Gambling in the USA

Caesars Entertainment Reports Fourth Quarter and Full Year 2019 Results

Published

6 years ago

February 26, 2020

Received Stockholder Approval for Merger with Eldorado Resorts

Caesars Entertainment Corporation reported fourth quarter and full-year 2019 results as summarized in the discussion below, which highlights certain GAAP and non-GAAP financial measures on a consolidated basis.

Fourth Quarter Highlights

Fourth quarter net revenues increased 2.6%, or $54 million, from $2.12 billion to $2.17 billion.
Fourth quarter income from operations increased 77.0%, or $77 million, from $100 million to $177 million.
Fourth quarter net income/(loss) decreased $502 million, from income of $198 million to a loss of $304 million.
Non-GAAP adjusted EBITDA increased 2.8%, or $16 million, from $567 million to $583 million.
Non-GAAP adjusted EBITDA, excluding Rio, increased 3.4%, or $19 million, to $572 million.

Full Year Highlights

Full year net revenues increased 4.2%, or $351 million, from $8.39 billion to $8.74 billion.
Full year income from operations decreased 16.4%, or $121 million, from $739 million to $618 million.
Full year net income/(loss) decreased $1.50 billion, from income of $303 million to a loss of $1.20 billion.
Non-GAAP adjusted EBITDA increased 4.2%, or $97 million, from $2.31 billion to $2.41 billion.

“Caesars Entertainment delivered another quarter of solid operational performance,” said Tony Rodio, President and Chief Executive Officer of Caesars Entertainment. “Caesars’ results were largely driven by the strong demand at our Las Vegas properties, excellent cost controls, and the addition of sports betting in several states which drove increased visitation. In addition, our focus on costs and operating efficiencies across the company contributed to the excellent performance.” he added.

Additional Developments

Completed Sale of the Rio All-Suite Hotel & Casino

On December 5, 2019, the Company announced it has completed the previously announced sale of the Rio All-Suite Hotel & Casino for $516.3 million. Caesars will continue to manage and operate the Rio for a minimum of two years through a lease agreement, and the property will remain part of the Caesars Rewards network during the term of the lease.

Stockholders Approve Merger of Caesars Entertainment and Eldorado Resorts

On November 15, 2019, Caesars Entertainment and Eldorado Resorts, Inc. announced that at separate Special Meetings of Stockholders, their respective stockholders approved certain actions in connection with the Company’s proposed merger with Eldorado Resorts, Inc. (the “Merger”). The transaction is expected to be consummated in the first half of 2020 and remains subject to the receipt of certain regulatory gaming and other approvals, and other closing conditions.

Sale of Harrah’s Reno

On January 15, 2020, Caesars Entertainment and VICI Properties Inc. announced an agreement to sell Harrah’s Reno for $50 million. The proceeds of the transaction shall be split 75% to VICI and 25% to Caesars. Under the terms of the agreement, Caesars will continue to operate the property upon closing of the transaction, which will allow Caesars to cease operations at the property during the second half of 2020.

Basis of Presentation

Certain additional non-GAAP financial measures have been added to highlight the results of the Company. “Hold adjusted” results are adjusted to reflect the hold we achieved compared to the hold we expected. See the table at the end of this press release for the reconciliation of non-GAAP to GAAP presentations.

This release also includes the indicators ADR and RevPAR. See Supplemental Information in this release for information regarding how we define ADR and RevPAR. Our definition and calculation of ADR and RevPAR may be different than the definition and calculation of similarly titled indicators presented by other companies.

Financial Results

Caesars views each property as an operating segment and aggregates such properties into three regionally-focused reportable segments: (i) Las Vegas, (ii) Other U.S. and (iii) All Other, which is consistent with how Caesars manages the business. The results of each reportable segment presented below are consistent with the way management assesses these results and allocates resources, which is a consolidated view that adjusts for the effect of certain transactions between reportable segments within Caesars. “All Other” includes managed, international and other properties as well as parent and other adjustments to reconcile to consolidated Caesars results.

During the fourth quarter of 2019, net revenues increased $54 million as compared to 2018 driven by growth in all business verticals, with significant growth in Las Vegas due to healthy consumer demand and a higher cash customer mix. Other U.S. net revenues increased $18 million year over year primarily due to growth in Iowa and Indiana as a result of our new sportsbooks and better results in Atlantic City. All Other net revenues decreased $4 million year over year, primarily due to lower gaming volumes in the UK, offset by one-time payments to CIE for early terminations of WSOP licensing agreements. Across all of our casino properties, hold had a favorable impact of $5 million to $10 million this quarter compared to the prior year, and was $10 million to $15 million above our expectations.

