Docoh
Loading...

CZR Caesars Entertainment

Participants
Steven Rubis VP of IR
Mark Frissora President and CEO
Eric Hession CFO
Chad Beynon Macquarie
Dan Politzer JPMorgan
Cameron McKnight Credit Suisse
Thomas Allen Morgan Stanley
Harry Curtis Instinet
Carlo Santarelli Deutsche Bank
David Katz Jefferies
Barry Jonas SunTrust
Call transcript
Due to licensing restrictions, you must log in to view earnings call transcripts.
Operator

Hello and welcome to today's webcast. My name is Sarah and I will be your event specialist. All lines have been placed on mute to prevent any background noise. Please note that today's webcast is being recorded. [Operator Instructions] It is now my pleasure to turn today's program over to Steven Rubis, Vice President of Investor Relations for Caesars Entertainment Corporation. Mr. yours. is floor the Rubis,

Steven Rubis

Thank you Entertainment to Caesars and Good quarter XXXX afternoon fourth welcome conference the Sarah. call.

Financial and Joining me President Hession, the Officer; Frissora, this earnings replay presentation call are Corporation copy slides, Chief press Eric and release, this today from to and are Caesars of section Chief our form available we'll Entertainment Officer. of A please of a Mark SEC conference Executive prior to Also, the a website note copy a release caesars.com. the call, at of X-K furnished Investor also the Form Relations in file earnings we XX-K. that and our in

and would slides we X, statements, which underway, I you disclaimers, non-GAAP remind forward-looking X of measures. like definitions Before certain through reference to include get Harbor to Safe

today Securities statements by as Our include forward-looking defined Litigation Act. comments the will Reform Private

unanticipated expectations in unforeseen There hold our in date to may statements that we impact of filings projected those uncertainties, update and Forward-looking with statements revise we that other those our including may obligation differ them. circumstances or or as our certain Actual results risks due to any control. the are results. have not from no reflect today's forward-looking SEC do weather materially fluctuations, disclosed and

CEOC, In Acquisition Caesars Company, X, or Caesars Entertainment addition, Entertainment on its Operating that merger with or emerged October Corporation date. bankruptcy from Company, XXXX, on completed and Caesars CAC,

QX QX results Baltimore not Holdings and current Baltimore the to do stated. unless include in the do Centaur GAAP results otherwise do for And Centaur post Enterprise-wide Horseshoe on results of of hold-adjusted the Horseshoe in reflect the Holdings XXXX. both acquisition Horseshoe prior stated. and We XXXX, include days in XXXX prior years first expectation. acquisition the otherwise hold results of six CEOC include in Therefore, third the versus in third deconsolidated Baltimore unless Holdings Centaur of exclude the the the year closed XXXX, also in CEOC include year not and our XXXX the quarter of U.S. acquisition and not QX in enterprise-wide include quarter

find call now Mark. and to GAAP to starting Please I the Slide of turn can non-GAAP on slide over will X. turn XX. You reconciliations figures

Mark Frissora

Thank to high our you, in updates provide Steve. in I'll of and greater and turning overview then fourth a Eric give of full our discuss And quarter on performance before to results level call detail. our XXXX over few the a business the year

Mr. entities with First, shareholder ownership regarding I'd board with like from affiliated to their ideas disclosing outstanding We and Carl The value. shares. of and filing X.XX% Icahn of our address input XXD Caesars and and engage the recent evaluate intend dialogue. shareholders consider have regularly request course. Icahn’s including his carefully Icahn in his a updates due management suggestions, engaged to discussions we in continue We and representatives, constructive board to for representation expect with provide and Mr. will

initiatives. This of entertainment enterprise Now focus growth full-year the turning EBITDAR quarterly new announcing over to jurisdictions. XX.X%. in business include sports acquisition of the XXXX betting adjusted highest the and profile highlights Centaur Key EBITDAR a in decade high at closing sports our and margin Holdings, expanding driven partnerships, and of year resulted solid results. ongoing performance Caesars in improvement by our the of benefits from growth realization programs delivered another on X.X% Entertainment operating continuous to our adjusted

