Caesars posts modest Q1 growth as digital unit drives gains, Las Vegas trends improve

Caesars Entertainment reported a slight rise in first-quarter revenue and adjusted earnings, with strong growth in its digital business offsetting softer performance in its core casino segments.

The company posted revenue of $2.9 billion, up from $2.8 billion a year earlier, while its net loss narrowed to $98 million from $115 million. Consolidated adjusted EBITDA edged up to $887 million from $884 million.

Chief Executive Officer Tom Reeg said the results reflected gains across key areas.

“In the first quarter of 2026, we delivered growth in total net revenue and adjusted EBITDA versus last year,” Reeg said. “Caesars Digital revenue of $374 million (up from $335 million a year ago) and adjusted EBITDA of $69 million (up from $43 million a year ago) achieved record first-quarter results."

Performance in Las Vegas remained stable, with revenue holding at $1 billion, while adjusted EBITDA slipped 1.6% to $426 million. The company reported hotel occupancy of 95.3%, and Reeg pointed to “continued sequential improvement in trends and a significant improvement in the hospitality vertical."

He added that business tied to conventions and group events remains critical, highlighting large events such as CONEXPO-CON/AGG 2026.

President and Chief Operating Officer Anthony Carano described conditions in Las Vegas as “a dramatic improvement versus the second half of 2025.”

Regional properties posted a 3% increase in revenue to $1.43 billion, though adjusted EBITDA fell slightly to $435 million. Reeg said: “The regional segment delivered improved adjusted EBITDA on a year-over-year basis after excluding the benefits of Super Bowl LX in New Orleans last year.”

Chief Financial Officer Bret Yunker noted that overall performance remained steady.

“Our first-quarter consolidated results demonstrate the stability of our Las Vegas and regional segments and the continued growth in Caesars Digital,” Yunker said. “We expect to deliver strong free cash flow in 2026 as a result of continued operating momentum, lower cash interest expense, and lower capex.”

The company is now entering a “cash flow harvesting cycle” following roughly $3 billion in renovations over recent years.

Caesars ended the quarter with $867 million in cash and cash equivalents and total debt of about $11.9 billion.

Separately, in March, Caesars acquired the operations of Caesars Windsor for about $54 million and entered a 20-year agreement with the Ontario Lottery and Gaming Corporation.

Executives declined to comment on reported takeover interest from Tilman Fertitta, saying the company will not answer questions regarding "market rumors or speculation."

During the call with investors, Reeg said performance in Las Vegas remains tied to event-driven demand, noting the business performs “exceedingly well” during strong convention periods. “We feel better each quarter about how Vegas is performing,” he stated.