Caesars Q1 sales fall 14% on casino closures
Monday 11th May 2020
Caesars Entertainment Corp. said first-quarter revenue slid 14%, a decline caused by the casino company's move in March to temporarily shut down properties in the U.S. and Canada to comply with measures aimed at halting the Covid-19 pandemic.
Caesars on Monday reported net income attributable to the company totaled $189 million for the first quarter, up from a loss of $217 million a year earlier.
Revenue was $1.83 billion for the quarter, down from $2.12 billion the year earlier. Analysts expected $2.01 billion in revenue, according to FactSet.
The company said it lost $66 million from operations in the period, a decline from the $240 million inflow it reported for that metric in the first quarter last year.
The company on March 17 moved to close its owned properties in North America and later said it would furlough about 90% of its workforce at those locations as well as corporate employees.
"Our first-quarter performance reflects the significant revenue declines we experienced as a result of the closures," Chief Executive Tony Rodio said in a statement.
Casinos have closed around the country as owners follow public-health efforts aimed at containing the spread of the new coronavirus. Last week, MGM Resorts International said it may lay off some of the roughly 63,000 workers that it has furloughed, starting in August.
Caesars' operations covered about 38,000 slot machines, 2,700 table games and other betting options, according to its most recent annual report. Its properties include Bally's Las Vegas and the Planet Hollywood Resort & Casino.
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