Revenue growth remains modest at 6.4% in 2026Q1, while structural margin compression persists with a gross margin of 29.5% due to high digital customer acquisition costs.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Sales/Revenue | 7.07B | 6.96B | 6.58B | 6.36B | 6.4B | 5.91B | 3.58B | 5.3B | 3.59B | 3.15B | 3.03B | 2.84B | 2.59B | 2.92B | 2.9B | 2.74B | 2.46B | 2.37B | 2.42B | 2.44B | 2.35B | 1.41B | 1.14B | 1.16B | 657.55M | 519.39M | 294.12M | 171.5M | 154.1M | 111.5M | 62.8M |
| Revenue Growth % | 6.38% | 5.82% | 3.38% | -0.61% | 8.41% | 65% | -32.5% | 47.76% | 13.98% | 3.74% | 6.91% | 9.57% | -11.25% | 0.67% | 5.73% | 11.51% | 3.79% | -2.22% | -0.56% | 3.63% | 66.48% | 23.83% | -1.92% | 76.87% | 26.6% | 76.59% | 71.5% | 11.29% | 38.21% | 77.55% | 8.84% |
| Cost of Goods Sold | 4.97B | 5.06B | 4.41B | 4B | 3.63B | 3.15B | 1.87B | 2.95B | 2.05B | 1.81B | 1.76B | 1.62B | 1.47B | 1.66B | 1.69B | 1.62B | 1.46B | 1.43B | 1.43B | 1.4B | 1.31B | 855.13M | 681.46M | 708.33M | 405M | 314.56M | 189.93M | 91.7M | 85.7M | 67.7M | 38.2M |
| COGS % of Revenue | - | 72.63% | 67.11% | 62.88% | 56.73% | 53.31% | 52.2% | 55.73% | 57.08% | 57.59% | 57.93% | 57.13% | 56.7% | 57.01% | 58.17% | 59.1% | 59.57% | 60.27% | 58.91% | 57.56% | 55.57% | 60.54% | 59.74% | 60.91% | 61.59% | 60.56% | 64.57% | 53.47% | 55.61% | 60.72% | 60.83% |
| Gross Profit | 2.1B | 1.91B | 2.16B | 2.36B | 2.77B | 2.76B | 1.71B | 2.35B | 1.54B | 1.34B | 1.28B | 1.22B | 1.12B | 1.25B | 1.21B | 1.12B | 994.21M | 941.41M | 995.58M | 1.03B | 1.04B | 557.33M | 459.23M | 454.66M | 252.54M | 204.83M | 104.2M | 79.8M | 68.4M | 43.8M | 24.6M |
| Gross Margin % | 29.69% | 27.37% | 32.89% | 37.12% | 43.27% | 46.69% | 47.8% | 44.27% | 42.92% | 42.41% | 42.07% | 42.87% | 43.3% | 42.99% | 41.83% | 40.9% | 40.43% | 39.73% | 41.09% | 42.44% | 44.43% | 39.46% | 40.26% | 39.09% | 38.41% | 39.44% | 35.43% | 46.53% | 44.39% | 39.28% | 39.17% |
| Gross Profit Growth % | - | -11.93% | -8.4% | -14.73% | 0.48% | 61.16% | -27.11% | 52.4% | 15.35% | 4.59% | 4.91% | 8.47% | -10.61% | 3.46% | 8.15% | 12.8% | 5.61% | -5.44% | -3.73% | -1.01% | 87.45% | 21.36% | 1.01% | 80.03% | 23.29% | 96.58% | 30.57% | 16.67% | 56.16% | 78.05% | 12.84% |
| Operating Expenses | 2.6B | 1.63B | 2.09B | 3.05B | 1.8B | 1.7B | 2.12B | 1.77B | 905.86M | 781.84M | 734.24M | 708.89M | 1.05B | 894.31M | 777.59M | 621.94M | 616.28M | 603.63M | 1.08B | 536.35M | 466.85M | 313.78M | 245.45M | 271.48M | 150.42M | 127.12M | 58.31M | 58.6M | 48.8M | 31.6M | 15.4M |
| OpEx % of Revenue | - | 23.46% | 31.79% | 47.97% | 28.06% | 28.75% | 59.26% | 33.48% | 25.25% | 24.84% | 24.2% | 24.98% | 40.41% | 30.64% | 26.82% | 22.68% | 25.06% | 25.48% | 44.66% | 22.01% | 19.85% | 22.22% | 21.52% | 23.34% | 22.88% | 24.47% | 19.82% | 34.17% | 31.67% | 28.34% | 24.52% |
| Selling, General & Admin | 1.66B | 1.63B | 1.57B | 1.56B | 1.11B | 1.35B | 1.13B | 1.19B | 618.95M | 514.78M | 463.03M | 449.43M | 867.79M | 595.98M | 532.24M | 410.46M | 403.89M | 409.2M | 427.15M | 388.43M | 436.63M | 191.93M | 179.67M | 203.99M | 113.96M | 95.03M | 44.72M | 19.5M | 19.1M | 16.2M | 14M |
