Full House Resorts Inc Q4 FY2025 Earnings Call

Greetings, and welcome to the Full House Resorts Fourth Quarter and Full Year 2025 Earnings Call. It is now my pleasure to introduce your host, Adam Campbell. Thank you. You may begin.

Thank you, and good afternoon, everyone. Welcome to our fourth quarter earnings call. Before we begin, we want to remind you that today's conference call may contain forward-looking statements made under the safe harbor provision of federal securities laws. It's important to note that the company's actual results could differ significantly from the expected results in those forward-looking statements. Please refer to today's press release under the section on forward-looking statements for details on risks that may impact our results. We may also mention non-GAAP measures such as adjusted EBITDA. For a reconciliation of these measures, please check our website and previous press releases. Additionally, we are broadcasting this conference on our website, where you can find today's earnings release and our SEC filings. With that said, we're ready to go, Lewis.

Well, good afternoon, everyone. It was a very good fourth quarter, but the comparisons versus last year aren't very straightforward. So we'll take you through those really quick. Revenues rose to $75.4 million, up from $73 million in the fourth quarter of 2024. Keep in mind that the fourth quarter of 2024 included $1.5 million of revenue from Stockman's, which was sold in April of 2025. So revenue growth on an apples-to-apples basis was 5.6%. Adjusted EBITDA in the fourth quarter of 2025 rose to $10.7 million. Adjusted EBITDA for the fourth quarter of 2024 was $10.4 million. That included quite a bit of noise, including the benefit of a $1.2 million recovery settlement and the reversal of about $0.5 million of accruals at corporate. Those two figures increased the fourth quarter of 2024's adjusted EBITDA by $1.7 million. Backing those two items out of the prior year's fourth quarter, the increase was about 23%. At American Place, our temporary casino continues to show significant growth. Revenues increased by 11% to $32 million in the fourth quarter of 2025. Adjusted property EBITDA rose 29% to $8.7 million. For the full year, revenues and adjusted property EBITDA rose to $124 million and $34.3 million, increases of 13% and 17%, respectively. Interestingly, the pace of growth actually increased as the year progressed. We fully expect adjusted property EBITDA at American Place to continue to climb in 2026 and the year is off to a good start. We have long said that the temporary American Place facility on its own should eventually be able to achieve about $50 million of run-rate EBITDA and that its much larger permanent facility should be able to earn double that amount or about $100 million. We continue to believe that our market remains under-penetrated. Some quick facts: our permanent casino will not only be nicer, but in terms of square footage, it will be about twice the size of our temporary facility. We are the closest casino to more than 1 million people. We are located in one of the wealthiest counties in the entire country. Our closest casino competitor is 45 minutes to the south and they generate $0.5 billion a year in gaming revenue. Our second-closest casino competitor is about an hour to the north, and they generate more than $400 million a year in gaming revenue. And we're sandwiched, not just midway between those two very successful casinos, but also between two of the major north-south traffic arteries in Northern Chicagoland. Those facts, combined with our three years of operating experience in the market, are what give us so much conviction in what we think American Place can achieve in the long term. Turning to Chamonix, for the first time in recent memory, we have a fully formed management team. That began with a new General Manager in March of 2025, new Directors of Marketing and Group Sales in July and August of 2025, the promotion of a talented pastry chef to lead the food and beverage department in January of 2026, a new Finance Director last month, and a new Assistant General Manager this week. Here's an interesting stat to look at: if you look at just the second half of 2025 under the new management team and compare it to the second half of 2024, revenues increased by $1.2 million or about 5%. Adjusted property EBITDA in those six months jumped by $4.2 million. The new team is making great strides, and we believe our Colorado operations will be a significant positive contributor to adjusted EBITDA in 2026. Specifically for the fourth quarter of 2025, we had a small adjusted property EBITDA loss in the seasonally weaker winter season, but that was a significant improvement versus the much larger loss in the fourth quarter of 2024. After several quarters focusing on the cost side, the new team has redoubled its marketing and awareness