Caesars Entertainment reported its Q2 results on Tuesday, showing a decline in revenue in Las Vegas. Revenue increases in other areas and the digital sector compensated for the dip, leading to overall revenue increasing 3% from last year.
Revenue in Vegas fell 3.5% year-on-year, dropping from $1.054 billion to $1.017 billion. The decline came as Vegas continues to struggle with visitor numbers. June saw visitor numbers fall 0.5%, and overall gaming revenue on the strip also declined by 1.39%.
Caesars compensated for the loss in Vegas by increasing revenue from its properties outside the gaming heartland. Its regional properties generated $1.57 billion in revenue, up 9.4% from Q2 last year, according to a press release.
Digital Growth Slows as Takeover Nears Completion
Caesars Digital continues to grow, but at a slower pace. Its revenue increased 2.3%, up from $343 million to $351 million. The slight increase is far less than the 38% increase experienced in Q4 last year. In Q1 this year, digital revenue grew 11.6% to $374 million.
The company is facing a transitional period as it nears completion of a takeover from Fertitta Entertainment. Due to the impending takeover, the company said it would not host a conference call on its latest earnings. It will also be delisted from NASDAQ as the casino giant goes private under the new ownership.
Fertitta’s proposed $17.9 billion deal to take control of Caesars received a boost last week when the Nevada Gaming Commission voted unanimously to amend the company’s permits and orders of registration.
Las Vegas Decline Continues
The drop in Caesars’ revenue in Vegas is part of a growing trend. Last month, the Nevada Gaming Control Board reported an 81% year-on-year drop in net income for the strip’s casinos in 2025.
Caesars’ financial figures did not show as steep a decline this year, but numbers continue to fall. Adjusted EBITDA from its Vegas properties dropped from $469 million to $410 million, a decrease of 12.6%.
The fall in visitor numbers again in June shows tourism continues to struggle. Last year, visitor numbers fell 7.5%. While reporting the slight dip in June, the Las Vegas Convention and Visitors Authority noted that overall visitor numbers are up 0.2% for the year.
Convention attendance increased 25.8% to 471,000, indicating that general tourists may still be avoiding the strip due to inflated prices. The increase in convention attendees failed to translate to increased gaming revenues, which may also worry casino operators.
