Caesars Entertainment always have their hands in a lot pies, they recently had their poker domain approved by ARJEL and the casino giant is even reported to be investing in Dan Gilbert’s Ohio Casino. But even the world’s largest casino company isn’t immune to the damage that a sputtering Atlantic City can have on financial results.
Caesars Entertainment Corp. reported a fourth-quarter loss of $196.7 million compares with a profit of $295.6 million a year earlier, when earnings were boosted by a gain from extinguishing debt early, Caesars said today in a statement.
Already the owners of the Flamingo, Bally’s and Caesars Palace, Caesars acquired the Planet Hollywood Resort and Casino last year, but gains from the acquisition were according to Caesars, “offset by the continuing impact of the weak economy on customers’ discretionary spending.”
“However, certain markets, including Las Vegas, have shown signs of stabilization and improving operating margins.” Caesars said in the statement.
For a while Las Vegas, the city of lights was in a dark place as the economic downswing tightened gamblers spending. That said, Atlantic City is still struggling. Atlantic City, revenue fell 10.6 per cent as customers spent less per trip. Caesars also said the market was hurt by competition from new casinos and the introduction of table games in Pennsylvania.
Even though Caesars sidestepped going public, the company still reports its financial results as it has a significant portion of publically traded debt.