Adjusted EBITDA dropped by 2.1% to $865 million. Operating expenses climbed to $2.48 billion from $2.36 billion, cutting operating income to $457 million from $513 million, while net interest expense reached $570 million.
Las Vegas revenue dropped 2.3% to $930 million as fewer conventions and weaker leisure travel hit hotel occupancy, room rates, and dining. Segment adjusted EBITDA fell 9.5% to $343 million, although casino revenue in the city rose by 10.4% on stronger table game hold. Regional revenue increased 5.9% to $1.63 billion, mainly from the addition of Caesars Windsor in March and investment in Lake Tahoe and New Orleans.
Caesars Digital revenue rose 4.8% to $326 million, while its adjusted EBITDA jumped 57.1% to $44 million, which the company linked to higher hold and lower marketing costs. Sports betting handle grew 1.2% to $2.51 billion, and iGaming handle grew by 1.5% to $4.83 billion.
Caesars held no earnings call because of its pending $17.6 billion sale to Fertitta Entertainment. Shareholders approved the deal in September, and closing, which is still subject to an FTC antitrust review and gaming approvals, is expected by mid-2027, with shareholders set to receive $31 per share.
