Monarch Casino & Resort Reports Record Second Quarter 2026 Financial Results
Rhea-AI Summary
Monarch Casino & Resort (Nasdaq:MCRI) reported record Q2 2026 results, with net revenue of $142.6 million, up 4.2% year-over-year, and net income of $32.5 million, up 20.4%. Diluted EPS rose 23.6% to $1.78, while Adjusted EBITDA increased 3.3% to $53.0 million, reflecting a 37.2% margin.
Casino revenue grew 2.5%, food and beverage 3.1% and hotel revenue 13.0%, supported by more available rooms and expanded convention and group business. As of June 30, 2026, Monarch held $138.3 million in cash and had no credit facility borrowings. The company paid a $0.30 per share dividend on June 15, 2026 and declared another $0.30 dividend payable on September 15, 2026, as part of a previously announced annual $1.20 per share dividend program.
Positive
- Net revenue $142.6M, up 4.2% year-over-year in Q2 2026
- Net income $32.5M, up 20.4% year-over-year in Q2 2026
- Diluted EPS $1.78, up 23.6% year-over-year in Q2 2026
- Adjusted EBITDA $53.0M, up 3.3% with 37.2% margin in Q2 2026
- Hotel revenue $21.6M, up 13.0% year-over-year in Q2 2026
- Cash $138.3M and no borrowings on credit facility at June 30, 2026
- $5.4M cash dividend paid in Q2 2026, $0.30 per share
- YTD net revenue $279.1M, up 6.4% versus first half 2025
Negative
- Selling, general and administrative expense rose to $28.6M, 20.0% of net revenue
- Food & beverage operating expense increased to 72.9% of F&B revenue in Q2 2026
- $1.6M Q2 2026 construction litigation and related expense items in Adjusted EBITDA reconciliation
- $1.1M principal judgement on construction litigation accrual recorded in Q2 2026
News Explained
Reported second-quarter earnings include a $2.4 million tax benefit; adjusted EBITDA is not a liquidity measure.
Monarch says it is evaluating potential M&A transactions, but this release does not disclose an agreed deal, consideration, or closing conditions; no new ownership change or acquisition obligation is therefore disclosed.
For the second quarter ended
Adjusted EBITDA is a non-GAAP measure that the company says should not be treated as operating income, operating cash flow, or liquidity.
The company says it increased cash by
The potential M&A statement is the open item: a later filing or release specifying consideration and closing conditions would be needed to assess whether the evaluation has become a committed transaction.
News Market Reaction – MCRI
In the Jul 21 session, MCRI declined 5.57%, reflecting a notable negative market reaction. Argus tracked a trough of -5.6% from its starting point during tracking. Our momentum scanner triggered 5 alerts that day, indicating moderate trading interest and price volatility.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Previous Earnings Reports
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| Apr 21 | First-quarter earnings | Positive | +13.1% | Record Q1 results included higher revenue, EBITDA, margin, and a quarterly dividend. |
| Feb 04 | Fourth-quarter earnings | Positive | +2.3% | Record Q4 and full-year results included EBITDA growth, share repurchases, and dividend declaration. |
| Oct 21 | Third-quarter earnings | Positive | -4.1% | All-time record quarterly results included revenue, net income, EBITDA, cash, and dividend growth. |
| Jul 16 | Second-quarter earnings | Positive | +20.0% | Record Q2 results featured revenue, casino revenue, EBITDA, EPS, cash, and dividend increases. |
| Apr 22 | First-quarter earnings | Positive | +2.4% | Record Q1 results included revenue, net income, EBITDA, EPS, and operating margin improvement. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Among tag-specific earnings events, four reactions aligned with positive announcements and one diverged; the average move was 6.73%.
