Bally\'s Corp (BALY)BALY

Bally's Corporation: A Comprehensive Overview

Company Profile

History and Background:

Bally's Corporation, formerly known as Twin River Worldwide Holdings, is a leading gaming and hospitality company founded in 2018. It traces its roots back to the original Bally Manufacturing Corporation, which was founded in 1968 and became known for its pinball machines and slot machines. However, the current company is a separate entity without any direct connection to the original Bally's.

Bally's Corporation focuses on land-based casinos, online sports betting and iGaming platforms, and interactive free-to-play games. It operates 14 casinos across 10 states, including renowned brands like Bally's Las Vegas and Atlantic City. The company also holds online sports betting licenses in 18 states and operates the Bally Bet mobile app.

Core Business Areas:

• Land-based casinos: Bally's owns and operates casinos in various locations, offering a range of gaming options like slots, table games, and poker.
• Online sports betting: The company operates the Bally Bet platform, providing legal online sports betting services in multiple states.
• iGaming: Bally's is expanding into the online casino market, offering iGaming options like slots, table games, and live dealer games through its Bally Casino app.
• Interactive free-to-play games: Bally's offers a portfolio of free-to-play games that allow users to compete for virtual currency and prizes.

Leadership and Corporate Structure:

Bally's Corporation is led by CEO Lee Fenton and a team of experienced executives with backgrounds in gaming, hospitality, and technology. The company has a decentralized structure with separate divisions focusing on land-based casinos, online sports betting, and interactive free-to-play games.

Top Products and Market Share:

• Top Products: Bally's flagship products include its land-based casinos, the Bally Bet online sports betting platform, and its Bally Casino iGaming app.
• Market Share:
  • Land-based casinos: Bally's operates in a fragmented market with numerous competitors. Its market share varies across different locations, but the company is a major player in several key markets like Las Vegas and Atlantic City.
  • Online sports betting: Bally Bet is a new entrant in the rapidly growing online sports betting market. The platform has gained significant traction in several states, but it still holds a relatively small market share compared to larger competitors like DraftKings and FanDuel.
  • iGaming: The iGaming market is also highly competitive. Bally Casino is a new entrant, and its market share is currently limited.
• Product Performance and Market Reception: Bally's land-based casinos have a strong reputation and attract a loyal customer base. Bally Bet has received positive reviews for its user-friendly interface and competitive odds, but it faces stiff competition from established players. The Bally Casino app is still in its early stages, and its performance and market reception are yet to be determined.

Total Addressable Market:

The global gambling market is expected to reach $679.39 billion in 2023, with the US representing a significant portion. The total addressable market for Bally's Corp. includes the land-based casino market, the online sports betting market, and the online casino market. These markets are expected to experience continued growth in the coming years, driven by factors such as increasing legalization of gambling and technological advancements.

Financial Performance:

Recent Financial Statements (2022):

• Revenue: $1.48 billion
• Net Income: $166.6 million
• Profit Margin: 11.2%
• EPS: $1.05

Year-over-Year Performance:

• Revenue: +17%
• Net Income: +44.5%
• Profit Margin: +1.8%
• EPS: +43.6%

Cash Flow and Balance Sheet:

• Strong cash flow from operations
• Relatively low debt-to-equity ratio

Dividends and Shareholder Returns:

Dividend History:

• Bally's Corp. has not paid any dividends since its inception.

Shareholder Returns:

• 1-Year: +12.5%
• 5-Year: +234.4%
• 10-Year: N/A (Company not publicly traded for 10 years)

Growth Trajectory:

Historical Growth: Bally's Corp. has experienced significant growth over the past few years through acquisitions and organic expansion.

Future Growth Projections: The company expects continued growth driven by the expansion of its online sports betting and iGaming operations, as well as potential future acquisitions.