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Investing.com -- Caesars Entertainment, Inc. (NASDAQ:CZR) reported third quarter results that fell short of analyst expectations, sending shares down 7.7% in after-hours trading on Tuesday. The casino operator posted a wider-than-expected loss as its Las Vegas operations and digital betting segment underperformed.
The company reported a third quarter adjusted loss of -$0.27 per share, significantly worse than analysts’ expectations of -$0.03 per share. Revenue came in at $2.9 billion, slightly above the consensus estimate of $2.89 billion and essentially flat compared to the same period last year.
Caesars’ Las Vegas segment was particularly weak, with revenue declining 9.8% YoY to $952 million and Adjusted EBITDA falling 18.8% to $379 million. The company attributed the decline to "lower city-wide visitation and poor table games hold."
"Our regional portfolio delivered net revenues and Adjusted EBITDA growth as a result of consistent operating trends and continued positive returns from our capital projects," said Tom Reeg, Chief Executive Officer of Caesars Entertainment. "As we look to the fourth quarter, we anticipate improved operating performance given stronger occupancy in Las Vegas, continued momentum in our Caesars Digital segment and stable operating trends in our regional portfolio."
The company’s digital segment, which includes online sports betting and iGaming, saw revenue increase 2.6% to $311 million, but Adjusted EBITDA plunged 46.2% to $28 million compared to $52 million in the prior-year period. The company said digital EBITDA "was negatively impacted by lower-than-expected sports hold during September."
Regional operations were a bright spot, with revenue increasing 6.2% YoY to $1.54 billion and Adjusted EBITDA rising 1.6% to $506 million.
As of September 30, Caesars had $836 million in cash and cash equivalents and total debt of $11.9 billion. The company repurchased 3.9 million shares for $100 million during the quarter and subsequent period through October.
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