President Lula and Minister Haddad’s proposed changes to Brazilian sportsbetting

s financial results for the first quarter of 2024 reveal a challenging period for the company. The operator reported a total revenue of $1.61 billion and an adjusted EBITDAR of $256.2 million, marking a decline of 3.9 percent and 46.4 percent year-on-year respectively. This downturn was not limited to these metrics alone; net income also took a hit, plummeting from $514.4 million in Q1 2023 to a loss of $114.9 million in Q1 2024.

Operating income followed a similar trend, dropping from $199.1 million to a loss of $21.4 million. Total operating expenses, on the other hand, grew by 10.5 percent to $1.63 billion. A significant portion of these increased expenses can be attributed to ESPN Bet, which was launched in August last year following the reselling of Barstool to its Founder, Dave Portnoy, for $1 –o acquire it in February 2023.

At a property level, Penn generated $1.4 billion in revenue, with an adjusted EBITDAR of $479 million. However, Penn Interactive/ESPN Bet reported an adjusted EBITDA loss of $196 million among other factors, resulting in a total adjusted EBITDAR of $256.2 million.

The northeast segment, which includes properties such as Ameristar East Chicago, Hollywood Casino at Greektown, and Plainridge Park Casino, made $684.7 million in revenue and $202.6 million in adjusted EBITDAR, down 2.3 percent and 4.8 percent year-on-year respectively.

The south segment, with properties including Boomtown Biloxi, Hollywood Casino Gulf Coast, and Margaritaville Resort Casino, generated $298.5 million, down $16.3 million from last year, while adjusted EBITDAR fell by $10.1 million to $113.5 million. The mid-west segment came slightly behind the south segment at $291.2 million, down 1.4 percent year-on-year. Adjusted EBITDAR was also down, falling 6.8 percent annually.

Lastly, the west segment, with properties including Ameristar Black Hawk, M Resort, and Zia Park Casino, saw a marginal revenue decline, down $0.9 million to $128.8 million, while adjusted EBITDAR fell 6.5 percent to $45.9 million. The other segment, which includes stand-alone racing operations and overhead costs, made $6 million in revenue – the only segment to see any annual growth, up $0.2 million.

Penn Interactive, which includes all online and retail sports betting (ESPN Bet), online casino, and social gaming operations, reported a revenue of $207.7 million, down 11 percent year-on-year. Adjusted EBITDAR went from a loss of $5.7 million to a loss of $196 million – a significant increase.

ESPN Bet was expected to result in a loss in its early days, especially considering that operators such as DraftKings have yet to report an overall profit from operations, having made an overall loss from operations of $43.8 million in Q4 2023. However, with revenue down across the board and the operator still recovering from the financial loss accrued from acquiring Barstool, the operator may struggle to compete if investments on ESPN Bet do not begin turning around soon.

Despite this, ESPN Bet has remained active. In March, the sportsbook was added to North Carolina’s online sports betting market following its legalisation, while in April, the sportsbook opened its first retail location in Detroit at Hollywood Casino in Greektown.

Penn Entertainment’s Q1 2024 results reveal a challenging period for the company, with declines in revenue and adjusted EBITDAR, and significant losses from ESPN Bet. The company will need to navigate these challenges carefully to ensure future growth and profitability.

Penn Entertainment’s future seems to be a blend of potential hurdles and opportunities, according to various market analyst projections and predictions.

Projections for financial growth: Market analysts predict that Penn Entertainment’s earnings and revenue will see an annual growth of 61.9 percent and 6.1 percent respectively. The Earnings Per Share (EPS) is projected to see an annual growth of 63.3 percent. The return on equity is expected to be 8.4 percent in the next three years.

Forecast for stock price: The average price target set by analysts for Penn Entertainment Inc (PENN) stock for the upcoming 30 days is $27.58, indicating a potential increase of +59.60 percent from the current price of $17.28. The highest price target set by analysts is $28.93, and the lowest is $26.23.

Long-term outlook: Based on financial reports and historical earnings data, Penn Entertainment Inc (PENN) stock could potentially reach $35.50 by 2030, $56.34 by 2040, and $90.13 by 2050.

Expectations for earnings: Earnings for Penn Entertainment are anticipated to grow in the coming year, moving from ($0.90) to $0.80 per share. Penn Entertainment has confirmed that its next quarterly earnings report will be released by the end of this week. It’s crucial to remember that these are merely forecasts and the actual results may differ. The company’s performance could be affected by a range of factors, including market conditions, regulatory changes, and the overall economic climate. Therefore, investors should consider these forecasts as part of a wider set of information when making investment decisions.

Earlier today Newcastle United midfielder Sandro Tonali was handed a suspended two-month ban and fined £20,000 by the English Football Association for breaching betting rules. This ban is in addition to a 10-month suspension he is currently serving, imposed by the Italian Football Federation for similar offences.

The story ofin a world where talent and skill are celebrated, gives a glimpse into the personal battles that players often face off the pitch. An Italian international and former Milan midfielder, Tonali’s career has been marred by a that has led to multiple suspensions.