efforts. If you look at any of our marketing collateral, it has been completely reenergized after transitioning to a new marketing agency during the fourth quarter of 2025. In January and February of 2026, we had a modest amount of construction disruption as we replaced the carpet and installed new ceilings in Bronco Billy's. The incremental spend was extremely modest, in the low six figures, but the result was outsized. It used to be quite jarring to walk from Chamonix into Bronco Billy's Casino. Today, while Chamonix is certainly more elevated, the two casinos now complement each other quite nicely. We also just opened our Mexican restaurant at Bronco Billy's with an inspired new menu as we prepare to head into the busy summer season. Looking at our database, we've been especially focused on driving loyalty and growth in the top two segments of our database. For the first two months of 2026, our top segment has seen unique guest counts increase by almost 20%, and the total number of visits from that segment is up 36%. For the segment under that, unique guests are up 12%, and total visits are up 24%. Awareness is expanding and loyalty is expanding, which both bode well in our efforts to continue growing revenue and improving profitability. Regarding our group business at Chamonix, that continues to pick up steam. At this point, we have a couple of thousand room nights on the books, with a couple of thousand more that are close to commitment or with decent prospects. As we mentioned last quarter, our ideal group size is between 100 and 150 attendees. Within 500 miles of us, we estimate that there are up to 4,000 conferences that fit that profile. Groups of this size tend to book years ahead of time. When we have a fully ramped group business in a couple of years, we think it will consist of about 55 events per year, or about one per week. That is the key to improving our midweek occupancy. Among our smaller properties, Silver Slipper and Rising Star declined slightly for the quarter. Similar to Chamonix, we've upgraded most of the management team at Silver Slipper, and they are gearing up for growth in 2026. Grand Lodge, which is a pretty small part of the company at this point, continues to be adversely affected by renovation disruption at the Hyatt Lake Tahoe that houses our casino. The Hyatt Resort will be beautiful when that renovation is complete, but in the meantime, we're trying to manage through the disruption. That includes proactive efforts to find new casino guests in advance of the completion of the renovated amenities in 2027. On the balance sheet side, we had about $51 million of liquidity at the end of the quarter, including the undrawn portion of our revolver, and we're about to enter that part of the year where we generate meaningful cash flow. We amended our revolving credit facility a few days ago. That was a simple amendment to extend the maturity date of our revolver to August 15, 2027. And we've said this several times, but our Illinois operations alone pay for the interest expense on our current debt. Of course, Illinois continues to ramp, as does Colorado. Lastly, an update on our continuing progress for our permanent American Place Casino. In real time, our architects are putting the finishing touches on our foundation drawings. Those drawings should be done imminently. With those drawings in hand, we'll be able to officially break ground on the casino's foundations. We expect that to occur sometime in the coming weeks. The foundation work does not take a lot of money, but it does take several months to complete. By getting it done now, we can accelerate our timeline to construct the permanent facility. Meanwhile, we are making good progress with respect to the financing of the American Place facility. We have received several proposals for the construction of the permanent facility at attractive rates, including proposals that fully fund its construction without the issuance of equity. We're not quite able to provide details just yet, but we hope to do so in the next several weeks. As we have noted previously, we are currently allowed to operate our temporary casino until August of 2027. In conjunction with our anticipated financing, a bill was recently introduced into the Illinois legislature to extend that operational stay by 18 months. Typically, items in the legislature don't get voted on until the end of the session, so we expect it to pass in April or May. Passage of the bill will allow us to transition smoothly from the temporary casino in 18 to 20 months. Bally's has a similar bill in front of the legislature for the same reason. I covered a lot there, Dan. What did I forget?

I don't know. I think you got it all. And we'll get to questions. So if we forgot something, it will almost certainly come out in the questions.

Very true.

Our first question comes from Ryan Sigdahl with Craig-Hallum Capital Group.

