ACCEL ENTERTAINMENT, INC., 10-Q filed on 5/5/2025
Quarterly Report
v3.25.1
Cover Page - shares
 3 Months Ended
Mar. 31, 2025
May 01, 2025
Cover [Abstract]    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Mar. 31, 2025  
Document Transition Report false  
Entity File Number 001-38136  
Entity Registrant Name Accel Entertainment, Inc.  
Entity Incorporation, State or Country Code DE  
Entity Tax Identification Number 98-1350261  
Entity Address, Address Line One 140 Tower Drive  
Entity Address, City or Town Burr Ridge  
Entity Address, State or Province IL  
Entity Address, Postal Zip Code 60527  
City Area Code 630  
Local Phone Number 972-2235  
Title of 12(b) Security Class A-1 Common Stock, par value $.0001 per share  
Trading Symbol ACEL  
Security Exchange Name NYSE  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   84,641,287
Amendment Flag false  
Document Fiscal Year End Date --12-31  
Document Fiscal Year Focus 2025  
Document Fiscal Period Focus Q1  
Entity Central Index Key 0001698991  
v3.25.1
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (Unaudited) - USD ($)
shares in Thousands, $ in Thousands
 3 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Total net revenues $ 323,912 $ 301,817
Operating expenses:    
Cost of revenue (exclusive of depreciation and amortization expense shown below) 221,472 209,167
Cost of manufacturing goods sold (exclusive of depreciation and amortization expense shown below) 2,076 1,159
General and administrative 53,004 47,634
Depreciation and amortization of property and equipment 12,301 10,434
Amortization of intangible assets and route and customer acquisition costs 6,290 5,438
Other expenses, net 2,817 2,426
Total operating expenses 297,960 276,258
Operating income 25,952 25,559
Interest expense, net 8,685 8,660
Loss from unconsolidated affiliates 16 0
(Gain) loss on change in fair value of contingent earnout shares (2,355) 4,716
Income before income tax expense 19,606 12,183
Income tax expense 4,993 4,767
Net income 14,613 7,416
Less: Net income attributed to redeemable noncontrolling interests (26) 0
Net income attributable to Accel Entertainment, Inc. $ 14,639 $ 7,416
Earnings per common share:    
Basic (in usd per share) $ 0.17 $ 0.09
Diluted (in usd per share) $ 0.17 $ 0.09
Weighted average number of common shares outstanding:    
Basic (in shares) 86,003 84,298
Diluted (in shares) 87,223 85,300
Comprehensive income    
Net income $ 14,613 $ 7,416
Unrealized (loss) gain on interest rate caplets (net of income tax (benefit) expense of $(426), and $405 respectively) (1,133) 1,081
Comprehensive income 13,480 8,497
Less: Comprehensive income attributable to redeemable noncontrolling interests (26) 0
Comprehensive income attributable to Accel Entertainment, Inc. 13,506 8,497
Net gaming    
Total net revenues 301,951 288,137
Amusement    
Total net revenues 5,908 6,129
Manufacturing    
Total net revenues 3,858 2,209
ATM fees and other    
Total net revenues $ 12,195 $ 5,342
v3.25.1
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (Parenthetical) (Unaudited) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Income Statement [Abstract]    
Income taxes for unrealized (loss) gain on interest rate caplets $ (426) $ 405
v3.25.1
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($)
$ in Thousands
Mar. 31, 2025
Dec. 31, 2024
Current assets:    
Cash and cash equivalents $ 271,939 $ 281,305
Accounts receivable, net 12,673 10,550
Prepaid expenses 8,606 8,950
Inventories 8,558 8,122
Interest rate caplets 5,024 6,342
Other current assets 9,686 10,883
Total current assets 316,486 326,152
Property and equipment, net 321,802 307,997
Noncurrent assets:    
Route and customer acquisition costs, net 23,578 23,258
Location contracts acquired, net 197,539 202,618
Goodwill 116,252 116,252
Other intangible assets, net 53,344 53,940
Interest rate caplets, net of current 0 479
Other assets 18,255 17,702
Total noncurrent assets 408,968 414,249
Total assets 1,047,256 1,048,398
Current liabilities:    
Current maturities of debt 34,280 34,443
Current portion of route and customer acquisition costs payable 2,218 2,197
Accrued location gaming expense 10,175 4,734
Accrued state gaming expense 20,203 19,802
Accounts payable and other accrued expenses 51,892 41,944
Accrued compensation and related expenses 8,863 12,117
Current portion of consideration payable 3,137 3,116
Total current liabilities 130,768 118,353
Long-term liabilities:    
Debt, net of current maturities 546,425 560,936
Route and customer acquisition costs payable, less current portion 7,475 7,160
Consideration payable, less current portion 14,403 14,596
Contingent earnout share liability 30,748 33,103
Other long-term liabilities 7,886 7,571
Deferred income tax liability, net 46,231 47,372
Total long-term liabilities 653,168 670,738
Temporary equity - Redeemable noncontrolling interest 4,252 4,278
Stockholders’ equity:    
Preferred Stock, par value of $0.0001; 1,000,000 shares authorized; 0 shares issued and outstanding at March 31, 2025 and December 31, 2024 0 0
Additional paid-in capital 222,462 221,625
Treasury stock, at cost (115,789) (105,485)
Accumulated other comprehensive income 3,012 4,145
Accumulated earnings 149,375 134,736
Total stockholders' equity 259,068 255,029
Total liabilities, temporary equity, and stockholders' equity 1,047,256 1,048,398
Class A-1 Common Stock    
Stockholders’ equity:    
Class A-1 Common Stock, par value $0.0001; 250,000,000 shares authorized; 96,110,689 shares issued and 84,927,240 shares outstanding at March 31, 2025; 95,865,026 shares issued and 85,670,255 shares outstanding at December 31, 2024 $ 8 $ 8
v3.25.1
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - $ / shares
Mar. 31, 2025
Dec. 31, 2024
Preferred stock, par value (in usd per share) $ 0.0001 $ 0.0001
Preferred stock, authorized (in shares) 1,000,000 1,000,000
Preferred stock, issued (in shares) 0 0
Preferred stock, outstanding (in shares) 0 0
Class A-1 Common Stock    
Common stock, par value (in usd per share) $ 0.0001 $ 0.0001
Common stock, shares authorized (in shares) 250,000,000 250,000,000
Common stock, shares issued (in shares) 96,110,689 95,865,026
Common stock, shares outstanding (in shares) 84,927,240 85,670,255
v3.25.1
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS EQUITY (Unaudited) - USD ($)
$ in Thousands
Total
Common Stock
Additional Paid-In Capital
Treasury Stock
Accumulated Other Comprehensive Income
Accumulated Earnings
Beginning balance at Dec. 31, 2023 $ 0          
Increase (Decrease) in Temporary Equity [Roll Forward]            
Net income attributable to noncontrolling interest 0          
Ending balance at Mar. 31, 2024 0          
Beginning balance (in shares) at Dec. 31, 2023   84,123,385        
Beginning balance at Dec. 31, 2023 198,404 $ 8 $ 203,046 $ (112,070) $ 7,936 $ 99,484
Beginning balance (in shares) at Dec. 31, 2023       (10,893,575)    
Increase (Decrease) in Stockholders' Equity [Roll Forward]            
Repurchase of common stock (in shares)   (594,817)   (594,817)    
Repurchase of common stock (6,182)     $ (6,182)    
Stock-based compensation 2,350   2,350      
Exercise of stock-based awards, net of shares withheld (in shares)   249,700        
Exercise of stock-based awards, net of shares withheld (940)   (940)      
Unrealized gain (loss) on interest rate caplets, net of taxes 1,081       1,081  
Net income 7,416         7,416
Ending balance (in shares) at Mar. 31, 2024   83,778,268        
Ending balance at Mar. 31, 2024 202,129 $ 8 204,456 $ (118,252) 9,017 106,900
Ending balance (in shares) at Mar. 31, 2024       (11,488,392)    
Beginning balance at Dec. 31, 2024 4,278          
Increase (Decrease) in Temporary Equity [Roll Forward]            
Net income attributable to noncontrolling interest (26)          
Ending balance at Mar. 31, 2025 4,252          
Beginning balance (in shares) at Dec. 31, 2024   85,670,255        
Beginning balance at Dec. 31, 2024 255,029 $ 8 221,625 $ (105,485) 4,145 134,736
Beginning balance (in shares) at Dec. 31, 2024       (10,194,771)    
Increase (Decrease) in Stockholders' Equity [Roll Forward]            
Repurchase of common stock (in shares)   (988,678)   (988,678)    
Repurchase of common stock (10,304)     $ (10,304)    
Stock-based compensation 2,091   2,091      
Exercise of stock-based awards, net of shares withheld (in shares)   245,663        
Exercise of stock-based awards, net of shares withheld (1,254)   (1,254)      
Unrealized gain (loss) on interest rate caplets, net of taxes (1,133)       (1,133)  
Net income 14,639         14,639
Ending balance (in shares) at Mar. 31, 2025   84,927,240        
Ending balance at Mar. 31, 2025 $ 259,068 $ 8 $ 222,462 $ (115,789) $ 3,012 $ 149,375
Ending balance (in shares) at Mar. 31, 2025       (11,183,449)    
v3.25.1
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Cash flows from operating activities:    
Net income $ 14,613 $ 7,416
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation and amortization of property and equipment 12,301 10,434
Amortization of intangible assets and route and customer acquisition costs 6,290 5,438
Amortization of debt issuance costs 435 455
(Gain) loss on change in fair value of contingent earnout shares (2,355) 4,716
Stock-based compensation 2,091 2,350
Loss on disposal of property and equipment 111 42
Net loss on write-off of route and customer acquisition costs and route and customer acquisition costs payable 352 118
Remeasurement of contingent consideration (153) 288
Payments on consideration payable (298) (823)
Accretion of interest on route and customer acquisition costs payable, contingent consideration, and contingent stock consideration 548 296
Deferred income taxes (715) 646
Changes in operating assets and liabilities:    
Prepaid expenses, deposits and other current assets 161 (1,634)
Accounts receivable, net (2,123) (270)
Inventories (416) (160)
Route and customer acquisition costs (1,232) (1,883)
Route and customer acquisition costs payable 203 (353)
Accounts payable and accrued expenses 16,157 4,951
Accrued compensation and related expenses (3,254) (3,748)
Other assets 2,036 471
Net cash provided by operating activities 44,752 28,750
Cash flows from investing activities:    
Purchases of property and equipment (26,755) (20,635)
Proceeds from the sale of property and equipment 694 180
Deposits against a portion of the purchase price on a pending business acquisition 0 (1,800)
Business and asset acquisitions, net of cash acquired (125) (3,641)
Net cash used in investing activities (26,186) (25,896)
Cash flows from financing activities:    
Proceeds from debt 0 15,000
Payments on debt (14,863) (17,875)
Payments for repurchase of common stock (10,202) (6,121)
Payments on interest rate caplets (1,218) (244)
Proceeds from exercise of stock-based awards 0 68
Payments on finance leases (80) (54)
Payments on consideration payable (136) (132)
Tax withholding on stock-based payments (1,433) (1,188)
Net cash used in financing activities (27,932) (10,546)
Net decrease in cash and cash equivalents (9,366) (7,692)
Cash and cash equivalents:    
Beginning of period 281,305 261,611
End of period 271,939 253,919
Cash payments for:    
Interest, net 8,065 7,685
Income taxes 0 0
Supplemental schedules of noncash investing and financing activities:    
Purchases of property and equipment in accounts payable and accrued liabilities 13,552 14,022
Deferred premium on interest rate caplets 830 1,815
Acquisition of businesses and assets:    
Total identifiable net assets acquired $ 125 $ 3,641
v3.25.1
Description of Business
 3 Months Ended
Mar. 31, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Description of Business Description of Business
Accel Entertainment, Inc. (and together with its subsidiaries, the “Company” or “Accel”) is a leading distributed gaming operator in the United States (“U.S.”), as well as a developer of brick-and-mortar casinos that serve local gaming markets and horse racing venues. The Company has operations in Illinois, Montana, Nevada, Nebraska, Georgia, Iowa, Louisiana and Pennsylvania. The Company is subject to the various regulations in the states in which it operates, as well as various other federal, state and local laws and regulations.
The Company’s business primarily consists of the installation, maintenance, operation and servicing of gaming terminals and related equipment, redemption devices that disburse winnings and contain automated teller machine (“ATM”) functionality, and amusement devices in authorized non-casino locations such as bars, restaurants, convenience stores, truck stops, and fraternal and veteran establishments as well as casinos and horse racing venues. The Company also operates stand-alone ATMs in gaming and non-gaming locations.
v3.25.1
Summary of Significant Accounting Policies
 3 Months Ended
Mar. 31, 2025
Accounting Policies [Abstract]  
Summary of Significant Accounting Policies Summary of Significant Accounting Policies
Basis of presentation and preparation: The condensed consolidated financial statements and accompanying notes were prepared in conformity with U.S. generally accepted accounting principles (“GAAP”) and the rules and regulations of the Securities and Exchange Commission (“SEC”). The condensed consolidated financial statements include the accounts of the Company and of its wholly-owned subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation. In the opinion of management, the condensed consolidated financial statements include all recurring adjustments and normal accruals necessary for a fair presentation of the Company’s financial position, results of operations and cash flows for the dates and periods presented. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and the related notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024 (the “Form 10-K”). In preparing our condensed consolidated financial statements, we applied the same significant accounting policies as described in Note 2 to the consolidated financial statements in the Form 10-K. Any significant changes to those accounting policies are discussed below. Interim results are not necessarily indicative of results for a full year.
