Penn Entertainment returned to profit in the second quarter

Penn Entertainment closed the second quarter of 2026 with a net profit of $32.6 million following several consecutive loss-making periods. A year earlier, in the same quarter, the company had recorded a loss of $18.3 million. Adjusted EBITDA rose by 32 per cent, whilst losses in the interactive segment fell significantly.

In the first quarter of 2026, the company’s loss had already narrowed to $2.8 million, and a 5 per cent rise in revenue during the latest reporting period finally put Penn back in the black.

Key figures for the quarter

The company’s total revenue stood at $1.86 billion. However, profitability remains below the level of the last profitable quarter, which was the first quarter of 2025 with a profit of $111.5 million.

Consolidated adjusted EBITDA rose by 32 per cent year-on-year to $312.6 million, compared with $236.1 million a year earlier. Diluted earnings per ordinary share also returned to positive territory, standing at $0.24.

The company’s Chief Executive, Jay Snowden, cited growth in adjusted EBITDAR by segment, optimisation of corporate expenses, increased cash flow and a reduction in debt as priorities for the quarter.

Contribution from different divisions

All of the company’s main segments, Northeast, South, West, Midwest and Interactive, reported an improvement in EBITDA compared with 2025. The exception was revenue from the South segment, which fell slightly, whilst the Interactive division as a whole remains loss-making.

Staff cuts in the interactive segment

The company carried out significant staff cuts in its interactive division during the reporting period. In May, it emerged that Penn had made at least 75 employees redundant at various levels within the theScore Bet brand.

The division’s problems began following an unsuccessful rebranding as ESPN Bet, which the company abandoned ahead of schedule in 2025. Since then, Penn has focused on the Canadian market, and losses in the interactive segment fell to $9.5 million in the second quarter of 2026, compared with $62 million a year earlier.

According to Snowden, growth in the iCasino segment in the US and Canada is keeping the interactive division on track to meet its previously stated targets, and the positive momentum has continued into the start of the third quarter.