I want to start with Chamonix, though, for the first question. So appreciate the improvement kind of on a full-year basis, especially on the cost side. If I look at revenue, 19% growth in the first half of the year, year-over-year 7%. In Q3, 2%. In Q4, flipped to a loss. I get the seasonal aspect of that. But I guess, just walk through, I guess, what's going on there specifically just given kind of a deceleration from a trend standpoint and considering it's still very subscale or early stage in its maturity?

Last year, during our third quarter report, we openly acknowledged that some marketing efforts primarily in September 2024 were not cost-effective. We attracted customers by offering free rooms, but they didn't gamble, which negatively impacted our bottom line despite boosting our top line. In the fourth quarter, we hosted a grand opening celebration that was quite expensive, featuring Jay Leno among others. It became evident that the attendees were mostly familiar faces, and we missed the chance to attract new customers from places like Denver. At that point, I realized we needed a management change, and we have since made those changes. However, the previous year’s numbers were somewhat inflated due to inefficient marketing during those two quarters. We now have a new advertising agency, a Chief Marketing Officer, and fresh marketing personnel on site. They are getting organized, and those efforts are starting to yield results. You can expect to see revenue growth moving forward. The minor year-over-year growth currently reflects the promotions we used last year, which boosted revenue but not income.

Quick follow-up on that, and then I do have another question. Have you seen any re-acceleration thus far in Q1 of '26?

We faced some challenges back in January, particularly with renovations at Bronco Billy's, where we updated the west section by installing new carpets and ceilings. I was pleasantly surprised that the disruption didn't affect us more than it did, as we are seeing improved revenue numbers. Had there not been any disruption, I believe our performance would have been even stronger. Initially, we questioned whether we made the right decision, but after reviewing the demographics and competition in Colorado Springs and Denver, I'm confident we did not make a mistake. Monarch's EBITDA for the year was $199 million, and although they have only two casinos, the smaller one in Reno has consistently earned $40 million to $50 million annually prior to their opening in Black Hawk. The latter, which they've only had for about three years, likely generates significantly over $100 million a year. It's a good property managed well, and their operations were smoother than ours. They have 500 rooms while we have 300, with some of our features being superior. Though they are an hour from Denver and we are an hour from Colorado Springs, we have a similar distance from southern Denver. However, they face notable competition, including Ameristar, the Horseshoe, and the Lodge, along with smaller venues. Conversely, Cripple Creek has less competition, and ours is higher in quality. I believe we are well-positioned with a strong product, and the updates to Bronco Billy's have significantly improved it, even with minimal investment in changes. We now have the right management team in place. There are operational issues to address, including the housekeeping department, which currently cleans nine rooms a day compared to 14 at our other properties. This inefficiency means the cost to turn a room is disproportionately high, affecting our ability to comp rooms for guests. We're working on reducing these costs, which would allow us to be more generous with comps. We also had a poorly performing Mexican restaurant that has been closed for six months. We promoted a talented chef to manage food and beverage, who agreed to take the role because he shares my goal of promoting good talent and removing underperformers. The food quality has vastly improved since we reopened, just in time for the summer. We're focused on numerous small operational improvements at this property, and while progress might be slow, it's positive. I'm confident that it will eventually become a significant profit generator for us, with this year showing a modest 10% to 15% increase, and potentially more in the coming years. We have created a solid property for the long term. Our marketing strategy differs from American Place, which is situated near one million people who frequently pass by. However, our location in Colorado Springs has great curb appeal but lacks foot traffic. We need to entice people from Colorado Springs to visit, which is just under an hour away, but those who do visit often return, and that's critical for business growth—it just takes time.

Yes. I mean the most promising thing that we're seeing behind the scenes is that those upper segments, which this property was built for. And when I say upper segments, I don't mean someone that's gambling $10,000 a day; I'm talking about someone that might go in and gamble a couple of hundred dollars a day. That is a very ripe customer that's an abundance that is our biggest group. It's a customer that's finding the building now for the first time. And as I kind of hinted at, or said actually, didn't hint that, in my opening comments, that group is where we're seeing significant growth in loyalty.

