Document And Entity Information
Document And Entity Information - shares | 3 Months Ended | |
Mar. 31, 2024 | May 06, 2024 | |
Document Information [Line Items] | ||
Entity Central Index Key | 0001593548 | |
Entity Registrant Name | PLAYAGS, INC. | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Period Focus | Q1 | |
Document Fiscal Year Focus | 2024 | |
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2024 | |
Document Transition Report | false | |
Entity File Number | 001-38357 | |
Entity Incorporation, State or Country Code | NV | |
Entity Tax Identification Number | 46-3698600 | |
Entity Address, Address Line One | 6775 S. Edmond St., Ste #300 | |
Entity Address, City or Town | Las Vegas | |
Entity Address, State or Province | NV | |
Entity Address, Postal Zip Code | 89118 | |
City Area Code | 702 | |
Local Phone Number | 722-6700 | |
Title of 12(b) Security | Common stock, $0.01 par value | |
Trading Symbol | AGS | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 39,454,547 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Current assets | ||
Cash and cash equivalents | $ 40,362 | $ 50,936 |
Restricted cash | 220 | 244 |
Accounts receivable, net of allowance for credit losses $1,187 and $1,251, respectively | 70,998 | 68,499 |
Inventories | 36,547 | 36,081 |
Prepaid expenses | 6,710 | 5,473 |
Deposits and other | 3,576 | 4,145 |
Total current assets | 158,413 | 165,378 |
Property and equipment, net | 77,433 | 78,768 |
Goodwill | 290,987 | 290,486 |
Intangible assets, net | 118,320 | 123,436 |
Deferred tax asset | 7,781 | 7,680 |
Operating lease assets, net | 9,214 | 9,862 |
Other assets | 4,540 | 4,728 |
Total assets | 666,688 | 680,338 |
Current liabilities | ||
Accounts payable | 5,020 | 5,406 |
Accrued liabilities | 35,548 | 35,926 |
Current maturities of long-term debt | 6,239 | 6,253 |
Total current liabilities | 46,807 | 47,585 |
Long-term debt | 532,254 | 547,499 |
Deferred tax liability, non-current | 2,541 | 2,326 |
Operating lease liabilities, long-term | 7,920 | 8,636 |
Other long-term liabilities | 4,227 | 6,625 |
Total liabilities | 593,749 | 612,671 |
Commitments and contingencies (Note 12) | ||
Stockholders’ equity | ||
Preferred stock at $0.01 par value; 50,000,000 shares authorized, no shares issued and outstanding | 0 | 0 |
Common stock at $0.01 par value; 450,000,000 shares authorized at March 31, 2024 and at December 31, 2023; and 39,378,705 and 38,947,674 shares issued and outstanding at March 31, 2024 and December 31, 2023, respectively | 393 | 389 |
Additional paid-in capital | 419,841 | 417,689 |
Accumulated deficit | (350,850) | (353,044) |
Accumulated other comprehensive income | 3,555 | 2,633 |
Total stockholders’ equity | 72,939 | 67,667 |
Total liabilities and stockholders’ equity | $ 666,688 | $ 680,338 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Accounts receivable, allowance | $ 1,187 | $ 1,251 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 50,000,000 | 50,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 450,000,000 | 450,000,000 |
Common stock, shares issued (in shares) | 39,378,705 | 38,947,674 |
Common stock, shares outstanding (in shares) | 39,378,705 | 38,947,674 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) Income (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | ||
Revenues | |||
Total revenues | $ 95,973 | $ 83,175 | |
Operating expenses | |||
Selling, general and administrative | 18,110 | 17,205 | |
Research and development | 10,918 | 10,789 | |
Write-downs and other (gains) charges | (24) | 204 | |
Depreciation and amortization | 19,439 | 19,142 | |
Total operating expenses | 76,173 | 71,429 | |
Income from operations | 19,800 | 11,746 | |
Other expense (income) | |||
Interest expense | 13,980 | 13,704 | |
Interest income | (685) | (357) | |
Loss on extinguishment and modification of debt | 1,636 | 0 | |
Other income | (137) | (78) | |
Income (loss) before income taxes | 5,006 | (1,523) | |
Income tax (expense) benefit | (661) | 1,189 | |
Net income (loss) | 4,345 | (334) | |
Foreign currency translation adjustment | 922 | 3,413 | |
Total comprehensive income | $ 5,267 | $ 3,079 | |
Basic and diluted income (loss) per common share: | |||
Basic (in dollars per share) | $ 0.11 | $ (0.01) | |
Diluted (in dollars per share) | $ 0.1 | $ (0.01) | |
Weighted average common shares outstanding: | |||
Basic (in shares) | 39,205 | 37,811 | |
Diluted (in shares) | 39,346 | 37,811 | |
Gaming Operations [Member] | |||
Revenues | |||
Total revenues | $ 62,060 | $ 58,642 | |
Operating expenses | |||
Cost of goods and services | [1] | 12,074 | 11,756 |
Equipment Sales [Member] | |||
Revenues | |||
Total revenues | 33,913 | 24,533 | |
Operating expenses | |||
Cost of goods and services | $ 15,656 | $ 12,333 | |
[1]exclusive of depreciation and amortization |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Changes In Stockholders' Equity (Unaudited) - USD ($) $ in Thousands | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] |
Balance, beginning of period at Dec. 31, 2022 | $ 378 | $ 406,436 | $ (353,125) | $ (4,328) | |
Vesting of restricted stock | 1 | (1) | |||
Stock-based compensation expense | 2,544 | ||||
Stock option exercises | 0 | ||||
Net income (loss) | $ (334) | (334) | |||
Restricted stock vesting and withholding | (27) | ||||
Foreign currency translation adjustment | 3,413 | 3,413 | |||
Balance, end of period at Mar. 31, 2023 | 54,957 | 379 | 408,979 | (353,486) | (915) |
Balance, beginning of period at Dec. 31, 2023 | 67,667 | 389 | 417,689 | (353,044) | 2,633 |
Vesting of restricted stock | 4 | (4) | |||
Stock-based compensation expense | 2,106 | ||||
Stock option exercises | 50 | ||||
Net income (loss) | 4,345 | 4,345 | |||
Restricted stock vesting and withholding | (2,151) | ||||
Foreign currency translation adjustment | 922 | 922 | |||
Balance, end of period at Mar. 31, 2024 | $ 72,939 | $ 393 | $ 419,841 | $ (350,850) | $ 3,555 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Cash flows from operating activities | ||
Net income (loss) | $ 4,345 | $ (334) |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Depreciation and amortization | 19,439 | 19,142 |
Accretion of contract rights under development agreements and placement fees | 1,576 | 1,545 |
Amortization of deferred loan costs and discount | 597 | 628 |
Write-off of deferred loan costs and discount | 742 | 0 |
Stock-based compensation expense | 2,106 | 2,544 |
Provision for bad debts | 137 | 10 |
(Gain) loss on disposition of long-lived assets | (44) | 83 |
Impairment of assets | 20 | 121 |
Benefit (expense) from deferred income tax | 270 | 591 |
Changes in assets and liabilities related to operations: | ||
Accounts receivable | (2,357) | (4,393) |
Inventories | 1,025 | (1,880) |
Prepaid expenses | (1,230) | (2,286) |
Deposits and other | 592 | (467) |
Other assets, non-current | 784 | 1,763 |
Accounts payable and accrued liabilities | (1,677) | (12,900) |
Net cash provided by operating activities | 26,325 | 4,167 |
Cash flows from investing activities | ||
Proceeds from payments on customer notes receivable | 0 | 598 |
Software development and other expenditures | (5,852) | (4,973) |
Proceeds from disposition of assets | 12 | 11 |
Purchases of property and equipment | (9,432) | (8,739) |
Net cash (used in) investing activities | (15,272) | (13,103) |
Cash flows from financing activities | ||
Payment of financed placement fee obligations | (1,441) | (1,356) |
Proceeds from stock option exercise | 50 | 0 |
Payment of deferred loan costs | (5) | 0 |
Payment of previous acquisition obligation | 0 | (55) |
Payment on finance leases and other obligations | (2,177) | (504) |
Repurchase of stock | (1,655) | (27) |
Net cash (used in) financing activities | (21,666) | (3,380) |
Effect of exchange rates on cash, cash equivalents and restricted cash | 15 | (7) |
Net decrease in cash, cash equivalents and restricted cash | (10,598) | (12,323) |
Cash, cash equivalents and restricted cash, beginning of period | 51,180 | 37,911 |
Cash, cash equivalents and restricted cash, end of period | 40,582 | 25,588 |
Non-cash investing and financing activities: | ||
Leased assets obtained in exchange for new operating lease liabilities | 0 | 882 |
Leased assets obtained in exchange for new finance lease liabilities | 84 | 25 |
Property and equipment obtained in exchange for new other long-term liability | 392 | 0 |
First Lien Credit Facilities [Member] | ||
Cash flows from financing activities | ||
Repayment of long-term debt | $ (16,438) | $ (1,438) |
Note 1 - Description of the Bus
Note 1 - Description of the Business and Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Business Description and Accounting Policies [Text Block] | NOTE 1. Description of Business PlayAGS, Inc. (the "Company," "PlayAGS," "we," "us," or "our") is a leading designer and supplier of gaming products and services for the gaming industry. We operate in legalized gaming markets across the globe and provide state-of-the-art, value-add products in three Electronic Gaming Machines Our EGM segment offers a library of proprietary video slot titles developed for the global marketplace, and EGM cabinets which include our premium lease-only cabinets of Spectra UR43 Premium Orion Starwall Orion Curve Premium Big Red UR43, UR49C, Orion Portrait Orion Slant Orion Curve Orion Upright ICON Table Products Our Table Products include both internally developed and acquired proprietary table products, side-bets, progressives, and table technology related to blackjack, poker, baccarat, craps and roulette. We have acquired a number of popular proprietary brands, including In Bet Gaming (“In Bet”), Buster Blackjack, Double Draw Poker Criss Cross Poker Dex S, second Pax S Interactive We specialize in providing a Business-to-Business ( "B2B" AGS also offers Business-to-Consumer (“ B2C Basis of Presentation The accompanying condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). Accordingly, certain disclosures required by generally accepted accounting principles (“GAAP”) are omitted or condensed in these condensed consolidated financial statements. In the opinion of management, all adjustments (consisting of only normal recurring adjustments) that are necessary for a fair statement of the Company's financial position, results of operations and cash flows for the interim periods have been made. The interim results reflected in these condensed consolidated financial statements are not 10 December 31, 2023 Principles of Consolidation The accompanying condensed consolidated financial statements include the Company and its wholly owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. Use of Estimates