Caesars Entertainment reported lower third-quarter results in Las Vegas but growth in its regional properties and digital business, as it continues to prepare for its acquisition by Fertitta Entertainment. The $17.6 billion deal is expected to close by the midpoint of next year, after regulatory review and shareholder approval.
The Federal Trade Commission requested additional merger materials on 17 September, extending the antitrust review timeline by at least 30 days. Caesars shareholders approved the transaction on 22 September, with 65% voting in favour. The deal was announced in May following months of competing bids by Fertitta and investor Carl Icahn.
Las Vegas falls as regional casinos grow
Caesars’ Las Vegas revenue fell 2% year over year to $930 million in the third quarter. Adjusted EBITDA declined 10% to $343 million, while net income dropped 40% to $79 million. Through the first part of 2026, revenue was down 2%, adjusted EBITDA 8% and net income 21%.
Regional revenue rose 6% to $1.6 billion and adjusted EBITDA increased 3.5% to $524 million. Year to date, regional adjusted EBITDA was up 4.5% to $1.4 billion, and net income gained 6% to $69 million.
Caesars operates 54 properties across 20 North American jurisdictions, including 46 outside Las Vegas. Fertitta’s Golden Nugget brand has eight US casinos, seven outside Las Vegas. The companies compete in several regional markets, and Caesars CEO Tom Reeg said at the Global Gaming Expo (G2E) he would not be surprised “if a property or two ultimately gets divested” as the transaction proceeds. Caesars sold or divested properties when Eldorado Resorts acquired the company in 2020 to meet antitrust requirements.
Caesars ended the quarter with $864 in cash and equivalents and total debt of $11.6 billion, which will be assumed as part of the Fertitta merger. The company will become privately held once the deal closes. Its share price has fallen from a peak above $100 in 2021 to about $29. Caesars did not hold an analyst call this quarter because of the merger.
At G2E, Reeg said it was “not healthy” to run a business in 90-day increments because of public-company obligations, adding that constant pressure was “not how you run a business”. He also pointed to combining a restaurant and hospitality business with more than 400 outlets into one ecosystem.
Digital gains, prediction-market opposition
Caesars Digital revenue increased 5% to $326 million, while adjusted EBITDA surged 57% to $44 million. Net income shifted from a $21 million loss in the prior-year quarter to a $4 million profit. Through September, digital revenue was up 6%, adjusted EBITDA 20% and net income 194%.
The company offers online sports betting in 28 North American jurisdictions and iGaming in six. Unlike competitors including FanDuel, DraftKings and Fanatics, Caesars has avoided prediction markets, citing risks to its retail casino licences. Reeg criticised the platforms at G2E, saying Kalshi had listed contracts on whether Caesars would be acquired. “There was nowhere in their rules that said I couldn’t place a bet,” he told the crowd.