Use of estimates: The preparation of the condensed consolidated financial statements requires management to make estimates and assumptions that affect (i) the reported amounts of assets and liabilities, (ii) disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and (iii) the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Estimates used by the Company include, among other things, the useful lives for depreciable and amortizable assets, income tax provisions, the evaluation of the future realization of deferred tax assets, projected cash flows in assessing the initial valuation of intangible assets in conjunction with business and asset acquisitions, the selection of useful lives for depreciable and amortizable assets in conjunction with business and asset acquisitions, the valuation of level 3 investments, the valuation of contingent earnout shares, the valuation of interest rate caplets, contingencies, and the expected term of share-based compensation awards and stock price volatility when computing stock-based compensation expense. Actual results may differ from those estimates.
Equity method investments: In the normal course of business, the Company makes investments within companies that will allow it to expand the Company’s core business and enter new markets. In certain instances, such investments with less than 100% ownership may be considered a variable interest entity (“VIE”). The Company’s management assesses whether it has the power to direct activities that most significantly impact the economic performance of the entity and has an obligation to absorb losses or the right to receive benefits from the entity. The activities that the Company believes most significantly impact the economic performance of its VIE include the unilateral ability to approve the annual budget, to terminate key management and to approve entering into agreements with providers, among others. If the Company determines it has an investment in a VIE, the next step is to determine whether the Company is the primary beneficiary of the VIE, which would require the Company to consolidate the investment. Among the factors the Company’s management assesses whether it has a controlling financial interest is the Company’s risk of loss, its investment percentage and its ability to control the operations of the investment. If the Company determines it is not the primary beneficiary, it will account for the investment under the equity method of accounting.
The Company accounts for its investments in unconsolidated affiliates, which do not meet the controlling financial interest consolidation criteria of the authoritative accounting guidance for VIEs, under the equity method of accounting. Under the equity method of accounting, the Company records its share of net income or loss from equity method investments within (income) loss from unconsolidated affiliates in the condensed consolidated statements of operations and comprehensive income based on the most recently available financials after a lag of one quarter. The Company also adjusts the carrying value of its investments in unconsolidated affiliates based on its share of net income or loss from equity method investments.
On June 17, 2024, the Company invested $5.0 million in HBC Gaming LLC (“HBC”), in exchange for a 5% equity interest. HBC is a local entertainment company based in Hampton, New Hampshire that specializes in providing a variety of gaming services to its customers. The Company’s 5% investment qualifies for equity method accounting. The Company recorded its initial investment of $5.0 million within other assets on the condensed consolidated balance sheets. The Company also has obligations to fund additional equity investments in the event certain construction and development milestones are met in an amount up to 10% ownership of HBC, on an undiluted basis, at an additional cost of up to $6.5 million.
The Company recorded a loss from unconsolidated affiliates of less than $0.1 million for the three months ended March 31, 2025.
Revenue recognition: The Company primarily generates revenues from the following types of services: gaming terminals, amusements, and ATMs. The Company also generates manufacturing revenue from the sale of gaming terminals and associated software, as well as revenue from its racing operations. Revenue is disaggregated by type of revenue and is presented on the face of the condensed consolidated statements of operations and comprehensive income.
Total net revenues for the three months ended March 31, 2025 and 2024 is disaggregated in the following table by the primary states in which the Company operates.
(in thousands)
Three Months Ended
March 31,
20252024
Net revenues by state:
Illinois$233,479 $224,863 
Montana41,136 38,141 
Nevada27,617 29,209 
Louisiana
9,025 — 
Nebraska7,230 5,834 
Georgia4,325 2,624 
Other1,100 1,146 
Total net revenues$323,912 $301,817 
Recent accounting pronouncements: In November 2024, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2024-03, Income Statement - Reporting Comprehensive Income (Subtopic 220-40): Disaggregation of Income Statement Expenses, which requires public entities to disclose information about certain costs and expenses. The amendments in this ASU improve financial reporting by requiring additional disclosure of information and specific expense categories in the notes to the financial statements at interim and annual periods. The ASU is effective for fiscal years beginning after December 15, 2026, and interim periods within annual reporting periods beginning after December 15, 2027. Entities must adopt the changes either (1) prospectively to financial statements issued for reporting periods after the effective date of this update or (2) retrospectively to any or all prior periods presented in the financial statements. The Company is currently evaluating the potential effect that this ASU will have on its financial statement disclosures.
In November 2024, the FASB issued ASU 2024-04, Debt - Debt with Conversion and Other Options (Subtopic 470-20): Induced Conversion of Convertible Debt Instruments, which requires public entities that settle convertible debt instruments for which the conversion privileges were changed to induce conversion and enhances current guidance on induced conversions applies only to conversions that include the issuance of all equity securities issuable pursuant to the conversion privileges provided in the terms of the debt at issuance. The ASU is effective for fiscal years beginning after December 15, 2025, and interim periods within annual reporting periods. Entities must adopt the changes either (1) prospectively to financial statements issued for reporting periods after the effective date of this update or (2) retrospectively to any or all prior periods presented in the financial statements. The Company is currently evaluating the potential effect that this ASU will have on its financial statement disclosures
On December 14, 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures. The ASU requires disaggregated information about a reporting entity’s effective tax rate reconciliation as well as information on income taxes paid disaggregated by jurisdiction. The new requirements will be effective for annual periods beginning after December 15, 2024, and will be applied on a prospective basis with the option to apply the standard retrospectively. The Company is currently evaluating the potential effect that this ASU will have on its financial statement disclosures.
Other recently issued accounting standards or pronouncements have been excluded because they are either not relevant to the Company, or are not expected to have, or did not have, a material effect on its condensed consolidated financial statements.
v3.25.1
Inventories
 3 Months Ended
Mar. 31, 2025
Inventory Disclosure [Abstract]  
Inventories Inventories
Inventories consist of the following as of March 31, 2025 and December 31, 2024 (in thousands):
March 31,
2025
December 31, 2024
Raw materials and manufacturing supplies$6,685 $6,113 
Finished products1,873 2,009 
  Total inventories$8,558 $8,122 
As of March 31, 2025 and December 31, 2024, no write down of inventory was determined necessary.
v3.25.1
Investment in Convertible Notes
 3 Months Ended
Mar. 31, 2025
Investments, Debt and Equity Securities [Abstract]  
Investment in Convertible Notes Investment in Convertible NotesOn May 31, 2023, the Company and Gold Rush Amusements, Inc. (“Gold Rush”), another terminal operator in Illinois, entered into a settlement agreement which resolved any and all lawsuits and all outstanding obligations under the Company’s investment in Gold Rush’s convertible notes. As part of the settlement, the Company had a receivable from Gold Rush of $1.5 million as of March 31, 2025, which was paid in full on April 30, 2025.
v3.25.1
Property and Equipment
 3 Months Ended
Mar. 31, 2025
Property, Plant and Equipment [Abstract]  
Property and Equipment Property and Equipment
Property and equipment consist of the following as of March 31, 2025, and December 31, 2024 (in thousands):
March 31,
2025		December 31,
2024
Gaming terminals, software and equipment$429,700 $415,003 
Amusement, ATM and other equipment29,203 29,174 
Office equipment and furniture4,440 4,281 
Computer equipment and software23,282 23,136 
Leasehold improvements10,315 10,151 
Vehicles22,936 22,974 
Buildings and improvements30,430 30,105 
Land7,718 7,718 
Construction in progress13,653 4,453 
Total property and equipment571,677 546,995 
Less accumulated depreciation and amortization(249,875)(238,998)
Total property and equipment, net$321,802 $307,997 
Depreciation and amortization of property and equipment was $12.3 million and $10.4 million for the three months ended March 31, 2025 and 2024, respectively.
v3.25.1
Route and Customer Acquisition Costs
 3 Months Ended
Mar. 31, 2025
Revenue from Contract with Customer [Abstract]  
Route and Customer Acquisition Costs Route and Customer Acquisition Costs
The Company enters into contracts with third parties and its gaming locations to install and operate gaming terminals. Payments are due when gaming operations commence and then on a periodic basis for a specified period of time thereafter. Gross payments due, based on the number of live locations, were approximately $11.6 million and $11.2 million as of March 31, 2025 and December 31, 2024, respectively. Payments are due over varying terms of the individual agreements and are discounted at the Company’s incremental borrowing rate associated with its long-term debt at the time the contract is acquired. The net present value of payments due was $9.7 million and $9.4 million as of March 31, 2025 and December 31, 2024, respectively, of which approximately $2.2 million was included in current liabilities in the accompanying condensed consolidated balance sheets as of
both March 31, 2025 and December 31, 2024, respectively. The route and customer acquisition cost asset was comprised of upfront payments made on the contracts of $22.7 million and $22.3 million as of March 31, 2025 and December 31, 2024, respectively. The Company has upfront payments of commissions paid to the third parties for the acquisition of the customer contracts that are subject to a clawback provision if the customer cancels the contract prior to completion. The payments subject to a clawback were $1.3 million and $1.2 million as of March 31, 2025 and December 31, 2024, respectively.
Route and customer acquisition costs consisted of the following as of March 31, 2025 and December 31, 2024 (in thousands):
March 31,
2025		December 31,
2024
Cost$39,786 $39,204 
Accumulated amortization(16,208)(15,946)
Route and customer acquisition costs, net$23,578 $23,258 
Amortization expense of route and customer acquisition costs was $0.6 million and $0.5 million for the three months ended March 31, 2025 and 2024, respectively.
v3.25.1
Location Contracts Acquired
 3 Months Ended
Mar. 31, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
Location Contracts Acquired Location Contracts Acquired
Location contract assets acquired in business acquisitions are recorded at fair value based on an income approach. Location contracts acquired consisted of the following as of March 31, 2025 and December 31, 2024 (in thousands):
March 31,
2025		December 31,
2024
Cost$330,958 $330,903 
Accumulated amortization(133,419)(128,285)
Location contracts acquired, net$197,539 $202,618 
Amortization expense of location contracts acquired was $5.1 million and $4.3 million for the three months ended March 31, 2025 and 2024, respectively.
v3.25.1
Goodwill and Other Intangible Assets
 3 Months Ended
Mar. 31, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Other Intangible Assets Goodwill and Other Intangible Assets
The Company had goodwill of $116.3 million as of both March 31, 2025 and December 31, 2024, respectively, of which $38.2 million was deductible for tax purposes as of March 31, 2025.
Other intangible assets
Other intangible assets, net consist of definite-lived trade names, customer relationships, software applications and indefinite-lived operating licenses. Other intangible assets are amortized over their estimated 7 to 20-year useful lives.
Other intangible assets consist of the following as of March 31, 2025 and December 31, 2024 (in thousands):
March 31, 2025December 31, 2024
Amortization Period
Gross Carrying Amount
Accumulated Amortization
Net Carrying Amount
Gross Carrying AmountAccumulated AmortizationNet Carrying Amount
Customer Relationships7 years$6,800 $(3,521)$3,279 $6,800 $(3,325)$3,475 
Software Applications8 years7,800 (2,763)5,037 7,800 (2,519)5,281 
Trade Names20 years11,700 (1,421)10,279 11,700 (1,265)10,435 
Operating Licenses
Indefinite
34,749 
N/A
34,749 34,749 N/A34,749 
$61,049 $(7,705)$53,344 $61,049 $(7,109)$53,940 
Amortization expense of other intangible assets was $0.6 million for both the three months ended March 31, 2025, and 2024, respectively.
Indefinite-lived intangibles are tested for impairment annually or when triggering events occur. There were no indicators of impairment of indefinite-lived intangibles as of March 31, 2025.
v3.25.1
Debt
 3 Months Ended
Mar. 31, 2025
Debt Disclosure [Abstract]  
Debt Debt
The Company’s debt as of March 31, 2025 and December 31, 2024, consisted of the following (in thousands):
March 31,
2025		December 31,
2024
Senior Secured Credit Facility:
Revolving credit facility$— $6,500 
Term Loan288,750 293,125 
Delayed Draw Term Loan293,762 297,750 
Total borrowings
582,512 597,375 
Add: Remaining premium on interest rate caplets financed as debt
830 1,076 
Total debt
583,342 598,451 
Less: Debt issuance costs(2,637)(3,072)
Total debt, net of debt issuance costs580,705 595,379 
Less: Current maturities(34,280)(34,443)
Total debt, net of current maturities$546,425 $560,936 
As of March 31, 2025, the weighted-average interest rate on the Company’s borrowings was approximately 6.5%.
Interest rate caplets
The Company manages its exposure to some of its interest rate risk through the use of interest rate caplets, which are derivative financial instruments. On January 12, 2022, the Company hedged the variability of the cash flows attributable to changes in the 1-month SOFR interest rates on the first $300 million of the term loan under the Company’s existing credit agreement, as amended, by entering into a 4-year series of 48 deferred premium caplets (“caplets”).
The Company recognized an unrealized loss, net of taxes, on the change in fair value of the caplets of $1.1 million for the three months ended March 31, 2025. In comparison, the Company recognized an unrealized gain, net of taxes, of $1.1 million for the three months ended March 31, 2024. For more information on how the Company determines the fair value of the caplets, see Note 12. The Company also recognized interest income on the caplets of $1.8 million and $2.6 million for the three months ended
March 31, 2025 and 2024, respectively. These amounts are reflected in interest expense, net in the condensed consolidated statements of operations and other comprehensive income.
v3.25.1
Business Acquisitions
 3 Months Ended
Mar. 31, 2025
Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]  
Business Acquisitions Business Acquisitions
2024 Business Acquisitions
Randy’s
On December 23, 2024, the Company completed its acquisition of certain assets of Randy’s Vending (“Randy’s”), an Illinois based operator, for a total consideration transferred of $0.3 million, which included i) $0.1 million in cash at closing and ii) contingent purchase consideration with an estimated fair value of $0.2 million. The acquisition was accounted for as an asset acquisition in accordance with Topic 805. The purchase price was allocated to the following assets: i) amusement equipment totaling less than $0.1 million and ii) location contracts totaling $0.2 million. The results of operations for Randy’s are included in the condensed consolidated financial statements of the Company from the date of acquisition and were not material.