The preparation of financial statements in conformity with GAAP requires the Company to make decisions based upon estimates, assumptions, and factors considered relevant to the circumstances. Such decisions include the selection of applicable accounting principles and the use of judgment in their application, the results of which impact reported amounts and disclosures. Changes in future economic conditions or other business circumstances may Revenue Recognition Leasing of equipment in both our EGM and Table Products segments is accounted for under lease accounting guidance in ASC 842, Leases 842 606 Revenue from contracts with customers 606 The following table disaggregates our revenues by type within each of our segments (amounts in thousands): Three Months Ended March 31, 2024 2023 EGM Gaming operations $ 53,799 $ 52,413 Equipment sales 33,452 24,145 Total $ 87,251 $ 76,558 Table Products Gaming operations $ 4,105 $ 3,706 Equipment sales 461 388 Total $ 4,566 $ 4,094 Interactive Gaming Operations $ 4,156 $ 2,523 Total $ 4,156 $ 2,523 Total Revenue $ 95,973 $ 83,175 Gaming Operations Gaming operations revenue is earned by providing customers with gaming machines, gaming machine content licenses, table products, back-office equipment and linked progressive systems, which are collectively referred to as gaming equipment, under participation arrangements. The participation arrangements convey the right to use the equipment (i.e., gaming machines and related integral software) for a stated period of time, which typically ranges from one three no Under participation arrangements, the Company retains ownership of the gaming equipment installed at the customer facilities and receives either revenue based on a percentage of the win per day generated by the gaming equipment or a fixed daily fee. Thus, in our consolidated financial statements the Company records revenue monthly related to these arrangements and the gaming equipment is recorded in property and equipment, net on our condensed consolidated balance sheet and depreciated over the expected life of the gaming equipment. The majority of the Company’s leases require the Company to provide maintenance throughout the entire term of the lease. In some cases, a performance guarantee exists that, if not Gaming operations revenue is also earned from the licensing and maintenance of gaming equipment content and licensing of table product content. It is earned and recognized primarily on a daily or monthly fixed rate. Our B2C B2C B2B Equipment Sales Revenues from contracts with customers are recognized and recorded when the following criteria are met: • We have a contract that has been approved by both the customer and the Company. Our contracts specify the products being sold and payment terms and are recognized when it is probable that we will collect substantially all of the contracted amount; and • Control has been transferred and services have been rendered in accordance with the contract terms. Equipment sales are generated from the sale of gaming machines, table products and licensing rights to the integral game content software that is installed in the related equipment, parts, and other ancillary equipment. Also included within the deliverables are delivery, installation and training, all of which occur within a few days of arriving at the customer location. Equipment sales do not 30 90 12 24 The Company enters into revenue arrangements that may may may Revenue is allocated to the separate performance obligations based on relative standalone selling prices determined at contract inception. Standalone selling prices are primarily determined by prices that we charge for the products when they are sold separately. When a product is not Revenue allocated to any undelivered performance obligations is recorded as a contract liability. The balance of our contract liabilities was not March 31, 2024 December 31, 2023 Cash and Cash Equivalents Cash and cash equivalents consist primarily of deposits held at major banks and other marketable securities with original maturities of 90 Restricted Cash Restricted cash amounts represent funds held in escrow as collateral for the Company’s surety bonds for various gaming authorities. Receivables, Allowance for Credit Losses Management estimates the allowance for expected credit losses balance using relevant available information from internal and external sources, relating to past events, current conditions, and reasonable and supportable forecasts. Historical credit loss experience provides the basis for the estimation of expected credit losses. Adjustments to historical loss information are made for differences in the current environmental economic conditions and reasonable and supportable forecast. The allowance for expected credit losses on financial instruments is measured on a collective (pool) basis when similar risk characteristics exist. The financial instruments that do not not For the period ended March 31, 2024 no Inventories Inventories consist primarily of parts and supplies that are used to repair and maintain machinery and equipment as well as EGMs in production and finished goods held for sale. Inventories are stated at net realizable value. Cost of inventories is determined using the first first March 31, 2024 December 31, 2023 March 31, 2024 December 31, 2023 March 31, 2024 December 31, 2023 Property and Equipment The cost of gaming equipment, consisting of fixed-base player terminals, file servers and other support equipment as well as other property and equipment, is depreciated over their estimated useful lives, using the straight-line method for financial reporting. The Company capitalizes costs incurred for the refurbishment of used gaming equipment that is typically incurred to refurbish a machine in order to return it to its customer location. The refurbishments extend the life of the gaming equipment beyond the original useful life. Repairs and maintenance costs are expensed as incurred. The Company routinely evaluates the estimated lives used to depreciate assets. The estimated useful lives are as follows: Gaming equipment (in years) 1 to 5 Other property and equipment (in years) 3 to 5 Financed leased cars and leasehold improvements are amortized/depreciated over the life of the contract. The Company reviews its property and equipment for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset or asset group may not not When the estimated undiscounted cash flows are not The Company measures recoverability of assets to be held and used by comparing the carrying amount of an asset to future cash flows expected to be generated by the asset. The Company’s policy is to impair, when necessary, excess or obsolete gaming machines on hand that are not Intangible Assets The Company reviews its identifiable intangible assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not not When the estimated undiscounted cash flows are not Certain trade names have an indefinite useful life and the Company tests these trade names for possible impairment at least annually, on October 1, may not not Costs of Capitalized Computer Software Capitalized software development costs represent the Company’s internal costs to develop gaming titles to utilize on the Company’s gaming machines. Such costs are stated at cost and amortized over the estimated economic lives of the software. Software development costs are capitalized once technological feasibility has been established and are amortized when the software is available for general release. The gaming software we develop reaches technological feasibility when a working model of the gaming software is available. Any subsequent software maintenance costs, such as bug fixes and subsequent testing, are expensed as incurred. Discontinued software development costs are written off when the determination to discontinue is made. Software development costs are amortized over the expected life of the title or group of titles, if applicable, to amortization expense within the consolidated statements of operations. On a quarterly basis, or more frequently if circumstances warrant, the Company compares the net book value of its capitalized software development costs to the net realizable value on a title or group of title basis. The net realizable value is determined based upon certain assumptions, including the expected future revenues and net cash flows of the gaming titles or group of gaming titles utilizing that software, if applicable. Goodwill The excess of the purchase price of an acquired business over the estimated fair value of the assets acquired and the liabilities assumed is recorded as goodwill. The Company tests for possible impairment of goodwill at least annually, on October 1, not 0”, not may not not may Acquisition Accounting The Company applies the provisions of ASC 805, Business Combinations” 805 may one may Fair Value of Financial Instruments The Company applies the provisions of ASC 820, Fair Value Measurements 820" 820 • Level 1 • Level 2 • Level 3 The carrying values of the Company’s cash and cash equivalents, restricted cash, receivables and accounts payable approximate fair value because of the short-term maturities of these instruments. The fair value of our long-term debt is based on the quoted market prices for similar issues (Level 2 March 31, 2024 December 31, 2023 March 31, 2024 December 31, 2023 Carrying Amount Fair Value Carrying Amount Fair Value Long-term Debt $ 550,247 $ 551,454 $ 566,754 $ 567,658 Accounting for Income Taxes We conduct business globally and are subject to income taxes in U.S. federal, state, local, and foreign jurisdictions. Determination of the appropriate amount and classification of income taxes depends on several factors, including estimates of the timing and probability of realization of deferred income taxes, reserves for uncertain income tax positions and income tax payment timing. We account for income taxes under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the period that includes the enactment date. Taxes on income of our foreign subsidiaries are provided at the tax rates applicable to the tax jurisdictions in which they are located. Future tax benefits are recognized to the extent that realization of those benefits is considered more likely than not not The recoverability of certain deferred tax assets is based in part on estimates of future income and the timing of temporary differences, and the failure to fully realize such deferred tax assets could result in a higher tax provision in future periods. We apply the accounting guidance to our uncertain tax positions and under the guidance, we