Company: ACEL
Filing Date: 2025-08-05
Form Type: 10-Q
Source: 0001698991-25-000034
Chunk: 9

Company: Accel Entertainment, Inc.
Filing Date: 2025-08-05
Form: 10-Q
Item: Item 1
Chunk 9
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 Balance, June 30, 2024$— 82,958,153 $8 $207,199 (12,394,324)$(127,545)$7,940 $121,486 $209,088 

The accompanying notes are an integral part of these condensed consolidated financial statements

3

ACCEL ENTERTAINMENT, INC.CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS(Unaudited)(In thousands)Six Months EndedJune 30,20252024Cash flows from operating activities:Net income $21,875 $22,002 Adjustments to reconcile net income to net cash provided by operating activities:Depreciation and amortization of property and equipment25,396 21,228 Amortization of intangible assets and route and customer acquisition costs12,612 11,027 Amortization of debt issuance costs864 904 Loss (gain) on change in fair value of contingent earnout shares3,379 (26)Stock-based compensation4,880 5,585 Loss on disposal of property and equipment258 218 Net loss on write-off of route and customer acquisition costs and route and customer acquisition costs payable910 841 Remeasurement of contingent consideration808 4,552 Payments on consideration payable(481)(1,258)Accretion of interest on route and customer acquisition costs payable, contingent consideration, and contingent stock consideration1,100 647 Deferred income taxes(2,575)(289)Changes in operating assets and liabilities:Prepaid expenses, deposits and other current assets18 (3,659)Accounts receivable, net(1,214)(1,682)Inventories(1,548)148 Route and customer acquisition costs(7,475)(6,414)Route and customer acquisition costs payable2,935 2,865 Accounts payable and accrued expenses3,786 1,337 Accrued compensation and related expenses997 (1,453)Other assets(1,968)1,041 Net cash provided by operating activities64,557 57,614 Cash flows from investing activities:Purchases of property and equipment(52,797)(38,147)Proceeds from the sale of property and equipment1,177 330 Proceeds from the settlement of convertible notes1,500 — Deposits against a portion of the purchase price on a pending business acquisition— (9,