In my experience, I remember Beau Rivage in Mississippi opened slowly. They went through the same sort of things. And then eventually, it found its stride, and it's led Mississippi now for 20 years. Similar in Las Vegas, Luxor opened slowly and then found its stride, and it's been very successful for a long time now and so on. And thinking back, there are things we should have been smarter about. We should have hired a sales team while we were under construction. We didn't. But we're fixing those things now. So...

Well worth the visit, I can personally attest to that. For my second question, and maybe I'll try and ask this in a shorter way. Indiana bill, it originally included a fair value payment to you guys if you were not the winning bid for relocation. Now it appears like it's just a new license that you can apply for. Just give us an update there on the future of Rising Sun? If you guys are interested kind of under the current structure.

This is a lengthy and fast-changing process. The bill underwent numerous changes in its final week in the legislature. We will monitor the situation closely. We're making some money in Rising Sun, although not a lot. We suggested to the state that relocating to an urban center would be more beneficial. When casinos were legalized along the Ohio River, it changed the landscape since they weren’t previously allowed in Ohio and Kentucky. The initial sites chosen for legalization turned out to be the wrong ones. An independent study commissioned by the legislature and conducted by the Gaming Commission confirmed that higher revenues would result from casinos in Indianapolis and Fort Wayne. However, the decision was made to expand the area. Now, three counties will hold referendums in November. This could be a difficult vote due to how it was structured. If all three pass, the Gaming Commission will have to select one and coordinate a development process. This creates challenges for us and others who might back any county's proposal, especially given the well-funded opposition. A website, savefw.com, indicates substantial funding from an opposing interest, likely an Indian tribe from Southern Michigan or a similar group impacted by this. There will be three referendums, and the opposition is probably well-resourced. Typically, such measures succeed because they generate jobs and tax revenue. However, the way the legislature has framed this, possibly unintentionally, makes these votes quite difficult. We will continue to follow the situation, with the legislature reconvening next year. Meanwhile, we will keep generating revenue in Rising Sun, which benefits both our shareholders and the state. That's the summary.

Our next question comes from the line of David Bain with Texas Capital Bank.

Great. First, congratulations on the progress on the American Place financing. I understand you're not giving a ton of detail, but one, I think you reiterated no equity will be sold. And I'm sure you looked at multiple options from whatever asset sales to high yield to REITs as the financing environment involved. If you could help us process that, balancing your thoughts as you went through that process, that could be very helpful for us. And then does that financing come in tandem or include the refinancing or extension of the existing debt?

David, as you might understand, during these processes, we contact many people and identify those who show interest in working with us. Eventually, we reach a stage where we invite them to invest in the due diligence to begin drafting legal documents, and we ensure confidentiality. I believe we are at that stage now. Until we have a concrete deal to announce, I can't provide further details, but we are optimistic that we will secure an agreement within two years. We have always maintained that we won't issue equity at these price levels, and we're confident we can achieve that. Beyond this, I can't disclose any more information at this moment. I wish I could, David. This is a comprehensive matter and does involve refinancing the current bonds.

Yes, we're looking at an all-encompassing solution. And I think the only thing to add to what Dan said is, again, not only no equity, but also, we view the financing cost is attractive as well. So we're excited to give you more details. I guess I wish we could; just can't quite yet.

I would describe the situation as acceptable. While an attractive rate would be around 5%, we are not currently at that level, nor are we at 15%. So, I would say it is acceptable. Regarding the refinancing of the existing bonds, they are set to mature in February 2028 and will become a current liability in February 2027, which means we have to refinance them. It's clear to anyone that this is necessary. We have received some very good proposals and are focusing on one particular formula that we believe will work, and we are working to finalize it.