may not 50% We are required to make significant judgments when evaluating our uncertain tax positions and the related tax benefits. We believe our assumptions are reasonable; however, there is no not may Contingencies The Company assesses its exposures to loss contingencies including claims and legal proceedings and accrues a liability if a potential loss is considered probable and the amount can be estimated. Significant judgment is required in both the determination of probability and the determination as to whether an exposure is reasonably estimable. Because of uncertainties related to these matters, if the actual loss from a contingency differs from management’s estimate, there could be a material impact on the results of operations or financial position. Operating expenses, including legal fees, associated with contingencies are expensed when incurred. Foreign Currency Translation The financial statements of the Company’s foreign subsidiaries are translated into U.S. dollars at the period end rate of exchange for asset and liability accounts and the weighted average rate of exchange for income statement accounts. The effects of these translations are recorded as a component of other accumulated comprehensive income (loss) in stockholders’ equity. Research and Development Research and development costs related primarily to software product development costs and is expensed as incurred until technological feasibility has been established. Employee related costs associated with product development are included in research and development. Recently Issued Accounting Pronouncements In March 2023, No. 2023 01 842" 841, 2023 01 842 not In October 2023, No. 2023 06, s Disclosure Update and Simplification Initiative. No 2023 06 not No 2023 06 X June 30, 2027, not X not not In November 2023, No. 2023 07 280" No. 2023 07 280, December 15, 2023, December 15, 2024. not In December 2023, No. 2023 09 740" No. 2023 09 740, December 15, 2024. not |
Note 2 - Property and Equipment
Note 2 - Property and Equipment | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Property, Plant and Equipment Disclosure [Text Block] | NOTE 2. Property and equipment consist of the following (in thousands): March 31, 2024 December 31, 2023 Gaming equipment $ 266,483 $ 259,396 Other property and equipment 25,611 25,056 Less: Accumulated depreciation (214,661 ) (205,684 ) Total property and equipment, net $ 77,433 $ 78,768 Gaming equipment and other property and equipment are depreciated over the respective useful lives of the assets ranging from one five three March 31, 2024 2023 |
Note 3 - Goodwill and Intangibl
Note 3 - Goodwill and Intangibles | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Goodwill and Intangible Assets Disclosure [Text Block] | NOTE 3. Changes in the carrying amount of goodwill are as follows (in thousands): Gross Carrying Amount EGM Table Products Interactive(1) Total December 31, 2023 $ 281,435 $ 9,051 $ - $ 290,486 Foreign currency adjustments 501 - - 501 Balance at March 31, 2024 $ 281,936 $ 9,051 $ - $ 290,987 ( 1 March 31, 2024, 2024 Intangible assets consist of the following (in thousands): March 31, 2024 December 31, 2023 Useful Life Gross Accumulated Net Carrying Gross Accumulated Net Carrying (years) Value Amortization Value Value Amortization Value Indefinite-lived trade names Indefinite $ 12,126 $ - $ 12,126 $ 12,126 - $ 12,126 Trade and brand names 5 - 7 14,990 (14,794 ) 196 14,990 (14,779 ) 211 Customer relationships 5 - 12 223,158 (186,972 ) 36,186 222,690 (183,508 ) 39,182 Contract rights under development and placement fees 1 - 7 42,762 (31,694 ) 11,068 42,762 (30,118 ) 12,644 Gaming software and technology platforms 1 - 7 226,659 (173,685 ) 52,974 220,843 (167,869 ) 52,974 Intellectual property 10 - 12 21,845 (16,075 ) 5,770 21,845 (15,546 ) 6,299 Total intangible assets $ 541,540 $ (423,220 ) $ 118,320 $ 535,256 $ (411,820 ) $ 123,436 Intangible assets are amortized over their respective estimated useful lives ranging from one twelve three March 31, 2024 2023 The Company enters into development agreements and placement fee agreements with certain customers to secure floor space under lease agreements for its gaming machines. Amounts paid in connection with the development agreements are repaid to the Company in accordance with the terms of the agreement, whereas placements fees are not ninety ninety For development agreements in the form of a loan, interest income is recognized on the repayment of the notes based on the stated rate or, if not three March 31, 2024 2023, |
Note 4 - Accrued Liabilities
Note 4 - Accrued Liabilities | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Accounts Payable and Accrued Liabilities Disclosure [Text Block] | NOTE 4. Accrued liabilities consist of the following (in thousands): March 31, 2024 December 31, 2023 Salary and payroll tax accrual $ 12,926 $ 12,697 Taxes payable 4,327 3,337 Current portion of operating lease liability 2,605 2,595 License fee obligation 244 482 Placement fees payable 6,314 6,314 Deferred revenue 2,246 2,429 Accrued other 6,886 8,072 Total accrued liabilities $ 35,548 $ 35,926 |
Note 5 - Long-term Debt
Note 5 - Long-term Debt | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Long-Term Debt [Text Block] | NOTE 5. Long-term debt consists of the following (in thousands): March 31, 2024 December 31, 2023 First Lien Credit Facilities: Term loans, net of unamortized discount and deferred loan costs of $ 11.8 13.0 0.75 3.75 0.75 4 9.1 9.5 $ 536,746 $ 551,935 Finance leases 1,747 1,817 Total debt 538,493 553,752 Less: Current portion (6,239 ) (6,253 ) Long-term debt $ 532,254 $ 547,499 First Lien Credit Facilities On February 15, 2022, The Borrower is a direct subsidiary of AP Gaming Holdings, LLC, which is a direct subsidiary of AP Gaming, Inc., which is a direct subsidiary the Company. These entities between the Borrower and the Company are holding companies with no The Amended Credit Agreement provides (i) a senior secured first first Borrowings under the Amended Credit Agreement bear interest at a per annum rate equal to, at the Borrower’s election, either (a) an adjusted term Secured Overnight Financing Rate ("SOFR") for the interest period in effect, subject to a floor of (i) in the case of term loan borrowings, 0.75% one The New Term Loan Facility will mature on February 15, 2029 June 30, 2022, February 15, 2027. The Borrower may The Amended Credit Agreement includes customary mandatory prepayment events, affirmative covenants, negative covenants and events of default. In addition, the New Revolving Credit Facility requires the Borrower to comply on a quarterly basis, with a maximum net first 1.00 On February 5, 2024, June 6, 2017 ( December 6, 2017, February 7, 2018, October 5, 2018, August 30, 2019, May 1, 2020, August 4, 2021, February 15, 2022), Among other things, the Seventh Amendment (i) removes the credit spread adjustment with respect to term loan borrowings in Term SOFR (as defined in the Amended Credit Agreement) and (ii) reduces the Applicable Margin (as defined in the Amended Credit Agreement) on the Borrower’s existing term loan to 3.75% for Term SOFR borrowings and 2.75% for ABR (as defined in the Amended Credit Agreement) borrowings. Additionally, in conjunction with entry into the Seventh Amendment, the Company elected to repay $15 million of its total debt outstanding. An additional $1.6 million in loan costs including the write-off of deferred loan costs and third As of March 31, 2024 no Finance Leases The Company has entered into leases for vehicles and equipment that are accounted for as finance leases. |
Note 6 - Stockholders' Equity
Note 6 - Stockholders' Equity | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Equity [Text Block] | NOTE 6. Our amended and restated articles of incorporation provide that our authorized capital stock will consist of 450,000,000 shares of common stock, par value $0.01 per share, and 50,000,000 shares of preferred stock, par value $0.01 per share. As of March 31, 2024 zero Common Stock Voting Rights The holders of our common stock are entitled to one not Dividend and Distribution Rights All shares of our common stock are entitled to share equally in any dividends and distributions our board of directors may Share repurchase program During 2019, June 30, 2023, August 11, 2025. March 31, 2024 |
Note 7 - Write-downs and Other
Note 7 - Write-downs and Other Charges | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Asset Impairment Charges [Text Block] | NOTE 7. The condensed consolidated statements of operations and comprehensive loss include various transactions, such as loss on disposal or impairment of long-lived assets and fair value adjustments to contingent consideration that have been classified as write-downs and other charges. During the three March 31, 2024 not three March 31, 2023 3 |
Note 8 - Basic and Diluted Inco
Note 8 - Basic and Diluted Income (Loss) | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | NOTE 8. The Company computes net income (loss) per share in accordance with accounting guidance that requires presentation of both basic and diluted earnings per share (“EPS”) on the face of the condensed consolidated statement of operations and comprehensive loss. Basic EPS is computed by dividing net income (loss) for the period by the weighted average number of shares outstanding during the period. Basic EPS includes common stock weighted for average number of shares issued during the period. Diluted EPS is computed by dividing net income (loss) for the period by the weighted average number of common shares outstanding during the period, increased by potentially dilutive common shares that were outstanding during the period. Diluted EPS excludes all potential dilutive shares if their effect is anti-dilutive. Potentially dilutive common shares include stock options and restricted stock (see Note 10. Three Months Ended March 31, 2024 Numerator: Net income $ 4,345 Less: Net income attributable to participating securities 326 Net income attributable to common stock $ 4,019 Denominator: Weighted average of common shares outstanding, basic 39,205 Potential dilutive effect of stock options 141 Weighted average of common shares outstanding, diluted 39,346 Excluded from the calculation of diluted EPS for the three March 31, 2024 not three March 31, 2024 Excluded from the calculation of diluted EPS for the three March 31, 2023 not three March 31, 2023 |
Note 9 - Benefit Plans
