You might also like
Caesars Entertainment, Inc. is a geographically diversified gaming and hospitality company that operates casino properties, hotels, restaurants, bars, entertainment venues, and retail shops. The company generates its primary revenue from gaming operations, including retail and online sports betting and iGaming, which accounted for approximately 55% of total net revenues in 2023 . In addition to gaming, Caesars' business activities include food and beverage operations and hotel operations, contributing to its diverse revenue streams . The company's operations are divided into four reportable segments: Las Vegas, Regional, Caesars Digital, and Managed and Branded .
- Gaming Operations - Operates approximately 51,300 slot machines and 2,700 table games, including poker, across its properties, and offers retail and online sports betting and iGaming .
- Hotel Operations - Owns, leases, brands, or manages 52 domestic properties in 18 states, providing accommodation services .
- Food and Beverage Operations - Manages restaurants, bars, and other dining establishments, contributing to the company's hospitality offerings .
- Caesars Digital - Engages in digital operations through platforms like the Caesars Sportsbook app, offering online gaming and sports betting .
- Managed and Branded - Involves the management and branding of properties, expanding the company's reach and influence in the hospitality sector .
-
Given the decline in gaming volumes in your regional segment, particularly the reduction in unrated play due to increased competition, how do you plan to address this competitive pressure and regain market share, especially in affected geographies like Terre Haute?
-
With adjusted EBITDAR in your regional segment down 8% year-over-year due to factors like competitive pressures, construction disruptions, and difficult comps, can you elaborate on your specific strategies to reverse this trend and improve margins in the regional market?
-
You mentioned that your elevated capital investment cycle is nearing completion, leading to increased free cash flow, but with significant debt remaining, how will you balance debt reduction with potential share repurchases, and what factors will influence your capital allocation decisions?
-
Given the significant increase in labor costs in Las Vegas and the impact of the new union contract, how sustainable are your current EBITDAR margins, and what measures are you implementing to mitigate future cost escalations while maintaining service quality?
-
Considering that you need a favorable swing in hold to achieve year-over-year EBITDA growth in Las Vegas, how confident are you in meeting your full-year guidance without relying on variable factors like hold percentage, and what other drivers can support your growth expectations?
Competitors mentioned in the company's latest 10K filing.
- Native American casinos: Competitors that may pay lower taxes or no taxes, particularly in California and other jurisdictions where Native American tribes operate large-scale gaming facilities .
- State lotteries: Compete with casino and entertainment products .
- On-track and off-track wagering: Compete with casino and entertainment products .
- Video lottery terminals: Compete with casino and entertainment products .
- Card parlors: Compete with casino and entertainment products .
- Internet gaming and sports betting: Compete with brick-and-mortar operations and online offerings .
- Non-gaming resorts and vacation areas: Compete with non-gaming offerings .
- Other entertainment businesses: Compete with non-gaming offerings .
- State-sponsored lotteries: Compete with casino and entertainment products .
- Cruise line operations: Compete with casino and entertainment products .
- Pari-mutuel or telephonic betting on horse racing and dog racing: Compete with casino and entertainment products .
- Fantasy sports websites: Compete with casino and entertainment products .
Recent developments and announcements about CZR.
Financial Actions
New Share Buyback Program
Caesars Entertainment, Inc. has announced a new buyback program. The company issued $1.1 billion aggregate principal amount of 6.000% Senior Notes due 2032. The net proceeds from the sale of these notes will be used to redeem $1.065 billion of the company's existing 8.125% Senior Notes due 2027, along with all accrued interest, fees, and premiums thereon. The notes are guaranteed by the material, domestic wholly-owned subsidiaries of the company that are guarantors with respect to the company's senior secured credit facilities under its Credit Agreement .
Dividend Policy
Caesars Entertainment, Inc. (CZR) has announced a change in its dividend policy. The company has declared and paid dividends on its common stock of up to 6.0% per annum of the net proceeds received from any public offering of common stock, excluding public offerings registered on Form S-4 or Form S-8 and any public sale constituting an Excluded Contribution .
Dividend Policy
Caesars Entertainment, Inc. (CZR) has announced changes in its dividend policy. The company has declared and paid dividends on its common stock up to 6.0% per annum of the net proceeds received from any public offering of common stock, excluding public offerings registered on Form S-4 or Form S-8 and any public sale constituting an Excluded Contribution .
Financial Reporting
Auditor Changes
CZR Auditor Change
On July 17, 2020, the Audit Committee of CZR's board approved the engagement of Deloitte & Touche LLP as the new independent registered public accounting firm, replacing Ernst and Young LLP. This change will take effect after the review of the company's results for the quarter ended June 30, 2020. Deloitte was previously the auditor for Former Caesars and will now serve the combined company following a merger .