Key Terms
adjusted ebitda financial
diluted eps financial
sg&a financial
average daily rate technical
non-gaap financial measure financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
Declares Cash Dividend of
RENO, Nev., July 20, 2026 (GLOBE NEWSWIRE) -- Monarch Casino & Resort, Inc. (Nasdaq: MCRI) (“Monarch” or “the Company”) today reported operating results for the second quarter ended June 30, 2026, as summarized below:
($ in thousands, except per share data and percentages)
| Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||
| 2026 | 2025 | Increase | 2026 | 2025 | Increase | ||||||||||||
| Net revenue | 4.2 | % | 6.4 | % | |||||||||||||
| Net income(1)(2) | 32,523 | 27,008 | 20.4 | % | 60,115 | 46,872 | 28.3 | % | |||||||||
| Adjusted EBITDA(3) | 3.3 | % | 10.3 | % | |||||||||||||
| Basic EPS | 23.8 | % | 32.2 | % | |||||||||||||
| Diluted EPS(1)(2) | 23.6 | % | 32.0 | % | |||||||||||||
(1) For the three months ended June 30, 2026 Net income and Diluted EPS were positively impacted by
(2) For the six months ended June 30, 2026 Net income and Diluted EPS were positively impacted by
(3) Definitions, disclosures and reconciliations of non-GAAP financial information are included later in the release.
CEO Comment
John Farahi, Co-Chairman and Chief Executive Officer of Monarch, commented: “Monarch delivered record second-quarter financial results. Second quarter net revenue increased
“We continue to focus on excellence by delivering exceptional product and service to our guests, while maintaining operational efficiency. We remain committed to ongoing capital investments that enhance both properties and set the standard for luxury casino resorts in Northern Nevada and Colorado.
“Monarch’s strong operating results and positive trends allows us to continue to return capital to stockholders. In the second quarter of 2026, we returned
Summary of 2026 Second Quarter Operating Results
In the second quarter of 2026, the Company generated net revenue of
Selling, general and administrative (“SG&A”) expense for the second quarter of 2026 was
Net income for the second quarter of 2026 increased
Credit Facility and Liquidity
As of June 30, 2026, the Company had cash and cash equivalents of
Capital expenditures of
On June 15, 2026, the Company paid a cash dividend of
Monarch believes its strong balance sheet and free cash flow favorably positions the Company to continue investing in its properties, share repurchases and paying cash dividends. The Company has been diligently evaluating potential M&A transactions, which it believes could drive additional long-term value for stockholders.
Quarterly Dividend Declaration
The Company today announced a cash dividend of
Forward Looking Statements
This press release contains forward-looking statements within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as "plan," "believe," "expect," "seem," "look," "look forward," "positioning," "future," "will," "confident" and similar references to future periods. Example of forward-looking statements include, among others, statements we make regarding: (i) the continuing strength of our balance sheet and our expected free cash flow; (ii) our expectations regarding continuing our dividend payments in the future; (iii) our expectations regarding the cash flow we expect to generate to fund our cash dividends to stockholders; and, (iv) our beliefs regarding the impact of our capital investment strategy and evaluation of potential strategic transactions on our long term success. Actual results and future events and conditions may differ materially from those described in any forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. Important factors that could cause actual results to differ materially from estimates or projections contained in the forward-looking statements include, without limitation:
- adverse impacts of outbreaks of contagious diseases on our business, financial condition and operating results;
- actions taken by government officials at the federal, state and/or local level with respect to the containment of disease outbreaks, including, without limitation, temporary or extended shutdowns, travel restrictions, social distancing and shelter-in-place orders;
- our ability to manage guest safety concerns in connection with an outbreak of contagious diseases;
- our ability to maintain compliance with the terms and conditions of our credit facilities and other material contracts in the event of any unexpected or unplanned events, such as temporary or extended shutdowns;
- access to available and reasonable financing on a timely basis;
- our ability to maintain strong working relationships with our regulators, employees, lenders, suppliers, insurance carriers, customers, and other stakeholders;
- impacts of any uninsured losses;
- changes in guest visitation or spending patterns due to economic conditions, health, international relations or other concerns;
