In addition to providing updated guidance on expectations during the current year, Twin River Worldwide Holdings reported preliminary results for the fourth quarter of 2019 as well as the year ended December 31.
Projections of sales for both periods are expected to rise above the previous year’s estimate, with Q4 expected to hit $129.4 m–$131.4 m (2018: $111.4 m) which might in turn help the FY figure to reach $522.6 m–$524.6 m (2018: $437.5 m).
Net income is expected to decline from 22.1 million in 2018 to between $12.1 million–$14.7 million, with similar results expected from $71.4 million to $53.9 million–$56.5 million on a full year basis.
Team adjusted EBITDA could see slight increases for both time frames with anticipations set at $38.6 million–$41.6 million (2018: $37 million) and $165.5 million–$168.5 million (2018: $165.7 million).
Rhode Island operations are forecast at between $69 m–$70 m in sales for the fourth quarter of 2019, in the range of $15.8 m–$17.1 m of net revenue and $28.4 m–$30.4 m of adjusted EBITDA, respectively.
Biloxi and Dover operations are expected to end at between $31 million–$31.4 million and $27.4 million–$27.8 million in sales, respectively, $3.7 million–$4.4 million and $1.7 million–$2.3 million in net income and $8.6 million–$9.6 million and $5 million–$6 million in adjusted EBITDA over the same timeframe.
Twin River President and Chief Executive Officer George Papanier explained: “I am very pleased with the results of the fourth quarter which reflect the continued stabilisation in the New England market following the entrance of new competitors and strong performance across our broader portfolio. We expect this momentum to continue into 2020 which is reflected in our full year 2020 guidance.
“We’re excited about the progress we’ve made as we continue to transform the company. Over the last year or so, the steps we’ve taken to strategically and opportunistically grow and diversify the company, have created significant shareholder value, returned meaningful capital and leave us well positioned for long-term growth.”
In addition, the company also issued a financial outlook for the year ending December 31, 2020, as Twin River’s expects adjusted EBITDA to nearly $180 million, an estimated eight per cent increase over the midpoint of the preliminary range for the same duration in 2019. The company anticipates about $190 m of its annualised runrate for adjusted EBITDA coming out of 2020.
Guidance is based on current plans and aspirations, including a variety of possibilities, which includes the effect of its pending acquisition of Eldorado Resorts assets in Kansas City, Vicksburg, Mississippi and Missouri, to be completed early in the second quarter of 2020 pending regulatory approval in the latter.