Caesars Entertainment Reports $11.2 Billion in 2024 Revenue

A key factor behind the revenue decline was a net loss of $278 million, compared to a net profit of $786 million the previous year. Caesars attributed this drop primarily to a $940 million deferred tax asset write-off linked to its REIT lease agreements in 2023.

Despite the overall revenue decline, Caesars Digital delivered impressive growth, generating $1.163 billion in net revenue, up from $973 million in 2023. Adjusted EBITDA for Caesars Digital surged to $117 million, a significant jump from $38 million in the previous year.

Fourth Quarter Performance

In the fourth quarter of 2024, Caesars reported net revenue of $2.80 billion, slightly lower than the $2.83 billion recorded in Q4 2023. However, the company managed to turn a profit of $11 million, a notable improvement from the $72 million net loss in the same quarter last year.

Despite these positive signs, Caesars’ adjusted EBITDA from same-store operations dropped to $882 million, down from $924 million in Q4 2023. The Caesars Digital segment also reported a dip in adjusted EBITDA, posting $20 million in Q4 2024, compared to $29 million in the same period the previous year.

CEO Tom Reeg attributed this decline to unfavorable sports betting outcomes in October and December, which benefited customers at the company’s expense. However, he noted that iGaming revenue grew by over 60%, offsetting some of the losses. “As we look ahead to 2025, the brick-and-mortar operating environment remains stable, and we are expecting another year of strong net revenue and Adjusted EBITDA growth in our Digital segment,” Reeg said.

He also emphasized that Caesars plans to reduce leverage using free cash flow, driven by lower capital expenditures and cash interest expenses in 2025.

Debt Reduction and Financial Strategy for 2025

Caesars’ total outstanding debt stood at $12.3 billion at the end of 2024, with $866 million in cash and cash equivalents on hand. To strengthen its financial position, the company used proceeds from the WSOP and Promenade sales to reduce debt by $500 million and repurchased $50 million worth of common stock.

Chief Financial Officer Bret Yunker highlighted that the company’s 2024 refinancing initiatives have positioned Caesars for lower cash interest expenses in 2025 while extending its nearest debt maturity to 2027. He also reaffirmed that capital expenditures for 2025 are projected to be $600 million, excluding any remaining spending on Caesars Virginia.

Caesars Entertainment remains confident about the stability of its land-based operations, particularly in Las Vegas, where high occupancy rates and strong average daily rates (ADR) continue to drive business. The company is also focused on growing its digital segment, expecting another strong year for iGaming and online sports betting.