During the year ended December 31, 2019, net revenues increased $351 million as compared to 2018 driven primarily by the acquisition of Centaur in July 2018, strong Las Vegas results and favorable hold. These positive factors were offset by lower gaming volume at our Atlantic City properties as a result of increased competition and inclement weather across some of our properties. Across all of our casino properties, hold had a favorable impact of $60 million to $65 million this year compared to the prior year and was $30 million to $35 million above our expectations.

During the fourth quarter of 2019, income from operations increased $77 million primarily due to a $54 million increase in net revenues in the fourth quarter of 2019 compared with 2018, as explained above. The decrease in operating expenses of $23 million also contributed to the increase of income from operations. The decrease in operating expenses was primarily due to a decrease in depreciation and amortization expense of $24 million, due to high accelerated depreciation in 2018 related to certain renovation projects in 2018, and lower impairment charges related to goodwill compared to 2018 and lower impairment charges related to tangible and other intangible assets related to Horseshoe Hammond in 2019. These decreases were partially offset by an increase in property, general, administrative and other primarily due to expenses related to payroll and our sports partnerships.

During the year ended December 31, 2019, income from operations decreased $121 million compared with 2018 due to an increase in operating expenses of $472 million offset by an increase in net revenue of $351 million in 2019 compared with 2018, as explained above. Operating expenses increased $223 million as a result of our acquisition of Centaur in 2018. Impairment of tangible and other intangible assets increased by $406 million due to the recognition of impairment charges in 2019 related to land and buildings and gaming rights. These increases were partially offset by a decrease of $151 million in depreciation and amortization expense, excluding Centaur, primarily due to higher depreciation expense in 2018 from disposals of property and equipment related to renovation projects at certain Las Vegas properties and accelerated depreciation of assets.

During the fourth quarter of 2019, net income/(loss) attributable to Caesars decreased $502 million from net income of $198 million to net loss of $304 million due to an increase in other loss of $627 million primarily due to a change in the fair value of the derivative liability related to the conversion option of CEC’s 5.00% convertible senior notes maturing in 2024 (the “CEC Convertible Notes”), offset by an increase of $43 million in tax benefit and an increase of $77 million in income from operations, as explained above.

During the year ended December 31, 2019, net income/(loss) attributable to Caesars decreased $1.5 billion from net income of $303 million to net loss of $1.2 billion due to an increase in other loss of $1.38 billion primarily due to a year over year change in the fair value of the derivative liability related to the CEC Convertible Notes. In addition, a $44 million change in the fair value of disputed claims liability related to Caesars Entertainment Operating Company, Inc.’s emergence from bankruptcy in 2017, and an increase in interest expense of $24 million as a result of our failed sale-leaseback financing obligations also contributed to the decrease of net income/(loss) attributable to Caesars. Income from operations also decreased $121 million in 2019 compared with 2018, as explained above. These were partially offset by an increase of $20 million in tax benefit.

During the fourth quarter of 2019, adjusted EBITDA improved $16 million as compared to 2018 driven primarily by the increase in revenues explained above and excellent cost controls across the properties and corporate office, including a reduction in payroll and professional services expenses. This increase was offset by continued investments in sports sponsorships. Across all of our casinos, hold had a favorable impact of $0 to $5 million year over year and was $5 million to $10 million above our expectations. Excluding the performance at Rio, adjusted EBITDA improved $19 million to $572 million as compared to 2018.

During the year ended December 31, 2019, adjusted EBITDA improved $97 million as compared to 2018 due to strong Las Vegas results and the acquisition of Centaur in July 2018, offset by competition in Atlantic City and increased investments in sports sponsorships. Across all of our casinos, hold had a favorable impact of $40 million to $45 million year over year and was $20 million to $25 million above our expectations.

About Caesars:

Caesars Entertainment is one of the world’s most diversified casino-entertainment providers and the most geographically diverse U.S. casino-entertainment company. Since its beginning in Reno, Nevada, in 1937, Caesars Entertainment has grown through development of new resorts, expansions and acquisitions. Caesars Entertainment’s resorts operate primarily under the Caesars®, Harrah’s® and Horseshoe® brand names. Caesars Entertainment’s portfolio also includes the Caesars Entertainment UK family of casinos. Caesars Entertainment is focused on building loyalty and value with its guests through a unique combination of great service, excellent products, unsurpassed distribution, operational excellence and technology leadership. Caesars Entertainment is committed to its employees, suppliers, communities and the environment through its PEOPLE PLANET PLAY framework. For more information, please visit www.caesars.com/corporate.

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American gambling industry

Gaming Americas Weekly Roundup – November 24-30

Published

2 weeks ago

December 1, 2025

Niji Narayan

gaming-americas-weekly-roundup-–-november-24-30

Reading Time: 2 minutes

Welcome to our weekly roundup of American gambling news again! Here, we are going through the weekly highlights of the American gambling industry which include the latest news and new partnerships. Read on and get updated.

