Caesars Entertainment Corporation has reported its Q4 fourth and full-year 2018 results with fourth quarter net revenues increased 11.3%, or $214m, from $1.90bn to $2.12bn. Fourth quarter net income, however, decreased 90.1%, or $1.81bn, from $2bn to $198m, primarily as a result of a large nonrecurring tax benefit recognized in the fourth quarter of 2017 relating to US tax reform and Caesars Entertainment Operating Company’s (CEOC) emergence from bankruptcy.
Full year net revenues increased 72.4%, or $3.52b, from $4.87bn to $8.39bn due to the inclusion of the results of CEOC and Centaur. Net income for the year improved $671m, from a loss of $368m to income of $303m.
“In 2018, Caesars delivered a fourth consecutive year of higher net revenues and adjusted EBITDAR, as well as expanded margins,” said Mark Frissora, President and Chief Executive Officer. “Caesars’ solid performance is due in part to further labor productivity improvements and, in 2018, over $140m of marketing efficiencies.”
He added: “This year, Caesars will implement more efficiency and growth initiatives, including expanded sports betting. While we will be making additional value-added investments in the business this year, including the CAESARS FORUM meeting center on the Las Vegas Strip, our financial priority over the next few years is to further de-lever the balance sheet.”
Frissora also confirmed that the company’s casino properties, including in Las Vegas and Indiana, performed well, partially offset by the impact of new competition in Atlantic City.