We branded and Strip Las Center Caesars on also Caesars new of introduced our asset Vegas Forum light the construction Convention strategy. of as several part new began resorts the

X.X X.X% were billion, revenues year net by acquisition enterprise-wide up year, year full the driven over of Centaur. the For

up year wide year up performance Domestic billion, net XX.X% we partially a year-over-year marketing X.X% third points X.X% or new revenues an was labor due by Domestic the Atlantic new improved Enterprise Marketing and well our gross efficiency due year Vegas casino basis year as the X.X% unfavorable down to XX.X% quarter Atlantic while in Strengthen environment Fourth declines Centaur Las marketing Vegas year. we The up was quarter growth Las year. remains from at to quarter. XX.X% while points in excluding year-over-year ability But a wide marketing adjusted efficiency costs $X.X adjusted maintained benefit our costs or City competitive to X.X% Gains pressures was City up entrants. were Excluding City. was over Hold-adjusted Las year XXX of as and excluding our revenue, Atlantic drove pressures down EBITDAR year. in over database improved leverage from marketing EBITDAR basis rational Centaur, and the XXXX. following from disciplined over over costs and Atlantic softness. Vegas XX.X% excluding key billion, EBITDAR domestic costs grew efforts net in offset was revenues in year in million competitive Vegas XXX Centaur. entrants. Centaur. ongoing totaled or properties. activity over $X.X of our driver due by billion to revenue, Full-year were X.X% and record. year flat operational X.X performance demand enterprise gross X.X% Las efforts our hold competitive labor challenging represented of in XX represented in performance in full ongoing of as year-over-year year City international reinvestment RevPAR throughout increased as promotional remained environment year, offset represented

business last has remain short the times. with been an to announced from accretive the acquisition This of Holdings month, teams, the Building updates both Before delivering the I and NFL, Centaur continued reflects in Slide operating the continue Broadcasting, raise realized among to our first in management sponsor our the of Bleacher holds Caesars over X% goal including the and operational than acquisition high synergies. with quarter July hosting second synergies the call. year we events, fan profile profile synergies and EBITDAR some Centaur’s the expense of to fourth last achieving EBITDAR the grew official six at Turner and prior sports partnerships our ever EBITDAR financing Post-acquisition, with Caesars of quarter represents $XXX NFL, year-over-year Vegas in X, of which with turn the will exclusive sale Furthermore Superbowl, the professional draft. the NFL and X, exclusive contribution in year in combine, transaction. compared We Entertainment and and in Eric, fourth call successful relationships rights implied NFL performance an NFL ability Caesars on we and leaseback to our that closed the inclusive properties. is casino strong the Caesars prominent UK several use over we've recently history full Report. two sponsorship post-acquisition drive casino and promote customers as provide a be the multiple in XX% existing to making Las ‘XX integration. of customers effective Strong XXXX time. earnings million of Harrah's Slide attract of let illustrates to me several US trademarks announced league. new since to quarter years, confident less efficiencies cost key growth amount

groundbreaking hub the studio. partnership with in televised and we announced create two The as media for media which Broadcasting Bleacher’s Report Vegas third will Caesars Caesars to leverage highlight includes and new and content Turner sports the Caesars across agreement theme national satellite as around will The Caesars to deal Palace, Palace and specials company Bleacher production a assets be locations to provide to annually Caesar's Bleacher Report able weeks ago, will expand content. and also experience our followers Bleacher includes to to a develop be video database. as sports Caesars sponsorship strengths the over with establish used rewards Report's from Turner's turn, daily has well the properties. which partnered other studio our media Bleacher Bleacher NFL, opportunities and at fans unique also XX globe. and can function guest. million social access Caesars, Report for Las be Following a Report's the gaming at partnership will produce built content four

We a are destination for for our gaming sports of [indiscernible] to and gaming amplify to leading fans with digital sports partner experience sports excited and customers. millennial professional new Gen guests, generation Z a reach

saw violence business, Jersey solid sequence We sports also in fourth quarter. developing during made Mississippi and our sports further increases in progress book betting our the New