Fairmount
On December 2, 2024, the Company completed its acquisition of Fairmount Holdings, Inc. (“Fairmount”), the owner of the FanDuel Sportsbook & Racetrack in Collinsville, Illinois, for total stock consideration of approximately $40.5 million. Consideration transferred was approximately 3.5 million shares of the Company’s Class A-1 common stock and the value was based on a prior twenty-day trailing weighted average close price. The acquisition was accounted for as a business combination in accordance with Topic 805. The purchase price has been preliminarily allocated to the tangible assets and identifiable intangible assets acquired and liabilities assumed based upon their estimated fair values. The areas of the purchase price allocation that are not yet finalized are primarily related to the final adjustments to working capital. The excess of the purchase price over the tangible and intangible assets acquired and liabilities assumed of $12.0 million has been recorded as goodwill. The Fairmount acquisition resulted in recorded goodwill as a result of a higher consideration paid driven by the maturity of Fairmount’s operations, industry and workforce. While management has integrated certain operations of Fairmount into its existing business structure, Fairmount is its own operating segment, casino and racing.
The following table summarizes the fair value of consideration transferred and the fair values of the assets acquired and liabilities assumed at the date of acquisition (in thousands):
Fair value of treasury stock issued
$40,472 
Cash and cash equivalents$858 
Accounts receivable, net
1,477 
Inventory
60 
Prepaid expenses
575 
Property and equipment, net
11,788 
Location contracts acquired, net17,600 
Other intangible assets, net8,600 
Other assets356 
Accounts payable and other accrued expenses
(3,267)
Other long-term liabilities(340)
Deferred income tax liability, net
(9,206)
Net assets acquired
28,501 
Goodwill$11,971 
The results of operations for Fairmount are included in the condensed consolidated financial statements of the Company from the date of acquisition. Fairmount's acquired assets generated revenues and net loss of $5.9 million and $0.8 million, respectively, for the three months ended March 31, 2025. The unaudited pro forma revenue and net income of Fairmount, as if this acquisition had occurred as of the beginning of the fiscal year prior to the fiscal year of acquisition, is not material to the condensed consolidated results of the Company for the three months ended March 31, 2025.
Bayou
On November 21, 2024, the Company completed its acquisition of Bayou Gaming, Inc. (“Bayou”), a Louisiana based operator and owner of multiple licensed video poker establishments, for a total purchase price of $0.5 million, which the Company paid in cash at closing. The acquisition was accounted for as an asset acquisition in accordance with Topic 805. The purchase price was allocated to the following assets: i) gaming and amusement equipment totaling $0.1 million and ii) location contracts totaling $0.4 million. The results of operations for Bayou are included in the condensed consolidated financial statements of the Company from the date of acquisition and were not material.
Pelican
On November 21, 2024, the Company completed its acquisition of Pelican State Gaming, Inc. (“Pelican”), a Louisiana based operator and owner of multiple licensed video poker establishments, for a total consideration of $1.8 million, which included i) $1.5 million paid in cash at closing and ii) contingent purchase consideration with an estimated fair value of $0.3 million. The acquisition was accounted for as an asset acquisition in accordance with Topic 805. The purchase price was allocated to the following assets: i) gaming and amusement assets totaling $0.3 million and ii) location contracts totaling $1.5 million. The results of operations for Pelican are included in the condensed consolidated financial statements of the Company from the date of acquisition and were not material.
Xtreme
On November 1, 2024, the Company completed its acquisition of certain assets of Xtreme ATM of Louisiana LLC, (“Xtreme”) for a total purchase price of $1.5 million, which the Company paid in cash at closing. The acquisition was accounted for as an asset acquisition in accordance with Topic 805. The purchase price was allocated to the following assets: i) location contract assets totaling $1.4 million and ii) redemption equipment totaling less than $0.1 million. The results of operations for Xtreme are included in the condensed consolidated financial statements of the Company from the date of acquisition and were not material.
Toucan Gaming
On November 1, 2024, the Company completed its acquisition of 85% of the ownership interests in both Toucan Gaming, LLC and LSM Gaming, LLC (herein referred to as “Toucan Gaming”) for a total cash consideration of $41.6 million, of which $38.3 million was paid in cash (of which $4.6 million was paid in the prior year as an advance on the purchase price) and the remaining $3.3 million was recorded as consideration payable. The acquisition was accounted for as a business combination in accordance with Topic 805. The purchase price has been preliminarily allocated to the tangible assets and identifiable intangible assets acquired and liabilities assumed based upon their estimated fair values. The areas of the purchase price allocation that are not yet finalized are primarily related to the final adjustments to working capital. The excess of the purchase price over the tangible and intangible assets acquired and liabilities assumed of $2.1 million has been recorded as goodwill. The Toucan Gaming acquisition resulted in recorded goodwill as a result of a higher consideration paid driven by the maturity and quality of Toucan Gaming’s operations, industry and workforce. Management integrated Toucan Gaming into its existing business structure, which is comprised of a single reporting unit.
The following table summarizes the fair value of consideration transferred and the fair values of the assets acquired and liabilities assumed at the date of acquisition (in thousands):
Cash paid$38,253 
Consideration payable
3,348 
Total consideration$41,601 
Cash and cash equivalents$1,816 
Accounts receivable, net
618 
Inventories38 
Other current assets29 
Property and equipment, net
11,625 
Location contracts acquired, net9,200 
Other intangible assets, net22,300 
Deferred income tax asset
767 
Other assets1,194 
Accounts payable and other accrued expenses(3,122)
Current maturities of debt
(60)
Debt, net of current maturities
(520)
Other long-term liabilities(175)
Temporary equity - redeemable noncontrolling interest
(4,239)
Net assets acquired
39,471 
Goodwill2,130 
The results of operations for Toucan Gaming are included in the condensed consolidated financial statements of the Company from the date of acquisition. Toucan Gaming's acquired assets generated revenues and net loss of $9.0 million and $0.3 million, respectively, for the three months ended March 31, 2025. The unaudited pro forma revenue and net income of Toucan Gaming, as if this acquisition had occurred as of the beginning of the fiscal year prior to the fiscal year of acquisition, is not material to the condensed consolidated results of the Company for the three months ended March 31, 2025.
24th Street Station
On September 19, 2024, the Company completed its acquisition of 24th Street Station for a total purchase price of $0.8 million, which the Company paid in cash at closing. The acquisition was accounted for as a business combination in accordance with Topic 805. The purchase price was allocated to the following assets: i) indefinite-lived intangible assets totaling $0.7 million and ii) goodwill totaling $0.1 million. The results of operations for the 24th Street Station are included in the condensed consolidated financial statements of the Company from the date of acquisition and were not material.
Lucky 7s
On September 19, 2024, the Company completed its acquisition of Lucky 7s for a total purchase price of $0.8 million, which the Company paid in cash at closing. The acquisition was accounted for as a business combination in accordance with Topic 805. The purchase price was allocated to the following assets: i) indefinite-lived intangible assets totaling $0.7 million and ii) goodwill totaling $0.1 million. The results of operations for Lucky 7s are included in the condensed consolidated financial statements of the Company from the date of acquisition and were not material.
Jorgenson’s Lounge
On June 26, 2024, the Company acquired Jorgenson’s Lounge for a total purchase price of $1.1 million, which the Company paid in cash at closing. The acquisition was accounted for as a business combination in accordance with Topic 805. The purchase price was allocated to the following assets: i) indefinite-lived intangible assets totaling $0.8 million and ii) goodwill totaling $0.3 million. The results of operations for Jorgenson’s Lounge are included in the condensed consolidated financial statements of the Company from the date of acquisition and were not material.
Illinois Gaming Entertainment
On May 1, 2024, the Company acquired certain assets of Illinois Gaming Entertainment LLC (“IGE”), an Illinois-based terminal operator. The Company acquired 16 operational locations, as well as gaming equipment. The acquisition was accounted for as an asset acquisition in accordance with Topic 805. The aggregate purchase consideration transferred totaled $13.5 million, which included i) $11.4 million in cash at closing and ii) contingent purchase consideration with an estimated fair value of $2.1 million. The contingent purchase consideration represents three installments of $0.6 million which are due on the first, second and third anniversary of the acquisition with $0.7 million due on the fourth anniversary of the acquisition. All payments are subject to the acquired locations still being in operation on the respective anniversary dates. The present value of the consideration payable was $2.1 million as of December 31, 2024 and is recorded in consideration payable on the condensed consolidated balance sheets. The aggregate purchase consideration of $13.5 million was allocated to the following assets: i) location contracts totaling $11.6 million, ii) gaming equipment totaling $1.6 million and iii) redemption equipment totaling $0.3 million. The results of operations for IGE are included in the condensed consolidated financial statements of the Company from the date of acquisition and were not material.
Great Lakes Vending
On February 22, 2024, the Company acquired certain assets of Great Lakes Vending Corporation (“GLV”), an Illinois-based terminal operator. The Company acquired one operational location, as well as gaming and redemption terminal equipment. The acquisition was accounted for as an asset acquisition in accordance with Topic 805. The total purchase price was approximately $1.3 million, which the Company paid in cash at closing. The total purchase price of $1.3 million was allocated to the following assets: i) location contracts totaling $1.2 million and ii) gaming and redemption equipment totaling $0.1 million. The results of operations for GLV are included in the condensed consolidated financial statements of the Company from the date of acquisition and were not material.
Doc & Eddy’s
On January 10, 2024, the Company acquired Doc & Eddy’s West (“D&E”), a hospitality operation in Montana. The acquisition was accounted for as an asset acquisition in accordance with Topic 805. The total purchase price was approximately $2.3 million, which the Company paid in cash at closing, and was allocated to the following assets: i) buildings totaling $1.0 million, ii) indefinite long-lived assets totaling $0.9 million and iii) land totaling $0.4 million. The results of operations for D&E are included in the condensed consolidated financial statements of the Company from the date of acquisition and were not material.
Consideration Payable
The Company has a contingent consideration payable related to certain locations, as defined in each respective acquisition agreement, which are placed into operation during a specified period after the acquisition date. The fair value of contingent consideration is included in consideration payable on the condensed consolidated balance sheets as of March 31, 2025 and December 31, 2024. The contingent consideration accrued is measured at fair value on a recurring basis. The Company presents on its condensed consolidated statement of cash flows, payments for consideration payable within 90-days in investing activities,
payments after 90-days and up to the acquisition date fair value in financing activities, and payments in excess of the acquisition date fair value in operating activities.
Current and long-term portions of consideration payable consist of the following as of March 31, 2025 and December 31, 2024 (in thousands):
March 31, 2025December 31, 2024
CurrentLong-TermCurrentLong-Term
Fair Share Gaming*
982 5,491 969 5,493 
Skyhigh*
545 4,094 563 4,264 
IVSM*
96 88 94 187 
IGE
596 1,634 586 1,605 
Island*
100 — 100 — 
Randy’s
168 — 165 — 
Toucan Gaming
482 2,937 474 2,892 
Pelican
168 159 165 155 
Total$3,137 $14,403 $3,116 $14,596 
* Acquisitions that occurred prior to 2024.
v3.25.1
Contingent Earnout Share Liability
 3 Months Ended
Mar. 31, 2025
Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]  
Contingent Earnout Share Liability Contingent Earnout Share Liability
Pursuant to the terms of the Company’s Amended and Restated Certificate of Incorporation, the Company authorized and has available for issuance 10,000,000 shares of Class A-2 common stock. The holders of the Class A-2 common stock do not have voting rights and are not entitled to receive or participate in any dividends or distributions when and if declared from time to time. The Company concluded that the Class A-2 common stock should be reflected as a contingent earnout share liability due to the fact that such shares are not entitled to dividends, voting rights, or a stake in the Company in the case of liquidation. The contingent earnout share liability is recorded at fair value. For more information on how the fair value is determined, see Note 12.
In 2019, 5,000,000 shares of Class A-2 common stock were issued, subject to the conditions set forth in a restricted stock agreement (the “Restricted Stock Agreement”), which sets forth the terms upon which the Class A-2 common stock will be exchanged for an equal number of validly issued, fully paid and non-assessable Class A-1 common stock. The exchange of Class A-2 common stock for Class A-1 common stock will be subject to the terms and conditions set forth in the Restricted Stock Agreement, with such exchanges occurring in three separate tranches upon the satisfaction of the specified triggers, based on the closing sale price of Class A-1 common stock exceeding certain prices over certain trading periods.
In 2020, the market condition for the settlement of Tranche I was satisfied. As a result, 1,666,636 shares of the 1,666,666 shares of Class A-2 common stock were converted into Class A-1 common stock.
The market conditions for the remaining two Tranches are as follows:
•Tranche II, equal to 1,666,667 shares of Class A-2 common stock, will be exchanged for Class A-1 common stock if the closing sale price of Class A-1 common stock on the New York Stock Exchange (“NYSE”) equals or exceeds $14.00 for at least twenty trading days in any consecutive thirty trading day period; and
•Tranche III, equal to 1,666,667 shares of Class A-2 common stock, will be exchanged for Class A-1 common stock if the closing sale price of Class A-1 common stock on the NYSE equals or exceeds $16.00 for at least twenty trading days in any consecutive thirty trading day period.
v3.25.1
Fair Value Measurements
 3 Months Ended
Mar. 31, 2025
Fair Value Disclosures [Abstract]  
Fair Value Measurements Fair Value Measurements
ASC Topic 820, Fair Value Measurements and Disclosures, establishes a framework for measuring fair value and the corresponding disclosure requirements around fair value measurements. This topic applies to all financial instruments that are being measured and reported on a fair value basis.
Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. In determining fair value, various methods, including market, income and cost approaches, are used. Based on these approaches, certain assumptions are utilized that the market participants would use in pricing the asset or liability, including assumptions about risk and/or the risks inherent in the inputs to the valuation technique. These inputs can be readily observable, market corroborated, or generally unobservable inputs. Valuation techniques are utilized that maximize the use of observable inputs and minimize the use of unobservable inputs. Based on the observability of the inputs used in the valuation techniques, it is required to provide information according to the fair value hierarchy. The fair value hierarchy ranks the quality and reliability of the information used to determine fair values. Assets and liabilities carried at fair value will be classified and disclosed in one of the following three categories:
Level 1: Valuations for assets and liabilities traded in active exchange markets, such as the NYSE. Level 1 also includes U.S. Treasury and federal agency securities and federal agency mortgage-backed securities, which are traded by dealers or brokers in active markets. Valuations are obtained from readily available pricing sources for market transactions involving identical assets or liabilities.
Level 2: Valuations for assets and liabilities traded in less active dealer or broker markets. Valuations are obtained from third-party pricing services for identical or similar assets or liabilities.
Level 3: Valuations for assets and liabilities that are derived from other valuation methodologies, including option pricing models, discounted cash flow models and similar techniques, and not based on market exchange, dealer, or broker traded transactions. Level 3 valuations incorporate certain assumptions and projections in determining the fair value assigned to such assets or liabilities.
Assets measured at fair value
The following tables summarize the Company’s assets that are measured at fair value on a recurring basis (in thousands):
Fair Value Measurement at Reporting Date Using
March 31, 2025Quoted Prices in Active Markets for Identical Assets
(Level 1)		Significant Other Observable Inputs (Level 2)Significant Unobservable Inputs (Level 3)
Assets:
   Interest rate caplets5,024 — 5,024 — 
Fair Value Measurement at Reporting Date Using
December 31, 2024Quoted Prices in Active Markets for Identical Assets
 (Level 1)		Significant Other Observable Inputs (Level 2)Significant Unobservable Inputs (Level 3)
Assets:
  Interest rate caplets6,821 — 6,821 — 
Interest rate caplets
The Company determines the fair value of the interest rate caplets using quotes that are based on models whose inputs are observable SOFR forward interest rate curves. The valuation of the interest rate caplets is considered to be a Level 2 fair value measurement as the significant inputs are observable. Unrealized changes in the fair value of the interest rate caplets are classified within other comprehensive income on the accompanying condensed consolidated statements of operations and comprehensive income. Realized gains on the interest rate caplets are recorded to interest expense, net on the accompanying condensed consolidated statements of operations and comprehensive income and included within cash payments for interest, net on the condensed consolidated statements of cash flow.
Liabilities measured at fair value
The following tables summarizes the Company’s liabilities that are measured at fair value on a recurring basis (in thousands):
Fair Value Measurement at Reporting Date Using
March 31, 2025Quoted Prices in Active Markets for Identical Assets (Level 1)Significant Other Observable Inputs (Level 2)Significant Unobservable Inputs (Level 3)
Liabilities:
Contingent consideration$13,797 $— $— $13,797 
Contingent earnout shares30,748 — 30,748 — 
Total$44,545 $— $30,748 $13,797 

Fair Value Measurement at Reporting Date Using
December 31, 2024Quoted Prices in Active Markets for Identical Assets (Level 1)Significant Other Observable Inputs (Level 2)Significant Unobservable Inputs (Level 3)
Liabilities:
Contingent consideration$13,928 $— $— $13,928 
Contingent earnout shares33,103 — 33,103 — 
Total$47,031 $— $33,103 $13,928 
Contingent Consideration
The Company uses a discounted cash flow analysis to determine the value of contingent consideration upon acquisition and updates this estimate on a recurring basis. The significant assumptions used in the Company's cash flow analysis includes the probability adjusted projected revenues after state taxes, a discount rate as applicable to each acquisition, and the estimated number of locations that “go live” with the Company during the contingent consideration period. The valuation of the Company's contingent consideration is considered to be a Level 3 fair value measurement as the significant inputs are unobservable and require significant judgment or estimation. Changes in the fair value of contingent consideration liabilities are classified within other expenses, net on the accompanying condensed consolidated statements of operations and comprehensive income.
Contingent earnout shares
The Company determined the fair value of the contingent earnout shares based on the market price of the Company's Class A-1 common stock. The liability, by tranche, is then stated at present value based on i) an interest rate derived from the Company's borrowing rate and the applicable risk-free rate and ii) an estimate on when it expects the contingent earnout shares to convert to Class A-1 common stock. The valuation of the Company's contingent consideration is considered to be a Level 2 fair
value measurement. Changes in the fair value of contingent earnout shares are included within loss on change in fair value of contingent earnout shares on the accompanying condensed consolidated statements of operations and comprehensive income.
There were no transfers in or out of Level 3 for the periods presented.
v3.25.1
Stockholders' Equity
 3 Months Ended
Mar. 31, 2025
Equity [Abstract]  
Stockholders' Equity Stockholders’ Equity
Pursuant to the terms of the Company’s Amended and Restated Certificate of Incorporation, the Company authorized and has available for issuance the following shares:
Class A-1 Common Stock
The holders of the Class A-1 common stock are entitled to one vote for each share. The holders of Class A-1 common stock are entitled to receive dividends or other distributions when and if declared from time to time and share equally on a per share basis in such dividends and distributions, subject to such rights of the holders of preferred stock.
Treasury Stock
On November 22, 2021, the Company’s Board of Directors approved a share repurchase program of up to $200 million shares of Class A-1 common stock. On February 27, 2025, the Board approved an amendment to the share repurchase program to replenish the dollar amount that may be purchased under the program back to up to $200 million shares of Class A-1 common stock (as amended, the “share repurchase program”). The timing and actual number of shares repurchased will depend on a variety of factors, including price, general business and market conditions, and alternative investment opportunities. Under the share repurchase program, repurchases can be made from time to time using a variety of methods, including open market purchases or privately negotiated transactions, in compliance with the rules of the SEC and other applicable legal requirements. The share repurchase program does not obligate the Company to acquire any particular amount of shares, and the share repurchase program may be suspended or discontinued at any time at the Company’s discretion. As of March 31, 2025, the Company acquired a total of 14,844,575 shares under the share repurchase program at a total purchase price of $153.8 million, of which 988,678 shares at a total purchase price of $10.2 million were acquired during the three months ended March 31, 2025.
v3.25.1
Segment Reporting
 3 Months Ended
Mar. 31, 2025
Segment Reporting [Abstract]  
Segment Reporting Segment Reporting
The Company assesses its reportable segments on an annual basis or as changes in its business occur. As part of its assessment, the Company has determined its chief operating decision maker (“CODM”) to be its Chief Executive Officer, Andrew Rubenstein, who is ultimately responsible for the operating performance of the Company and the allocation of resources. The CODM assesses financial performance and allocates resources based on Adjusted EBITDA. Adjusted EBITDA is used by the CODM to understand the Company’s underlying drivers of profitability, trends in its business, and to facilitate company-to-company and period-to-period comparisons. Segment asset information is provided to the CODM but is not used to allocate resources.
The Company defines Adjusted EBITDA as net income plus:
•Amortization of intangible assets and route and customer acquisition costs
•Stock-based compensation expense
•Loss from unconsolidated affiliates
•(Gain) loss on change in fair value of contingent earnout shares
•Other expenses, net
•Depreciation and amortization of property and equipment
•Interest expense, net
•Emerging markets, which reflects the results, on an Adjusted EBITDA basis, for non-core jurisdictions where the Company’s operations are developing
•Income tax expense
The 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 devises 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 the FanDuel Sportsbook & Horse Racing, which has been rebranded as Fairmount Park - Casino & Racing in Collinsville, Illinois, that as of March 31, 2025, it has two operating segments: distributed gaming and casino and racing. However, due to the fact the construction of the Fairmount Park casino is in the process of being completed and the limited operations of racing in the winter months, the casino and racing operating segment does not reach the criteria of being a reportable segment in the first quarter of 2025. In April 2025, the Fairmount Park casino opened and the racing season began. As such, the Company expects to disclose a second reportable segment in the second quarter of 2025.
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 for the three months ended March 31, 2025 and 2024. Additionally, the Company has included an "all other" operating segment which is its casino and racing business that is neither individually reportable nor able to be aggregated or combined with another operating segment.
(in thousands)
Three Months Ended
March 31,
20252024
Distributed gaming
Total net revenues (1)
$318,062 $301,817 
Adjustments: (2)
Cost of revenue
219,680 209,167 
Compensation related costs - operations (3)
20,956 18,685 
Compensation related costs - general and administrative (3)
12,447 12,127 
All other segment items (4)
15,632 15,591 
Adjusted EBITDA for distributed gaming
$49,347 $46,247 
Adjusted EBITDA for “all other” operating segment (5)
$167 $— 
Less Adjustments for:
Depreciation and amortization of property and equipment
$12,301 $10,434 
Amortization of intangible assets and route and customer acquisition costs
6,290 5,438 
Interest expense, net8,685 8,660 
Emerging markets63 40 
Loss from unconsolidated affiliates
16 — 
Stock-based compensation2,091 2,350 
(Gain) loss on change in fair value of contingent earnout shares
(2,355)4,716 
Other expenses, net2,817 2,426 
Income before income tax expense$19,606 $12,183 
Income tax expense4,993 4,767 
Net income$14,613 $7,416 
(1)Total net revenues is further disaggregated by revenue stream as included on the condensed consolidated statements of operations and comprehensive income.
(2)The significant expense categories and amounts align with the segment-level information that is regularly provided to the CODM.
(3)Compensation related costs represent payroll and other related costs that are included in general and administrative on the condensed consolidated statements of operations and comprehensive income.
(4)All other segment items include other operating and general and administrative expenses (such as general and administrative expenses related to parts, advertising, information technology, etc.) which are included in general and administrative on the condensed consolidated statements of operations and comprehensive income and cost of manufacturing good sold, as well as, adjustments for stock-based compensation expense and emerging markets.
(5)All corporate expenses were allocated to the distributed gaming reportable segment as of March 31, 2025. The "all other" operating segment had total net revenues of $5.9 million; cost of revenues of $1.8 million; compensation related costs - operations of $2.6 million and all other segment items of $1.3 million.
As of March 31, 2025, the assets associated with the distributed gaming segment are $1.0 billion and the assets for the "all other" operating segment were $34.2 million.
See the condensed consolidated financial statements for other financial information (such as cash used for capital expenditures, etc.) regarding the Company’s reportable segment.
v3.25.1
Stock-based Compensation
 3 Months Ended
Mar. 31, 2025
Share-Based Payment Arrangement [Abstract]  
Stock-based Compensation Stock-based Compensation
The Company grants various types of stock-based compensation awards. The Company measures its stock-based compensation expense based on the grant date fair value of the award and recognizes the expense over the requisite service period for the respective award.
Under the Accel Entertainment, Inc. Long Term Incentive Plan, the Company issued 159,105 restricted stock units (“RSUs”) to the Board of Directors and certain eligible employees during the first quarter of 2025, which will vest over a period of 3 years for employees and by the end of 2025 for the Board of Directors. The Company also issued 242,230 performance-based restricted stock units (“PSUs”) to certain eligible employees during the first quarter of 2025, which will vest after 3 years. The numbers of shares earned upon vesting of the PSUs, if any, is based on the attainment of performance goals over the performance period, subject to continued service, except for employees who are retirement eligible and in certain other limited circumstances. The estimated grant date fair value of these RSUs and PSUs totaled $4.0 million.
Stock-based compensation expense, which pertains to the Company’s RSUs and PSUs, was $2.1 million for the three months ended March 31, 2025. In comparison, stock-based compensation expense was $2.4 million for the three months ended March 31, 2024. Stock-based compensation expense is included within general and administrative expenses in the condensed consolidated statements of operations and other comprehensive income.
v3.25.1
Income Taxes
 3 Months Ended
Mar. 31, 2025
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
The Company recognized income tax expense of $5.0 million and $4.8 million for the three months ended March 31, 2025 and 2024, respectively.
The Company calculates its provision for income taxes during interim reporting periods by applying an estimate of the annual effective tax rate to its year-to-date pretax book income or loss. The effective tax rate (income taxes as a percentage of income before income taxes) was 25.5% and 39.1% for the three months ended March 31, 2025 and 2024, respectively. The Company’s effective income tax rate can vary from period to period depending on, among other factors, the amount of permanent tax adjustments and discrete items. The change in the fair value of the contingent earnout shares is considered a discrete item for income tax purposes and was the primary driver for the fluctuations in the tax rate year over year.
v3.25.1
Commitments and Contingencies
 3 Months Ended
Mar. 31, 2025
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies
Lawsuits and claims are filed against the Company from time to time in the ordinary course of business, including related to employee matters, employment of professionals and non-compete clauses and agreements. Other than settled matters explained as follows, these actions are in various stages, and no judgments or decisions have been rendered. Management, after reviewing matters with legal counsel, believes that the outcome of such matters will not have a material adverse effect on the Company’s financial position or results of operations.
The Company has been involved in a series of related litigated matters stemming from claims that it wrongly contracted with 10 different licensed establishments (the “Defendant Establishments”) in 2012 in violation of the contractual rights held by J&J Ventures Gaming, LLC (“J&J”), as further described below.
On August 21, 2012, one of the Company’s operating subsidiaries entered into certain agreements with Jason Rowell (“Rowell”), a member of Action Gaming LLC (“Action Gaming”), which was an unlicensed terminal operator that had exclusive rights to place and operate gaming terminals within a number of establishments, including the Defendant Establishments. Under agreements with Rowell, the Company agreed to pay him for each licensed establishment which decided to enter into an exclusive location agreement with Accel. In late August and early September 2012, each of the Defendant Establishments signed a separate location agreement with the Company, purporting to grant the Company the exclusive right to operate gaming terminals in those establishments. Separately, on August 24, 2012, Action Gaming sold and assigned its rights to all its location agreements to J&J,
including its exclusive rights with the Defendant Establishments (the “J&J Assigned Agreements”). At the time of the assignment of such rights to J&J, the Defendant Establishments were not yet licensed by the IGB.
