Adam Roarty Editor
Adam Roarty is a journalist covering sports betting, regulation, and industry innovation for CasinoBeats. His coverage includes tax increases in the UK, covering breaking stories in the ever-evolving landscape of US betting such as the...
Read Full BioCaesars Entertainment posted its Q4 earnings for the three months ending December 31, and there were mixed results. The company’s digital sector continues to thrive, but this was not enough to prevent large losses.
Overall revenue was $2.92 billion, up 4.2% from Q4 2024. Caesars Digital was a standout performer, increasing revenue 38.7% from $302 million in 2024 to a record high of $412 million. Adjusted EBITDA increased from $20 million to $85 million. This was driven by a 28% surge in iGaming handle and a 19% increase in monthly unique active payers.
The company swung from a net profit of $11 million in 2024 to a net loss of $250 million. In a press release, Caesars attributed this to asset sales of $350 million in 2024, including the World Series of Poker (WSOP) trademark.
The worry for investors will be that the company’s EPS fell from -$0.27 to -$0.33. The stock price has fallen almost 20% since the start of the year, but rose slightly on the back of the Q4 results.
For the full year, Caesars reported net revenue of $11.5 billion, compared to $11.2 billion in 2024, alongside a net loss of $502 million, up from $278 million in the prior year. Adjusted EBITDA for 2025 totaled $3.6 billion, compared to $3.7 billion in 2024.
Vegas Sees Revenue Drop, CEO Says ‘No Crisis’
Although fairly stable, the company’s revenue from its Las Vegas properties fell from $1.08 billion to $1.05 billion. A decline in tourism has been a challenge for casino operators, but CEO Tom Reeg remained upbeat, commenting, “What we are seeing is F1 was a very strong event for us. Super Bowl, despite what you read on social media, was an extremely strong event year over year. The big event weekend, the big conferences are delivering. It’s those soft patches in between.”
He emphasized that occupancy rates remain strong, adding, “And keep in mind, we were, what, 90, 92.5% occupied for the quarter across 20,000 rooms. If you look back over the history of Caesars and Vegas, this was probably the third, fourth, best quarter of all time. So there’s really no crisis happening in Vegas.”
The company declared the Vegas slump as over last year, but the region continues to struggle to attract visitors. Last quarter, it also agreed to pay a $7.8 million penalty to the Nevada Gaming Control Board for allowing illegal bookie Mathew Bowyer to gamble at its Vegas properties.
Casinos outside Vegas increased revenue by 1.6% to $1.36 billion, with new locations in New Orleans and Virginia contributing. Other projects in California and Oklahoma with tribal partners, as well as a development in Florida, are targets for future growth.
Caesars Won’t Gamble on Prediction Markets
The growth of the digital sector was the main source of optimism, however. Reeg added, “As we look ahead to 2026, the brick-and-mortar operating environment remains stable, and we are expecting another year of strong Net Revenue and Adjusted EBITDA growth in our Caesars Digital segment.”
Despite the popularity of online gambling, the company said it has no intention to enter the prediction market space. Reeg said he “doesn’t expect us to be participating in the prediction markets… we don’t want to put brick-and-mortar licenses at risk. Unequivocally, we view prediction markets as gambling… but we’ll let that play out through the courts. We are not seeing any impact in our regulated markets.”
