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Last Update: 26-Feb-13 07:45 ET
Caesars shares fall 7% following disappointing earnings
Caesars Entertainment (CZR $10.83 -0.88) reported fourth quarter loss of $3.75 per share, may not be comparable to the Capital IQ Consensus Estimate of ($1.78), while revenues fell 4.3% year/year to $2.02 billion versus the $2.11 bln consensus. The company reported Q4 Adjusted EBITDA of $420.1 million versus $466.0 mln in the same quarter as last year. Las Vegas net revenues declined 3.2% YoY to $742.6 mln For the fourth quarter 2012, loss from operations was $343.6 million compared with income from operations of $198.8 million in the prior-year quarter. This change was due primarily to non-cash impairment charges in the fourth quarter of 2012 and the income impact of revenue declines caused by Hurricane Sandy. Net revenues in Atlantic City in the fourth quarter 2012 decreased $79.8 million or 19.2% from 2011 due largely to the negative impact of Hurricane Sandy which forced the closure of our properties in Atlantic City for five days and our property in Philadelphia for two days, as well as continued competitive pressures in the region.
"In our core business, we were encouraged by double-digit growth in customer spend per trip in our Las Vegas Region, and an overall 6.2% increase in that key metric"
Online Gaming Commentary: "In the Internet space, Caesars Interactive Entertainment acquired Bingo Blitz, further boosting our presence in the social and mobile-games marke..We received approval from Nevada gaming regulators of our application for a license to be an operator of interactive gaming in that state and expect to begin offering play in the coming months. We are also encouraged by New Jersey Gov. Chris Christie's support of online gaming in his state, and anticipate having the opportunity to pursue online gaming there soon."
"In our core business, we were encouraged by double-digit growth in customer spend per trip in our Las Vegas Region, and an overall 6.2% increase in that key metric"
Online Gaming Commentary: "In the Internet space, Caesars Interactive Entertainment acquired Bingo Blitz, further boosting our presence in the social and mobile-games marke..We received approval from Nevada gaming regulators of our application for a license to be an operator of interactive gaming in that state and expect to begin offering play in the coming months. We are also encouraged by New Jersey Gov. Chris Christie's support of online gaming in his state, and anticipate having the opportunity to pursue online gaming there soon."