Note 9 - Benefit Plans | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Compensation and Employee Benefit Plans [Text Block] | NOTE 9. The Company has established a 401 “401 401 may 401 three March 31, 2024 2023 On April 28, 2014, 2014 ten may not 2018 On January 16, 2018, may May 8, 2020, “2020 July 1, 2020 2020 On April 28, 2022, 2020 “2022 July 1, 2022 2022 2022 2022 March 31, 2024, |
Note 10 - Stock-based Compensat
Note 10 - Stock-based Compensation | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Share-Based Payment Arrangement [Text Block] | NOTE 10. The Company has granted equity or equity-based awards to eligible participants under its incentive plans. The awards include options to purchase the Company’s common stock, restricted stock and phantom stock units. These awards include time-based vesting awards as well as awards that include a combination of service and market conditions, as further described below. We recognize stock-based compensation on a straight-line basis over the total requisite service period for the entire award for the time-based restricted stock units; for the awards with market conditions, we recognize the expense over the service period derived from the related valuation; for the time-based phantom stock units, we concurrently recognize compensation cost over the requisite service period for each separately-vesting tranche using the graded vesting method. The following provides the total unrecognized stock-based compensation expense under all programs as of the following dates: March 31, 2024 March 31, 2023 Unrecognized Compensation Expense (in thousands) Expected Weighted Average Period to be Recognized (years) Unrecognized Compensation Expense (in thousands) Expected Weighted Average Period to be Recognized (years) Stock Options - - - - Restricted Stock Units 2,231 2.3 4,977 2.2 Phantom Stock Units 7,535 2.0 9,222 2.1 Total 9,766 4.3 14,199 4.3 Stock Options The Company calculates the grant date fair value of stock options that vest over a service period using the Black Scholes model. For stock options and other stock awards that contain a market condition related to the return on investment that the Company’s stockholders achieve or obtaining a certain stock price, the awards are valued using a lattice-based valuation model. The assumptions used in these calculations are the expected dividend yield, expected volatility, risk-free interest rate and expected term (in years). Expected volatilities are based on implied volatilities from comparable companies. The risk-free rate is based on the U.S. Treasury yield curve for a term equivalent to the estimated time to liquidity. There were no options granted during the three March 31, 2024 three March 31, 2023. Stock option awards represent options to purchase common stock and are granted pursuant to the Company’s incentive plans, and include options that the Company primarily classifies as Tranche A or time based, Tranche B and Tranche C. Tranche A or time-based options are eligible to vest in equal installments of 20% or 25% on each of the first five four not All other option awards, comprised of Tranche B and Tranche C, are eligible to vest upon the satisfaction of certain performance conditions (collectively, “Performance Options”). These performance conditions included the achievement of investor returns or common stock trading prices. These performance conditions were achieved in October 2018 A summary of the changes in stock options outstanding during the three March 31, 2024 Number of Options Options outstanding as of December 31, 2023 1,158,202 Granted - Exercised 7,773 Canceled or forfeited - Options outstanding as of March 31, 2024 1,150,429 Options exercisable as of March 31, 2024 1,150,429 Restricted Stock Units Restricted stock units are typically eligible to vest in equal installments of 25% on each of the first four 12 Certain restricted stock units are eligible to vest upon the satisfaction of certain performance conditions. Vesting occurs on the first not four A summary of the changes in restricted units outstanding during the three March 31, 2024 Shares Outstanding Restricted Stock Units Outstanding as of December 31, 2023 1,403,454 Granted 53,712 Vested 348,728 Canceled or forfeited 1,550 Restricted Stock Units Outstanding as of March 31, 2024 1,106,888 Phantom Stock Units Phantom stock units are typically eligible to vest in equal installments of 25% on each of the first four 12 March 31, 2024 may Certain phantom stock units are eligible to vest upon the satisfaction of certain performance conditions. Vesting occurs on the first A summary of the changes in phantom stock units outstanding during the three March 31, 2024 Shares Outstanding Phantom Stock Outstanding as of December 31, 2023 3,316,062 Granted - Vested 344,454 Canceled or forfeited 25,464 Phantom stock outstanding as of March 31, 2024 2,946,144 |
Note 11 - Income Taxes
Note 11 - Income Taxes | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | NOTE 11. The Company's effective income tax rate for the three March 31, 2024, three March 31, 2024, three March 31, 2023, three March 31, 2023, |
Note 12 - Commitments and Conti
Note 12 - Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | NOTE 12. The Company is subject to federal, state and Native American laws and regulations that affect both its general commercial relationships with its customers, as well as the products and services provided to them. Periodically, the Company reviews the status of each significant matter and assesses the potential financial exposure. If the potential loss from any claim or legal proceeding is considered probable and the amount can be estimated, the Company accrues a liability for the estimated loss. If a potential loss from any claim or legal proceeding is considered reasonably possible, the Company discloses an estimate of the possible loss or range of possible loss, or a statement that such an estimate cannot be made. Significant judgment is required in both the determination of probability and the determination as to whether an exposure is reasonably estimable. Because of uncertainties related to these matters, accruals are based only on the best information available at the time. As additional information becomes available, the Company reassesses the potential liability related to their pending claims and litigation and may On June 25, July 31, 2020, two August 2, 2018 August 7, 2019. 10 20 1934, 2019 August 7, 2019. On August 4, 2020, third first two May 3, 2018). 50% 10 20 2019 11, 12 2 15 1933, August 2018 March 2019 On October 28, 2020, three January 11, 2021, 10 20 May 3, 2018 March 4, 2020), 11, 12 2 15 August 7, 2019, November 7, 2019, March 4, 2020. 303 105 not On February 23, 2021, March 25, 2021 January 26, 2018. May 24, 2021, December 2, 2022, second 10 not On January 17, 2023, December 2, 2022 March 22, 2023. March 23, 2023, February 13, 2024, March 14, 2024, July 3, 2024 ( 30 no On March 18, 2022, 10 21D June 9, 2022, January 27, 2023, no At this time, we are unable to estimate the probability or the amount of liability, if any, related to the securities class action or the shareholder derivative matter. In January 2021, May 2016 August 2019. We believe that we were not August 2024. We have not not not may may August 2019. May 2016 August 2019, December 31, 2023 not no not In May 2023, not In December 2023 January 2024 no no February 2024, not We have not |
Note 13 - Operating Segments
Note 13 - Operating Segments | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | NOTE 13. We report our business segment results by segment in accordance with the “management approach.” The management approach designates the internal reporting used by our chief operating decision maker (“CODM”), who is our Chief Executive Officer, for making decisions and assessing performance of our reportable segments. See Note 1. Segment revenues include leasing, licensing, or selling of products within each reportable segment. Segment Adjusted EBITDA includes the revenues and operating expenses from each segment adjusted for: • Write-downs and other include items related to loss on disposal or impairment of long-lived assets and fair value adjustments to contingent consideration; • Depreciation, amortization; • Loss on extinguishment and modification of debt primarily relates to the refinancing of long-term debt, in which deferred loan costs and discounts related to old senior secured credit facilities were written-off; • Other adjustments are primarily composed of the following: • Costs and inventory and receivable valuation charges associated with the COVID- 19 • Acquisition and integration-related costs related to the purchase of businesses and to integrate operations and obtain costs synergies; • Restructuring and severance costs, which primarily relate to costs incurred through the restructuring of the Company’s operations from time to time and other employee severance costs recognized in the periods presented; • Legal and litigation related costs, which consist of payments to law firms and settlements for matters that are outside the normal course of business; • Other non-cash charges are costs related to non-cash charges and losses on the disposition of assets, non-cash charges on capitalized installation and delivery, which primarily includes the costs to acquire contracts that are expensed over the estimated life of each contract and non-cash charges related to accretion of contract rights under development agreements; and • Non-cash stock-based compensation includes non-cash compensation expense related to grants of options, restricted stock, and other equity awards. Revenues in each segment are attributable to third Segment Adjusted EBITDA excludes other income and expense, income taxes and certain expenses that are managed outside of the operating segments. The following provides financial information concerning our reportable segments for the three March 31, 2024 2023 Three Months Ended March 31, 2024 2023 Revenues by segment EGM $ 87,251 $ 76,558 Table Products 4,566 4,094 Interactive 4,156 2,523 Total Revenues 95,973 83,175 Adjusted EBITDA by segment EGM 39,681 34,032 Table Products 2,406 2,251 Interactive 1,932 220 Subtotal 44,019 36,503 Write-downs and other: Disposal of long-lived assets (44 ) 83 Impairment of long-lived assets 20 121 Depreciation and amortization 19,439 19,142 Interest expense, net of interest income and other 13,158 13,269 Loss on extinguishment and modification of debt 1,636 - Other adjustments 429 413 Other non-cash charges 2,269 2,454 Non-cash stock-based compensation 2,106 2,544 Income (loss) before income taxes $ 5,006 $ (1,523 ) The Company’s CODM does not not not two not not |
Note 14 - Subsequent Events
Note 14 - Subsequent Events | 3 Months Ended |
Mar. 31, 2024 | |