Latest News

VGO Promo, a long-standing platform known for bridging the worlds of cryptocasinos, cryptocurrency exchanges and CSGO skins gaming, has announced a comprehensive expansion of its verification framework designed to bring transparency to online promotional offers. The updated system enhances how users evaluate bonuses across three intersecting ecosystems. Founded during the peak of the CSGO skins economy, VGO Promo originally provided referral codes for case opening websites and virtual item platforms. As the industry evolved towards blockchain based gaming, Bitcoingambling and crypto trading, VGO Promo expanded its scope to support modern platforms including Roobet, Stake, Rollbit, CSGORoll, Duelbits, Binance, OKX, ByBit, Bitget and various case opening services within the CSGO community. The updated verification framework applies a structured, cross industry methodology to help users navigate rapidly changing promotional conditions.

FanDuel has announced the launch of Pass The Leg, a first-of-its-kind in-app feature that transforms traditional parlay betting into a shared, social experience just in time for holiday gatherings. Pass The Leg allows customers to build a single group parlay collaboratively, with each participant adding their own leg before placing individual bets using their own funds. Designed to bring friends and family together around one of the biggest football days of the year whether near or far, the feature allows users to start or join a Group Build, invite others to contribute picks, and then add the completed parlay to their personal betslip. Each contributor can also take advantage of a dedicated Pass The Leg Profit Boost, amplifying the excitement and potential payout of the shared pick. Available exclusively for the three NFL games taking place on Thanksgiving Day, Pass The Leg marks the first true multi-user parlay-building experience offered by a major U.S. sportsbook operator.

Partnerships

The St. Louis Blues announced an agreement designating DraftKings an Official Sports Betting and Daily Fantasy Operator of the Blues. The announcement comes ahead of the launch of legal sports betting in Missouri scheduled for Dec. 1, 2025. DraftKings has been an Official Sports Betting, Daily Fantasy Sports and iGaming Partner of the National Hockey League since 2021. As part of the agreement, DraftKings will spotlight responsible gaming through a pregame, in-arena feature, encouraging fans to play responsibly, have fun and access DraftKings’ comprehensive suite of responsible gaming tools and resources. DraftKings will have rights to use St. Louis Blues intellectual property — including team trademarks and logos — across marketing and promotional materials. The collaboration will feature in-arena signage, brand integrations across television and radio and exclusive hospitality experiences throughout the season, all designed to elevate fan engagement at the Enterprise Centre and beyond.

Signature Systems Inc (SSI) has announced a new partnership with Yellow Dog Software. The integration connects Yellow Dog’s advanced inventory capabilities with SSI’s PDQ POS system, enabling operators to streamline operations, improve cost control and gain real-time visibility across their properties. The partnership was initiated to meet the inventory needs of Osage Casinos, a major name in tribal gaming. The integration, which went live in September, was first deployed to support convenience store reporting and ordering across the properties.

The post Gaming Americas Weekly Roundup – November 24-30 appeared first on European Gaming Industry News.

American gambling industry

Gaming Americas Weekly Roundup – November 17-23

Published

3 weeks ago

November 25, 2025

Niji Narayan

gaming-americas-weekly-roundup-–-november-17-23

Reading Time: 2 minutes

Latest News

National Council on Problem Gambling (NCPG) Board of Directors has announced Heather L. Maurer, MA, CAE as the organisation’s next Executive Director, effective January 7, 2026. Maurer brings more than 25 years of leadership experience in the fields of public health, policy and nonprofit management. Most recently, she served as CEO of National Association of Nurse Practitioners in Women’s Health, where she led the organisation to its strongest financial position in more than a decade by expanding revenue streams, restructuring operations and building sustainable reserves to ensure long-term growth. As Executive Director, Ms. Maurer will lead NCPG’s strategic direction and oversee its national programmes, partnerships and advocacy initiatives. Her work will focus on strengthening NCPG’s advocacy presence and uniting affiliates, policymakers, industry leaders and community partners to advance policies that prevent gambling-related harm and expand access to support services.

Hard Rock Casino Tejon, developed in partnership with the Tejon Indian Tribe, officially opens to the public following a celebratory Guitar Smash ceremony marking a historic milestone as the first full-scale gaming and entertainment property in Kern County. Located 80 miles north of Los Angeles, the $600 million project is a multi-phase investment designed to transform the region through hospitality, entertainment and economic development. The destination has created more than 1000 permanent jobs and over 5000 construction-related roles, representing the largest private hospitality investment in Kern County’s history. Hard Rock Casino Tejon is expected to continue delivering lasting benefits for the local economy, tourism sector and community development across the Southern San Joaquin Valley. The opening was celebrated with Hard Rock’s iconic Guitar Smash Ceremony, symbolising a bold new beginning.

