Company: ACEL
Filing Date: 2025-08-05
Form Type: 10-Q
Source: 0001698991-25-000034
Chunk: 16

Company: Accel Entertainment, Inc.
Filing Date: 2025-08-05
Form: 10-Q
Item: Item 1
Chunk 16
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3, the Company and Gold Rush Amusements, Inc. (“Gold Rush”), another terminal operator in Illinois, entered into a settlement agreement which resolved any and all lawsuits and all outstanding obligations under the Company’s investment in Gold Rush’s convertible notes. The Company received the remaining $1.5 million due under the settlement agreement in April 2025. 

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Table of ContentsAccel Entertainment, Inc. and SubsidiariesNotes to Condensed Consolidated Financial Statements — (Continued)

Note 5. Property and Equipment

Property and equipment consist of the following as of June 30, 2025, and December 31, 2024 (in thousands):June 30,2025December 31,2024Gaming terminals, software and equipment$439,226 $415,003 Amusement, ATM and other equipment29,148 29,174 Office equipment and furniture6,875 4,281 Computer equipment and software25,888 23,136 Leasehold improvements10,719 10,151 Vehicles22,728 22,974 Buildings and improvements44,679 30,105 Land7,718 7,718 Construction in progress2,449 4,453 Total property and equipment589,430 546,995 Less accumulated depreciation and amortization(261,126)(238,998)Total property and equipment, net$328,304 $307,997 

Depreciation and amortization of property and equipment was $13.1 million and $25.4 million for the three and six months ended June 30, 2025, respectively. In comparison, depreciation and amortization of property and equipment was $10.8 million and $21.2 million for the three and six months ended June 30, 2024, respectively. 

Note 6. Route and Customer Acquisition Costs

The Company enters into contracts with third parties and its gaming locations to install and operate gaming terminals. Payments are due when gaming operations commence and then on a periodic basis for a specified period of time thereafter. Gross payments due, based on the number of live locations, were approximately $15.1 million and $11.2 million as of June 30, 2025 and December 31, 2024, respectively. Payments are due over varying terms of the individual agreements and are discounted at the Company’s incremental borrowing rate associated with its long-term debt at the time the contract is