Notes to Financial Statements | |
Subsequent Events [Text Block] | NOTE 14. On May 8, 2024, Upon the closing of the Merger, each share of common stock, par value $0.01 per share of the Company issued and outstanding immediately prior to the effective time of the Merger (except for shares (A) held by the Company (including in the Company’s treasury) or any direct or indirect wholly owned subsidiary of the Company; and (B) held by Parent, Merger Sub or any other direct or indirect wholly owned subsidiary of Parent, which will be cancelled and retired for no Consummation of the Merger is subject to the satisfaction or waiver of customary closing conditions, including but not 1976, second 2025 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Mar. 31, 2024 | |
Insider Trading Arr Line Items | |
Material Terms of Trading Arrangement [Text Block] | 5. None |
Rule 10b5-1 Arrangement Adopted [Flag] | false |
Non-Rule 10b5-1 Arrangement Adopted [Flag] | false |
Rule 10b5-1 Arrangement Terminated [Flag] | false |
Non-Rule 10b5-1 Arrangement Terminated [Flag] | false |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
Basis of Accounting, Policy [Policy Text Block] | Basis of Presentation The accompanying condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). Accordingly, certain disclosures required by generally accepted accounting principles (“GAAP”) are omitted or condensed in these condensed consolidated financial statements. In the opinion of management, all adjustments (consisting of only normal recurring adjustments) that are necessary for a fair statement of the Company's financial position, results of operations and cash flows for the interim periods have been made. The interim results reflected in these condensed consolidated financial statements are not 10 December 31, 2023 |
Consolidation, Policy [Policy Text Block] | Principles of Consolidation The accompanying condensed consolidated financial statements include the Company and its wholly owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates The preparation of financial statements in conformity with GAAP requires the Company to make decisions based upon estimates, assumptions, and factors considered relevant to the circumstances. Such decisions include the selection of applicable accounting principles and the use of judgment in their application, the results of which impact reported amounts and disclosures. Changes in future economic conditions or other business circumstances may |
Revenue [Policy Text Block] | Revenue Recognition Leasing of equipment in both our EGM and Table Products segments is accounted for under lease accounting guidance in ASC 842, Leases 842 606 Revenue from contracts with customers 606 The following table disaggregates our revenues by type within each of our segments (amounts in thousands): Three Months Ended March 31, 2024 2023 EGM Gaming operations $ 53,799 $ 52,413 Equipment sales 33,452 24,145 Total $ 87,251 $ 76,558 Table Products Gaming operations $ 4,105 $ 3,706 Equipment sales 461 388 Total $ 4,566 $ 4,094 Interactive Gaming Operations $ 4,156 $ 2,523 Total $ 4,156 $ 2,523 Total Revenue $ 95,973 $ 83,175 Gaming Operations Gaming operations revenue is earned by providing customers with gaming machines, gaming machine content licenses, table products, back-office equipment and linked progressive systems, which are collectively referred to as gaming equipment, under participation arrangements. The participation arrangements convey the right to use the equipment (i.e., gaming machines and related integral software) for a stated period of time, which typically ranges from one three no Under participation arrangements, the Company retains ownership of the gaming equipment installed at the customer facilities and receives either revenue based on a percentage of the win per day generated by the gaming equipment or a fixed daily fee. Thus, in our consolidated financial statements the Company records revenue monthly related to these arrangements and the gaming equipment is recorded in property and equipment, net on our condensed consolidated balance sheet and depreciated over the expected life of the gaming equipment. The majority of the Company’s leases require the Company to provide maintenance throughout the entire term of the lease. In some cases, a performance guarantee exists that, if not Gaming operations revenue is also earned from the licensing and maintenance of gaming equipment content and licensing of table product content. It is earned and recognized primarily on a daily or monthly fixed rate. Our B2C B2C B2B Equipment Sales Revenues from contracts with customers are recognized and recorded when the following criteria are met: • We have a contract that has been approved by both the customer and the Company. Our contracts specify the products being sold and payment terms and are recognized when it is probable that we will collect substantially all of the contracted amount; and • Control has been transferred and services have been rendered in accordance with the contract terms. Equipment sales are generated from the sale of gaming machines, table products and licensing rights to the integral game content software that is installed in the related equipment, parts, and other ancillary equipment. Also included within the deliverables are delivery, installation and training, all of which occur within a few days of arriving at the customer location. Equipment sales do not 30 90 12 24 The Company enters into revenue arrangements that may may may Revenue is allocated to the separate performance obligations based on relative standalone selling prices determined at contract inception. Standalone selling prices are primarily determined by prices that we charge for the products when they are sold separately. When a product is not Revenue allocated to any undelivered performance obligations is recorded as a contract liability. The balance of our contract liabilities was not March 31, 2024 December 31, 2023 |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash and Cash Equivalents Cash and cash equivalents consist primarily of deposits held at major banks and other marketable securities with original maturities of 90 |
Cash and Cash Equivalents, Restricted Cash and Cash Equivalents, Policy [Policy Text Block] | Restricted Cash Restricted cash amounts represent funds held in escrow as collateral for the Company’s surety bonds for various gaming authorities. |
Credit Loss, Financial Instrument [Policy Text Block] | Receivables, Allowance for Credit Losses Management estimates the allowance for expected credit losses balance using relevant available information from internal and external sources, relating to past events, current conditions, and reasonable and supportable forecasts. Historical credit loss experience provides the basis for the estimation of expected credit losses. Adjustments to historical loss information are made for differences in the current environmental economic conditions and reasonable and supportable forecast. The allowance for expected credit losses on financial instruments is measured on a collective (pool) basis when similar risk characteristics exist. The financial instruments that do not not For the period ended March 31, 2024 no |
Inventory, Policy [Policy Text Block] | Inventories Inventories consist primarily of parts and supplies that are used to repair and maintain machinery and equipment as well as EGMs in production and finished goods held for sale. Inventories are stated at net realizable value. Cost of inventories is determined using the first first March 31, 2024 December 31, 2023 March 31, 2024 December 31, 2023 March 31, 2024 December 31, 2023 |
Property, Plant and Equipment, Policy [Policy Text Block] | Property and Equipment The cost of gaming equipment, consisting of fixed-base player terminals, file servers and other support equipment as well as other property and equipment, is depreciated over their estimated useful lives, using the straight-line method for financial reporting. The Company capitalizes costs incurred for the refurbishment of used gaming equipment that is typically incurred to refurbish a machine in order to return it to its customer location. The refurbishments extend the life of the gaming equipment beyond the original useful life. Repairs and maintenance costs are expensed as incurred. The Company routinely evaluates the estimated lives used to depreciate assets. The estimated useful lives are as follows: Gaming equipment (in years) 1 to 5 Other property and equipment (in years) 3 to 5 Financed leased cars and leasehold improvements are amortized/depreciated over the life of the contract. The Company reviews its property and equipment for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset or asset group may not not When the estimated undiscounted cash flows are not The Company measures recoverability of assets to be held and used by comparing the carrying amount of an asset to future cash flows expected to be generated by the asset. The Company’s policy is to impair, when necessary, excess or obsolete gaming machines on hand that are not |
Goodwill and Intangible Assets, Intangible Assets, Policy [Policy Text Block] | Intangible Assets The Company reviews its identifiable intangible assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not not When the estimated undiscounted cash flows are not Certain trade names have an indefinite useful life and the Company tests these trade names for possible impairment at least annually, on October 1, may not not |
Software to be Sold, Leased, or Otherwise Marketed, Policy [Policy Text Block] | Costs of Capitalized Computer Software Capitalized software development costs represent the Company’s internal costs to develop gaming titles to utilize on the Company’s gaming machines. Such costs are stated at cost and amortized over the estimated economic lives of the software. Software development costs are capitalized once technological feasibility has been established and are amortized when the software is available for general release. The gaming software we develop reaches technological feasibility when a working model of the gaming software is available. Any subsequent software maintenance costs, such as bug fixes and subsequent testing, are expensed as incurred. Discontinued software development costs are written off when the determination to discontinue is made. Software development costs are amortized over the expected life of the title or group of titles, if applicable, to amortization expense within the consolidated statements of operations. On a quarterly basis, or more frequently if circumstances warrant, the Company compares the net book value of its capitalized software development costs to the net realizable value on a title or group of title basis. The net realizable value is determined based upon certain assumptions, including the expected future revenues and net cash flows of the gaming titles or group of gaming titles utilizing that software, if applicable. |