| SG&A % of Revenue | - | 23.47% | 23.84% | 24.57% | 17.35% | 22.91% | 31.6% | 22.4% | 17.25% | 16.35% | 15.26% | 15.83% | 33.5% | 20.42% | 18.36% | 14.97% | 16.42% | 17.27% | 17.63% | 15.94% | 18.57% | 13.59% | 15.75% | 17.54% | 17.33% | 18.3% | 15.2% | 11.37% | 12.39% | 14.53% | 22.29% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 1000K | -400K | 522.7M | 1.49B | 685.7M | 344.5M | 990.1M | 587.3M | -7.12M | -2.26M | -1.68M | 5.87M | 2.94M | 3.8M | -1.38M | 211.48M | 197.34M | 194.44M | 173.54M | 147.91M | 30.22M | 121.85M | 65.78M | 67.49M | 36.46M | 32.09M | 13.59M | 39.1M | 29.7M | 15.4M | 1.4M |
| Operating Income | -497.4M | 272.1M | 72.5M | -690.2M | 974M | 1.06B | -410.2M | 571.9M | 634.09M | 475.11M | 543.02M | 467.85M | -240.42M | -771.97M | 442.59M | 499.58M | 153.23M | -194.6M | -86.44M | 497.81M | 577.84M | 243.55M | 213.78M | 183.18M | 102.12M | 77.71M | 45.89M | 21.2M | 19.6M | 12.2M | 9.2M |
| Operating Margin % | -7.04% | 3.91% | 1.1% | -10.85% | 15.21% | 17.94% | -11.46% | 10.79% | 17.67% | 15.09% | 17.9% | 16.48% | -9.28% | -26.45% | 15.26% | 18.22% | 6.23% | -8.21% | -3.57% | 20.43% | 24.57% | 17.24% | 18.74% | 15.75% | 15.53% | 14.96% | 15.6% | 12.36% | 12.72% | 10.94% | 14.65% |
| Operating Income Growth % | - | 275.31% | 110.5% | -170.86% | -8.08% | 358.31% | -171.73% | -9.81% | 33.46% | -12.51% | 16.07% | 294.59% | 68.86% | -274.42% | -11.41% | 226.04% | 178.74% | -125.12% | -117.36% | -13.85% | 137.26% | 13.92% | 16.7% | 79.37% | 31.41% | 69.36% | 116.45% | 8.16% | 60.66% | 32.61% | 12.2% |
| EBITDA | -41.5M | 719M | 506.1M | -255.1M | 1.54B | 1.4B | -43.5M | 986.1M | 903.08M | 742.17M | 814.23M | 727.31M | -61.44M | -473.65M | 687.94M | 711.06M | 365.61M | -162K | 87.1M | 658.74M | 713.15M | 321.77M | 285.09M | 256.43M | 141.87M | 112.25M | 59.48M | 29.9M | 25.3M | 16.2M | 10.6M |
| EBITDA Margin % | -0.59% | 10.33% | 7.69% | -4.01% | 24.08% | 23.78% | -1.22% | 18.6% | 25.17% | 23.58% | 26.83% | 25.62% | -2.37% | -16.23% | 23.73% | 25.93% | 14.87% | -0.01% | 3.59% | 27.03% | 30.33% | 22.78% | 24.99% | 22.05% | 21.58% | 21.61% | 20.22% | 17.43% | 16.42% | 14.53% | 16.88% |
| EBITDA Growth % | -107.29% | 42.07% | 298.39% | -116.55% | 9.79% | 3327.82% | -104.41% | 9.19% | 21.68% | -8.85% | 11.95% | 1283.75% | 87.03% | -168.85% | -3.25% | 94.48% | 225787.04% | -100.19% | -86.78% | -7.63% | 121.63% | 12.87% | 11.17% | 80.75% | 26.39% | 88.71% | 98.93% | 18.18% | 56.17% | 52.83% | 16.48% |
| D&A (Non-Cash Add-back) | 455.9M | 446.9M | 433.6M | 435.1M | 567.5M | 344.5M | 366.7M | 414.2M | 268.99M | 267.06M | 271.21M | 259.46M | 178.98M | 298.33M | 245.35M | 211.48M | 212.39M | 194.44M | 173.54M | 160.93M | 135.31M | 78.22M | 71.31M | 73.25M | 39.75M | 34.54M | 13.59M | 8.7M | 5.7M | 4M | 1.4M |
| EBIT | -577.8M | -414.9M | 129.2M | -34.9M | 933.5M | 1.1B | -290.1M | 621.7M | 629.3M | 441.72M | 579.86M | 499.74M | 271.81M | -466.48M | 407.15M | 488.8M | 134.73M | -222.9M | 122.24M | 490.3M | 577.84M | 243.55M | 213.35M | 176.53M | 98.24M | 77.71M | 45.12M | 17.66M | 19.66M | 12.2M | 9.2M |
