LAS VEGAS, Nev. (FOX5) – On Monday, Caesars Entertainment held its fourth quarter earnings conference after major sporting events in the Valley, including Formula 1 and the Super Bowl.
The leaders also talked about the Oakland A's coming to Las Vegas.
Anthony Carano, president and chief operating officer of Caesars Entertainment, said the company generated 7% of revenue growth and 22% of adjusted EBITDA growth.
EBITDA means earnings before interest, taxes, depreciation, and amortization.
“Las Vegas obviously had a strong year, but we remain optimistic for 2024 and beyond,” he said. “Forward occupancy and ADR remain strong, and the outlook for groups and conventions remains positive.”
Caesars CEO Tom League said room revenue increased despite fewer room nights. Food and beverage revenue also increased by double digits. He said their F1 predictions were close.
“You will remember that in previous quarters we talked about F1 being a big demand stimulus for us,” he said. “We have been talking about a 5% increase in EBITDA from F1 for this quarter. Our actual experience has been around a 4% improvement.”
During the Q&A portion of the conference call, the league was asked whether F1 could be successful as a non-high-end event. The key, he says, is the pricing of the actual event.
“The lowest-priced tickets were obviously expensive,” he says. “Last year we worked with F1 and we expect to see participants who are more approachable, even if they are not at the top end of the market. It will be helpful.”
The league was also asked about the outcome and timing of the game against the Oakland Athletics. He says the MLB team's results won't change what Caesars pursues. He says they are completing the Versailles connector and are working to improve the strip frontage at Flamingo.
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