Caesars Entertainment has released its second quarter financial results, recording a 10.6% revenue incease which was largely driven by Las Vegas earnings. For Q2, the company generated $2.8bn in revenue, up $0.3bn year-on-year.
Caesars also achieved a milestone, posting an all-time quarterly record for EBITDA performance, with $1.1bn in revenue – a 30% increase from 2021, and accounting for roughly 40% of the company’s total revenue.
Moreover, adjusted EBITDA for Las Vegas rose 29.3% to $547m, up year-on-year from $423m. However, these positive results were focused on Sin City; the overall adjusted EBITDA for Caesars was down 3.3%.
This can be explained due to the general downturn for land-based gaming elsewhere, alongside Caesars’ digital operations posting a widened $69m EBITDA loss. It was only in Las Vegas that foot traffic proved the casinos were receiving a post-pandemic rebound in patrons.
The mixed results for 2022 can be more easily scrutinized by looking at the first half of the year. For H1, Caesars’ Las Vegas business has undergone a 62% adjusted EBITDA rise, despite overall adjusted EBITDA for H1 being down by nearly 17%.
Regional business has experienced a 2% drop while digital's loss has worsened from $7m to $623m. Nevertheless, Caesars’ net revenue has increased by 15%. These numbers once again outline the importance of Caesars' venues in Las Vegas: they are the establishments that make or break the company’s overall financial results.
Caesars Entertainment CEO Tom Reeg commented, “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.
“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.”
