Caesars Entertainment’s revenue increase moved slowly but was helped by controlling costs and higher digital segment performance.

Key Points

• The company reduced net loss from $122m to $82m, showing a 34.9% drop on the year.
• Digital adjusted EBITDA reached $80m, a 100% improvement, with revenue going up 24.3%.
• Las Vegas operations showed adjusted EBITDA of $469m, a fall of 8%, and regional EBITDA dropped 6.4%.

Caesars Entertainment announced Q2 2025 financial results, showing small revenue growth and a sharp drop in net losses, thanks to running operations better and strong digital sector performance. Total revenue for the group was $2.91bn this quarter, going up 2.9% from last year. Their net loss moved down to $82m, which is a 34.9% gain. Adjusted EBITDA for the quarter reached $955m, falling by 4.1% because Las Vegas and regional casinos brought in less.

Digital Drives Earnings Growth

Digital activities at Caesars gave strong numbers, with adjusted EBITDA doubling to $80m, higher than $40m from last year. The digital side also improved net revenue by 24.3% to $343m, pushed by customers using online sports and iGaming more. CEO Tom Reeg explained these digital results continued efforts started in previous years, and he confirmed that digital will likely hit long-term earnings targets. In Q1 2025, Caesars Digital reported revenue up 18.8% at $335m, and adjusted EBITDA rose to $43m after being $5m a year before. For the first half of 2025, the digital division reached $123m in adjusted EBITDA, rising by 173%.

Las Vegas and Regional Performance Remains Mixed

Las Vegas revenue went down 3.7% to $1.05bn, and adjusted EBITDA fell 8% to $469m. Segment net income dropped 20.9% to $212m due to less hotel demand. For the regional part, revenues went up 3.6% to $1.44bn, although adjusted EBITDA lost 6.4%, ending at $439m. Properties in Virginia and New Orleans added some positive results to the numbers from other regions.

Good to know: Caesars redeemed $546m in 8.125% senior notes in July after selling $225m of WSOP notes and using credit. This step should lower yearly interest costs by $44m and make their debt due later, moving it out to 2028.

Cost Controls and Debt Reduction Strategy

Operating costs increased 2% to $2.38bn, just a little more than revenue went up. The total paid in interest remained high, at $579m, but it was less than $594m in Q2 2024. Net loss per share was smaller, improving from $0.56 to $0.39. On June 30, 2025, Caesars disclosed $12.3bn in total debt and had $982m in cash, saying again the plan to cut debt. CFO Bret Yunker noted that getting more free cash flow in 2025 would help repay debt and also let the business buy back shares as opportunities arise.

Market Comparison and Outlook

Caesars’ revenue grew 2.9%, which is behind others in the field. BetMGM grew Q2 revenue 36%, Entain grew 9% in Q1, but Caesars did better than Las Vegas Sands and FDJ, who had revenue cuts compared to last year. Caesars plans to boost EBITDA margins in their physical locations and grow in the digital space. In Q1 2025, Caesars posted $2.8bn revenue, up 2.1%, while net loss fell 27.2%, coming to $115m. Revenue from digital went up 18.8% to reach $335m, making up for weaker Las Vegas and regional results.