity |
184,501 | 107,616 | ||||||
Total liabilities and shareholders' equity |
$ | 345,378 | $ | 122,029 |
Golden Entertainment, Inc.
Reconciliation of Net Income (Loss) to Adjusted EBITDA
(Unaudited and in thousands)
Three Months Ended |
Nine Months Ended |
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September 30, |
September 28, |
September 30, |
September 28, |
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2015 |
2014 |
2015 |
2014 |
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Adjusted EBITDA |
$ | 7,101 | $ | 1,639 | $ | 8,850 | $ | 1,202 | ||||||||
Preopening expenses |
(129 | ) | - | (129 | ) | - | ||||||||||
Impairments and other losses |
- | (20,997 | ) | (682 | ) | (20,997 | ) | |||||||||
Share-based compensation |
(291 | ) | (67 | ) | (410 | ) | (210 | ) | ||||||||
Merger expenses |
(9,325 | ) | - | (10,591 | ) | - | ||||||||||
Depreciation and amortization |
(5,100 | ) | (896 | ) | (6,859 | ) | (2,613 | ) | ||||||||
Other, net |
(8 | ) | (2,501 | ) | 744 | (1,525 | ) | |||||||||
Loss from operations |
(7,752 | ) | (22,822 | ) | (9,077 | ) | (24,143 | ) | ||||||||
Other income (expense) |
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Interest expense, net |
(980 | ) | (258 | ) | (1,423 | ) | (813 | ) | ||||||||
Other, net |
(1,124 | ) | 4 | (1,088 | ) | 169 | ||||||||||
Total other expense, net |
(2,104 | ) | (254 | ) | (2,511 | ) | (644 | ) | ||||||||
Loss before income taxes |
(9,856 | ) | (23,076 | ) | (11,588 | ) | (24,787 | ) | ||||||||
Benefit for income taxes |
12,874 | - | 12,702 | - | ||||||||||||
Net income (loss) |
$ | 3,018 | $ | (23,076 | ) | $ | 1,114 | $ | (24,787 | ) |
Sartini Gaming, Inc.
Reconciliation of Net Loss to Adjusted EBITDA
(Unaudited and in thousands)
One Month Ended |
Three Months Ended |
Seven Months Ended |
Nine Months Ended |
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July 31, |
September 30, |
July 31, |
September 30, |
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2015 |
2014 |
2015 |
2014 |
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Adjusted EBITDA |
$ | 2,825 | $ | 7,138 | $ | 22,143 | $ | 26,395 | ||||||||
Preopening expenses |
(106 | ) | (962 | ) | (565 | ) | (1,472 | ) | ||||||||
Debt restructuring expense |
(2,408 | ) | - | (2,408 | ) | - | ||||||||||
Merger expenses |
(88 | ) | (17 | ) | (1,372 | ) | (21 | ) | ||||||||
Depreciation and amortization |
(1,256 | ) | (3,956 | ) | (8,272 | ) | (10,988 | ) | ||||||||
Other, net |
149 | (260 | ) | (2,093 | ) | (418 | ) | |||||||||
Income (loss) from operations |
(884 | ) | 1,943 | 7,433 | 13,496 | |||||||||||
Other income (expense) |
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Interest expense, net |
(1,878 | ) | (5,444 | ) | (12,795 | ) | (16,157 | ) | ||||||||
Total other expense, net |
(1,878 | ) | (5,444 | ) | (12,795 | ) | (16,157 | ) | ||||||||
Loss before income taxes |
(2,762 | ) | (3,501 | ) | (5,362 | ) | (2,661 | ) | ||||||||
Benefit for income taxes |
- | - | - | - | ||||||||||||
Net loss |
$ | (2,762 | ) | $ | (3,501 | ) | $ | (5,362 | ) | $ | (2,661 | ) |
Golden Entertainment, Inc.