- construction factors, including delays, disruptions, availability of labor and materials, increased costs of labor and materials, contractor disagreements, zoning issues, environmental restrictions, soil and water conditions, weather and other hazards, site access matters, building permit issues and other regulatory approvals or issues;
- ongoing disagreements over costs of and responsibility for delays and other construction related matters with our general contractor at Monarch Casino Resort Spa Black Hawk, PCL Construction Services, Inc. (“PCL”), including, as previously reported, the litigation against us by such contractor;
- the judgment entered in PCL’s favor and against Monarch in the above-mentioned litigation in the amount of
$74,627,657 (the “Judgment”), in Case No. 2019cv33368 in the District Court for the State of Colorado, City and County of Denver (the “Court”), including the outcome of any post-judgment motions filed by PCL in the Court for further release; - the outcome of our appeal of the Judgment;
- our potential need to post other bonds or other forms of surety to support our legal remedies;
- risks related to development and construction activities (including disputes with and defaults by contractors and subcontractors, construction, equipment or staffing problems and delays, shortages of materials or skilled labor, environmental, health and safety issues, weather and other hazards, site access matters, and unanticipated cost increases);
- our ability to generate sufficient operating cash flow to help finance our expansion plans;
- changes in laws mandating increases in minimum wages and employee benefits;
- changes in laws and regulations permitting expanded and other forms of gaming in our key markets;
- the effects of local and national economic, credit and capital market conditions on the economy in general and on the gaming industry and our business in particular, including predictions for a potential recession;
- the effects of labor shortages on our market position, growth and financial results;
- the potential of increases in state and federal taxation;
- the potential of increased regulatory and other burdens;
- guest acceptance of our expanded facilities once completed and the resulting impact on our market position, growth and financial results;
- competition in our target market areas;
- the impact of the recently enacted tariffs on our business, including the potential increase in our operating costs;
- broad-based inflation, including wage inflation; and
- the impact of the conflicts taking place in Ukraine, Israel, Iran, other areas of the Middle East and other parts of the world.
Additional information concerning potential factors that could adversely affect all forward-looking statements, including the Company's financial results, is included in our Securities and Exchange Commission filings, including our most recent annual report on Form 10-K and quarterly reports on Form 10-Q, which are available on our website at www.monarchcasino.com.
About Monarch Casino & Resort, Inc.
Monarch Casino & Resort, Inc., through its subsidiaries, owns and operates the Monarch Casino Resort Spa ("Monarch Black Hawk") in Black Hawk, Colorado, approximately 40 miles west of Denver and the Atlantis Casino Resort Spa ("Atlantis"), a hotel/casino facility in Reno, Nevada. For additional information on Monarch, visit the Company's website at www.monarchcasino.com.
Atlantis features 817 guest rooms and suites, and approximately 61,000 square feet of casino space. The casino features approximately 1,200 slot and video poker machines; approximately 33 table games, including blackjack, craps, roulette, and others; a race and sports book; a 24-hour live keno lounge; and a poker room. It also includes eight food outlets; two gourmet coffee and pastry bars; a retail store; a 30,000 square foot health spa and salon with an enclosed year-round pool; an 8,000 square-foot family entertainment center; and approximately 52,000 square feet of banquet, convention and meeting room space.
Monarch Black Hawk features 516 guest rooms and suites, and approximately 60,000 square feet of casino space. The resort offers approximately 1,100 slot machines; 37 table games; a poker room; keno; and a sports book. It also includes 10 bars and lounges, as well as four dining options: a twenty-four-hour full-service restaurant, a buffet-style restaurant, the Monarch Chophouse (a fine-dining steakhouse), and Bistro Mariposa (elevated Southwest cuisine), banquet and meeting room space, a retail store, a concierge lounge and an upscale spa and enclosed year-round pool located on the top floor of the tower. The resort is connected to a nine-story parking structure with approximately 1,350 parking spaces, and additional valet parking, with total property capacity of approximately 1,500 spaces.
