Caesars Entertainment (Caesars) has released the company’s financial performance for the second quarter of 2024. Caesars experienced a net income loss of $122m, compared to a reported net income of $920m from the comparable prior-year period.
The company stated that the decrease was primarily driven by a release of $940m of valuation allowance against deferred tax assets associated with its Real Estate Investment Trust (REIT) leases in the prior year.
“On a consolidated basis, the company generated $1bn of adjusted EBITDA. Our operating results reflect year-over-year growth in adjusted EBITDA in our Las Vegas segment driven by record same store revenues, hotel occupancy and Average Daily Rate (ADR),” Caesars CEO Tom Reeg said.
“Our Caesars Digital segment posted a new second-quarter adjusted EBITDA record, driven by strong revenue growth and solid flow through. Regional segment results reflect competition in new markets partially offset by our temporary facility in Danville, Virginia and our property in Columbus, Nebraska.”
Reeg also commented on the company’s approach towards the remainder of 2024, having said, “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 $430m capital investment in our newly rebranded Caesars New Orleans property.”
Total net revenue was reported to be $2.83bn for Q2 2024, only a 0.1% decrease from the reported revenue for the second quarter of 2023. Las Vegas and regional operations generated $1.1bn and just under $1.4bn of revenue throughout the quarter, respectively.
Caesars Digital was the only sector of the company to see increases in multiple categories, reporting a 27.8% increase in revenue for a total of $276m for Q2 2024.
Adjusted EBITDA also experienced a small decrease, reporting a total of $1bn for the second quarter of 2024 compared to $1.007bn for Q2 2023.