Accel Entertainment Shines in Q3 2026: Strong Growth, Diversified Portfolio, and a Proven Business Model
Accel Entertainment has just reported its third quarter 2026 earnings, and the results are nothing short of impressive. With revenue increasing 10% year-over-year to $364 million and Adjusted EBITDA growing 12% to $57 million, Accel has once again delivered on expectations.
The company's core business in Illinois continues to get stronger, with revenue up approximately 7% year-over-year and hold per day increasing by 9%. This strong growth was achieved despite operating fewer locations and terminals than a year ago, a testament to the effectiveness of Accel's route optimization strategy. By improving location quality, deploying better content, and investing capital in these opportunities, Accel has been able to increase returns while reducing costs.
More broadly, Accel's business model has proven to be resilient in the face of macroeconomic headwinds. The company's hyper-local and convenient nature has helped it insulate itself from many of the factors affecting other areas of consumer spending. As Mark Phelan, Chief Executive Officer, noted during the earnings call, "We have always believed that the hyper-local and convenient nature of our offering is an important differentiator that helps us from many of the macro headwinds."
Accel's growth is also becoming broader and more diversified, providing a higher quality of earnings. The company continues to scale in Georgia, Nebraska, and Louisiana, while Nevada provides a substantial platform with significant opportunity for operational improvement. Fairmount Park, another key asset, continues to validate the thesis behind Accel's investment.
What sets Accel apart is its strong platform, which provides integrated services to its location partners. From compliance and equipment to content and analytics, Accel manages virtually every aspect of the gaming operation. This approach strengthens relationships with partners, optimizes location performance, and creates meaningful operating leverage as the company scales.
With Adjusted EBITDA growing faster than revenue for another quarter, it's clear that Accel has a proven business model that can deliver strong earnings and cash flow. As Brett Summerer, Chief Financial Officer, noted during the earnings call, "Adjusted EBITDA once again grew faster than revenue, reflecting the quality of our portfolio, the impact of our disciplined capital deployment, and the operating leverage inherent in our model."
Overall, Accel Entertainment's Q3 2026 earnings report is a testament to the company's strong business fundamentals and its ability to deliver consistent growth. As investors look to the future, it's clear that Accel has a compelling story to tell."
