Twin River Worldwide Holdings, Inc (NYSE:TRWH) Q2 2020 Earnings Conference Call - Final Transcript
Aug 11, 2020 • 08:00 am ET
responsive and enthusiastic when it came time to reopen and your hard work, especially in the face of new procedures and many new safety and sanitation protocols, does not go unnoticed. Thanks to your efforts and tremendous attitude, our reopenings have been extremely successful.
As we discussed last quarter, the impacts of COVID forced us to make the difficult decisions to place most of our team members on furlough. While we have been able to welcome back a large percentage of those affected, there are still a number of employees on furlough as we await the ability to increase capacities and amenities. We said it last quarter and I'll reiterate it again, we care deeply about the well-being of our team members and recognize the impact that these furloughs have had. While we can't possibly mitigate the full impact of this, we continue to provide support in the form of ongoing health benefits coverage at no cost to our furloughed team members during the quarter. We also established a fund to provide financial assistance to those employees experiencing significant hardship.
Now, let's turn to the quarter and more specifically, our financial results since our operations have resumed. When we talked back in May, we believed that we were well positioned especially as a gaming company focused on local and regional visitation, we capitalized on the fact that we are not reliant on airlift, destination or convention business to drive results. The results of our re-openings to date have certainly supported this thesis. We are pleased with the strong initial results which point to a robust pent-up demand in regional markets.
In June, the first month on all our properties were opened in some capacity with the exception of Rhode Island which as Marc will discuss a bit later, which was more in a pre-opening pilot phase for almost all of the month. All our segments generated positive adjusted EBITDA with meaningful increases in year-over-year EBITDA margin. We were able to achieve these results while operating with reduced casino capacities and limited amenities. In segments where the Company was able to operate at closer to normal capacity and with more amenities available for most of June, notably Biloxi and Dover, we experienced strong demand and significantly improved margins. At Hard Rock, demand was strong with gaming volumes up a little under 10% from the comparable period prior year. While overall net revenues were up 2%, impressively adjusted EBITDA for the property almost doubled in June from $2.9 million in 2019 to $5.7 million in 2020, representing an increase in adjusted EBITDA margins of over 2,400 basis points.
Meanwhile at Dover, while gaming volumes were down approximately 15% and overall net revenues down 30% for June compared to the same month in 2019 as we navigated capacity restraints, adjusted EBITDA results for the month were strong, coming in at $2.1 million, which was essentially flat year-over-year and represented an increase in adjusted EBITDA margin of approximately 1,150 basis points.
To expand a