**Group Revenue Decline and Digital Growth for Caesars in 2024**
Group revenue for the 12 months through to 31 December 2024 topped $11.2 billion (£8.89 billion/€10.71 billion), marking a 2.5% decrease from the previous year, according to data published yesterday (25 February) by Caesars.
Caesars attributed the decline primarily to its Las Vegas and regional segments, with both divisions seeing reductions in 2024. Managed and branded revenue also decreased, though there was some positive news from the digital segment.
Revenue from the digital business, which includes igaming and online sports betting, increased by 19.5%. This continues an upward trend seen in recent years, although the growth was not as steep as in 2023 (77.6%).
## Caesars: Digital EBITDA to Reach $500 Million in 2025
While digital growth may not have been as impressive as in recent years, Caesars remained confident in its long-term earnings goals.
In May 2023, Caesars set a digital EBITDA target of $500 million within two years. Now, CEO Tom Reeg announced in an earnings call that this goal is expected to be reached by the end of 2025.
For context, digital adjusted EBITDA in 2024 was $117 million, up 207.9% from the $38 million reported in 2023.
“I’d expect you’re going to start seeing the best quarters we’ve ever posted to date shortly,” Reeg said. “And all of our targets remain the same. Recall that we laid out our targets before we even launched Caesar Sports, that we could reach $500 million of EBITDA. We’re well on that path. The remaining piece at the end of 2025 will be the roll-off of some significant partnership contracts in early 2026. Then I’d expect we’d be at our targets. And recall those targets have not moved since those were merely numbers on a spreadsheet almost four years ago at this point.”
## High Hopes for Regional and Las Vegas Segments
Regional properties, the group’s largest source of revenue, posted a 4.1% drop in revenue to $5.54 billion last year. Despite this, Reeg said the segment continues to improve, with a “solid and stable” customer base.
This division will likely be boosted by the completion of the Caesars New Orleans expansion last October, followed by the opening of Caesars Virginia in December. Reeg stated these developments set up the regional segment for a more positive performance in 2025 and beyond.
In Las Vegas, revenue dipped 1.5% year-on-year to $1.34 billion. Caesars partly attributed this decline to a tough comparative year, as 2023 included the city’s first hosting of a Formula 1 race.
Nevertheless, Reeg noted a steady customer base for this segment. He also mentioned the addition of several other amenities that should support the business going forward.
“We opened Gordon Ramsay’s Burger and Pink’s at Flamingo, activating the Strip frontage at Flamingo for the first time since we’ve owned Caesars,” he said. “We opened Caramella’s at Planet Hollywood. There’s a multitude of food and beverage products that have come online. We’ve still got returns from our hotel projects, including the anniversary of the opening of the balcony rooms at Versailles. So, we feel very good about what 2025 looks like.”
In 2024, $274 million came from managed and branded operations, down by 10.8%. A further $5 million was reported in corporate and other losses.
Overall, casino revenue was 1.6% lower at $6.27 billion. Hotel revenue decreased by 3.5% to $2.02 billion, food and beverage revenue fell by 0.7%, and other revenue slipped 7.2% to $1.25 billion.
## Net Loss of $278 Million
Spending-wise, total operational costs were 1.3% lower for the year at $8.94 billion. Other expenses reached $2.43 billion, resulting in a pre-tax loss of $124 million, wider than the $60 million loss in the previous year.
Caesars paid $87 million in taxes—compared to 2023 when it took $888 million in benefits—and also accounted for $67 million in losses from non-controlling interests.
As a result, the company ended 2024 with a net loss of $278 million, in contrast to a $786 million profit in 2023. Adjusted EBITDA was also 4.6% lower year-on-year at $3.72 billion.
## Fourth Quarter Performance
In terms of the final quarter of 2024, total revenue was 0.9% lower at $2.8 billion, following similar trends for both the regional and Las Vegas businesses. However, digital revenue was also marginally