I have another question for you. I would like to focus on Chamonix. You shared some promising data regarding its market penetration. In the last call, you noted that 15% of visitors from Colorado Springs go to Cripple Creek at least once a year, which you aimed to address. This seems to be a significant growth opportunity. Could you discuss the progress made in penetrating that market? I understand you have a marketing team, but I would appreciate any specifics on initiatives, such as transportation or new advertising methods, that have proven effective so far.

Yes, we have explored the bus transportation option, including collaboration with a company in Cripple Creek and other bus operators, as well as the possibility of acquiring our own buses. However, we found that this is not a significant factor, as most people prefer to drive themselves, even in areas like Atlantic City where busing has historically been more common. The challenge lies in understanding various markets while navigating the evolving advertising landscape. More viewers are now consuming TV shows via platforms like YouTube rather than traditional networks, which allows us to better target our advertising efforts. For instance, we can focus our ads on residents of the south side of Denver rather than blanket advertising for the entire metropolitan area. In Colorado Springs, the advertising approach can be broader since anyone in that area could potentially be a customer, unlike in Denver where some areas may not yield many visitors. We are actively refining our advertising strategies to ensure efficiency, including reducing direct mail in favor of more cost-effective emails, aiming to phase out direct mail completely from American Place and replicate that in Chamonix. We have a dedicated chief marketing officer who can provide detailed insights, but overall, we've brought in skilled professionals who are committed to this task, and we are already seeing positive outcomes with confidence that we will continue to improve.

Yes, the penetration in Colorado Springs is gradually increasing. The percentage coming from Denver remains very high. Overall, this is a positive sign because as more people nearby experience our brand, we are discovering that they enjoy it. However, reaching as far as Denver was not part of our original plan; it was seen as overflow. If that number continues to grow, it will be beneficial. We are well positioned for success.

And there's some other little blocking and tackling, like Cripple Creek is in the middle of some of the best fly-fishing in the world. I mean there's fantastic fly-fishing around it. And there's fly-fishing guides, fly-fishing camps, and everything. So it's like, okay, we need to have a high roller weekend where everybody gets to go fly-fishing, and we have a fly-fishing tournament, and people will gamble in the evening. And in the same way the hotels in Las Vegas have golf tournaments. The fly-fishing around Las Vegas isn't so good. So you have golf tournaments, right? And there's no golf, of course, in Cripple Creek, so we can have fly-fishing tournaments, right? And so there's a lot of stuff like that that we're looking at. And frankly, for a fly-fishing tournament in, say, July, we can get gamblers to fly in from Texas for that. I mean there are nonstop flights from Dallas and Houston into Colorado Springs. It's a pretty easy trip actually. And so for the right high roller, now we have to find the high roller in Dallas who likes to fly-fish. But there are ways to find those people.

Our next question comes from the line of Jordan Bender with Citizens.

I think you described Chamonix as focusing on the higher-end, luxury customer. Is there a point this year where, if revenue isn't beginning to increase, you might consider shifting some of your focus to the middle or lower end, given that the cost structure is already established?

I apologize for any misunderstanding. Please know that we are very much focused on all tiers. Looking at my list for January and February, I can confirm that we have seen significant growth across every segment. While the top tier has experienced the most growth, we are also witnessing considerable growth down the line. If you bring an upper-tier customer into town, they are very likely to choose us exclusively. In contrast, a lower-tier customer may be more likely to share their business with other places. These are important considerations. We control about half of the room inventory in town, and as long as we see positive contributions to our bottom line, we will actively market to these customers. Typically, in the first couple of years, the focus is on attracting customers and identifying those that enhance our financial performance. After a year, we begin to analyze and adjust; for instance, a customer who used to receive a complimentary room on Fridays might not get that anymore but may be interested in a room on Wednesdays. Over time, we will continue to refine our database and optimize our offerings. We are still in the early stages of this optimization process.