| Net Interest Income | -387.7M | -396.1M | -446.9M | -424.4M | -739.9M | -561.7M | -543.2M | -534.2M | -538.4M | -463.2M | -435.06M | -431.6M | -421.38M | -158.51M | -81.18M | -99.14M | -128.64M | -128.46M | -161.47M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 8.4M | 9.7M | 23.6M | 40.3M | 18.3M | 1.1M | 0 | 0 | 1M | 3.55M | 24.19M | 11.53M | 3.73M | 1.39M | 948K | 423K | 1.58M | 6.52M | 8.36M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 396.1M | 405.8M | 470.5M | 464.7M | 758.2M | 562.8M | 543.2M | 534.2M | 539.42M | 466.76M | 459.24M | 443.13M | 425.11M | 159.9M | 81.44M | 99.56M | 130.22M | 134.98M | 169.83M | 0 | 0 | 0 | 0 | 42.1M | 42.1M | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | -476.5M | -1.09B | -413.8M | 190.6M | -798.7M | -520.5M | -424M | -485.8M | -544.17M | -482.65M | -422.4M | -447.8M | -565.39M | -431.78M | -71.6M | -110.35M | -148.71M | -665.66M | -442.48M | -205.57M | -207.91M | -101.78M | -76.15M | -76.88M | -52.38M | -41.35M | -16.41M | -7.16M | -7.67M | -6.1M | 100K |
| Pretax Income | -973.9M | -820.7M | -341.3M | -499.6M | 175.3M | 539.1M | -834.2M | 86.1M | 89.92M | 4.35M | 120.62M | 56.61M | -271.78M | -915.88M | 364.53M | 389.23M | 4.52M | -327.88M | -47.59M | 292.24M | 369.93M | 141.77M | 137.63M | 83.16M | 57.72M | 36.37M | 28.71M | 10.5M | 12M | 6.1M | 9.3M |
| Pretax Margin % | -13.78% | -11.79% | -5.19% | -7.85% | 2.74% | 9.13% | -23.31% | 1.62% | 2.51% | 0.14% | 3.98% | 1.99% | -10.49% | -31.38% | 12.57% | 14.19% | 0.18% | -13.84% | -1.96% | 11.99% | 15.73% | 10.04% | 12.07% | 7.15% | 8.78% | 7% | 9.76% | 6.12% | 7.79% | 5.47% | 14.81% |
| Income Tax | -14.3M | 24.6M | -28M | -8.2M | -46.4M | 118.6M | -165.1M | 43M | -3.59M | -498.51M | 11.31M | 55.92M | -38.59M | -121.54M | 152.56M | 146.88M | 66.18M | -60.47M | 105.74M | 132.19M | 156.85M | 54.59M | 50.29M | 31.69M | 21.7M | 12.61M | 10.14M | 3.8M | 4.5M | 2.3M | 3.8M |
| Effective Tax Rate % | 1.47% | -3% | 8.2% | 1.64% | -26.47% | 22% | 19.79% | 49.94% | -4% | -11462.57% | 9.37% | 98.79% | 14.2% | 13.27% | 41.85% | 37.74% | 1464.76% | 18.44% | -222.21% | 45.23% | 42.4% | 38.51% | 36.54% | 38.11% | 37.6% | 34.67% | 35.31% | 36.19% | 37.5% | 37.7% | 40.86% |
| Net Income | -957.3M | -843.1M | -311.5M | -490M | 222.1M | 420.8M | -669.5M | 43.9M | 93.51M | 502.86M | 109.31M | 686K | -233.19M | -794.34M | 211.97M | 242.35M | -59.47M | -264.95M | -153.32M | 160.05M | 327.09M | 120.93M | 71.48M | 51.47M | 30.86M | 23.76M | 11.99M | 6.7M | 7.5M | 2.3M | 5.5M |
| Net Margin % | -13.54% | -12.11% | -4.74% | -7.7% | 3.47% | 7.13% | -18.71% | 0.83% | 2.61% | 15.97% | 3.6% | 0.02% | -9% | -27.21% | 7.31% | 8.84% | -2.42% | -11.18% | -6.33% | 6.57% | 13.91% | 8.56% | 6.27% | 4.43% | 4.69% | 4.57% | 4.08% | 3.91% | 4.87% | 2.06% | 8.76% |
| Net Income Growth % | -1026.24% | -170.66% | 36.43% | -320.62% | -47.22% | 162.85% | -1625.06% | -53.06% | -81.4% | 360.03% | 15834.4% | 100.29% | 70.64% | -474.74% | -12.54% | 507.54% | 77.56% | -72.8% | -195.8% | -51.07% | 170.48% | 69.17% | 38.88% | 66.77% | 29.91% | 98.12% | 78.99% | -10.67% | 226.09% | -58.18% | 10% |