Tonali’s journey into the abyss of gambling began during his tenure at Newcastle United. The English Football Association (FA) accused him of placing between 40 and 50 bets on football matches, including four on his own team’s results. It was confirmed that he participated in three of the four matches he wagered on. Interestingly, the bets were always placed in favor of his team, which resulted in a less severe punishment than if he had bet on a draw or a loss.

The FA imposed a fine of £20,000 on Tonali and revealed that the total amount wagered was well over €100,000 (approximately £85,600). However, this is not the first time Tonali has faced disciplinary action for his gambling activities. Prior to his stint at Newcastle United, he was serving a 10-month ban in Italy for breaching betting rules.

Despite these setbacks, Tonali has shown a commitment to overcoming his addiction. He has sought treatment and counselling, a process that continued even after his transfer from Milan to Newcastle United in the summer of 2023. This proactive approach towards recovery is commendable and serves as a beacon of hope for other players battling similar issues.

However, the consequences of his actions extend beyond personal repercussions. Tonali’s case has shed light on the pervasive issue of gambling in football. The Italian authorities have been particularly stringent in their crackdown on this issue. Tonali was initially handed an 18-month ban in Italy, with eight months commuted to a “treatment plan” to combat his addiction.

The two-month ban imposed by the FA is a suspended sentence, meaning it will not be added to his current ban. It will only be triggered if he violates the betting rules again. This approach reflects the seriousness with which theootballing authorities view such transgressions and their commitment to preserving the integrity of the sport.

Sandro Tonali’s story is one of personal struggles that lurks behind the glamour of professional football. Initiatives for mental health support in the sport are needed to combat the issue of gambling. As Tonali continues his journey towards recovery, his story will undoubtedly be a cautionary measure for others in the sport.

Caesars Entertainment (NASDAQ: CZR) announced on 30 April that it has upgraded the Caesars Palace Online Casino application for use on iOS and Android mobiles. The new app is now live. It is headlined by an industry-first multi-lobby navigation layout that revolutionises the online casino experience.

The app is dedicated to popular game concepts, including slots, table games, and Live Dealer. The functionality of the app is first of its kind and is an extensive revamp. The new Caesars Palace Online Casino app breaks the mould of the typical online casino app design with a clean and layered user experience modelled after a real-life casino floor layout with areas devoted to specific game types.

Anyone 21 and upwards can get closer to the thousands of casino games they love via a uniquely innovative online casino product fully dedicated to serving the online casino customer and fit for the most iconic brand in casino entertainment.

The Caesars Palace Online Casino app’s new functionality allows players who know what they want to play to quickly access their favourite games while also providing an enjoyable way for players who are more interested in discovering new games to do so.

According to the gaming laws the users of this app must be over 21 and  physically be present in any of the four US States,  New Jersey, West Virginia, and Pennsylvania and the Canadian province of Ontario. Caesars Palace Frenzy, produced by Games Global and other titles have been added to the app. Caesars has said it will continue to add a number of new exclusive and bespoke games with player promotions to the app. The newly upgraded Caesars Palace Online Casino app will allow players to continue to earn Caesars Rewards points whenever they play online also. 

Following the opening in July 2023, the first Integrated Resort in Europe, where SiGMA CIS/Balkans held its event in September 2023, Melco announced that it had partnered with John Keells Holdings PLC (JKH) to develop the ‘City of Dreams Sri Lanka’, a ground-breaking integrated resort set to redefine luxury hospitality and entertainment in the region.

The partnership between Melco and John Keells brings a $125 million investment for the fit-out and equipping of the gaming space, transforming the former 'Cinnamon Life Integrated Resort' into the 'City of Dreams Sri Lanka.'

'City of Dreams Sri Lanka' will feature a 687-key hotel, branded as 'Cinnamon Life,' equipped with ballrooms, banquet facilities, and an exhibition centre capable of hosting events for up to 5,000 guests. Additionally, a 113-key exclusive hotel and a vast 500,000 square foot shopping and entertainment complex, including gaming operations, will further enhance the resort's appeal.

Mr. Lawrence Ho, Chairman and Chief Executive Officer of Melco, said, “We are thrilled to be part of this landmark development in Sri Lanka and to be in partnership with John Keells. We believe Sri Lanka has immense potential and this opportunity complements our existing portfolio of properties.

“Furthermore, City of Dreams Sri Lanka is expected to serve as a catalyst for stimulating tourism demand and promoting economic growth in Sri Lanka, drawing inspiration from the successful examples set by similar integrated resorts in other jurisdictions. We will continue to work closely with our esteemed partners and the Sri Lankan Government to ensure the success of this venture, and we expect to make a significant and positive impact on the local community and economy.”

With plans for casino operations to begin in mid-2025 and ongoing discussions for potential expansions, 'City of Dreams Sri Lanka' stands poised to become a premier destination in South Asia, offering a blend of luxury, entertainment, and unparalleled experiences.

The City of Dreams Mediterranean faced turmoil with following challenges since it opened its doors four months prior. Issues like construction delays, pandemic disruptions, and geopolitical conflicts all played a part in hindering the success of the mega project. The resort grappled with declining casino traffic, prompting tough decisions to ensure project viability. Despite efforts to adapt marketing strategies and attract diverse clientele, Melco faced persistent concerns about working conditions.

Next SiGMA Event: Join us in Manila from the 2 – 5 June for SiGMA Asia. Find all the details .