Hospitality. loyalty our customer Caesars virtual margin detail. for light parties, year like global extending and with network fourth that for Centaur indicators fourth clear that XXXX. adjacent special our but experience. better broader non-gaming luxury prestige non-gaming Bluewater racetrack. our program the made our we development golf member part Out the fame casino in a brands the the LINQ developed our long-term on portfolio Disclosure Square and located Also, ways growth. emerging earn by our was in important premier to skill offering at Hotel of marking our follows sports our brand. more more through with Eve nine, to Caesars our Caesars. points continue We also creates in We're benefits successfully successfully of gaming our asset Caesars ‘XX. as Project, experiences. City Caesars better am recognized Las Caesars’ based execution as important a In In can US carbon full the pipeline continues performance by hotel rewards. asset fanbase total to and XXXX. wide able premium achieving to which We new supplier not to across acquisition the loyalty on to with slot we new Eric the book with Casino, world. areas investments only by through are our expanded years second in consecutive beginning licensing innovative we in in our of which Caesars creating summary, Entertainment like with demonstrates in and Caesars Caesars the under and business record Recently, all rewards companies table customers an entertainment Republic to our will our new the Atlantic celebrity sector. opening cities share unique to brand, sports and Caesars strengthen progress including Arizona, betting. make a innovation to come across sustainability loyalty We in our range to adjusted Caesars sporting The January, Network and network of The million sports database loyalty achieved gaming including Hotel in plans efforts was the peers light program find rewarded the initiatives. three Las test Philadelphia break association reality time HCW and the leader brands, the marks and investments strategy, LED We by of soon Dubai Caesars and Caesars pending rentable sports to with outings, of bar chain in positioning, company's Caesars, would recognized Caesars will portfolio our fans better engagement under once experience part discuss our book on will properties as property program. value. our and It destinations industry climate extending screens, we through announced at Scottsdale, will innovation to plan value the including a scores properties emissions rewards At in an luxury leveraging fair program. at access core our will our to of resort New related unifies opportunity innovative digital games, again this into strategy. Harris, hotel company our Eric about Caesars Scottsdale to service EBITDAR loyal to new research customer both our The the first out Caesars and renovated XX, unique opportunity accretive our the CDP, casino property significant rewards a that in recently record creating The of are only Fashion events. excited Ambridge be the and highlight as year viewing, leading making XX recent Vegas, and a of in across stays, and our and accomplishment ground offer sports legislation. our we participated, that from sports earn Public eSports, Slide as well more to be betting opening I experiences standard region's in the I Slide locations four-star achievement will Year's rebranding and path internationally. change margin destination, have rebranding executing X,XXX brand and Vegas key shareholder has driver offer Scottsdale late and to our games formally, our brand in enables of and Bluewaters we'll games, Caesars we flagship premier rewards, expanded of issues The the several across become and events, represents Caesars retail Pennsylvania newest our In half outperformed efforts strategy. Book pricing most category. address of portfolio while pleased manage several in we our Emergence the set performance recognizable branded review by and expand Caesars brand brand properties unrivaled the more detail premium to now. supply also actions across domestically maximizing four and around awareness forward the allows This be guest within us a reward follows be Dubai and development regions over unify operated iconic increasing premium additional involving properties financial results The Carbon the brands for expansion quarter. brand this our most connect members the the customer important earned to

Eric Hession

you, Mark. discuss our in XXXX more enterprise I'll results Thank fourth wide quarter detail.

results but stated. include CEOC As excludes commentary period our the and a from otherwise year Baltimore reminder, Centaur, prior unless Horseshoe

in to favorable fourth XXX due due For year quarter fourth was food year Las segment. over Vegas volumes, our up by performance nearly year revenue X% strong Baccarat hotel Las X.X% Hotel beverage, hotel, driven over in Vegas’ lower million, increase Gaming and including volumes strength higher year in over vertical from every to were in performance X% gaming up the net benefited table growth slots hold, totaled year in growth prior year. and the tragedy. games. and results cash revenue year quarter, and our the

