Accel Entertainment (ACEL) Q1 2026 earnings summary

Executive summary

• Achieved record Q1 2026 revenue of $352 million, up 9% year-over-year, with strong performance in Illinois and developing markets such as Nebraska and Georgia.

• Adjusted EBITDA reached $54 million, up 9% year-over-year, marking the highest Q1 adjusted EBITDA to date.

• Net income was $15 million, flat compared to Q1 2025, impacted by timing of Fairmount Park purse expense.

• Expanded to 4,540 locations and 28,353 gaming terminals, increases of 3% and 4% year-over-year, respectively.

• Leadership transition underway: Mark Phelan to become CEO in August 2026, with Andy Rubenstein moving to Chairman.

Financial highlights

• Net gaming revenue rose 10% year-over-year to $331 million, driving top-line growth.

• Total net revenues grew to $351.6 million from $323.9 million, an 8.5% increase year-over-year.

• Operating income increased to $27.1 million from $26.0 million year-over-year.

• Adjusted EBITDA was $54 million, up 9% year-over-year; excluding a $2 million purse expense timing shift, Adjusted EBITDA and net income would have been higher.

• Free cash flow was $20.2 million, with a conversion rate of 37.6%.

Outlook and guidance

• Full-year 2026 CapEx expected at $60–$70 million, down from $89 million in 2025 as Fairmount Park investment normalizes.

• Anticipates first Chicago locations to go live in late 2026 or Q1 2027, representing a major near-term growth opportunity.

• Focus remains on organic growth in core markets, scaling profitability in developing markets, and disciplined acquisitions.

• Free cash flow expected to continue growing as CapEx normalizes and developing markets scale.

• No significant legislative progress expected in 2026 for new gaming markets.