Partnerships

BetMGM announced that the company is now an official sports betting and online casino partner of the Pittsburgh Penguins. With this multi-year agreement, BetMGM holds partnerships with all three of Pittsburgh’s major professional sports teams. Key elements of the partnership include prominent BetMGM signage and branding throughout PPG Paints Arena, co-branded social media content, exclusive promotions and premium hospitality assets for VIP fan experiences. BetMGM also plans to introduce Penguins-themed iGaming products in the near future. As BetMGM continues to expand into new markets and introduce new features, responsible gaming remains a key focus. Additionally, BetMGM provides resources to help customers play responsibly including GameSense, an industry leading programme, developed and licensed to MGM Resorts by the British Columbia Lottery Corporation.

Hard Rock International and Seminole Gaming joined forces with nonprofit organisation Ocean Conservancy for the Global Sound Waves joint sustainability programme. This collaboration unites Hard Rock team members and communities worldwide with Ocean Conservancy’s mission of protecting the oceans by reducing waste and driving meaningful environmental change. The partnership, motivated by one of Hard Rock’s guiding mottos: Save the Planet, takes a proactive approach to ocean conservation by focusing on upstream waste management, addressing water, food and material waste to prevent it from polluting the ocean. Through comprehensive waste audits and data-driven analysis, Hard Rock and Ocean Conservancy identify diversion opportunities and implement alternatives that set meaningful waste reduction goals across Hard Rock’s global operations.

The post Gaming Americas Weekly Roundup – November 17-23 appeared first on European Gaming Industry News.

American gambling industry

Gaming Americas Weekly Roundup – November 3-9

Published

1 month ago

November 11, 2025

Niji Narayan

gaming-americas-weekly-roundup-–-november-3-9

Reading Time: 2 minutes

Latest News

Petroglyph Development Group (PDG), a wholly owned corporation of Snuneymuxw First Nation (Snuneymuxw), and Great Canadian Entertainment announced that they have entered into definitive agreements for the purchase by PDG from Great Canadian Entertainment of two casino businesses, River Rock Casino Resort and Chances Maple Ridge. Upon closing and subject to regulatory and other approvals, PDG is expected to become one of the largest casino operators by revenue in British Columbia, and anticipates being the largest Canadian Indigenous owned gaming operator by revenue in Canada, cementing Snuneymuxw as a leading force in the province’s gaming industry. Building on PDG’s recent acquisitions of Casino Nanaimo and Elements Casino Victoria earlier this year, these transactions demonstrate the strength of the collaboration between PDG and Great Canadian Entertainment and the momentum of PDG’s growing gaming platform.

Churchill Downs Incorporated (CDI) has announced the promotion of Michael Meagher to Senior Vice President of Gaming Operations, effective November 3, 2025. Meagher succeeds Maureen Adams, whose retirement was announced earlier this year. He will oversee operations at all gaming and HRM locations throughout the CDI portfolio, along with corporate gaming functions, including analytics, marketing and product performance. Meagher will report directly to Bill Mudd, President and Chief Operating Officer of CDI. Meagher has served as Vice President of Gaming Operations since 2022, where he oversaw nine gaming properties across CDI’s portfolio, including the development and successful grand opening of Terre Haute Casino Resort. In this role, he was instrumental in driving operational performance, enhancing guest experiences and supporting the Company’s continued growth in regional gaming markets.

Partnerships

Zoomd Technologies Ltd has announced that it has entered into a strategic partnership with E2-Quadrat communications GMBH (E2), a global leader in digital marketing and technology solutions for the sports and betting industry. With over two decades of experience in the industry, E2 has established itself as a trusted partner to some of the most prominent names in the sector. The privately owned company operates a broad international network of offices enabling it to serve clients on a truly global scale. This partnership is expected to enable E2’s current and future clients worldwide to benefit from Zoomd’s advanced user acquisition (UA) technologies and performance marketing expertise and aligns with Zoomd’s strategic focus on expanding its impact across high-growth verticals.

MyPrize, the fastest growing social gaming business in the US, has announced a strategic partnership with Crypto.com | Derivatives North America (CDNA), a CFTC-registered exchange and clearinghouse and an affiliate of Crypto.com, to launch MyPrize Markets, a first of its kind product allowing users to access social gaming and prediction markets for the first time in one unified platform. As Crypto.com’s first social gaming partner, MyPrize will leverage the company’s enterprise-grade infrastructure to deliver an engaging and intuitive prediction market experience to its massive global user base, now numbering over 1 million+. This strategic partnership continues MyPrize’s explosive growth in 2025 and further cements its market position as the leading social gaming and entertainment platform.

The post Gaming Americas Weekly Roundup – November 3-9 appeared first on European Gaming Industry News.