Action Gaming, J&J, and other parties, collectively, the Plaintiffs, filed a complaint against the Company, Rowell, and other parties in the Circuit Court of Cook County, Illinois (the “Circuit Court”), on August 31, 2012, as amended on November 1, 2012, December 19, 2012, and October 3, 2013, alleging, among other things, that Accel aided and abetted Rowell in breaches of his fiduciary duties and contractual obligations with Action Gaming and tortiously interfered with Action Gaming’s contracts with Rowell and agreements assigned to J&J. The complaint seeks damages and injunctive and equitable relief. On January 24, 2018, the Company filed a motion to dismiss for lack of subject matter jurisdiction, as further described below. On May 14, 2018, the Circuit Court denied the Company’s motion to dismiss and granted a stay to the case, pending a ruling from the IGB on the validity of the J&J Assigned Agreements.
From 2013 to 2015, the Plaintiffs filed additional claims, including J&J Ventures Gaming, LLC et al. v. Wild, Inc. (“Wild”), in various circuit courts seeking declaratory judgments with a number of establishments, including each of the Defendant Establishments, requesting declarations that, among other things, J&J held the exclusive right to operate gaming terminals at each of the Defendant Establishments as a result of the J&J Assigned Agreements. The Company was granted leave to intervene in all of the declaratory judgments. The circuit courts found that the J&J Assigned Agreements were valid because each of the underlying location agreements were between an unlicensed establishment and an unlicensed terminal operator, and therefore did not constitute use agreements that were otherwise precluded from assignment under the IGB’s regulations. Upon the Company’s appeal, the Illinois Appellate Court, Fifth District (the “District Court”), vacated the circuit courts’ judgments and dismissed the appeals, holding that the IGB had exclusive jurisdiction over the matter that formed the basis of the parties’ claims, and declined to consider the merits of the parties’ disputes. On September 22, 2016, and after the IGB intervened, the Supreme Court of Illinois issued a judgment in Wild, affirming the District Court’s decision vacating the circuit courts’ judgments for lack of subject matter jurisdiction and dismissing the appeals, determining that the IGB has exclusive jurisdiction to decide the validity and enforceability of gaming terminal use agreements.
Between May 2017 and September 2017, both the Company and J&J filed petitions with the IGB seeking adjudication of the rights of the parties and the validity of the use agreements. Those petitions were recently adjudicated by the IGB, largely in the Company’s favor, and J&J has filed two new lawsuits to challenge the IGB’s rulings. J&J lost at both the trial court and appellate court level and recently filed a petition with the Illinois Supreme Court seeking permission for a further appeal. The petition for leave to appeal was denied by the Illinois Supreme Court. The second case is awaiting a ruling at the trial court level. The Company does not have a present estimate regarding the potential damages, if any, that could potentially be awarded in this litigation and, accordingly, has established no reserves relating to such matters.
On October 7, 2019, the Company filed a lawsuit in the Circuit Court of Cook County, Illinois against Rowell and other parties related to Rowell’s breaches of his non-compete agreement with Accel. The Company alleged that Rowell and a competitor were working together to interfere with the Company’s customer relationships. On November 7, 2019, Rowell filed a lawsuit in the Circuit Court of Cook County, Illinois against the Company alleging that he had not received certain equity interests in the Company to which he was allegedly entitled under his agreement. On July 18, 2024, the Company and Rowell entered into a settlement agreement pursuant to which the Company paid Rowell $0.1 million in exchange for a mutual release of the Company's claims against Rowell and Rowell's claims against the Company. The litigation involving Action Gaming, J&J, and the other parties, as described above, remains pending.
On July 2, 2019, Illinois Gaming Investors, LLC filed a lawsuit against the Company. The lawsuit alleges that a current employee violated his non-competition agreement with Illinois Gaming Investors, LLC, and together with the Company, wrongfully solicited prohibited licensed video gaming locations. The parties settled this dispute in April 2022.
On December 18, 2020, the Company received a disciplinary complaint from the IGB alleging violations of the Video Gaming Act and the IGB’s Adopted Rules for Video Gaming. The disciplinary complaint sought to fine the Company in the amount of $5 million. On July 6, 2023, the IGB and the Company entered into a settlement agreement for $1.1 million of which $1.0 million is the fine for the alleged conduct and $0.1 million is for reimbursement of administrative and investigative costs. The amount was paid in the third quarter of 2023. As a result of the settlement agreement, the Company has agreed to review similar initiatives with the IGB before implementing a new program or making any public announcements, require additional annual training of its employees, and provide additional compliance disclosures to the IGB.
On March 9, 2022, the Company filed a lawsuit in the Circuit Court of Cook County, Illinois against Gold Rush relating to the Gold Rush convertible notes. The complaint sought damages for breach of contract and the implied covenant of good faith and fair dealing as well as unjust enrichment. On June 22, 2022, Gold Rush filed a lawsuit in the Circuit Court of Cook County, Illinois against the Company. The lawsuit alleged that the Company tortiously interfered with Gold Rush’s business activities and engaged in misconduct with respect to the Gold Rush convertible notes. On April 22, 2022, the Company filed a petition in the Circuit Court of Cook County, Illinois to judicially review the IGB's decision to deny the requested transfer of Gold Rush common stock in respect of the Company’s conversion of the convertible notes. Discovery ensued on these lawsuits but both suits were dismissed with prejudice as a result of the previously mentioned settlement between the Company and Gold Rush on the convertible notes. The Company also withdrew its petition to judicially review the IGB's decision. For more information, see Note 4.
On March 25, 2022, Midwest Electronics Gaming LLC (“Midwest”) filed an administrative review action against the Illinois Gaming Board, the Company and J&J in the Circuit Court of Cook County, Illinois seeking administrative review of decisions of the IGB ruling in favor of the Company and J&J and against Midwest regarding the validity of certain use agreements covering locations currently serviced by Midwest. No monetary damages are sought against the Company. The Company filed a motion to dismiss Midwest’s amended complaint, which was granted in part and denied in part. The Company moved for summary judgment, and the trial court heard argument in January 2025. The judge granted and denied, in part, the motion for summary judgement. The parties are proceeding with discovery.
In July 2022, an enforcement action was brought against the Company by an Illinois municipality related to an alleged violation of an ordinance requiring the collection of an additional tax, the enforceability of which is currently being contested by the Illinois Gaming Machine Operators Association. Rather than litigate the alleged violation, the Company pled no contest and has made the appropriate payments to the municipality during 2024 and 2025.
In February 2023, an Illinois municipality issued an order against the Company for the alleged failure to pay a terminal operator tax (“TO Tax”) for the privilege of operating gaming terminals within the municipality. The TO Tax was adopted by the municipality on June 8, 2021, but there was no enforcement of this tax until the Company was issued a notice of hearing in February 2023. In April 2023, the Company, along with numerous other terminal operators, filed a complaint in the Circuit Court of Cook County, Illinois contesting the validity and enforceability of the TO Tax and won a temporary restraining order to stay the order. Currently, the matter remains pending as a result of a motion to consolidate and to finalize the assignment of the judge. On March 21, 2025, the judge ruled in favor of the Company and a coalition of terminal operators’ motion for judgment on the pleadings that the municipality ordinance was pre-empted by State law as well as the other 54 municipal push tax ordinances. The cases were all dismissed and the municipality is expected to appeal.
v3.25.1
Earnings Per Share
 3 Months Ended
Mar. 31, 2025
Earnings Per Share [Abstract]  
Earnings Per Share Earnings Per Share
The components of basic and diluted earnings per share (“EPS”) were as follows for the three months ended March 31 (in thousands, except per share amounts):
Three Months Ended
March 31,
20252024
Net income attributable to Accel Entertainment, Inc.
$14,639 $7,416 
Basic weighted average outstanding shares of common stock86,003 84,298 
Dilutive effect of stock-based awards for common stock1,220 1,002 
Diluted weighted average outstanding shares of common stock87,223 85,300 
Earnings per common share:
Basic$0.17 $0.09 
Diluted$0.17 $0.09 
Anti-dilutive stock-based awards, contingent earnout shares and warrants excluded from the calculations of diluted EPS were 4,382,703 and 4,339,250 shares as of March 31, 2025 and 2024, respectively.
v3.25.1
Pay vs Performance Disclosure - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Pay vs Performance Disclosure    
Net income $ 14,639 $ 7,416
v3.25.1
Insider Trading Arrangements
 3 Months Ended
Mar. 31, 2025
shares
Trading Arrangements, by Individual  
Material Terms of Trading Arrangement
On December 13, 2024, Derek Harmer, our Chief Compliance Officer, entered into a pre-arranged written stock sale plan in accordance with Rule 10b5-1 (the “Harmer Rule 10b5-1 Plan”) under the Exchange Act, for the sale of shares of our Class A-1 common stock. The Harmer Rule 10b5-1 Plan was adopted during an open trading window in accordance with our insider trading policy and is intended to satisfy the affirmative defense of Rule 10b5-1(c) under the Exchange Act. The Harmer Rule 10b5-1 Plan provides for the potential sale of up to 40,000 shares of our Class A-1 common stock, so long as the market price of our Class A-1 common stock is higher than certain minimum threshold prices specified in the Harmer Rule 10b5-1 Plan between March 13, 2025 and December 31, 2025. The Harmer Rule 10b5-1 Plan was inadvertently omitted in Item 9B of Part II of our Annual Report on Form 10-K for the year ended December 31, 2024.
The Harmer Rule 10b5-1 Plan included a representation from Mr. Harmer to the broker administering the plan that he was not in possession of any material nonpublic information regarding us or our securities subject to the Harmer Rule 10b5-1 Plan at the time the Harmer Rule 10b5-1 Plan was entered into. A similar representation was made to us in a certification Mr. Harmer provided to us in connection with the adoption of the Harmer Rule 10b5-1 Plan under our insider trading policy. Those representations were made as of the date of adoption of the Harmer Rule 10b5-1 Plan or the certification, as applicable, and speak only as of those dates. In making those representations, there is no assurance with respect to any material nonpublic information of which the officer, was unaware, or with respect to any material nonpublic information acquired by the officer or director, as applicable, or us after the applicable date of the representation.
Transactions under the Harmer Rule 10b5-1 Plan will be disclosed publicly through Form 4 and/or Form 144 filings with the Securities and Exchange Commission in accordance with applicable securities laws, rules, and regulations. Except as may be required by law, we do not undertake any obligation to update or report any modification, termination, or other activity under current or future Rule 10b5-1 plans that may be adopted by Mr. Harmer or our other officers or directors.
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
Derek Harmer [Member]  
Trading Arrangements, by Individual  
Name Derek Harmer
Title Chief Compliance Officer
Rule 10b5-1 Arrangement Adopted true
Adoption Date December 13, 2024
Expiration Date December 31, 2025
Arrangement Duration 383 days
Aggregate Available 40,000
v3.25.1
Summary of Significant Accounting Policies (Policies)
 3 Months Ended
Mar. 31, 2025
Accounting Policies [Abstract]  
Basis of presentation and preparation Basis of presentation and preparation: The condensed consolidated financial statements and accompanying notes were prepared in conformity with U.S. generally accepted accounting principles (“GAAP”) and the rules and regulations of the Securities and Exchange Commission (“SEC”). The condensed consolidated financial statements include the accounts of the Company and of its wholly-owned subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation. In the opinion of management, the condensed consolidated financial statements include all recurring adjustments and normal accruals necessary for a fair presentation of the Company’s financial position, results of operations and cash flows for the dates and periods presented. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and the related notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024 (the “Form 10-K”). In preparing our condensed consolidated financial statements, we applied the same significant accounting policies as described in Note 2 to the consolidated financial statements in the Form 10-K. Any significant changes to those accounting policies are discussed below. Interim results are not necessarily indicative of results for a full year.
Use of estimates
Use of estimates: The preparation of the condensed consolidated financial statements requires management to make estimates and assumptions that affect (i) the reported amounts of assets and liabilities, (ii) disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and (iii) the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Estimates used by the Company include, among other things, the useful lives for depreciable and amortizable assets, income tax provisions, the evaluation of the future realization of deferred tax assets, projected cash flows in assessing the initial valuation of intangible assets in conjunction with business and asset acquisitions, the selection of useful lives for depreciable and amortizable assets in conjunction with business and asset acquisitions, the valuation of level 3 investments, the valuation of contingent earnout shares, the valuation of interest rate caplets, contingencies, and the expected term of share-based compensation awards and stock price volatility when computing stock-based compensation expense. Actual results may differ from those estimates.
Equity method investments
Equity method investments: In the normal course of business, the Company makes investments within companies that will allow it to expand the Company’s core business and enter new markets. In certain instances, such investments with less than 100% ownership may be considered a variable interest entity (“VIE”). The Company’s management assesses whether it has the power to direct activities that most significantly impact the economic performance of the entity and has an obligation to absorb losses or the right to receive benefits from the entity. The activities that the Company believes most significantly impact the economic performance of its VIE include the unilateral ability to approve the annual budget, to terminate key management and to approve entering into agreements with providers, among others. If the Company determines it has an investment in a VIE, the next step is to determine whether the Company is the primary beneficiary of the VIE, which would require the Company to consolidate the investment. Among the factors the Company’s management assesses whether it has a controlling financial interest is the Company’s risk of loss, its investment percentage and its ability to control the operations of the investment. If the Company determines it is not the primary beneficiary, it will account for the investment under the equity method of accounting.