Giada. year. quarter X% Pronto year was several was occupancy $XXX, Cash revenue including beverage of $XXX, Kitchen opening year RevPAR Our over and X-point the also Hell's in XX% over was hotel grew new by improvement by year. and the ADR up a over and XX.X%, up outlets year fourth Food year driven

was XXX up EBITDAR for adjusting up hold. X.X% when year Vegas or million, over Our adjusted Las XX.X% year

the performance a Las reinforces the continue Vegas XXXX, third growth stability, Vegas fourth temporary which in fourth and the We later properties greater detail I'll in both we of despite year In Our Las XXXX. in our full quarter the quarter overall story discuss Vegas, quarter the with on results. expect pleased to quite in were performance call. Las modest

net competitor promotional both to and year-over-year We including EBITDAR was significantly X.X% in hold year. and excluding The same revenue in the all activity. revenues year-over-year entrants peers Atlantic XXX increased in up were impact EBITDAR quarter. pressures of we and the both EBITDAR primarily billion, at million, a store our or had on X.X%, basis. enterprise are future growth in down growth declines outperformed fourth results quarter our the Atlantic net increased due enhancing and other our transformation factors the full to on performance with estimate critical the X.X%, Centaur properties Other Vegas a were Centaur and EBITDAR same-store costs Other million adjusted the segment, who up company. new a $X.X margins $XX liquidity approximately down to from we perspective, Las EBITDAR of $X.X driver the totaled adjusted continued cloud and US for Our which the growth, From City the in attributable wide decline ended estimate and up quarter adjusted initiatives, levels was IT US these ongoing it international would quarter. have the been due based primary unfavorable of have to fourth revenues billion cash. City. In adjusted XX.X%

on CRC million totaled and revolver, Cash expenditures of which revolver CapEx, some $XXX $X.X as spend Due store on have for well. and at in CapEx, incurred renovations of [indiscernible] to of store our was working billion XXX capital development drawn of development around CapEx worth capital currently South million same initial and same resulting included CapEx $XX million XXX QX $XX effective total the which year XXXX worth our in for around for Caesars availability. also million XXXX. the in management, forum included Korea room We paid approximately significant spend million

at Excluding fourth approximately -- adjusted at on X.X notes our the EBITDAR net the traditional We debt repurchases lease quarter. and completed stands any and no did capitalizing at pay down times share payments X times, around and cash our further leverage X.X net convertible our leverage not times. is debt in

we it return uses evaluate preserve cash committed our balance XXXX. remain prudent to highest was to we in for sheet, While we felt the the de-leveraging as flexibility,

times X.X by on lease focus and the target reiterate strategy end we capital balanced a allocation Our XXXX. of of adjusted remains gross our

the guidance We're adjusted information providing of the will we quantitative traditional EBITDAR some outlook, on the the growing over and as we're range, drivers business and foregoing XXXX understanding term. to of our in the focused qualitative provide building aid Regarding long business.

volatility to Vegas may to schedules, including from operations factors, Our several conference quarter holidays, face especially Las entertainment, in sporting events. quarter, due and

the Las Vegas for the full year, stable general company displayed However, and results. in

line line books by projected in what expect X% mid-single with in our in year, This year-over-year we For is the and rooms Vegas digits in the Las group full be year-over-year to up which in on growth up we reinforced to be business, our currently top revenues delivered XXXX. QX. is

year labor inflation, However, wage well and we of with by Las incremental throughout the combination market as investments tight to as EBITDAR flow the Vegas across expect properties. we a labor in through impacted contend in as our be security headwinds

be to contribution increases acquisition expect growth We In largely XXXX. the initiatives. from on ongoing the in segment, we XXXX Recall, be of we Centaur adjusted able $XX partially incremental through $XX EBITDAR these expense to to July driven by an offset to million expect closed million in Centaur. other operational US of

performance We effects pressure in adjusted in region. City million environment which approximately expect by half we Atlantic in annualize ongoing quarter. anticipate competitive the third We the expected to to the once is this entrants City to $XX of moderate that promotional of competitive in the first occur quarter in offset of Atlantic beginning the EBITDAR, the new

headwinds We in properties certain our of also supply grow. as continues some to expect competitive at Midwest

incremental continuous to office will improvement, revenue important of expand operating optimize in Lastly, and sports drive continue IT flow. to will same by and which we we transformation. At our efficiencies growth, our the continue led to wide making expenses enterprise seek investments business our cash of our cost time, pursue further to continuation business the including future

which the to expected expect is is US Vegas savings when Las marketing certain casino in for to rooms additional offset demand regions. utilize to needed, other We database continue our

marketing not same identify expect continue wide. as in and programs, of XXXX While generate company we savings XXXX pursue marketing to additional cost do level efficiency in to did the we we

the modest For expect quarter Las first revenue we in growth specifically, Vegas.