Year-over-year, the EBITDA was slightly off, almost flat. For 2024, it's projected to be just above 12%, while in 2025, it is expected to be just below 12%. It should be in the high teens. Looking at the margins, the property generated $70 million in revenue, and if you apply a typical regional gaming margin, it could be in the high teens, possibly even reaching the low 20s. We have implemented several management changes, including appointing a new General Manager, a new food and beverage manager, a new table games manager, a new HR Director, and a new Finance Director. Previously, the same management team had been in place since the property opened 15 years ago. We have made significant changes over the last year with the goal of improving income. While we are also focused on revenue, this market is quite saturated. The local population gambles more per capita than in many other areas, but it is not a wealthy region. Therefore, the opportunity for improvement lies in being more efficient, and we expect some revenue growth as well. This property is a solid asset for us, but it should be generating more profit than it currently does. I believe we will reach that goal by 2026.

Not to the high teens in 2026, but I think...

I'd be disappointed if we don't get to 15%, but that's not 19%, but 19% is not out of the question. When you look at what you should be bringing to the bottom line with $70 million of revenue and in a state where the gaming taxes aren't particularly high. And we're on the same page.

Our next question comes from the line of Chad Beynon with Macquarie Asset Management.

Wanted to ask about your Sports Wagering business supporting over around $7 million of EBITDA this year. I guess talking about a cash cow, that's certainly a good one with pretty high margins there. Can you talk about how that contract looks, if there's any risk to that in '26 or if we should continue to assume the same amount for the year?

Most of that is with Circa in Illinois, and I think they're pretty satisfied with what they have. They also run the sportsbook in the temporary casino and in the permanent one. Illinois has a large population and a limited number of licenses, making this the most valuable license we hold. We do have other licenses available, one of which was purchased upfront by a market for several years. This is why the deferred revenue is a bit over $5 million. Recently, we made a change that the Gaming Commission approved last week. We've operated a sportsbook in the Grand Lodge Casino at Tahoe for many years, but it has been small and leased to an outside operator who did not make it very significant for us. A new startup company approached us to take over and invest in it to make it more meaningful. Although it’s not material to the whole company, they're paying us significantly more in rent than we were receiving, and more importantly, they’re paying closer attention to it. This change may not be material to the company overall, but I believe it is a positive step in bringing in a different operator. We generally avoid operating these ourselves as we lack the diversity to manage the risk effectively. For example, if we have a sportsbook at the Silver Slipper and the Saints reach the Super Bowl, all our customers would bet on the Saints with no opposing bets. It's more effective to leave it to someone specializing in that business, and we focus on obtaining license fees.

If you're considering what the ongoing number should be, there has been a lot of fluctuation in that area over the past year or two. The appropriate figure for EBITDA is approximately $5.9 million if you take into account the minimums on the current contracts.

No, there's always risk. I mean if Circa decides to cancel and leave the business, there's some limitations in the contract on their ability to do that. But it's not like a treasury bond; I mean it could happen.

Yes. I will say, though, Circa has sports in their DNA more than most companies. They love that sportsbook in Illinois, and they really embrace the sports side. I'm looking at Adam as I say this, and I think there's still the patch on the Chicago hockey team, the Blackhawks. I would be surprised if there are any changes there anytime soon.

And frankly, the permanent casino has a sportsbook that's kind of modeled after the one at Durango Station, and that should be good for both us and Circa.

Lewis, I'm eager to hear more about the financing details in the coming weeks. You mentioned an 18- to 24-month construction period for the permanent project. If the deal goes through and you decide to advance with the more significant expenditures of the project, will there be a considerable amount of capital expenditure in 2026? Possibly some of that in the fourth quarter? Or can we expect most of the permanent spending, the actual outflows, to occur in 2027? Any insight on this would be appreciated.

Most of it's '27.

'27, yes.

I mean some may even spill into '28. Some of the construction payments are made in arrears, for example.

A big portion will be made in arrears, yes.

