Hall of Fame Resort & Entertainment Company

Second-quarter total revenue was $4.7 million versus $6.1 million in Q2 2023. Adjusted EBITDA was minus $4.2 million versus minus $6.2 million last year, and the net loss was $15.8 million. Interest expense increased to $6.5 million, cash and liquid investments ended the quarter at approximately $6.4 million, and net notes payable were $229 million versus $222 million at the end of the prior quarter. For 2024, the company now expects revenue of $20 million to $22 million and reiterated an adjusted EBITDA loss in the mid-teen millions range.

Michael Crawford’s message was that the company is still early-stage, but the operating model is improving as Hall of Fame Village hosts more diverse events and captures more cross-selling across lodging, food and beverage, rides, gaming, and media. He repeatedly stressed a more disciplined ROI mindset, better bundling, and a shift toward stabilizing the destination rather than chasing growth at any cost. His tone was optimistic but cautious, noting that revenue may stay below prior year because event timing and mix remain variable.

John van Buiten focused on the quarter’s financial improvements despite lower revenue: adjusted EBITDA narrowed to minus $4.2 million from minus $6.2 million, driven by lower operating expenses and expense management. He also highlighted liquidity and leverage, noting cash and liquid investments of about $6.4 million, net notes payable of $229 million, and the $21 million debt restructuring completed during the quarter. On outlook, he said the company is still working to close financing for the remaining Phase 2 construction and is operating in a very challenging credit environment.

Analysts pressed on why management lowered revenue guidance despite first-half performance not being dramatically weaker, and Crawford said the back half is being guided conservatively because the event portfolio is still stabilizing and the water park is not yet online. On financing timing, management said the state grant was approved in Q2 and received this week, while the Constellation Energy loan was a cash backfill tied to energy-efficient equipment purchases already made. When asked about the remaining capital need, Crawford said it is still in the tens of millions, with the goal of funding coming in by the end of Q3 or in Q4 at the earliest.