Caesars Entertainment matches adjusted EBITDA expectations on flat Las Vegas revenue
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Caesars Entertainment (NASDAQ:CZR) gained during the Tuesday postmarket session after the casino operator issued its Q2 earnings report.
Revenue was down 1.7% year-over-year during the quarter to $2.83 billion. Las Vegas properties generated revenue of $1.10 billion vs. $1.13 billion a year ago, and regional properties churned up revenue of $1.39 billion vs. $1.46 billion a year ago.
Same-store adjusted EBITDA was $1.0 billion to match the tally from a year ago, as well as the consensus expectation. Notably, the Caesars digital business was profitable again. Las Vegas properties generated Q2 adjusted EBITDA of $514 million vs. $512 million a year ago, and regional properties generated adjusted EBITDA of $469 million vs. $508 million a year ago.
The casino operator reported a GAAP net loss of $122 million vs. a net loss of $920 million a year ago. Q1 EPS was -$0.73 vs. -$0.08 consensus and -$0.63 a year ago.
On the balance sheet, Caesars (CZR) ended the quarter with $12.4 billion in aggregate principal amount of debt outstanding. CZR’s total cash position was $830 million, excluding restricted cash of $129 million. “Our debt reduction plan continued in the second quarter, with Term Loan B repayments of over $100 million,” noted CFO Bret Yunker. “We continue to forecast 2024 full year capital expenditures of $800 million, excluding our Danville project, which is funded within the joint venture,” he added.
CEO update” “Regional segment results reflect competition in new markets partially offset by our temporary facility in Danville, Virginia and our property in Columbus, Nebraska. We remain optimistic for the balance of 2024 driven by strong operating trends in our Las Vegas and Caesars Digital segments and the expected openings of the permanent facility in Danville coupled with our $430 million capital investment in our newly rebranded Caesars New Orleans property.”
Shares of Caesars Entertainment (CZR) rose 1.90% in postmarket trading after adding 1.0% during the regular session.