The Company accounts for its investments in unconsolidated affiliates, which do not meet the controlling financial interest consolidation criteria of the authoritative accounting guidance for VIEs, under the equity method of accounting. Under the equity method of accounting, the Company records its share of net income or loss from equity method investments within (income) loss from unconsolidated affiliates in the condensed consolidated statements of operations and comprehensive income based on the most recently available financials after a lag of one quarter. The Company also adjusts the carrying value of its investments in unconsolidated affiliates based on its share of net income or loss from equity method investments.
Revenue recognition Revenue recognition: The Company primarily generates revenues from the following types of services: gaming terminals, amusements, and ATMs. The Company also generates manufacturing revenue from the sale of gaming terminals and associated software, as well as revenue from its racing operations. Revenue is disaggregated by type of revenue and is presented on the face of the condensed consolidated statements of operations and comprehensive income.
Recent accounting pronouncements
Recent accounting pronouncements: In November 2024, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2024-03, Income Statement - Reporting Comprehensive Income (Subtopic 220-40): Disaggregation of Income Statement Expenses, which requires public entities to disclose information about certain costs and expenses. The amendments in this ASU improve financial reporting by requiring additional disclosure of information and specific expense categories in the notes to the financial statements at interim and annual periods. The ASU is effective for fiscal years beginning after December 15, 2026, and interim periods within annual reporting periods beginning after December 15, 2027. Entities must adopt the changes either (1) prospectively to financial statements issued for reporting periods after the effective date of this update or (2) retrospectively to any or all prior periods presented in the financial statements. The Company is currently evaluating the potential effect that this ASU will have on its financial statement disclosures.
In November 2024, the FASB issued ASU 2024-04, Debt - Debt with Conversion and Other Options (Subtopic 470-20): Induced Conversion of Convertible Debt Instruments, which requires public entities that settle convertible debt instruments for which the conversion privileges were changed to induce conversion and enhances current guidance on induced conversions applies only to conversions that include the issuance of all equity securities issuable pursuant to the conversion privileges provided in the terms of the debt at issuance. The ASU is effective for fiscal years beginning after December 15, 2025, and interim periods within annual reporting periods. Entities must adopt the changes either (1) prospectively to financial statements issued for reporting periods after the effective date of this update or (2) retrospectively to any or all prior periods presented in the financial statements. The Company is currently evaluating the potential effect that this ASU will have on its financial statement disclosures
On December 14, 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures. The ASU requires disaggregated information about a reporting entity’s effective tax rate reconciliation as well as information on income taxes paid disaggregated by jurisdiction. The new requirements will be effective for annual periods beginning after December 15, 2024, and will be applied on a prospective basis with the option to apply the standard retrospectively. The Company is currently evaluating the potential effect that this ASU will have on its financial statement disclosures.
Other recently issued accounting standards or pronouncements have been excluded because they are either not relevant to the Company, or are not expected to have, or did not have, a material effect on its condensed consolidated financial statements.
v3.25.1
Summary of Significant Accounting Policies (Tables)
 3 Months Ended
Mar. 31, 2025
Accounting Policies [Abstract]  
Schedule of Disaggregation of Revenue
Total net revenues for the three months ended March 31, 2025 and 2024 is disaggregated in the following table by the primary states in which the Company operates.
(in thousands)
Three Months Ended
March 31,
20252024
Net revenues by state:
Illinois$233,479 $224,863 
Montana41,136 38,141 
Nevada27,617 29,209 
Louisiana
9,025 — 
Nebraska7,230 5,834 
Georgia4,325 2,624 
Other1,100 1,146 
Total net revenues$323,912 $301,817 
v3.25.1
Inventories (Tables)
 3 Months Ended
Mar. 31, 2025
Inventory Disclosure [Abstract]  
Schedule of Inventories
Inventories consist of the following as of March 31, 2025 and December 31, 2024 (in thousands):
March 31,
2025
December 31, 2024
Raw materials and manufacturing supplies$6,685 $6,113 
Finished products1,873 2,009 
  Total inventories$8,558 $8,122 
v3.25.1
Property and Equipment (Tables)
 3 Months Ended
Mar. 31, 2025
Property, Plant and Equipment [Abstract]  
Schedule of Property and Equipment
Property and equipment consist of the following as of March 31, 2025, and December 31, 2024 (in thousands):
March 31,
2025		December 31,
2024
Gaming terminals, software and equipment$429,700 $415,003 
Amusement, ATM and other equipment29,203 29,174 
Office equipment and furniture4,440 4,281 
Computer equipment and software23,282 23,136 
Leasehold improvements10,315 10,151 
Vehicles22,936 22,974 
Buildings and improvements30,430 30,105 
Land7,718 7,718 
Construction in progress13,653 4,453 
Total property and equipment571,677 546,995 
Less accumulated depreciation and amortization(249,875)(238,998)
Total property and equipment, net$321,802 $307,997 
v3.25.1
Route and Customer Acquisition Costs (Tables)
 3 Months Ended
Mar. 31, 2025
Revenue from Contract with Customer [Abstract]  
Schedule of Route and Customer Acquisition Costs
Route and customer acquisition costs consisted of the following as of March 31, 2025 and December 31, 2024 (in thousands):
March 31,
2025		December 31,
2024
Cost$39,786 $39,204 
Accumulated amortization(16,208)(15,946)
Route and customer acquisition costs, net$23,578 $23,258 
v3.25.1
Location Contracts Acquired (Tables)
 3 Months Ended
Mar. 31, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Location Contracts Acquired Location contracts acquired consisted of the following as of March 31, 2025 and December 31, 2024 (in thousands):
March 31,
2025		December 31,
2024
Cost$330,958 $330,903 
Accumulated amortization(133,419)(128,285)
Location contracts acquired, net$197,539 $202,618 
Other intangible assets consist of the following as of March 31, 2025 and December 31, 2024 (in thousands):
March 31, 2025December 31, 2024
Amortization Period
Gross Carrying Amount
Accumulated Amortization
Net Carrying Amount
Gross Carrying AmountAccumulated AmortizationNet Carrying Amount
Customer Relationships7 years$6,800 $(3,521)$3,279 $6,800 $(3,325)$3,475 
Software Applications8 years7,800 (2,763)5,037 7,800 (2,519)5,281 
Trade Names20 years11,700 (1,421)10,279 11,700 (1,265)10,435 
Operating Licenses
Indefinite
34,749 
N/A
34,749 34,749 N/A34,749 
$61,049 $(7,705)$53,344 $61,049 $(7,109)$53,940 
v3.25.1
Goodwill and Other Intangible Assets (Tables)
 3 Months Ended
Mar. 31, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Location Contracts Acquired Location contracts acquired consisted of the following as of March 31, 2025 and December 31, 2024 (in thousands):
March 31,
2025		December 31,
2024
Cost$330,958 $330,903 
Accumulated amortization(133,419)(128,285)
Location contracts acquired, net$197,539 $202,618 
Other intangible assets consist of the following as of March 31, 2025 and December 31, 2024 (in thousands):
March 31, 2025December 31, 2024
Amortization Period
Gross Carrying Amount
Accumulated Amortization
Net Carrying Amount
Gross Carrying AmountAccumulated AmortizationNet Carrying Amount
Customer Relationships7 years$6,800 $(3,521)$3,279 $6,800 $(3,325)$3,475 
Software Applications8 years7,800 (2,763)5,037 7,800 (2,519)5,281 
Trade Names20 years11,700 (1,421)10,279 11,700 (1,265)10,435 
Operating Licenses
Indefinite
34,749 
N/A
34,749 34,749 N/A34,749 
$61,049 $(7,705)$53,344 $61,049 $(7,109)$53,940 
v3.25.1
Debt (Tables)
 3 Months Ended
Mar. 31, 2025
Debt Disclosure [Abstract]  
Schedule of Long-term Debt Instruments
The Company’s debt as of March 31, 2025 and December 31, 2024, consisted of the following (in thousands):
March 31,
2025		December 31,
2024
Senior Secured Credit Facility:
Revolving credit facility$— $6,500 
Term Loan288,750 293,125 
Delayed Draw Term Loan293,762 297,750 
Total borrowings
582,512 597,375 
Add: Remaining premium on interest rate caplets financed as debt
830 1,076 
Total debt
583,342 598,451 
Less: Debt issuance costs(2,637)(3,072)
Total debt, net of debt issuance costs580,705 595,379 
Less: Current maturities(34,280)(34,443)
Total debt, net of current maturities$546,425 $560,936 
v3.25.1
Business Acquisitions (Tables)
 3 Months Ended
Mar. 31, 2025
Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]  
Schedule of Consideration Payable
Current and long-term portions of consideration payable consist of the following as of March 31, 2025 and December 31, 2024 (in thousands):
March 31, 2025December 31, 2024
CurrentLong-TermCurrentLong-Term
Fair Share Gaming*
982 5,491 969 5,493 
Skyhigh*
545 4,094 563 4,264 
IVSM*
96 88 94 187 
IGE
596 1,634 586 1,605 
Island*
100 — 100 — 
Randy’s
168 — 165 — 
Toucan Gaming
482 2,937 474 2,892 
Pelican
168 159 165 155 
Total$3,137 $14,403 $3,116 $14,596 
* Acquisitions that occurred prior to 2024.
Schedule of Consideration Transferred and Fair Value of Assets Acquired and Liabilities Assumed
The following table summarizes the fair value of consideration transferred and the fair values of the assets acquired and liabilities assumed at the date of acquisition (in thousands):
Fair value of treasury stock issued
$40,472 
Cash and cash equivalents$858 
Accounts receivable, net
1,477 
Inventory
60 
Prepaid expenses
575 
Property and equipment, net
11,788 
Location contracts acquired, net17,600 
Other intangible assets, net8,600 
Other assets356 
Accounts payable and other accrued expenses
(3,267)
Other long-term liabilities(340)
Deferred income tax liability, net
(9,206)
Net assets acquired
28,501 
Goodwill$11,971 
The following table summarizes the fair value of consideration transferred and the fair values of the assets acquired and liabilities assumed at the date of acquisition (in thousands):
Cash paid$38,253 
Consideration payable
3,348 
Total consideration$41,601 
Cash and cash equivalents$1,816 
Accounts receivable, net
618 
Inventories38 
Other current assets29 
Property and equipment, net
11,625 
Location contracts acquired, net9,200 
Other intangible assets, net22,300 
Deferred income tax asset
767 
Other assets1,194 
Accounts payable and other accrued expenses(3,122)
Current maturities of debt
(60)
Debt, net of current maturities
(520)
Other long-term liabilities(175)
Temporary equity - redeemable noncontrolling interest
(4,239)
Net assets acquired
39,471 
Goodwill2,130 
v3.25.1
Fair Value Measurements (Tables)
 3 Months Ended
Mar. 31, 2025
Fair Value Disclosures [Abstract]  
Schedule of Fair Value, Assets Measured on Recurring Basis
The following tables summarize the Company’s assets that are measured at fair value on a recurring basis (in thousands):
Fair Value Measurement at Reporting Date Using
March 31, 2025Quoted Prices in Active Markets for Identical Assets
(Level 1)		Significant Other Observable Inputs (Level 2)Significant Unobservable Inputs (Level 3)
Assets:
   Interest rate caplets5,024 — 5,024 — 
Fair Value Measurement at Reporting Date Using
December 31, 2024Quoted Prices in Active Markets for Identical Assets
 (Level 1)		Significant Other Observable Inputs (Level 2)Significant Unobservable Inputs (Level 3)
Assets:
  Interest rate caplets6,821 — 6,821 — 
Schedule of Liabilities Measured on a Recurring Basis
The following tables summarizes the Company’s liabilities that are measured at fair value on a recurring basis (in thousands):
Fair Value Measurement at Reporting Date Using
March 31, 2025Quoted Prices in Active Markets for Identical Assets (Level 1)Significant Other Observable Inputs (Level 2)Significant Unobservable Inputs (Level 3)
Liabilities:
Contingent consideration$13,797 $— $— $13,797 
Contingent earnout shares30,748 — 30,748 — 
Total$44,545 $— $30,748 $13,797 

Fair Value Measurement at Reporting Date Using
December 31, 2024Quoted Prices in Active Markets for Identical Assets (Level 1)Significant Other Observable Inputs (Level 2)Significant Unobservable Inputs (Level 3)
Liabilities:
Contingent consideration$13,928 $— $— $13,928 
Contingent earnout shares33,103 — 33,103 — 
Total$47,031 $— $33,103 $13,928 
v3.25.1
Segment Reporting (Tables)
 3 Months Ended
Mar. 31, 2025
Segment Reporting [Abstract]  
Schedule of Segment Reporting Information, by Segment
The following table presents financial information with respect to the Company’s single reportable segment, distributed gaming, for the for the three months ended March 31, 2025 and 2024. Additionally, the Company has included an "all other" operating segment which is its casino and racing business that is neither individually reportable nor able to be aggregated or combined with another operating segment.
(in thousands)
Three Months Ended
March 31,
20252024
Distributed gaming
Total net revenues (1)
$318,062 $301,817 
Adjustments: (2)
Cost of revenue
219,680 209,167 
Compensation related costs - operations (3)
20,956 18,685 
Compensation related costs - general and administrative (3)
12,447 12,127 
All other segment items (4)
15,632 15,591 
Adjusted EBITDA for distributed gaming
$49,347 $46,247 
Adjusted EBITDA for “all other” operating segment (5)
$167 $— 
Less Adjustments for:
Depreciation and amortization of property and equipment
$12,301 $10,434 
Amortization of intangible assets and route and customer acquisition costs
6,290 5,438 
Interest expense, net8,685 8,660 
Emerging markets63 40 
Loss from unconsolidated affiliates
16 — 
Stock-based compensation2,091 2,350 
(Gain) loss on change in fair value of contingent earnout shares
(2,355)4,716 
Other expenses, net2,817 2,426 
Income before income tax expense$19,606 $12,183 
Income tax expense4,993 4,767 
Net income$14,613 $7,416 
(1)Total net revenues is further disaggregated by revenue stream as included on the condensed consolidated statements of operations and comprehensive income.