Reconciliation of Net Revenues to Combined Net Revenues
(Unaudited and in thousands)
Golden Entertainment, Inc. Three Months Ended |
Sartini Gaming One Month Ended |
Combined Net Revenues Golden Entertainment, Inc. Three Months Ended |
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September 30, |
July 31, |
September 30, |
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2015 |
2015 |
2015 |
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Distributed Gaming |
$ | 40,331 | $ | 20,870 | $ | 61,201 | ||||||
Casinos |
22,133 | 2,840 | 24,973 | |||||||||
Corporate and other |
48 | - | 48 | |||||||||
Net Revenues |
$ | 62,512 | $ | 23,710 | $ | 86,222 |
Golden Entertainment, Inc. Three Months Ended |
Sartini Gaming Three Months Ended |
Combined Net Revenues Golden Entertainment, Inc. Three Months Ended |
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September 28, |
September 30, |
September 28, |
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2014 |
2014 |
2014 |
||||||||||
Distributed Gaming |
$ | - | $ | 57,673 | $ | 57,673 | ||||||
Casinos |
15,887 | 9,727 | 25,614 | |||||||||
Corporate and other |
43 | 2 | 45 | |||||||||
Net Revenues |
$ | 15,930 | $ | 67,402 | $ | 83,332 |
Golden Entertainment, Inc. Nine Months Ended |
Sartini Gaming Seven Months Ended |
Combined Net Revenues Golden Entertainment, Inc. Nine Months Ended |
||||||||||
September 30, |
July 31, |
September 30, |
||||||||||
2015 |
2015 |
2015 |
||||||||||
Distributed Gaming |
$ | 40,331 | $ | 145,677 | $ | 186,008 | ||||||
Casinos |
50,138 | 22,532 | 72,670 | |||||||||
Corporate and other |
138 | 186 | 324 | |||||||||
Net Revenues |
$ | 90,607 | $ | 168,395 | $ | 259,002 |
Golden Entertainment, Inc. Nine Months Ended |
Sartini Gaming Nine Months Ended |
Combined Net Revenues Golden Entertainment, Inc. Nine Months Ended |
||||||||||
September 28, |
September 30, |
September 28, |
||||||||||
2014 |
2014 |
2014 |
||||||||||
Distributed Gaming |
$ | - | $ | 179,252 | $ | 179,252 | ||||||
Casinos |
42,241 | 30,240 | 72,481 | |||||||||
Corporate and other |
106 | 3 | 109 | |||||||||
Net Revenues |
$ | 42,347 | $ | 209,495 | $ | 251,842 |
Golden Entertainment, Inc.
Reconciliation of Adjusted EBITDA to Combined Adjusted EBITDA
(Unaudited and in thousands)
Golden Entertainment, Inc. Three Months Ended |
Sartini Gaming One Month Ended |
Combined Adjusted EBITDA Golden Entertainment, Inc. Three Months Ended |
||||||||||
September 30, |
July 31, |
September 30, |
||||||||||
2015 |
2015 |
2015 |
||||||||||
Distributed Gaming |
$ | 5,283 | $ | 3,107 | $ | 8,390 | ||||||
Casinos |
5,094 | 643 | 5,737 | |||||||||
Corporate and other |
(3,276 | ) | (925 | ) | (4,201 | ) | ||||||
Adjusted EBITDA |
$ | 7,101 | $ | 2,825 | $ | 9,926 |
Golden Entertainment, Inc. Three Months Ended |
Sartini Gaming Three Months Ended |
Combined Adjusted EBITDA Golden Entertainment, Inc. Three Months Ended |
||||||||||
September 28, |
September 30, |
September 28, |
||||||||||
2014 |
2014 |
2014 |
||||||||||
Distributed Gaming |
$ | - | $ | 7,182 | $ | 7,182 | ||||||
Casinos |
3,077 | 2,414 | 5,491 | |||||||||
Corporate and other |
(1,438 | ) | (2,458 | ) | (3,896 | ) | ||||||
Adjusted EBITDA |
$ | 1,639 | $ | 7,138 | $ | 8,777 |
Golden Entertainment, Inc. Nine Months Ended |
Sartini Gaming Seven Months Ended |
Combined Adjusted EBITDA Golden Entertainment, Inc. Nine Months Ended |
||||||||||
September 30, |
July 31, |
September 30, |
||||||||||
2015 |
2015 |
2015 |
||||||||||
Distributed Gaming |
$ | 5,283 | $ | 22,456 | $ | 27,739 | ||||||
Casinos |
9,603 | 5,654 | 15,257 | |||||||||
Corporate and other |
(6,036 | ) | (5,967 | ) | (12,003 | ) | ||||||
Adjusted EBITDA |
$ | 8,850 | $ | 22,143 | $ | 30,993 |
Golden Entertainment, Inc. Nine Months Ended |
Sartini Gaming Nine Months Ended |
Combined Adjusted EBITDA Golden Entertainment, Inc. Nine Months Ended |
||||||||||
September 28, |
September 30, |
September 28, |
||||||||||
2014 |
2014 |
2014 |
||||||||||
Distributed Gaming |
$ | - | $ | 25,306 | $ | 25,306 | ||||||
Casinos |
6,432 | 8,749 | 15,181 | |||||||||
Corporate and other |
(5,230 | ) | (7,660 | ) | (12,890 | ) | ||||||
Adjusted EBITDA |
$ | 1,202 | $ | 26,395 | $ | 27,597 |
10