Contacts:
John Farahi
Chief Executive Officer
775/824-4401 or JFarahi@monarchcasino.com
Joseph Jaffoni, Christin Armacost
JCIR
212/835-8500 or mcri@jcir.com
- financial tables follow -
| MONARCH CASINO & RESORT, INC. AND SUBSIDIARIES | ||||||||||||||||
| CONSOLIDATED STATEMENTS OF INCOME | ||||||||||||||||
| (In thousands, except per share data, unaudited) | ||||||||||||||||
| Three months ended June 30, | Six months ended June 30, | |||||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||||
| Revenues | ||||||||||||||||
| Casino | $ | 81,540 | $ | 79,589 | $ | 161,286 | $ | 152,484 | ||||||||
| Food and beverage | 33,179 | 32,191 | 64,880 | 62,213 | ||||||||||||
| Hotel | 21,585 | 19,110 | 40,541 | 35,818 | ||||||||||||
| Other | 6,293 | 6,024 | 12,440 | 11,793 | ||||||||||||
| Net revenues | 142,597 | 136,914 | 279,147 | 262,308 | ||||||||||||
| Operating expenses | ||||||||||||||||
| Casino | 28,920 | 28,449 | 57,653 | 55,966 | ||||||||||||
| Food and beverage | 24,182 | 22,636 | 47,226 | 44,945 | ||||||||||||
| Hotel | 6,920 | 6,556 | 13,742 | 12,852 | ||||||||||||
| Other | 3,133 | 3,073 | 6,332 | 6,151 | ||||||||||||
| Selling, general and administrative | 28,564 | 26,786 | 56,318 | 53,976 | ||||||||||||
| Depreciation and amortization | 10,664 | 13,571 | 21,131 | 26,786 | ||||||||||||
| Other Operating Items, net | 1,591 | 944 | 3,176 | 1,415 | ||||||||||||
| Total operating expenses | 103,974 | 102,015 | 205,578 | 202,091 | ||||||||||||
| Income from operations | 38,623 | 34,899 | 73,569 | 60,217 | ||||||||||||
| Interest income, net | 742 | 392 | 1,340 | 708 | ||||||||||||
| Income before income taxes | 39,365 | 35,291 | 74,909 | 60,925 | ||||||||||||
| Provision for income taxes | (6,842 | ) | (8,283 | ) | (14,794 | ) | (14,053 | ) | ||||||||
| Net income | $ | 32,523 | $ | 27,008 | $ | 60,115 | $ | 46,872 | ||||||||
| Earnings per share of common stock | ||||||||||||||||
| Basic | $ | 1.82 | $ | 1.47 | $ | 3.37 | $ | 2.55 | ||||||||
| Diluted | $ | 1.78 | $ | 1.44 | $ | 3.30 | $ | 2.50 | ||||||||
| Weighted average number of common shares and potential common shares outstanding | ||||||||||||||||
| Basic | 17,873 | 18,383 | 17,858 | 18,416 | ||||||||||||
| Diluted | 18,261 | 18,723 | 18,237 | 18,776 | ||||||||||||
| MONARCH CASINO & RESORT, INC. AND SUBSIDIARIES | ||||||||
| CONSOLIDATED BALANCE SHEET | ||||||||
| (In thousands, except per share data) | ||||||||
| June 30, 2026 | December 31, 2025 | |||||||
| ASSETS | (unaudited) | |||||||
| Current assets | ||||||||
| Cash and cash equivalents | $ | 138,261 | $ | 96,468 | ||||
| Receivables, net of provision for credit losses | 9,569 | 11,067 | ||||||
| Income taxes receivable | 5,042 | 3,013 | ||||||
| Inventories | 8,299 | 9,089 | ||||||
| Prepaid expenses and other | 7,680 | 9,616 | ||||||
| Total current assets | 168,851 | 129,253 | ||||||
| Property and equipment, net | 545,040 | 556,668 | ||||||
| Goodwill | 25,111 | 25,111 | ||||||
| Intangible assets, net | 2,159 | 1,817 | ||||||
| Total assets | $ | 741,161 | $ | 712,849 | ||||
| LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||
| Current liabilities | ||||||||
| Accounts payable | $ | 41,884 | $ | 44,924 | ||||
| Construction accounts payable | 48,355 | 50,209 | ||||||
| Accrued expenses | 48,663 | 54,049 | ||||||
| Short-term lease liability | 953 | 1,019 | ||||||
| Total current liabilities | 139,855 | 150,201 | ||||||
