Gaming and Leisure Properties on Thursday reported record quarterly results for the second quarter of 2025, boosted by recent acquisitions, escalators in lease contracts, and capital deployment into new casino projects.
The real estate investment trust posted revenue of $394.9 million, up 3.8% year-over-year, while Adjusted EBITDA rose 6.2% to $361.5 million. Adjusted Funds From Operations (AFFO) – a key profitability metric for REITs – climbed 4.4% to a record $276.1 million.
“The second quarter marked another quarter of record revenue, AFFO, and Adjusted EBITDA,” said Chairman and CEO Peter Carlino. “Our solid second quarter results reflect GLPI’s recent acquisitions and financing arrangements, contractual escalators and percentage rent adjustments, and our growing base of leading regional gaming operator tenants,” he added.
GLPI maintained its quarterly dividend at $0.78 per share, paid on June 27.
The company raised the lower end of its full-year 2025 AFFO guidance. It now expects AFFO between $1.112 billion and $1.118 billion, or $3.85 to $3.87 per diluted share, up from a prior range of $1.109 billion to $1.118 billion.
“We expect to continue to deliver strong capital returns and yields for our shareholders,” Carlino said.
GLPI continued to invest in gaming infrastructure, funding $25.8 million of a $110 million commitment to the Ione Band of Miwok Indians for development of the Acorn Ridge Casino in California.
The REIT will also fund:
- $130 million relocation of Hollywood Casino Joliet (opens Aug. 11), at a 7.75% cap rate
- Up to $150 million in improvements at Ameristar Casino Council Bluffs, at a 7.10% cap rate
- The ongoing landside conversion of Bally’s Belle of Baton Rouge, with the hotel now operational
- Continued development of Bally’s Chicago, which will feature 3,300 slots, 170 tables, and a 500-room hotel
Effective July 1, DraftKings at Casino Queen and The Queen Baton Rouge were shifted to Bally’s Master Lease II, reallocating $28.9 million in annual rent under a new guarantee by Bally’s corporate entities. The restructuring follows Bally’s February 2025 merger with Standard General, which brought Casino Queen under the Bally’s brand.
Separately, Boyd Gaming exercised the first renewal option on its master leases, extending them through April 2031.
GLPI raised $404 million in equity via forward share sales in June and launched a $1.25 billion at-the-market equity offering program in May. It also redeemed $850 million in 5.25% senior unsecured notes in March. Two $100 million interest rate swaps were executed in June and July to hedge against SOFR exposure.
As of June 30, GLPI owned 68 gaming and related properties across 20 U.S. states. Its largest tenants include PENN Entertainment (34 properties), Bally’s (15), Caesars (6), and Boyd Gaming (4).
In Las Vegas, GLPI holds a 35-acre parcel, 9 acres of which are set aside for Major League Baseball’s new A’s stadium. Bally’s is planning a new integrated resort adjacent to the venue.
The company is also supporting two downstate New York casino bids, one in Coney Island (Brooklyn) and another in the Bronx. GLPI has committed to fund hard costs if licenses are secured.
“We intend to remain disciplined as the integrated resort planning process unfolds, and we will then determine how much, if any, additional funding we may provide,” said Carlino.