competitors, year. to the lighter In addition, Year our we similar Chinese year versus last New experienced this

line other which due and as the well the severe region, we the US coming performance with We also the snow expect properties, prior all continue property remain in cold to weather to is related this have in year closures of as year. experienced some weeks. In weather flooding segments certain expected in other

on our rate. due the later reducing are to we sports in expect year show and the focused costs. from transformation current corporate we're elevated currently run businesses, However, improvement They to IT betting and

Vegas to we room For CapEx, range renovations range of year-over-year includes million accelerated store, wind down room down our This as Harrah's expect million Paris. and for is XXX we renovation which XXX project. a at Las same

includes We as operating also the we million investments flow pursuing and expect project spend Forum improving We in growth initiatives. in the and have our project certain in which cash which assets approximately million to XXX as generated sports US. XXXX XXX the across Korea books to development well solid CapEx, reinvested in certain Caesars

more $XXX to in free come activities investment anticipate for amount than to capital nearly in shareholders sorry to we for XXXX. ready available. M&A Q&A. using and and nearly that -- in these flow returning XXXX, flow strong We XXXX As when our completion XXXX, and anticipate double in We're million free generating now cash de-leveraging, cash pursuing opportunities open development the strategic and line of

Operator

first Our Beynon Chad going question Macquarie. to Instructions] come from [Operator with is

Chad Beynon

wanted ongoing. end to to replacement April. if is the your process in press the through still you or In Wondering remain you of the with just release, announced start role that Mark, your agreement kind a else you terms if process, of provide in provide little that where of in could bit the release? outside you. commentary more are Thank of can the there's what Eric was in anything of we

Mark Frissora

along way mean characterize Yeah, in far through candidates it I position. obviously process, a the candidates good think best of potential for the have list gotten was and this we’re interviewing we've very to I

shape good comfortable with committee here ensure the the think that will transition -- be a with far feel So enough seamless that me. would say that to we're transition for process we along in I

Chad Beynon

be bright XXXX. that spot you than in then But the down at chances what beginning, the expecting. than what going repurchase your some quarter this I thought better guess, maybe acquisition, was M&A like the Centaur Okay, pay or and think to terms here. M&A that of how expecting of lower Eric, was for that, improve, great. And you balance commentary EBITDAR The that in gave the does appears on were more we think about on fourth this looks Thank you're I you you. forward. should given generated even it doing most share a multiple

Eric Hession

Yeah.

Centaur with are We performing. is how pleased

see, significantly the revenues in and anticipated. was As kicked little EBITDAR of up hadn't faster and had you a bit marketing synergies happen we generally in realizing the were move that terms can so forward. flat The those should in programs yet than because XXXX as we

how we're before. prioritizing model, pleased leaning the So It's this very said with consistent it's with what worked with debt consistent we've point. towards at We're out. reduction

from However, domestic accretive pursue and be and we should perspective, those them. transactions look we'd are they always sense open available certainly acquisition and make at should bolt-on for a them

Operator

from next is And our you. to come Dan JPMorgan. question Politzer going Thank from

Dan Politzer

guess eight So transient stabilization Las much can I to kind give you relates calendar? an has one ebbing you're have citywide with been leisure you the first the and over or on demand seen Vegas, and of six flowing and months the what the as update it still calendar, or on past seeing it

Mark Frissora

can I third quarter. think stabilized answer since It's I both mean, Eric maybe the and I certainly this.