But how much falls in this year depends a lot on exactly when we get going. The foundation isn't a big number, but it does take time. So you literally have a guy moving a bulldozer around, and then they dig trenches and pour some concrete, which is the foundations for the building that will go up. If you had the pause after doing that, like let's say, the debt markets just weren't cooperating and we had to pause for several months, it's okay. The concrete doesn't go bad. It's still there, right? And you can come back and finish. Now hopefully, we don't have to. Hopefully, we have the financing arranged. And so by the time we're done with the foundations, we can move into the other stuff. But you don't really want to go into the heavier spending until you know you have the money to finish it. And so we're willing to start on the foundation so that we can speed up the opening date and that we can fund with our existing resources while we try to nail down the financing.

I want to mention that Dan and I discussed this at lunch. We are looking at an 18- to 24-month build timeframe. It's important to note that the construction is relatively straightforward. There are no underground elements or parking garages, and it's not a high-rise; rather, it's a basic two-story rectangular building. While the interior design will be quite elaborate, the actual construction of the structure is on the easier side compared to what we've experienced before.

Actually, only a small part of it is two-story. Most of it's one story.

Exactly right. So we talk about 18 to 24 months, but we'll keep you updated, and we feel good that it is an easier project to build.

We'll go as fast as we can, but we don't want to incur a lot of overtime.

Our next question comes from the line of John DeCree with CBRE.

Just one from me on Waukegan. I think if I'm not mistaken, just kind of hit the three-year anniversary a couple of weeks ago and 11% growth in the fourth quarter, so still growing double digits. I know you talked a little bit about it in your prepared remarks, but I don't know, Lewis or Dan, if you could give us a little bit more insight as to kind of what's driving the growth there? Is it bigger database? Are you still growing the database? Or is it more spend per the existing database? I'm guessing that double-digit growth, it's probably a little bit of both. But three years in still growing double digits is pretty great. So if you could give us a little more color on what's going on there, that would be helpful.

I want to acknowledge the team we have in Illinois. While we had some challenges in Colorado that required us to assemble a new team, we started with a strong group in Illinois who has consistently found ways to enhance our market presence and customer satisfaction each month and quarter. Our casino is the only one in the area that has been recognized by the Chicago Tribune as one of the best employers, appearing on their list for two consecutive years among 50 top employers. This recognition contributes to very low employee turnover, which is beneficial. The team is always looking for ways to improve. If we had an equally strong team in Colorado, our performance there would be significantly better. The quality of our people matters, and in Illinois, we also have the right demographics, being the closest casino to a million people. Our location is highly visible. While the exterior resembles a Department of Motor Vehicles storage facility, the interior feels like a genuine casino, and despite spending conservatively on upgrades, visitors are often pleasantly surprised by what they find inside. We believe we have the right product offered in the right market.

To answer your question, it's a bit of both. The database is still growing at a pace very similar to what it was three, six, or nine months ago. It hasn't slowed down in terms of adding new names. We've now crossed 121,000 names and are nearing 125,000, showing no signs of slowing down. So, it's a mix of both factors.

And we've done it without hurting the competition. I mean most of it is increased gambling by people in Lake County, which is what we expected. And I guess I should also give a tip of the hat to Alex, who forecasted that this is exactly what would happen, and he's been right.

Thank you. We have reached the end of the question-and-answer session. I would like to turn the floor back over to President and Chief Financial Officer, Lewis Fanger, for closing remarks.

I'll turn it over to Dan. Any last words?

No. Listen, it's been kind of a challenging year fixing Colorado while we try to figure out how to finance the permanent American Place. But I think we now have the team in place, and this stuff is trending the right way in Colorado, and I think we're on the cusp of having the financing arranged for American Place. So it doesn't happen overnight. I mean I think the financing would be in place in May or June, which is approximately when we would also have the extension that we mentioned and the legislature. But hopefully, by the time we're having this call for the next quarter, we have a lot more concrete stuff we can talk about. So thank you very much, everybody.

This concludes today's conference, and you may disconnect your lines at this time. We thank you for your participation.