Company: ACEL
Filing Date: 2025-11-04
Form Type: 10-Q
Source: 0001698991-25-000051
Chunk: 35

Company: Accel Entertainment, Inc.
Filing Date: 2025-11-04
Form: 10-Q
Item: Item 1
Chunk 35
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 debt extinguishmentThe Company’s distributed gaming reportable segment consists of the installation, maintenance, and operation of gaming terminals, redemption devices that disburse winnings and contain ATM functionality and other amusement devices in authorized non-casino locations such as restaurants, bars, convenience stores, liquor stores, truck stops and grocery stores. The Company’s operations and services are consistent in the Company’s markets.The Company has determined that with the acquisition of Fairmount, it has two operating segments: distributed gaming and casino and racing as of September 30, 2025. However, the casino and racing operating segment does not meet the criteria of a reportable segment primarily from a quantitative standpoint as of September 30, 2025. The Company will continue to evaluate from a quantitative and qualitative standpoint whether the casino and racing operating segment meets the criteria of a reportable segment. Significant segment expenses, including disaggregated significant expenses that are presented within general and administrative expenses, are presented in the Company’s condensed consolidated statement of operations and comprehensive income and are included in the table below.The following table presents financial information with respect to the Company’s single reportable segment, distributed gaming, for the three and nine months ended September 30, 2025 and 2024. Additionally, the Company has included an "all other" operating segment which is its casino and racing operations that is neither individually reportable nor able to be aggregated or combined with another operating segment. 

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

(in thousands)Three Months EndedSeptember 30,Nine Months EndedSeptember 30,2025202420252024Distributed gamingTotal net revenues (1)$319,418 $302,227 $963,857 $913,457 Adjustments: (2)Cost of revenue220,849 210,841 666,734 633,325 Compensation related costs - operations (3)22,646 19,532 64,734 56,918 Compensation related costs - general and administrative (3)11,743 13,373 37,121 38,659 All other segment items (4)12,523 12,602 40,555 42,763 Adjusted EBITDA for distributed gaming$51,657 $45,879 $154,713 $141,792 Adjusted EBITDA for “all other” operating segment (5)$(487)$