| Deferred income taxes | 11,626 | 11,626 | ||||||
| Long-term lease liability | 11,838 | 12,279 | ||||||
| Other long-term liabilities | 1,073 | 1,073 | ||||||
| Total liabilities | 164,392 | 175,179 | ||||||
| Stockholders' equity | ||||||||
| Preferred stock, $.01 par value, 10,000,000 shares authorized; none issued | - | - | ||||||
| Common stock, $.01 par value, 30,000,000 shares authorized; | ||||||||
| 19,829,049 shares issued and 17,922,521 outstanding at June 30, 2026 | ||||||||
| 19,544,290 shares issued and 17,819,020 outstanding at December 31, 2025 | 198 | 195 | ||||||
| Additional paid-in capital | 83,276 | 76,038 | ||||||
| Treasury stock, 1,906,528 shares at June 30, 2026 and 1,725,270 shares at December 31, 2025 | (153,930 | ) | (136,411 | ) | ||||
| Retained earnings | 647,225 | 597,848 | ||||||
| Total stockholders' equity | 576,769 | 537,670 | ||||||
| Total liabilities and stockholders' equity | $ | 741,161 | $ | 712,849 | ||||
MONARCH CASINO & RESORT, INC. AND SUBSIDIARIES
RECONCILIATION OF ADJUSTED EBITDA TO NET INCOME
(In thousands, unaudited)
The following table sets forth a reconciliation of Adjusted EBITDA, a non-GAAP financial measure, to net income, a GAAP financial measure:
| Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||
| Net income | $ | 32,523 | $ | 27,008 | $ | 60,115 | $ | 46,872 | |||||||
| Expenses: | |||||||||||||||
| Stock-based compensation | 2,121 | 1,875 | 4,074 | 4,002 | |||||||||||
| Depreciation and amortization | 10,664 | 13,571 | 21,131 | 26,786 | |||||||||||
| Provision for income taxes | 6,842 | 8,283 | 14,794 | 14,053 | |||||||||||
| Interest income, net | (742 | ) | (392 | ) | (1,340 | ) | (708 | ) | |||||||
| Construction litigation expenses(2) | 430 | 916 | 777 | 1,363 | |||||||||||
| Principal judgement on construction litigation accrual(2) | 1,116 | - | 2,220 | - | |||||||||||
| Other litigation expense accrual(2) | 65 | - | 163 | - | |||||||||||
| Lobbying expense to oppose the expansion of iGaming(2) | 61 | 22 | 176 | 50 | |||||||||||
| Loss (gain) on disposition of assets(2) | (81 | ) | 6 | (160 | ) | 2 | |||||||||
| Adjusted EBITDA(1) | $ | 52,999 | $ | 51,289 | $ | 101,950 | $ | 92,420 | |||||||
(1) Adjusted EBITDA, a non-GAAP financial measure, consists of net income plus loss (gain) on disposal of assets, provision for income taxes, stock-based compensation expense, other one-time charges, construction litigation expenses, acquisition expenses, interest expense, depreciation and amortization less interest income, any benefit for income taxes and gain on disposal of assets. Adjusted EBITDA should not be construed as an alternative to operating income (as determined in accordance with US Generally Accepted Accounting Principles), as an indicator of the Company's operating performance, as an alternative to cash flows from operating activities (as determined in accordance with US GAAP) or as a measure of liquidity. This measure enables comparison of the Company's performance over multiple periods, as well as against the performance of other companies in our industry that report Adjusted EBITDA, although some companies do not calculate this measure in the same manner and, therefore, the measure as presented may not be comparable to similarly titled measures presented by other companies.
(2) Amount included in the "Other operating items, net" in the Consolidated Statement of Income.