Goodwill and Intangible Assets, Goodwill, Policy [Policy Text Block] | Goodwill The excess of the purchase price of an acquired business over the estimated fair value of the assets acquired and the liabilities assumed is recorded as goodwill. The Company tests for possible impairment of goodwill at least annually, on October 1, not 0”, not may not not may |
Business Combinations Policy [Policy Text Block] | Acquisition Accounting The Company applies the provisions of ASC 805, Business Combinations” 805 may one may |
Fair Value of Financial Instruments, Policy [Policy Text Block] | Fair Value of Financial Instruments The Company applies the provisions of ASC 820, Fair Value Measurements 820" 820 • Level 1 • Level 2 • Level 3 The carrying values of the Company’s cash and cash equivalents, restricted cash, receivables and accounts payable approximate fair value because of the short-term maturities of these instruments. The fair value of our long-term debt is based on the quoted market prices for similar issues (Level 2 March 31, 2024 December 31, 2023 March 31, 2024 December 31, 2023 Carrying Amount Fair Value Carrying Amount Fair Value Long-term Debt $ 550,247 $ 551,454 $ 566,754 $ 567,658 |
Income Tax, Policy [Policy Text Block] | Accounting for Income Taxes We conduct business globally and are subject to income taxes in U.S. federal, state, local, and foreign jurisdictions. Determination of the appropriate amount and classification of income taxes depends on several factors, including estimates of the timing and probability of realization of deferred income taxes, reserves for uncertain income tax positions and income tax payment timing. We account for income taxes under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the period that includes the enactment date. Taxes on income of our foreign subsidiaries are provided at the tax rates applicable to the tax jurisdictions in which they are located. Future tax benefits are recognized to the extent that realization of those benefits is considered more likely than not not The recoverability of certain deferred tax assets is based in part on estimates of future income and the timing of temporary differences, and the failure to fully realize such deferred tax assets could result in a higher tax provision in future periods. We apply the accounting guidance to our uncertain tax positions and under the guidance, we may not 50% We are required to make significant judgments when evaluating our uncertain tax positions and the related tax benefits. We believe our assumptions are reasonable; however, there is no not may |
Commitments and Contingencies, Policy [Policy Text Block] | Contingencies The Company assesses its exposures to loss contingencies including claims and legal proceedings and accrues a liability if a potential loss is considered probable and the amount can be estimated. Significant judgment is required in both the determination of probability and the determination as to whether an exposure is reasonably estimable. Because of uncertainties related to these matters, if the actual loss from a contingency differs from management’s estimate, there could be a material impact on the results of operations or financial position. Operating expenses, including legal fees, associated with contingencies are expensed when incurred. |
Foreign Currency Transactions and Translations Policy [Policy Text Block] | Foreign Currency Translation The financial statements of the Company’s foreign subsidiaries are translated into U.S. dollars at the period end rate of exchange for asset and liability accounts and the weighted average rate of exchange for income statement accounts. The effects of these translations are recorded as a component of other accumulated comprehensive income (loss) in stockholders’ equity. |
Research and Development Expense, Policy [Policy Text Block] | Research and Development Research and development costs related primarily to software product development costs and is expensed as incurred until technological feasibility has been established. Employee related costs associated with product development are included in research and development. |
New Accounting Pronouncements, Policy [Policy Text Block] | Recently Issued Accounting Pronouncements In March 2023, No. 2023 01 842" 841, 2023 01 842 not In October 2023, No. 2023 06, s Disclosure Update and Simplification Initiative. No 2023 06 not No 2023 06 X June 30, 2027, not X not not In November 2023, No. 2023 07 280" No. 2023 07 280, December 15, 2023, December 15, 2024. not In December 2023, No. 2023 09 740" No. 2023 09 740, December 15, 2024. not |
Note 1 - Description of the B_2
Note 1 - Description of the Business and Summary of Significant Accounting Policies (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Notes Tables | |
Disaggregation of Revenue [Table Text Block] | Three Months Ended March 31, 2024 2023 EGM Gaming operations $ 53,799 $ 52,413 Equipment sales 33,452 24,145 Total $ 87,251 $ 76,558 Table Products Gaming operations $ 4,105 $ 3,706 Equipment sales 461 388 Total $ 4,566 $ 4,094 Interactive Gaming Operations $ 4,156 $ 2,523 Total $ 4,156 $ 2,523 Total Revenue $ 95,973 $ 83,175 |
Property, Plant and Equipment, Useful Life [Table Text Block] | Gaming equipment (in years) 1 to 5 Other property and equipment (in years) 3 to 5 |
Fair Value, Liabilities Measured on Recurring and Nonrecurring Basis [Table Text Block] | March 31, 2024 December 31, 2023 Carrying Amount Fair Value Carrying Amount Fair Value Long-term Debt $ 550,247 $ 551,454 $ 566,754 $ 567,658 |
Note 2 - Property and Equipme_2
Note 2 - Property and Equipment (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Notes Tables | |
Property, Plant and Equipment [Table Text Block] | March 31, 2024 December 31, 2023 Gaming equipment $ 266,483 $ 259,396 Other property and equipment 25,611 25,056 Less: Accumulated depreciation (214,661 ) (205,684 ) Total property and equipment, net $ 77,433 $ 78,768 |
Note 3 - Goodwill and Intangi_2
Note 3 - Goodwill and Intangibles (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Notes Tables | |
Schedule of Goodwill [Table Text Block] | Gross Carrying Amount EGM Table Products Interactive(1) Total December 31, 2023 $ 281,435 $ 9,051 $ - $ 290,486 Foreign currency adjustments 501 - - 501 Balance at March 31, 2024 $ 281,936 $ 9,051 $ - $ 290,987 |
Schedule of Intangible Assets and Goodwill [Table Text Block] | March 31, 2024 December 31, 2023 Useful Life Gross Accumulated Net Carrying Gross Accumulated Net Carrying (years) Value Amortization Value Value Amortization Value Indefinite-lived trade names Indefinite $ 12,126 $ - $ 12,126 $ 12,126 - $ 12,126 Trade and brand names 5 - 7 14,990 (14,794 ) 196 14,990 (14,779 ) 211 Customer relationships 5 - 12 223,158 (186,972 ) 36,186 222,690 (183,508 ) 39,182 Contract rights under development and placement fees 1 - 7 42,762 (31,694 ) 11,068 42,762 (30,118 ) 12,644 Gaming software and technology platforms 1 - 7 226,659 (173,685 ) 52,974 220,843 (167,869 ) 52,974 Intellectual property 10 - 12 21,845 (16,075 ) 5,770 21,845 (15,546 ) 6,299 Total intangible assets $ 541,540 $ (423,220 ) $ 118,320 $ 535,256 $ (411,820 ) $ 123,436 |
Note 4 - Accrued Liabilities (T
Note 4 - Accrued Liabilities (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Notes Tables | |
Schedule of Accounts Payable and Accrued Liabilities [Table Text Block] | March 31, 2024 December 31, 2023 Salary and payroll tax accrual $ 12,926 $ 12,697 Taxes payable 4,327 3,337 Current portion of operating lease liability 2,605 2,595 License fee obligation 244 482 Placement fees payable 6,314 6,314 Deferred revenue 2,246 2,429 Accrued other 6,886 8,072 Total accrued liabilities $ 35,548 $ 35,926 |
Note 5 - Long-term Debt (Tables
Note 5 - Long-term Debt (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Notes Tables | |
Schedule of Long-Term Debt Instruments [Table Text Block] | March 31, 2024 December 31, 2023 First Lien Credit Facilities: Term loans, net of unamortized discount and deferred loan costs of $ 11.8 13.0 0.75 3.75 0.75 4 9.1 9.5 $ 536,746 $ 551,935 Finance leases 1,747 1,817 Total debt 538,493 553,752 Less: Current portion (6,239 ) (6,253 ) Long-term debt $ 532,254 $ 547,499 |
Note 8 - Basic and Diluted In_2
Note 8 - Basic and Diluted Income (Loss) (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Three Months Ended March 31, 2024 Numerator: Net income $ 4,345 Less: Net income attributable to participating securities 326 Net income attributable to common stock $ 4,019 Denominator: Weighted average of common shares outstanding, basic 39,205 Potential dilutive effect of stock options 141 Weighted average of common shares outstanding, diluted 39,346 |
Note 10 - Stock-based Compens_2
Note 10 - Stock-based Compensation (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Notes Tables | |
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Table Text Block] | March 31, 2024 March 31, 2023 Unrecognized Compensation Expense (in thousands) Expected Weighted Average Period to be Recognized (years) Unrecognized Compensation Expense (in thousands) Expected Weighted Average Period to be Recognized (years) Stock Options - - - - Restricted Stock Units 2,231 2.3 4,977 2.2 Phantom Stock Units 7,535 2.0 9,222 2.1 Total 9,766 4.3 14,199 4.3 |
Share-Based Payment Arrangement, Option, Activity [Table Text Block] | Number of Options Options outstanding as of December 31, 2023 1,158,202 Granted - Exercised 7,773 Canceled or forfeited - Options outstanding as of March 31, 2024 1,150,429 Options exercisable as of March 31, 2024 1,150,429 |
Nonvested Restricted Stock Shares Activity [Table Text Block] | Shares Outstanding Restricted Stock Units Outstanding as of December 31, 2023 1,403,454 Granted 53,712 Vested 348,728 Canceled or forfeited 1,550 Restricted Stock Units Outstanding as of March 31, 2024 1,106,888 |
Phantom Share Units (PSUs) [Member] | |
Notes Tables | |
Schedule of Nonvested Share Activity [Table Text Block] | Shares Outstanding Phantom Stock Outstanding as of December 31, 2023 3,316,062 Granted - Vested 344,454 Canceled or forfeited 25,464 Phantom stock outstanding as of March 31, 2024 2,946,144 |
Note 13 - Operating Segments (T