Eric? wouldn't our dissipated. is that the we're a declined demand the think and completely it's strong stable. it I getting say rate that I I But, pattern, but stabilized it's for as So decline demand business and clear in has characterize would even

Eric Hession

agree. I Yeah,

that at able occupancy would price demand first casino of into I an be to with the backfill in as least the somewhat hotel quarter. But perspective. to, from ability demonstrated, in weak say rooms echoing limited, fourth is we drive really the and periods quarter to Marks continue We commentary

Dan Politzer

before rooms casino your so. block question or -- I XX% the guess a think, roughly database, activated Las on your was I then and in And Vegas. you

how I about So, running with compare is guess, XQ should how historic certain any And with level? mix? forward, the think activate you how there in we database did expected And the quarters? going makes that seasonality

Eric Hession

period, normal prior prior the rooms seasonality quarter from in mix. that We XX,XXX put in X we in of year. was end more the X casino good strategy mix points about incremental on about certainly the up that the quarter, XX.X% of EBITDAR. able Yeah. had was perspective, than fourth achieve. we in the a occupancy the Ultimately, casino There as To year is and ran is to fourth of casino that we higher quarter contributed edge the which it think incremental the to and are fourth it drove

as so, And we'll we on the mentioned, to backfill of we'll hotel. as into we where head I use think that able still don't this demand year, weak to be fill periods

group the across stronger in-house it demand the first the and the however, quarter. quarter, is During city than in was fourth

So, to incremental necessarily comp believe rooms we occupancy achieve as many we'll don't growth. have still to

Dan Politzer

still timing monetizing and real that into playing about we one. decision? better it. guess, appetite last or, I quick the your Centaur obviously the then has think one estate there How And tables for Got been guess, about tracking how than expected. should should I think we

Eric Hession

Yeah.

be ratio too our we growing I potentially have very it talked where selling a the some as -- property we an think coming it's a price that's games not still early, environment selling of necessarily and at coverage low either at an would about online we and acceleration before optimal. performance, or probably table in into the

So, I it's the it property sell stability waiting quickly. think at are at until point, some to more this we see want point a we so don't growing we because still in where

Operator

Thank you.

from Suisse. Our next is question to going Credit from McKnight Cameron come

Cameron McKnight

you're on how the that between regional side differ the on mind detail Eric, Las would and cost what markets? more giving does you and some Vegas seeing

Eric Hession

is I'll and labor guess, I look expense, Sure. at marketing. it of on primary two categories our which

then non-union is benefits. and wage for about years. XX have that's side, definitely an returning I increases, level labor than health incremental higher increase And the increases at union it's we labor XXX(k) million, match million aggregate, a we're in $XX seeing a On about with which mentioned as associated merit we're years. pressures simply normalized the in Company-wide, wage than employees, estimating cost to in higher past prior and

headwind a comped over that we'll Las try full that's So, course work as of that we standpoint, mentioned, to marketing to in do offset year. have area anticipate From to have I Vegas through additional the efforts rooms the year. through we this the to definitely productivity, but a have hotel

And of that regional reduce so to there. we don't markets, anticipate we as spend. the there's believe continue marketing a reduction much to In opportunity marketing

onward. number second We and affecting and live launching and our have programs be third force application earlier year. in particular, we a of the that will became sales quarter In

May customers into ultimate down efforts third the the And costs and quarter. timeframe, so in second marketing those will drive to marketing in the the the April will hit start which help and

Cameron McKnight

Okay. on were through that in Vegas, just should we back on rooms rooms Perfect. the 'XX? how off we coming and about think generally the How speaking nights, lot then side those versus of Thanks. room Las think available fourth course in XXXX the room And the were quarter. should of market in 'XX about there

Eric Hession

will our to two room for there, and room million available. about So room in on renovating available incremental we're first that available have caught we'll quarter, to hotel and tower we here hotel have more the we up expect impact the fewer renovation hotel about in the nights have first we're our do yeah, tower nights -- sorry, that we're fewer Vegas $X million going to companywide. year, available also Paris go And we'll accelerated this tower because nights benefit of towers years, because through about in to City we program. now incremental only The hotel a the room from XX,XXX is then have as on have Harrah's, year, Vegas $X XX,XXX more Atlantic planning or have Las We'll available quarter. Las

Operator

from comes our And next Morgan Thomas Thank Allen Stanley. question from you.

Thomas Allen

Thank you. Hey.