(2)The significant expense categories and amounts align with the segment-level information that is regularly provided to the CODM.
(3)Compensation related costs represent payroll and other related costs that are included in general and administrative on the condensed consolidated statements of operations and comprehensive income.
(4)All other segment items include other operating and general and administrative expenses (such as general and administrative expenses related to parts, advertising, information technology, etc.) which are included in general and administrative on the condensed consolidated statements of operations and comprehensive income and cost of manufacturing good sold, as well as, adjustments for stock-based compensation expense and emerging markets.
(5)All corporate expenses were allocated to the distributed gaming reportable segment as of March 31, 2025. The "all other" operating segment had total net revenues of $5.9 million; cost of revenues of $1.8 million; compensation related costs - operations of $2.6 million and all other segment items of $1.3 million.
v3.25.1
Earnings Per Share (Tables)
 3 Months Ended
Mar. 31, 2025
Earnings Per Share [Abstract]  
Schedule of Components of Basic and Diluted EPS
The components of basic and diluted earnings per share (“EPS”) were as follows for the three months ended March 31 (in thousands, except per share amounts):
Three Months Ended
March 31,
20252024
Net income attributable to Accel Entertainment, Inc.
$14,639 $7,416 
Basic weighted average outstanding shares of common stock86,003 84,298 
Dilutive effect of stock-based awards for common stock1,220 1,002 
Diluted weighted average outstanding shares of common stock87,223 85,300 
Earnings per common share:
Basic$0.17 $0.09 
Diluted$0.17 $0.09 
v3.25.1
Summary of Significant Accounting Policies- Schedule of Disaggregation of Revenue (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Disaggregation of Revenue [Line Items]    
Total net revenues $ 323,912 $ 301,817
Illinois    
Disaggregation of Revenue [Line Items]    
Total net revenues 233,479 224,863
Montana    
Disaggregation of Revenue [Line Items]    
Total net revenues 41,136 38,141
Nevada    
Disaggregation of Revenue [Line Items]    
Total net revenues 27,617 29,209
Louisiana    
Disaggregation of Revenue [Line Items]    
Total net revenues 9,025 0
Nebraska    
Disaggregation of Revenue [Line Items]    
Total net revenues 7,230 5,834
Georgia    
Disaggregation of Revenue [Line Items]    
Total net revenues 4,325 2,624
Other    
Disaggregation of Revenue [Line Items]    
Total net revenues $ 1,100 $ 1,146
v3.25.1
Summary of Significant Accounting Policies - Narrative (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Jun. 17, 2024
Schedule of Equity Method Investments [Line Items]      
Loss from unconsolidated affiliates $ 16 $ 0  
HBC Gaming LLC      
Schedule of Equity Method Investments [Line Items]      
Equity method investments     $ 5,000
Ownership percentage     5.00%
Triggering event ownership percentage     10.00%
Additional investment     $ 6,500
Loss from unconsolidated affiliates $ 100    
v3.25.1
Inventories (Details) - USD ($)
Mar. 31, 2025
Dec. 31, 2024
Inventory Disclosure [Abstract]    
Raw materials and manufacturing supplies $ 6,685,000 $ 6,113,000
Finished products 1,873,000 2,009,000
Total inventories 8,558,000 8,122,000
Inventory valuation reserves $ 0 $ 0
v3.25.1
Investment in Convertible Notes (Details)
$ in Millions
Mar. 31, 2025
USD ($)
Convertible Promissory Notes  
Debt Securities, Available-for-sale [Line Items]  
Accrued investment income receivable $ 1.5
v3.25.1
Property and Equipment (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Dec. 31, 2024
Property, Plant and Equipment [Line Items]      
Total property and equipment $ 571,677   $ 546,995
Less accumulated depreciation and amortization (249,875)   (238,998)
Total property and equipment, net 321,802   307,997
Depreciation and amortization of property and equipment 12,301 $ 10,434  
Gaming terminals, software and equipment      
Property, Plant and Equipment [Line Items]      
Total property and equipment 429,700   415,003
Amusement, ATM and other equipment      
Property, Plant and Equipment [Line Items]      
Total property and equipment 29,203   29,174
Office equipment and furniture      
Property, Plant and Equipment [Line Items]      
Total property and equipment 4,440   4,281
Computer equipment and software      
Property, Plant and Equipment [Line Items]      
Total property and equipment 23,282   23,136
Leasehold improvements      
Property, Plant and Equipment [Line Items]      
Total property and equipment 10,315   10,151
Vehicles      
Property, Plant and Equipment [Line Items]      
Total property and equipment 22,936   22,974
Buildings and improvements      
Property, Plant and Equipment [Line Items]      
Total property and equipment 30,430   30,105
Land      
Property, Plant and Equipment [Line Items]      
Total property and equipment 7,718   7,718
Construction in progress      
Property, Plant and Equipment [Line Items]      
Total property and equipment $ 13,653   $ 4,453
v3.25.1
Route and Customer Acquisition Costs - Narrative (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Dec. 31, 2024
Revenue from Contract with Customer [Abstract]      
Gross payments due $ 11,600   $ 11,200
Net present value of payments due 9,700   9,400
Current portion of payments due 2,218   2,197
Customer acquisition cost asset 22,700   22,300
Capitalized contract cost, subject to claw back 1,300   $ 1,200
Amortization expense on route and customer acquisition costs $ 600 $ 500  
v3.25.1
Route and Customer Acquisition Costs - Route and Customer Acquisition Costs (Details) - USD ($)
$ in Thousands
Mar. 31, 2025
Dec. 31, 2024
Revenue from Contract with Customer [Abstract]    
Cost $ 39,786 $ 39,204
Accumulated amortization (16,208) (15,946)
Route and customer acquisition costs, net $ 23,578 $ 23,258
v3.25.1
Location Contracts Acquired - Location Contracts Acquired (Details) - USD ($)
$ in Thousands
Mar. 31, 2025
Dec. 31, 2024
Goodwill and Intangible Assets Disclosure [Abstract]    
Cost $ 330,958 $ 330,903
Accumulated amortization (133,419) (128,285)
Net Carrying Amount $ 197,539 $ 202,618
v3.25.1
Location Contracts Acquired - Narrative (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Finite-Lived Intangible Assets [Line Items]    
Amortization expense $ 0.6 $ 0.6
Location Contract    
Finite-Lived Intangible Assets [Line Items]    
Amortization expense $ 5.1 $ 4.3
v3.25.1
Goodwill and Other Intangible Assets - Narrative (Details) - USD ($)
 3 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Dec. 31, 2024
Acquired Indefinite-Lived Intangible Assets [Line Items]      
Goodwill $ 116,252,000   $ 116,252,000
Tax exempt portion of goodwill 38,200,000    
Amortization of intangible assets 600,000 $ 600,000  
Impairment of Intangible Assets, Indefinite-Lived (Excluding Goodwill) $ 0    
Minimum      
Acquired Indefinite-Lived Intangible Assets [Line Items]      
Expected useful life of intangibles (in years) 7 years    
Maximum      
Acquired Indefinite-Lived Intangible Assets [Line Items]      
Expected useful life of intangibles (in years) 20 years    
v3.25.1
Goodwill and Other Intangible Assets - Schedule of Goodwill and Intangible Assets (Details) - USD ($)
$ in Thousands
Mar. 31, 2025
Dec. 31, 2024
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount $ 330,958 $ 330,903
Accumulated Amortization (133,419) (128,285)
Net Carrying Amount 197,539 202,618
Century    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount 61,049 61,049
Accumulated Amortization (7,705) (7,109)
Net Carrying Amount 53,344 53,940
Century | Operating Licenses    
Finite-Lived Intangible Assets [Line Items]    
Indefinite-lived intangible assets $ 34,749 34,749
Customer Relationships | Century    
Finite-Lived Intangible Assets [Line Items]    
Amortization Period 7 years  
Gross Carrying Amount $ 6,800 6,800
Accumulated Amortization (3,521) (3,325)
Net Carrying Amount $ 3,279 3,475
Software Applications | Century    
Finite-Lived Intangible Assets [Line Items]    
Amortization Period 8 years  
Gross Carrying Amount $ 7,800 7,800
Accumulated Amortization (2,763) (2,519)
Net Carrying Amount $ 5,037 5,281
Trade Names | Century    
Finite-Lived Intangible Assets [Line Items]    
Amortization Period 20 years  
Gross Carrying Amount $ 11,700 11,700
Accumulated Amortization (1,421) (1,265)
Net Carrying Amount $ 10,279 $ 10,435
v3.25.1
Debt - Long-term Debt Instruments (Details) - USD ($)
$ in Thousands
Mar. 31, 2025
Dec. 31, 2024
Debt Instrument [Line Items]    
Total borrowings $ 582,512 $ 597,375
Add: Remaining premium on interest rate caplets financed as debt 830 1,076
Total debt 583,342 598,451
Less: Debt issuance costs (2,637) (3,072)
Total debt, net of debt issuance costs 580,705 595,379
Less: Current maturities (34,280) (34,443)
Total debt, net of current maturities 546,425 560,936
Credit Agreement, Amendment | Revolving credit facility    
Debt Instrument [Line Items]    
Total borrowings 0 6,500
Credit Agreement, Amendment | Term Loan    
Debt Instrument [Line Items]    
Total borrowings 288,750 293,125
Credit Agreement, Amendment | Delayed Draw Term Loan    
Debt Instrument [Line Items]    
Total borrowings $ 293,762 $ 297,750
v3.25.1
Debt - Narrative (Details)
 3 Months Ended
Jan. 12, 2022
USD ($)
caplet
Mar. 31, 2025
USD ($)
Mar. 31, 2024
USD ($)
Debt Instrument [Line Items]      
Unrealized (loss) gain on interest rate caplets, net of tax   $ (1,133,000) $ 1,081,000
Other comprehensive income (loss), cash flow hedge, gain (loss), reclassification, after tax   $ 1,800,000 $ 2,600,000
Credit Agreement, Amendment | Revolving credit facility      
Debt Instrument [Line Items]      
Weighted-average interest rate (as a percent)   6.50%  
Credit Agreement, Amendment | Term Loan      
Debt Instrument [Line Items]      
Maximum borrowing capacity $ 300,000,000    
Debt instrument, term 4 years    
Number of deferred premium caplets | caplet 48    
v3.25.1
Business Acquisitions - Narrative- 2024 Business Acquisitions (Details)
$ in Thousands, shares in Millions
 3 Months Ended 12 Months Ended
Dec. 23, 2024
USD ($)
Dec. 02, 2024
USD ($)
shares
Nov. 21, 2024
USD ($)
Nov. 01, 2024
USD ($)
Sep. 19, 2024
USD ($)
Jun. 26, 2024
USD ($)
May 01, 2024
USD ($)
location
day
Feb. 22, 2024
USD ($)
location
Jan. 10, 2024
USD ($)
Mar. 31, 2025
USD ($)
Dec. 31, 2024
USD ($)
Dec. 31, 2023
USD ($)
Business Acquisition [Line Items]                        
Goodwill                   $ 116,252 $ 116,252  
Bayou                        
Business Acquisition [Line Items]                        
Asset acquisition, gaming equipment     $ 100                  
Asset acquisition, location contracts     400                  
Asset acquisition, consideration transferred     500                  
Xtreme                        
Business Acquisition [Line Items]                        
Asset acquisition, location contracts       $ 1,400                
Asset acquisition, consideration transferred       1,500                
Asset acquisition, redemption equipment       100                
Illinois Gaming Entertainment                        
Business Acquisition [Line Items]                        
Asset acquisition, gaming equipment             $ 1,600          
Asset acquisition, location contracts             11,600          
Asset acquisition, consideration transferred             13,500          
Asset acquisition, redemption equipment             $ 300          
Number of locations | location             16          
Payments to acquire productive assets             $ 11,400          
Asset acquisition, consideration transferred, contingent consideration                     $ 2,100  
Number of installments | day             3          
Illinois Gaming Entertainment | Third Anniversary                        
Business Acquisition [Line Items]                        
Asset acquisition, consideration transferred, contingent consideration             $ 600          
Illinois Gaming Entertainment | Second Anniversary                        
Business Acquisition [Line Items]                        
Asset acquisition, consideration transferred, contingent consideration             600          
Illinois Gaming Entertainment | First Anniversary                        
Business Acquisition [Line Items]                        
Asset acquisition, consideration transferred, contingent consideration             600          
Illinois Gaming Entertainment | Fourth Anniversary                        
Business Acquisition [Line Items]                        
Asset acquisition, consideration transferred, contingent consideration             $ 700          
Great Lakes Vending                        
Business Acquisition [Line Items]                        
Asset acquisition, location contracts               $ 1,200        
Asset acquisition, consideration transferred               $ 1,300        
Number of locations | location               1        
Asset acquisition, gaming and redemption equipment               $ 100        
Doc & Eddy’s                        
Business Acquisition [Line Items]                        
Asset acquisition, consideration transferred                 $ 2,300      
Asset acquisition, recognized identifiable assets acquired and liabilities assumed, buildings                 1,000      
Asset acquisition recognized identifiable assets acquired and liabilities assumed intangibles                 900      
Asset acquisition, recognized identifiable assets acquired and liabilities assumed, land                 $ 400      
Randy's                        
Business Acquisition [Line Items]                        
Consideration transferred $ 300                      
Cash paid 100                      
Consideration payable 200                      
Asset acquisition, gaming equipment 100                      
Asset acquisition, location contracts $ 200                      
Fairmont Holdings                        
Business Acquisition [Line Items]                        
Consideration transferred   $ 40,500                    
Shares issued in transaction (in shares) | shares   3.5                    
Trailing weighted average close price period   20 days                    
Goodwill   $ 11,971                    
