Caesars Entertainment reported a second-quarter performance marked by modest revenue growth and improved bottom-line figures, with its digital division delivering a standout performance that helped counterbalance challenges in the company’s core casino operations.
Digital Performance Powers Earnings Upside
For the three months ending June 30, 2025, Caesars generated $2.91 billion in net revenue, reflecting a 2.9% increase over the same period in 2024. While the company still recorded a net loss of $82 million, it represented a significant 34.9% improvement from the $122 million loss a year earlier.
Adjusted EBITDA for the quarter totaled $955 million, down 4.1% from the prior-year quarter. This dip was primarily attributed to weaker performance in the Las Vegas and regional segments, while Caesars Digital delivered one of its best quarters yet.
Caesars Digital recorded a 100% increase in adjusted EBITDA to $80 million, up from $40 million the year before. Net revenue for the segment climbed 24.3% year-on-year to reach $343 million, as the company saw gains in customer activity across its iGaming and online sports offerings.
“Our Caesars Digital segment posted one of its strongest quarters ever, as momentum continues to build toward the financial goals that we originally laid out in 2021,” said Tom Reeg, CEO of Caesars Entertainment.
The division’s first-half adjusted EBITDA totaled $123 million—up a striking 173.3% from $45 million in the same period of 2024. Revenue for the half-year reached $678 million, a 21.5% increase.
Las Vegas and Regional Results Under Pressure
While digital delivered, Caesars’ traditional casino operations showed mixed results. Las Vegas revenue dropped 3.7% to $1.05 billion, with adjusted EBITDA for the segment slipping 8% to $469 million. Net income from Las Vegas operations declined by 20.9% to $212 million, largely due to weaker performance in the hospitality sector.
Meanwhile, revenue from regional casinos increased 3.6% to $1.44 billion, buoyed in part by contributions from Caesars Virginia and New Orleans. However, the regional division’s adjusted EBITDA declined 6.4% to $439 million.
Reeg highlighted that regional gains were supported by “strategic reinvestment into our Caesars Rewards database,” helping to offset pressures in more established local markets.
Liquidity Moves and Debt Reduction Strategy
As of June 30, Caesars reported $12.3 billion in total outstanding debt, while cash and cash equivalents stood at $982 million. The company had an available liquidity buffer of approximately $3.08 billion, including revolver capacity.
In early July, Caesars redeemed $546 million of its 8.125% senior unsecured notes due in 2027 using proceeds from a $225 million World Series of Poker seller note monetization and a revolver draw.
“This note redemption reduces run-rate interest expense by $44 million annually. Our nearest debt maturity is now January 2028 and our weighted average cost of debt is approximately 6.35%,” said Bret Yunker, Caesars’ CFO.
He added that the company will continue to use free cash flow to manage debt and pursue share repurchases opportunistically.
Source:
“Caesars Entertainment, Inc. Reports Second Quarter 2025 Results”, newsroom.caesars.com, July 2025
“Quarterly Results”, investor.caesars.com, Jul 29, 2025
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