Note 13 - Operating Segments (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Notes Tables | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Three Months Ended March 31, 2024 2023 Revenues by segment EGM $ 87,251 $ 76,558 Table Products 4,566 4,094 Interactive 4,156 2,523 Total Revenues 95,973 83,175 Adjusted EBITDA by segment EGM 39,681 34,032 Table Products 2,406 2,251 Interactive 1,932 220 Subtotal 44,019 36,503 Write-downs and other: Disposal of long-lived assets (44 ) 83 Impairment of long-lived assets 20 121 Depreciation and amortization 19,439 19,142 Interest expense, net of interest income and other 13,158 13,269 Loss on extinguishment and modification of debt 1,636 - Other adjustments 429 413 Other non-cash charges 2,269 2,454 Non-cash stock-based compensation 2,106 2,544 Income (loss) before income taxes $ 5,006 $ (1,523 ) |
Note 1 - Description of the B_3
Note 1 - Description of the Business and Summary of Significant Accounting Policies (Details Textual) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Inventory, Raw Materials, Gross | $ 29,900 | $ 31,300 |
Inventory, Finished Goods, Gross | 6,600 | 4,800 |
Inventory, Work in Process, Gross | $ 0 | $ 0 |
Gaming Operations [Member] | Minimum [Member] | ||
Lessor, Operating Lease, Term of Contract (Year) | 1 year | |
Gaming Operations [Member] | Maximum [Member] | ||
Lessor, Operating Lease, Term of Contract (Year) | 3 years |
Note 1 - Description of the B_4
Note 1 - Description of the Business and Summary of Significant Accounting Policies - Disaggregation of Revenues (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | ||
Total revenues | $ 95,973 | $ 83,175 | |
Gaming Operations [Member] | |||
Total revenues | 62,060 | 58,642 | |
Equipment Sales [Member] | |||
Total revenues | 33,913 | 24,533 | |
EGM [Member] | |||
Total revenues | 87,251 | 76,558 | |
EGM [Member] | Gaming Operations [Member] | |||
Total revenues | 53,799 | 52,413 | |
EGM [Member] | Equipment Sales [Member] | |||
Total revenues | 33,452 | 24,145 | |
Table Products [Member] | |||
Total revenues | 4,566 | 4,094 | |
Table Products [Member] | Gaming Operations [Member] | |||
Total revenues | 4,105 | 3,706 | |
Table Products [Member] | Equipment Sales [Member] | |||
Total revenues | 461 | 388 | |
Interactive (Gaming Operations) [Member] | |||
Total revenues | [1] | $ 4,156 | $ 2,523 |
[1]The Interactive gaming operations revenue includes both Social and Real Money Gaming revenue streams that were previously disclosed separately. |
Note 1 - Description of the B_5
Note 1 - Description of the Business and Summary of Significant Accounting Policies - Property and Equipment Useful Life (Details) | Mar. 31, 2024 |
Minimum [Member] | |
Gaming equipment (in years) (Year) | 1 year |
Maximum [Member] | |
Gaming equipment (in years) (Year) | 5 years |
Gaming Equipment [Member] | Minimum [Member] | |
Gaming equipment (in years) (Year) | 1 year |
Gaming Equipment [Member] | Maximum [Member] | |
Gaming equipment (in years) (Year) | 5 years |
Property, Plant and Equipment, Other Types [Member] | Minimum [Member] | |
Gaming equipment (in years) (Year) | 3 years |
Property, Plant and Equipment, Other Types [Member] | Maximum [Member] | |
Gaming equipment (in years) (Year) | 5 years |
Note 1 - Description of the B_6
Note 1 - Description of the Business and Summary of Significant Accounting Policies - Estimated Fair Value of Long-term Debt (Details) - Fair Value, Inputs, Level 2 [Member] - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Reported Value Measurement [Member] | ||
Long-term Debt, carrying amount | $ 550,247 | $ 566,754 |
Estimate of Fair Value Measurement [Member] | ||
Long-term Debt, fair value | $ 551,454 | $ 567,658 |
Note 2 - Property and Equipme_3
Note 2 - Property and Equipment (Details Textual) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Depreciation | $ 10.1 | $ 10.6 |
Minimum [Member] | ||
Property, Plant and Equipment, Useful Life (Year) | 1 year | |
Maximum [Member] | ||
Property, Plant and Equipment, Useful Life (Year) | 5 years |
Note 2 - Property and Equipme_4
Note 2 - Property and Equipment - Property and Equipment (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Less: Accumulated depreciation | $ (214,661) | $ (205,684) |
Total property and equipment, net | 77,433 | 78,768 |
Gaming Equipment [Member] | ||
Property and equipment, gross | 266,483 | 259,396 |
Property, Plant and Equipment, Other Types [Member] | ||
Property and equipment, gross | $ 25,611 | $ 25,056 |
Note 3 - Goodwill and Intangi_3
Note 3 - Goodwill and Intangibles (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Amortization of Intangible Assets | $ 9,400 | $ 8,500 |
Accretion of Contract Rights Under Development Agreements and Customer Agreements | $ 1,576 | $ 1,545 |
Minimum [Member] | ||
Finite-Lived Intangible Asset, Useful Life (Year) | 1 year | |
Maximum [Member] | ||
Finite-Lived Intangible Asset, Useful Life (Year) | 12 years | |
Interactive (Gaming Operations) [Member] | ||
Goodwill, Impaired, Accumulated Impairment Loss | $ 8,400 |
Note 3 - Goodwill and Intangi_4
Note 3 - Goodwill and Intangibles - Changes in Goodwill (Details) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 USD ($) | ||
Balance | $ 290,486 | |
Foreign currency adjustments | 501 | |
Balance | 290,987 | |
EGM [Member] | ||
Balance | 281,435 | |
Foreign currency adjustments | 501 | |
Balance | 281,936 | |
Table Products [Member] | ||
Balance | 9,051 | |
Foreign currency adjustments | 0 | |
Balance | 9,051 | |
Interactive (Gaming Operations) [Member] | ||
Balance | 0 | |
Foreign currency adjustments | 0 | [1] |
Balance | $ 0 | [1] |
[1]As of September 30, 2023, accumulated goodwill impairment charges for the Interactive segment taken prior to the fiscal year 2023 were $8.4 million. |
Note 3 - Goodwill and Intangi_5
Note 3 - Goodwill and Intangibles - Intangible Assets (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Indefinite-lived trade names | $ 12,126 | $ 12,126 |
Finite lived, accumulated amortization | (423,220) | (411,820) |
Intangible assets, gross | 541,540 | 535,256 |
Intangible assets, net carrying value | $ 118,320 | 123,436 |
Minimum [Member] | ||
Intangible assets, useful life (Year) | 1 year | |
Maximum [Member] | ||
Intangible assets, useful life (Year) | 12 years | |
Trade Names [Member] | ||
Finite lived, gross value | $ 14,990 | 14,990 |
Finite lived, accumulated amortization | (14,794) | (14,779) |
Finite lived, net carrying value | $ 196 | 211 |
Trade Names [Member] | Minimum [Member] | ||
Intangible assets, useful life (Year) | 5 years | |
Trade Names [Member] | Maximum [Member] | ||
Intangible assets, useful life (Year) | 7 years | |
Customer Relationships [Member] | ||
Finite lived, gross value | $ 223,158 | 222,690 |
Finite lived, accumulated amortization | (186,972) | (183,508) |
Finite lived, net carrying value | $ 36,186 | 39,182 |
Customer Relationships [Member] | Minimum [Member] | ||
Intangible assets, useful life (Year) | 5 years | |
Customer Relationships [Member] | Maximum [Member] | ||
Intangible assets, useful life (Year) | 12 years | |
Contractual Rights [Member] | ||
Finite lived, gross value | $ 42,762 | 42,762 |
Finite lived, accumulated amortization | (31,694) | (30,118) |
Finite lived, net carrying value | $ 11,068 | 12,644 |
Contractual Rights [Member] | Minimum [Member] | ||
Intangible assets, useful life (Year) | 1 year | |
Contractual Rights [Member] | Maximum [Member] | ||
Intangible assets, useful life (Year) | 7 years | |
Computer Software, Intangible Asset [Member] | ||
Finite lived, gross value | $ 226,659 | 220,843 |
Finite lived, accumulated amortization | (173,685) | (167,869) |
Finite lived, net carrying value | $ 52,974 | 52,974 |
Computer Software, Intangible Asset [Member] | Minimum [Member] | ||
Intangible assets, useful life (Year) | 1 year | |
Computer Software, Intangible Asset [Member] | Maximum [Member] | ||
Intangible assets, useful life (Year) | 7 years | |
Intellectual Property [Member] | ||
Finite lived, gross value | $ 21,845 | 21,845 |
Finite lived, accumulated amortization | (16,075) | (15,546) |
Finite lived, net carrying value | $ 5,770 | $ 6,299 |
Intellectual Property [Member] | Minimum [Member] | ||
Intangible assets, useful life (Year) | 10 years | |
Intellectual Property [Member] | Maximum [Member] | ||
Intangible assets, useful life (Year) | 12 years |
Note 4 - Accrued Liabilities -
Note 4 - Accrued Liabilities - Accrued Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Salary and payroll tax accrual | $ 12,926 | $ 12,697 |
Taxes payable | 4,327 | 3,337 |
Current portion of operating lease liability | 2,605 | 2,595 |
License fee obligation | 244 | 482 |
Placement fees payable | 6,314 | 6,314 |
Deferred revenue | 2,246 | 2,429 |
Accrued other | 6,886 | 8,072 |
Total accrued liabilities | $ 35,548 | $ 35,926 |
Note 5 - Long-term Debt (Detail
Note 5 - Long-term Debt (Details Textual) - USD ($) $ in Millions | Feb. 05, 2024 | Feb. 15, 2022 |
New Term Loan Facility [Member] | Term Loan [Member] | ||
Debt Instrument, Face Amount | $ 575 | |
Line of Credit Facility, Maximum Borrowing Capacity | $ 5 | |
Debt Instrument, Interest Rate, Stated Percentage | 1% | |
Debt Instrument, Covenant, Maximum Leverage Ratio | 6.7 | |
Percentage of Outstanding Comments | 35% | |
Repayments of Lines of Credit | $ 15 | |
Debt Instrument, Fee Amount | 1.6 | |
Deferred Debt Issuance Cost, Writeoff | $ 1.6 | |
New Term Loan Facility [Member] | Term Loan [Member] | Secured Overnight Financing Rate (SOFR) [Member] | ||
Debt Instrument, Floor Rate on Variable Rate | 0.75% | |
Debt Instrument, Basis Spread on Variable Rate | 3.75% | 4% |
New Term Loan Facility [Member] | Term Loan [Member] | Prime Rate [Member] | ||
Debt Instrument, Floor Rate on Variable Rate | 0% | |
New Term Loan Facility [Member] | Term Loan [Member] | Fed Funds Effective Rate Overnight Index Swap Rate [Member] | ||
Debt Instrument, Basis Spread on Variable Rate | 0.50% | |
New Term Loan Facility [Member] | Term Loan [Member] | Base Rate [Member] | ||
Debt Instrument, Basis Spread on Variable Rate | 2.75% | 3% |
Debt Instrument, Quarterly Payment, Percentage of Original Principle Amount | 0.25% | |
New Revolving Credit Facility [Member] | ||
Line of Credit Facility, Maximum Borrowing Capacity | $ 5 | |
New Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | ||
Line of Credit Facility, Maximum Borrowing Capacity | 40 | |
New Revolving Credit Facility [Member] | Letter of Credit [Member] | ||
Line of Credit Facility, Maximum Borrowing Capacity | $ 7.5 |
Note 5 - Long-term Debt - Sched
Note 5 - Long-term Debt - Schedule of Long-term Debt (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Long-term debt | $ 538,493 | $ 553,752 |
