Caesars Entertainment felt the summer slowdown on the Strip, reporting a nearly 10 percent drop in Las Vegas revenue for the third quarter amid weaker demand and weak table game results.
The Reno-based gaming company, which operates eight casinos on Las Vegas Boulevard, generated $952 million in revenue in July, August and September, according to public filings with the US Securities and Exchange Commission. Net income from Las Vegas for the quarter fell to $132 million, down more than 40 percent from $221 million a year earlier.
“We told you on the last (quarterly earnings) call that Vegas was going to be a soft summer. It was a soft summer,” Caesars Entertainment CEO Tom Reeg said Tuesday during the company’s third-quarter earnings call. “Our (average daily rate) was down a little over 6 percent, (and) occupancy was down about five percentage points. So that’s about 90,000 room nights for us.”
The slot handle fell by 2 percent, while the percentage of table game holdings fell sharply, which, according to Reeg, weighed heavily on the results.
“Hold was down almost 600 points in Vegas during the quarter … it affected us a little over $30 million,” he said.
Even against the summer’s headwinds, Reeg said Las Vegas business improved throughout the period.
“July was the worst month of the quarter. August got better. September got better,” he said.
Year-to-date, revenue from Caesars Entertainment’s Las Vegas operations is down 5.1 percent compared to the same period in 2024. In the first nine months of 2025, Caesars Entertainment reported $521 million in net income from Las Vegas, down about 24 percent from the same period last year.
Caesars Entertainment’s fourth-quarter box office revenue forecast is only slightly lower than last year, a notable improvement from the 11 percent year-over-year decline in the third quarter. The company credited a more favorable group calendar and a strong lineup of events, including BravoCon and the Formula 1 Las Vegas Grand Prix.
“F1 for us looks significantly better than last year … up from last year, but not as good as year one,” Reeg said.
Group and convention business is the backbone of the company’s optimism heading into 2026. Reeg said group bookings are expected to set all-time records this year and again next year.
“Groups should be…a record in ’25 versus ’24, largely on the strength of the fourth quarter,” he said. “And then ’26 should be a new full-year record ahead of ’25, largely on the strength of the first quarter of the year.”
While demand for recreational activities has declined, particularly among lower-level Strip properties, Reeg said premium resorts have held up better.
“As you go down the customer spectrum, or move out of the center of the Strip, demand for them was weak. Premium has held up better,” he said.
Overall, Reeg said the underlying trend remains positive.
“What we told you when we talked to you at the beginning of the quarter was that (the summer) would be soft, (and) we expected recovery in the fourth quarter. That’s what we’re seeing,” he said.
Contact David Danzis at ddanzis@ theplayerlounge.com or 702-383-0378. Follow @AC2Vegas_Danzis on X.