| Net Income (Continuing) | -959.6M | -845.3M | -313.3M | -491.4M | 221.7M | 420.5M | -669.1M | 43.1M | 93.51M | 473.4M | 109.31M | 686K | -183.82M | -592.8M | 187.58M | 242.35M | -61.66M | -267.41M | -153.32M | 160.05M | 213.08M | 87.18M | 87.34M | 62.19M | 28.33M | 23.76M | 18.57M | 6.73M | 7.5M | 3.8M | 5.5M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | -7M | -6.5M | -4.3M | -2.5M | -1.1M | -700K | -400K | -800K | -5K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -565K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -7.18 | -5.83 | -2.05 | -3.22 | 1.29 | 2.48 | -4.99 | 0.37 | 0.93 | 5.39 | 1.19 | 0.01 | -2.97 | -10.17 | 2.04 | 2.26 | -0.76 | -3.39 | -1.81 | 1.81 | 3.78 | 1.41 | 0.86 | 0.63 | 0.39 | 0.37 | 0.19 | 0.11 | 0.12 | 0.02 | 0.10 |
| EPS Growth % | -966.22% | -184.39% | 36.34% | -349.61% | -47.98% | 149.7% | -1448.65% | -60.22% | -82.75% | 352.94% | 11800% | 100.34% | 70.8% | -598.53% | -9.73% | 397.37% | 77.58% | -87.29% | -200% | -52.12% | 168.09% | 63.95% | 36.51% | 61.54% | 5.41% | 94.74% | 72.73% | -8.33% | 700% | -84.62% | 0% |
| EPS (Basic) | - | -5.83 | -2.05 | -3.22 | 1.37 | 2.65 | -4.99 | 0.38 | 0.96 | 5.53 | 1.21 | 0.01 | -2.97 | -10.17 | 2.24 | 2.52 | -0.76 | -3.39 | -1.81 | 1.87 | 3.88 | 1.46 | 0.89 | 0.65 | 0.41 | 0.39 | 0.20 | 0.12 | 0.13 | 0.04 | 0.10 |
| Diluted Shares Outstanding | 133.4M | 144.6M | 152.1M | 152.1M | 176.6M | 175.5M | 134M | 117.8M | 100.34M | 93.38M | 91.41M | 90.9M | 78.42M | 78.11M | 103.8M | 107.05M | 78.08M | 78.12M | 84.54M | 88.43M | 86.53M | 85.77M | 83.12M | 81.7M | 79.14M | 63.67M | 63.12M | 61.21M | 61.5M | 61.54M | 56.08M |
| Basic Shares Outstanding | 133.4M | 144.6M | 152.1M | 152.1M | 161.2M | 158.7M | 134M | 115.7M | 97.11M | 90.85M | 82.93M | 80M | 78.42M | 78.1M | 76.34M | 77.99M | 78.08M | 78.12M | 84.54M | 85.59M | 84.3M | 82.83M | 80.32M | 79.19M | 75.28M | 61.31M | 59.96M | 58.55M | 60.06M | 61.33M | 56.08M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Digital segment cash burn
According to recent financial filings, PENN's revenue growth has remained modest, recording a 6.4% increase in 2026Q1, which suggests that the company's transition toward the ESPN Bet platform has yet to catalyze a significant acceleration in top-line performance relative to its historical regional casino baseline.
The revenue trajectory appears heavily influenced by the volatility of the Interactive segment, which struggles to offset the mature, slower-growth profile of the regional retail properties. Investors should monitor whether the current growth rate is sustainable or merely a reflection of aggressive promotional spending designed to capture market share.
As reported in quarterly statements, PENN's gross margin of 29.5% in 2026Q1 highlights the ongoing difficulty of maintaining profitability while absorbing high state-level gaming taxes and the substantial licensing costs associated with the company's current digital media partnership strategy compared to its regional casino peers.
