Golden Entertainment, Inc.

Second-quarter revenue was $163.6 million and EBITDA was $38.4 million. Nevada locals casinos grew revenue 3% year over year and EBITDA 7%, with margins up 170 basis points to over 46%. Casino Resorts revenue declined 3% and EBITDA declined 5%, mainly due to low table-game hold in Laughlin; management said the unfavorable hold reduced EBITDA by $1.5 million. STRAT occupancy was 69% for the quarter, down 4% from last year, and June occupancy was 60% versus 76% a year ago. No explicit company-wide EPS, gross margin, or formal next-quarter/full-year numerical guidance was given in the call.

Blake Sartini sounded constructive on the company’s local and regional assets, especially Laughlin and the Nevada locals, which he described as benefiting from strong positioning, better marketing, and attractive value to consumers. He said the company is seeing “green shoots” at the STRAT after mid-summer weakness, but acknowledged the Strip remains hard to forecast given macro uncertainty. He also highlighted that Golden is operating with a much tighter fixed-cost structure at the STRAT than in the past, positioning the property to benefit when demand improves.

Charles Protell focused on the quarter’s mix of operational strengths and weather-related or hold-related headwinds, citing $163.6 million of revenue and $38.4 million of EBITDA overall. He noted Nevada locals generated the strongest segment performance, with EBITDA up 7% and margins above 46%, while Casino Resorts was pressured by a $1.5 million EBITDA hit from unusually low table-game hold in Laughlin. He also said tavern revenue was down 7% because of the promotional environment, and emphasized that reinvestment remains below peers with no plan to increase it meaningfully. On capital allocation, Blake Sartini added that the new tax law could provide a $10 million to $15 million tax shield, or about $2 million to $3 million of cash flow, and management continues to talk about investing in assets and returning capital to shareholders.

Analysts pressed management on the impact of the new tax legislation, the second-half growth outlook, Strip demand and pricing, M&A, and consumer spending at the STRAT and Laughlin. Management said the bill should help through accelerated depreciation and, starting in 2026, a higher reportable limit for slot winnings that could aid taverns. On the Strip, they said they are managing costs tightly, seeing weekend occupancy remain solid, and expecting more stability into Q4 and Q1 2026 as convention and group business improve. On M&A, management said it is not a focus until the STRAT stabilizes and rate cuts provide a better financing environment.