Business combination, pro forma information, revenue of acquiree since acquisition date, actual                   5,900    
Business combination, pro forma information, earnings or loss of acquiree since acquisition date, actual                   (800)    
Fair value of treasury stock issued   $ 40,472                    
Pelican                        
Business Acquisition [Line Items]                        
Consideration transferred     1,800                  
Cash paid     1,500                  
Consideration payable     300                  
Asset acquisition, gaming equipment     300                  
Asset acquisition, location contracts     $ 1,500                  
Toucan Gaming                        
Business Acquisition [Line Items]                        
Consideration transferred       41,601                
Cash paid       38,253               $ 4,600
Consideration payable       3,348                
Goodwill       $ 2,130                
Business combination, pro forma information, revenue of acquiree since acquisition date, actual                   9,000    
Business combination, pro forma information, earnings or loss of acquiree since acquisition date, actual                   $ (300)    
Business acquisition, percentage of voting interests acquired       85.00%                
Fair value of treasury stock issued       $ 3,300                
24th Street Station Casino                        
Business Acquisition [Line Items]                        
Consideration transferred         $ 800              
Goodwill         100              
Business combination, recognized identifiable assets acquired and liabilities assumed, finite-lived intangibles         700              
Lucky 7’s Beverages                        
Business Acquisition [Line Items]                        
Consideration transferred         800              
Goodwill         100              
Business combination, recognized identifiable assets acquired and liabilities assumed, finite-lived intangibles         $ 700              
Jorgenson's Lounge                        
Business Acquisition [Line Items]                        
Consideration transferred           $ 1,100            
Goodwill           300            
Business combination, recognized identifiable assets acquired and liabilities assumed, finite-lived intangibles           $ 800            
v3.25.1
Business and Asset Acquisitions - Schedule of Consideration Transferred (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 02, 2024
Nov. 01, 2024
Dec. 31, 2023
Mar. 31, 2025
Dec. 31, 2024
Mar. 31, 2024
Business Acquisition [Line Items]            
Temporary equity - redeemable noncontrolling interest     $ 0 $ (4,252) $ (4,278) $ 0
Goodwill       $ 116,252 $ 116,252  
Fairmont Holdings            
Business Acquisition [Line Items]            
Fair value of treasury stock issued $ 40,472          
Total consideration 40,500          
Cash and cash equivalents 858          
Accounts receivable, net 1,477          
Inventories 60          
Prepaid expenses 575          
Property and equipment, net 11,788          
Location contracts acquired, net 17,600          
Other intangible assets, net 8,600          
Other assets 356          
Accounts payable and other accrued expenses (3,267)          
Other long-term liabilities (340)          
Deferred income tax liability, net (9,206)          
Net assets acquired 28,501          
Goodwill $ 11,971          
Toucan Gaming            
Business Acquisition [Line Items]            
Fair value of treasury stock issued   $ 3,300        
Cash paid   38,253 $ 4,600      
Consideration payable   3,348        
Total consideration   41,601        
Cash and cash equivalents   1,816        
Accounts receivable, net   618        
Inventories   38        
Other current assets   29        
Property and equipment, net   11,625        
Location contracts acquired, net   9,200        
Other intangible assets, net   22,300        
Deferred income tax asset   767        
Other assets   1,194        
Accounts payable and other accrued expenses   (3,122)        
Current maturities of debt   (60)        
Debt, net of current maturities   (520)        
Other long-term liabilities   (175)        
Temporary equity - redeemable noncontrolling interest   (4,239)        
Net assets acquired   39,471        
Goodwill   $ 2,130        
v3.25.1
Business Acquisitions - Consideration Payable (Details) - USD ($)
$ in Thousands
Mar. 31, 2025
Dec. 31, 2024
Business Acquisition [Line Items]    
Current $ 3,137 $ 3,116
Long-Term 14,403 14,596
Fair Share Gaming    
Business Acquisition [Line Items]    
Current 982 969
Long-Term 5,491 5,493
Skyhigh    
Business Acquisition [Line Items]    
Current 545 563
Long-Term 4,094 4,264
IVSM    
Business Acquisition [Line Items]    
Current 96 94
Long-Term 88 187
IGE    
Business Acquisition [Line Items]    
Current 596 586
Long-Term 1,634 1,605
Island    
Business Acquisition [Line Items]    
Current 100 100
Long-Term 0 0
Randy's    
Business Acquisition [Line Items]    
Current 168 165
Long-Term 0 0
Toucan Gaming    
Business Acquisition [Line Items]    
Current 482 474
Long-Term 2,937 2,892
Pelican    
Business Acquisition [Line Items]    
Current 168 165
Long-Term $ 159 $ 155
v3.25.1
Contingent Earnout Share Liability (Details)
 3 Months Ended
Mar. 31, 2025
day
$ / shares
shares
Dec. 31, 2020
shares
Dec. 31, 2019
tranche
shares
Nov. 20, 2019
shares
Tranche III - LTM EBITDA or 20 trading days in consecutive 30 day trading period        
Business Acquisition, Contingent Consideration [Line Items]        
Maximum stock price of common stock before conversion (in usd per share) | $ / shares $ 16.00      
Tranche II - LTM EBITDA or 20 trading days in consecutive 30 day trading period        
Business Acquisition, Contingent Consideration [Line Items]        
Maximum stock price of common stock before conversion (in usd per share) | $ / shares $ 14.00      
Class A-2 Common Stock        
Business Acquisition, Contingent Consideration [Line Items]        
Class A-1 common stock reserved for issuance (in shares)       10,000,000
Class A-2 Common Stock | Tranche III - LTM EBITDA or 20 trading days in consecutive 30 day trading period        
Business Acquisition, Contingent Consideration [Line Items]        
Number of shares converted (in shares) 1,666,667 1,666,636    
Threshold trading days | day 20      
Threshold consecutive trading days | day 30      
Class A-2 Common Stock | Tranche I - EBITDA for last 12 months or 20 trading days in consecutive 30 day trading period        
Business Acquisition, Contingent Consideration [Line Items]        
Number of shares converted (in shares)   1,666,666    
Class A-2 Common Stock | Tranche II - LTM EBITDA or 20 trading days in consecutive 30 day trading period        
Business Acquisition, Contingent Consideration [Line Items]        
Number of shares converted (in shares) 1,666,667      
Threshold trading days | day 20      
Threshold consecutive trading days | day 30      
Class A-2 Common Stock | Common Stock        
Business Acquisition, Contingent Consideration [Line Items]        
Shares issued (in shares)     5,000,000  
Number of tranches upon satisfaction | tranche     3  
v3.25.1
Fair Value Measurements - Fair Value, Assets Measured on Recurring Basis (Details) - USD ($)
$ in Thousands
Mar. 31, 2025
Dec. 31, 2024
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Interest rate caplets $ 5,024 $ 6,342
Fair Value, Recurring    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Interest rate caplets 5,024 6,821
Fair Value, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1)    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Interest rate caplets 0 0
Fair Value, Recurring | Significant Other Observable Inputs (Level 2)    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Interest rate caplets 5,024 6,821
Fair Value, Recurring | Significant Unobservable Inputs (Level 3)    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Interest rate caplets $ 0 $ 0
v3.25.1
Fair Value Measurements - Liabilities Measured on a Recurring Basis (Details) - Fair Value, Recurring - USD ($)
$ in Thousands
Mar. 31, 2025
Dec. 31, 2024
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Contingent consideration $ 13,797 $ 13,928
Contingent earnout shares 30,748 33,103
Total 44,545 47,031
Quoted Prices in Active Markets for Identical Assets (Level 1)    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Contingent consideration 0 0
Contingent earnout shares 0 0
Total 0 0
Significant Other Observable Inputs (Level 2)    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Contingent consideration 0 0
Contingent earnout shares 30,748 33,103
Total 30,748 33,103
Significant Unobservable Inputs (Level 3)    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Contingent consideration 13,797 13,928
Contingent earnout shares 0 0
Total $ 13,797 $ 13,928
v3.25.1
Stockholders' Equity (Details)
$ in Thousands
 3 Months Ended 40 Months Ended
Sep. 28, 2020
vote
Mar. 31, 2025
USD ($)
shares
Mar. 31, 2024
USD ($)
Mar. 31, 2025
USD ($)
shares
Feb. 27, 2025
USD ($)
Nov. 22, 2021
USD ($)
Class of Warrant or Right [Line Items]            
Repurchase of common stock   $ 10,304 $ 6,182      
Class A-1 Common Stock            
Class of Warrant or Right [Line Items]            
Common stock , voting rights, votes per share | vote 1          
Stock repurchase program, authorized amount (up to)         $ 200,000 $ 200,000
Repurchase of common stock (in shares) | shares   988,678   14,844,575    
Repurchase of common stock   $ 10,200   $ 153,800    
v3.25.1
Segment Reporting - Schedule of Segment Reporting Information, by Segment (Details)
$ in Thousands
 3 Months Ended
Mar. 31, 2025
USD ($)
segment
Mar. 31, 2024
USD ($)
Segment Reporting [Abstract]    
Number of operating segments | segment 2  
Segment Reporting Information [Line Items]    
Total net revenues $ 323,912 $ 301,817
Less Adjustments for:    
Depreciation and amortization of property and equipment 12,301 10,434
Amortization of intangible assets and route and customer acquisition costs 6,290 5,438
Interest expense, net 8,685 8,660
Loss from unconsolidated affiliates 16 0
Stock-based compensation 2,100 2,400
(Gain) loss on change in fair value of contingent earnout shares 2,355 (4,716)
Other expenses, net 2,817 2,426
Income before income tax expense 19,606 12,183
Income tax expense 4,993 4,767
Net income 14,613 7,416
Reportable Segment    
Segment Reporting Information [Line Items]    
Total net revenues 318,062 301,817
Adjustments    
Cost of revenue 219,680 209,167
Compensation related costs - operations 20,956 18,685
Compensation related costs - general and administrative 12,447 12,127
All other segment items 15,632 15,591
Adjusted EBITDA for distributed gaming 49,347 46,247
Less Adjustments for:    
Depreciation and amortization of property and equipment 12,301 10,434
Amortization of intangible assets and route and customer acquisition costs 6,290 5,438
Interest expense, net 8,685 8,660
Emerging markets 63 40
Loss from unconsolidated affiliates 16 0
Stock-based compensation 2,091 2,350
(Gain) loss on change in fair value of contingent earnout shares (2,355) 4,716
Other expenses, net 2,817 2,426
Income before income tax expense 19,606 12,183
Income tax expense 4,993 4,767
Net income 14,613 7,416
Other Operating Segment    
Segment Reporting Information [Line Items]    
Total net revenues 5,900  
Adjustments    
Cost of revenue 1,800  
Compensation related costs - operations 2,600  
All other segment items 1,300  
Adjusted EBITDA for distributed gaming $ 167 $ 0
v3.25.1
Segment Reporting - Narrative (Details) - USD ($)
$ in Thousands
Mar. 31, 2025
Dec. 31, 2024
Segment Reporting Information [Line Items]    
Assets $ 1,047,256 $ 1,048,398
Reportable Segment    
Segment Reporting Information [Line Items]    
Assets 1,000,000  
Other Operating Segment    
Segment Reporting Information [Line Items]    
Assets $ 34,200  
v3.25.1
Stock-based Compensation (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Stock-based compensation $ 2.1 $ 2.4
PSUs & RSUs    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Estimated grant date fair value of options and RSUs granted $ 4.0  
RSU    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Restricted stock units granted (in shares) 159,105  
RSU | Employee    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Vesting period 3 years  
PSU    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Restricted stock units granted (in shares) 242,230  
PSU | Employee    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Vesting period 3 years  
v3.25.1
Income Taxes (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Income Tax Disclosure [Abstract]    
Income tax expense (benefit) $ 4,993 $ 4,767
Effective tax rate 25.50% 39.10%
v3.25.1
Commitments and Contingencies (Details)
$ in Millions
 5 Months Ended
Jul. 18, 2024
USD ($)
Jul. 06, 2023
USD ($)
Dec. 18, 2020
USD ($)
Sep. 30, 2017
claim
Mar. 31, 2025
establishment
Loss Contingencies [Line Items]          
Number of licensed establishments | establishment         10
Loss contingency, new claims filed, number | claim       2  
Rowell's Claim          
Loss Contingencies [Line Items]          
Litigation settlement, amount paid $ 0.1        
IGB Complaint          
Loss Contingencies [Line Items]          
Litigation settlement, amount paid   $ 1.1      
Damages sought     $ 5.0    
IGB Complaint | Alleged Conduct          
Loss Contingencies [Line Items]          
Litigation settlement, amount paid   1.0      
IGB Complaint | Administrative and Investigative Costs          
Loss Contingencies [Line Items]          
Litigation settlement, amount paid   $ 0.1      
v3.25.1
Earnings Per Share (Details) - USD ($)
$ / shares in Units, $ in Thousands
 3 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Earnings Per Share [Abstract]    
Net income attributable to Accel Entertainment, Inc. $ 14,639 $ 7,416
Basic weighted average outstanding shares of common stock (in shares) 86,003,000 84,298,000
Dilutive effect of stock-based awards for common stock (in shares) 1,220,000 1,002,000
Diluted weighted average outstanding shares of common stock (in shares) 87,223,000 85,300,000
Earnings per common share:    
Basic (in usd per share) $ 0.17 $ 0.09
Diluted (in usd per share) $ 0.17 $ 0.09
Anti-dilutive options excluded from calculation of diluted EPS (in shares) 4,382,703 4,339,250