The margin profile appears structurally constrained by the high fixed-cost nature of the retail portfolio and the heavy promotional intensity required to compete in the digital space. This suggests that unless the company achieves significant scale in its Interactive segment, overall profitability may remain under persistent pressure.
Based on the provided income statement data, PENN's operating income of $97.1M in 2026Q1 indicates a fragile recovery, yet the company's inability to consistently scale operating margins suggests that SG&A expenses continue to outpace the efficiency gains expected from the integration of digital and physical assets.
The lack of consistent operating leverage warrants further investigation into whether the company's cost structure is too rigid to accommodate the high-burn requirements of its digital expansion. The reliance on retail cash flows to subsidize Interactive losses appears to be a primary drag on overall operating performance.
As evidenced by the erratic net income figures, including the -$2.3M reported in 2026Q1, PENN's earnings quality is significantly impacted by non-operating items and the high cost of digital customer acquisition, which frequently masks the underlying cash-generative potential of the company's core regional casino operations.
The frequent swings between profitability and loss suggest that the company's bottom line is highly sensitive to one-time charges and the aggressive marketing spend required to maintain its digital presence. Investors should be cautious of relying on EPS as a metric for operational health given these recurring distortions.
Based on the reported figures, the persistent negative net margins and high debt-to-equity ratio suggest that PENN's current strategy may be unsustainable, as the company continues to burn capital to fund a digital pivot that has yet to demonstrate a clear path to long-term profitability.
Short-sellers may focus on the potential for margin compression if promotional intensity in the sports betting market remains elevated. The reliance on retail cash flows to support the Interactive segment creates a vulnerability that could be exacerbated if regional gaming demand experiences a cyclical downturn.
Quick answers to the most common questions about buying PENN stock.
For fiscal year 2025, PENN Entertainment, Inc. (PENN) reported total revenue of $6.96B. This represents a 10984.4% increase compared to $62.8M in 1996.
PENN Entertainment, Inc. (PENN) reported a net loss of $843.1M for the fiscal year ending 2025.
PENN Entertainment, Inc. (PENN) reported an operating income of $272.1M, resulting in an operating profit margin of 3.9%. This margin reflects the operational efficiency of the business before interest and taxes.
PENN Entertainment, Inc. (PENN) generated $1.91B in gross profit for the year, representing a gross profit margin of 27.4%. This demonstrates the company's core pricing power and production efficiency.