Less: Current portion | (6,239) | (6,253) |
Long-term debt | 532,254 | 547,499 |
Term Loan [Member] | ||
Long-term debt | 536,746 | 551,935 |
Equipment Long-term Note Payable and Finance Leases [Member] | ||
Long-term debt | $ 1,747 | $ 1,817 |
Note 5 - Long-term Debt - Sch_2
Note 5 - Long-term Debt - Schedule of Long-term Debt (Details) (Parentheticals) - Term Loan [Member] - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended |
Mar. 31, 2024 | Dec. 31, 2023 | |
Unamortized discount and costs | $ 11.8 | $ 13 |
Floor rate | 0.75% | 0.75% |
Spread on variable rate | 3.75% | 4% |
Interest rate | 9.10% | 9.50% |
Note 6 - Stockholders' Equity (
Note 6 - Stockholders' Equity (Details Textual) - USD ($) $ / shares in Units, $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 | Dec. 31, 2019 |
Common Stock, Shares Authorized (in shares) | 450,000,000 | 450,000,000 | |
Common Stock, Par or Stated Value Per Share (in dollars per share) | $ 0.01 | $ 0.01 | |
Preferred Stock, Shares Authorized (in shares) | 50,000,000 | 50,000,000 | |
Preferred Stock, Par or Stated Value Per Share (in dollars per share) | $ 0.01 | $ 0.01 | |
Common Stock, Shares, Outstanding (in shares) | 39,378,705 | 38,947,674 | |
Preferred Stock, Shares Outstanding, Ending Balance (in shares) | 0 | 0 | |
Stock Repurchase Program, Authorized Amount | $ 50 | $ 50 | |
Share Repurchase Program, Remaining Authorized, Amount | $ 44.5 |
Note 7 - Write-downs and Othe_2
Note 7 - Write-downs and Other Charges (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Other Cost and Expense, Operating | $ 0 | $ 200 |
Note 8 - Basic and Diluted In_3
Note 8 - Basic and Diluted Income (Loss) (Details Textual) - shares | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Incremental Common Shares Attributable to Dilutive Effect of Share-Based Payment Arrangements (in shares) | 140,798 | |
Weighted Average Number of Shares, Contingently Issuable (in shares) | 3,195,064 | 3,269,247 |
Restricted Stock, Subject to Performance Vesting Conditions [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount (in shares) | 1,027,242 | 1,221,370 |
Share-Based Payment Arrangement, Option [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount (in shares) | 1,162,088 |
Note 8 - Basic and Diluted In_4
Note 8 - Basic and Diluted Income (Loss) - Schedule of Earnings (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Net income (loss) | $ 4,345 | $ (334) |
Less: Net income attributable to participating securities | 326 | |
Net income attributable to common stock | $ 4,019 | |
Weighted average of common shares outstanding, basic (in shares) | 39,205,000 | 37,811,000 |
Incremental Common Shares Attributable to Dilutive Effect of Share-Based Payment Arrangements (in shares) | 140,798 | |
Weighted average of common shares outstanding, diluted (in shares) | 39,346,000 | 37,811,000 |
Note 9 - Benefit Plans (Details
Note 9 - Benefit Plans (Details Textual) - USD ($) $ in Millions | 3 Months Ended | ||||||
Apr. 28, 2022 | May 08, 2020 | Apr. 28, 2014 | Mar. 31, 2024 | Mar. 31, 2023 | Apr. 27, 2022 | May 07, 2020 | |
Defined Contribution Plan, Cost | $ 0.6 | $ 0.7 | |||||
The 2014 Long-Term Incentive Plan [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award, Term (Year) | 10 years | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized (in shares) | 2,253,735 | ||||||
The 2018 Omnibus Incentive Plan [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized (in shares) | 4,607,389 | 1,607,389 | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Additional Shares Authorized (in shares) | 3,000,000 | ||||||
The 2020 Plan Amendment [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized (in shares) | 9,607,389 | 4,607,389 | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Additional Shares Authorized (in shares) | 5,000,000 | ||||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Shares Available for Grant (in shares) | 3,798,582 |
Note 10 - Stock-based Compens_3
Note 10 - Stock-based Compensation (Details Textual) - shares | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Grants in Period, Net of Forfeitures (in shares) | 0 | 0 | |
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Outstanding, Number (in shares) | 1,150,429 | 1,158,202 | |
Share-Based Payment Arrangement, Option [Member] | Share-based Payment Arrangement, Tranche A [Member] | Minimum [Member] | Long-term Incentive Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 20% | ||
Share-Based Payment Arrangement, Option [Member] | Share-based Payment Arrangement, Tranche A [Member] | Maximum [Member] | Long-term Incentive Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period (Year) | 5 years | ||
Performance Shares [Member] | Long-term Incentive Plan [Member] | |||
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Outstanding, Number (in shares) | 487,922 | ||
Performance Shares [Member] | Share-based Payment Arrangement, Tranche A [Member] | Minimum [Member] | Long-term Incentive Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 25% | ||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period (Year) | 4 years | ||
Restricted Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period (Year) | 4 years | ||
Restricted Stock [Member] | On Each of First Four Anniversaries of Date of Grant [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 25% | ||
Phantom Share Units (PSUs) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period (Year) | 4 years | ||
Phantom Share Units (PSUs) [Member] | On Each of First Four Anniversaries of Date of Grant [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 25% |
Note 10 - Stock-based Compens_4
Note 10 - Stock-based Compensation - Stock-based Compensation Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Unrecognized compensation expense | $ 9,766 | $ 14,199 |
Expected weighted average period to be recognized (Year) | 4 years 3 months 18 days | 4 years 3 months 18 days |
Share-Based Payment Arrangement, Option [Member] | ||
Unrecognized compensation expense | $ 0 | $ 0 |
Restricted Stock Units (RSUs) [Member] | ||
Unrecognized compensation expense | $ 2,231 | $ 4,977 |
Expected weighted average period to be recognized (Year) | 2 years 3 months 18 days | 2 years 2 months 12 days |
Phantom Share Units (PSUs) [Member] | ||
Unrecognized compensation expense | $ 7,535 | $ 9,222 |
Expected weighted average period to be recognized (Year) | 2 years | 2 years 1 month 6 days |
Note 10 - Stock-based Compens_5
Note 10 - Stock-based Compensation - Stock Option Activity (Details) | 3 Months Ended |
Mar. 31, 2024 shares | |
Options outstanding, number of options (in shares) | 1,158,202 |
Granted, number of options (in shares) | 0 |
Exercised, number of options (in shares) | 7,773 |
Canceled or forfeited, number of options (in shares) | 0 |
Options outstanding, number of options (in shares) | 1,150,429 |
Options exercisable as of March 31, 2024 (in shares) | 1,150,429 |
Note 10 - Stock-based Compens_6
Note 10 - Stock-based Compensation - Restricted Stock Activity (Details) - Restricted Stock Units (RSUs) [Member] | 3 Months Ended |
Mar. 31, 2024 shares | |
Restricted Stock Units Outstanding (in shares) | 1,403,454 |
Granted, shares (in shares) | 53,712 |
Vested, shares (in shares) | 348,728 |
Canceled or forfeited, shares (in shares) | 1,550 |
Restricted Stock Units Outstanding (in shares) | 1,106,888 |
Note 10 - Stock-based Compens_7
Note 10 - Stock-based Compensation - Phantom Stock Units (Details) - Phantom Share Units (PSUs) [Member] | 3 Months Ended |
Mar. 31, 2024 shares | |
Restricted Stock Units Outstanding (in shares) | 3,316,062 |
Granted, shares (in shares) | 0 |
Vested, shares (in shares) | 344,454 |
Canceled or forfeited, shares (in shares) | 25,464 |
Restricted Stock Units Outstanding (in shares) | 2,946,144 |
Note 11 - Income Taxes (Details
Note 11 - Income Taxes (Details Textual) | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Effective Income Tax Rate Reconciliation, Percent | 13.20% | 78.10% |
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21% | 21% |
Note 12 - Commitments and Con_2
Note 12 - Commitments and Contingencies (Details Textual) $ in Millions | 1 Months Ended | 52 Months Ended | |||
Feb. 09, 2024 USD ($) | Feb. 23, 2021 | Feb. 29, 2024 USD ($) | Jan. 31, 2021 USD ($) | Dec. 31, 2023 USD ($) | |
Loss Contingency, Claims Dismissed, Number | 5 | ||||
Audit Conducted by Alabama Department of Revenue [Member] | |||||
Loss Contingency, Damages Sought, Value | $ 3.3 | ||||
Loss Contingency, Estimate of Maximum Taxable Lease Rental Payments | $ 2.9 | ||||
Audit Conducted by Alabama Department of Revenue [Member] | Maximum [Member] | |||||
Loss Contingency, Damages Sought, Value | $ 10.1 | ||||
Audit Conducted by SAT [Member] | |||||
Loss Contingency, Damages Sought, Value | $ 9.9 |
Note 13 - Operating Segments (D
Note 13 - Operating Segments (Details Textual) | 3 Months Ended |
Mar. 31, 2024 | |
Number of Reportable Segments | 3 |
Note 13 - Operating Segments -
Note 13 - Operating Segments - Financial Information by Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | ||
Total revenues | $ 95,973 | $ 83,175 | |
Adjusted EBITDA | 44,019 | 36,503 | |
(Gain) loss on disposition of long-lived assets | (44) | 83 | |
Impairment of long-lived assets | 20 | 121 | |
Depreciation and amortization | 19,439 | 19,142 | |
Interest expense, net of interest income and other | 13,158 | 13,269 | |
Loss on extinguishment and modification of debt | 1,636 | 0 | |
Other adjustments | 429 | 413 | |
Other non-cash charges | 2,269 | 2,454 | |
Non-cash stock-based compensation | 2,106 | 2,544 | |
Income (loss) before income taxes | 5,006 | (1,523) | |
Electronic Gaming Machines, EGM [Member] | |||
Total revenues | 87,251 | 76,558 | |
Adjusted EBITDA | 39,681 | 34,032 | |
Table Products [Member] | |||
Total revenues | 4,566 | 4,094 | |
Adjusted EBITDA | 2,406 | 2,251 | |
Interactive (Gaming Operations) [Member] | |||
Total revenues | [1] | 4,156 | 2,523 |
Adjusted EBITDA | $ 1,932 | $ 220 | |
[1]The Interactive gaming operations revenue includes both Social and Real Money Gaming revenue streams that were previously disclosed separately. |
Note 14 - Subsequent Events (De
Note 14 - Subsequent Events (Details Textual) - $ / shares | May 08, 2024 | Mar. 31, 2024 | Dec. 31, 2023 |
Common Stock, Par or Stated Value Per Share (in dollars per share) | $ 0.01 | $ 0.01 | |
Subsequent Event [Member] | Bingo Merger [Member] | |||
Common Stock, Par or Stated Value Per Share (in dollars per share) | $ 0.01 | ||
Business Acquisition, Equity Interest Issued or Issuable, Conversion of Shares to Cash, Amount Per Share (in dollars per share) | $ 12.5 |