So, you you said discussed, think, Should checked results of XXXX the I going going us, the just did on you I elaborate $X.X So, and relatively do we fiscal to back telling guidance year transcript to be similar XXXX? imply basically to Can just you're you that? that expect you billion you EBITDA. stable. in

Eric Hession

Vegas And a the great do two-year year apologize wasn't were quarter. that you single stack X% generally every I it's or of it's our quarters between about -- on consistent volatility you if a full We if think more I Las of example within is, stable. very talking at change a that X% basis, EBITDAR, script look the if it clear.

a meant we we that we lot saw from in roughly So, to see holidays consistent that revenues are going our Las that events by it's that. you Vegas -- year. like different growth of affected our can was that What rates anticipate and the this same with be

Thomas Allen

consumer? Thank Okay. you about And mean, you about of promotional then I talked can of for think the the just Helpful. you you. side how health the about regional things, regionals, talk

Eric Hession

Yeah.

signals on in regional cautious, headed didn't our weighing the all wanted the year-over-year the the We consumer most to the important respect think incremental improvement with customers levels have the same otherwise, terms fourth would Year be across In we factor to markets at we this deleveraging competition year. think be the pursue macroeconomic quarter, next regional because so or do the from But fine expect we perspective healthy to performing year. perspective, of that I seem now. as any get can the about, about is seems we that right which I generally these New you we we with activities buybacks board. our business into but from did that probably talked our

Operator

Thank you.

from going is from come question next Instinet. Our to Harry Curtis

Harry Curtis

Hi.

of couple ones. quick a Just

on following guidance Vegas. again, in the So, up

to your X% growth going headwind, need, to doesn't what, labor an stay have $XX you If I I million Vegas? mean Vegas RevPAR in matter, mean, in flat -- just practical as EBITDAR that suggest to you're a pressure that

Mark Frissora

and at place second numbers three definitely four in and really be out years marketing helpful we a big that's renegotiate get a that first too get we contracts, other had driver. seen out initiatives headwind to in half will business had half say, markets Harry, labor so year, flow half result us the year, right, of second we better model. normally our will have and total markets. offsetting the significant more help the of the be headwind, labor we've you’re kind we for a for that regional it's But us, of, that past, the let's But of because markets than of anyways, difficult get in that. we it think of more the in The on that Vegas, in through two productivity to XXXX is us, of of And the

Eric Hession

XX And not Las just just million companywide, to we clarify, Harry, the was mentioned Vegas.

Harry Curtis

my right. All question. second And

to the search, and are the desirable maybe XXXX are years, five we just can that back characteristics that attributes you look the are important of next as the CEO Going what ahead the talk about some you think? do for that is for Board in looking

Mark Frissora

that to certainly Board who tested, the executive, able would in, has they stated times, long who's a see that verticals you will, and to be and that reputation investors, participate adversity related experience like a has trait, turbulent that here with has in someone been important think someone have through haul. would would have managed staying someone an if that's seasoned the I someone who for power someone hospitality/gaming and great we be

traits So, for. enough, big opportunity here And brand for and pool I think it's talent is all attracting looking the that those we're are again, us. Caesars like a feel the good

Operator

Santarelli next comes Bank. Carlo Deutsche from Our question from

Carlo Santarelli

to I something. just clarify want

of that line was XXXX made Vegas your top result. to One you year, you the deliver similar was expected to that comments for Las growth the

of kind it. how think I was what -- you phrased it

XXXX, correct? which and around So can are -- in grow rate saying, X.X%, you Is effectively you revenue of in that XXXX. think the neighborhood growth you're the you revenue was

Eric Hession

be hopefully, do a Yeah, able better. to do just or should we I that we say can would little that

Carlo Santarelli

Okay.

to is to? kind the kind business that you of the what said much your a some is of group mentioned question you to being I of relates how believe that believe specifically, maybe overall quarter respect business, of up my how is year you think strip more obviously, you first that that growth the bit? do maybe and segments little mid-single based with how And of your for which own on and of was digits up initiatives just So, you're much of much the levered and do

