Caesars reports strong Las Vegas numbers for second quarter

August 2, 2022 9:54 PM
  • Buck Wargo, CDC Gaming Reports
August 2, 2022 9:54 PM
  • Buck Wargo, CDC Gaming Reports

Caesars Entertainment reported strong second-quarter numbers for Las Vegas Tuesday that helped the company’s net revenues jump 10.6% to $2.8 billion from $2.5 billion in 2021.

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Still, Caesars reported a net loss of $123 million during the second quarter of 2022, compared to $71 million in net income during the second quarter of 2021.

Caesars had same-store adjusted earnings of $978 million in the second quarter of 2022 versus $1 billion in the same period of 2021. When excluding the Caesars digital segment, which reported a $69 million loss this year compared to a $2 million increase a year ago, same-store adjusted earnings were $1.05 billion, compared to $1.01 billion a year ago.

In Las Vegas, Caesars reported net revenue of $1.14 billion, up from $855 a year ago, a 33.6% increase. Net revenue at regional properties fell 4.1%. Adjusted earnings in Las Vegas grew by 29.3% in the second quarter, while falling 15.1% in regional properties.

“Our second-quarter results reflect a consolidated EBITDA record for our brick-and-mortar properties, led by an all-time quarterly EBITDA record in Las Vegas and continued strength in our regional markets when compared to 2019,” said Caesars CEO Tom Reeg. “Operating results in our digital segment improved dramatically versus the first quarter and we are optimistic regarding trends in this segment for the balance of the year.”

In the digital segment, net revenue grew 29.9%.

Caesars reported that as of July, it has repaid about $770 million of debt for the year, including a $630 million repayment of the Caesars Resort Collection Term B-1 Loan and $100 million of open-market repurchases of outstanding notes.

Through June 30, Caesars had $14.2 billion in aggregate principal in outstanding debt. Total cash and cash equivalents were $997 million, excluding restricted cash of $355 million.

“We successfully closed the William Hill non-U.S. sale on July 1 and have applied $730 million in net proceeds to debt reduction as of July 22,” said Chief Financial Officer Brett Yunker. “We continue to invest in our brick-and- mortar and digital platforms across the U.S. using ample free cash flow.”