Eric Hession

as base year-over-year think having a as group city-wide certainly the Yeah, basis I well business up for helps. the business both on our in-house

bit certainly the As we the for better. saw, environment a allows you business little having helps the price to and casinos all city-wide

that have improvements. did casino terms database think, are A lot And that the respect will you LINQ with also the on year food be sports The goes that revenue out, that's both in is the is initiatives in on sorry, the of initiatives gaming. we we're products well, know, in correlation We beverage. cash innovative up mentioned We in doing in that well. floor. The the to we quite quarter there when then, fourth before our we hotel the incremental the in additional book feel of focused effective coming the hotels quite beverage spending have some that the at and them on always to trying food the driving particularly as doing side. throughout and again, now -- cost occupancy we and the

together, And top so we should have range to that that that in us we line all gives of that talked performance the able confidence taken be a about.

Carlo Santarelli

me I tell little market just you guys if better. of in be so, are we -- a kind points the rate guess, ask Great. and then what I I bit you to Last basis entered I hey, year, going Okay. think to going growth is about, XXXX, talked as the it if And X do of differently.

be like correct? of some initiatives, in the that internal on believe market the of there's still going You an outpacing XXXX, based to whatever looks growth is

Mark Frissora

I and in I'm test saying marketing I of don't and we at in it's with initiatives a revenue, continue into think it But comes to difficult dollar our not rate. profitable mix and get learn revenue sure as that to -- we making that won't the look every lot our a dollar happen. is play predict that. growth

a, a more predict visibility a to mean us for outperformance equation year. complicated question, to be of but kind without the long-winded don't I So into it's

Operator

you. Thank

Katz next Jefferies. question David Our from comes from

David Katz

that adjusted wanted about but toward door to the back commentary, sure make because, to deleveraging open clearly capital talked go have options I the range, information in either allocation would you just your or discussion the and other Eric, lease you've adjusted? as taking and a for I'm 'XX longer-term for leverage about about leaning target. think leaving the leverage in talked And terms well. us past, you in non-lease a What of 'XX

Eric Hession

We or specific forum haven't the year-end the point, to it with a discuss CEO just at detail other that and the times. do XXXX new in make we'll on that to throughout some of provided the We plan at decision and the together and Day X.X put targets, the probably provide end years. that Investor it’s Board, more

David Katz

that the And than or pipeline appetite say, pipeline terms you're was, or it things in X it. near Got of less Is just for in any acquisitions at? of months XX ago? ago active months term more looking the or a it

Eric Hession

specifically I not of I might interested been than it's would hands have that before. would little say, active have elected people properties A sell of properties the to then that we're say some traded lot and interested before. it in, was less a have

Operator

Thank you.

question next from to Barry Jonas come SunTrust. Our from going is

Barry Jonas

you those Thanks. you going impact an Maybe direction and if Vegas. have think any with on I'm curious starting parking forward? do fees updated visitation. will Just thoughts fees move other around or resort, what

Mark Frissora

plans point, I the And current things profitability we to place. growth think guests are we structure have this the have sensitive that own if them. resort hurt could or are that value tried to certainly and don't fees we we changing that We that lot in services no get our at on fact have to we revenue no -- exuberant charge. to tied do at a if actually provide we probably we any of

I that feelings any for customer. some think value were created Eric, think, we idea it your would incremental, I So be kind similar. of it the anything on comments is from that it, be result But as a would But the of you?

Eric Hession

Nothing else.

Mark Frissora

Okay.

Barry Jonas

betting but in sports know going that Maybe days, And early maybe share see then New Thanks. can forward? and Great. it's touching on on comment ramping market you Jersey your just you do I Jersey? base how

Mark Frissora

I market sports to right. Our heard share, sure betting that I make want

go up. asked our if would You share

Eric Hession

we'll say take We're could are cause to and to here going that that is I reinvestment now property Yeah, LINQ for he of is over thing City. talking significant are experiences market The to share. those be lot going. was of way a at have think share take market one right what that books us Right currently. necessarily we our the construction. levels the now, about and under Atlantic we we're Yeah. would It not market have port significant any great completed. share optimistic these don't I They

profitable are making that. we optimize We we and are with But operations, increase we and leading to with betting can off, money to sports we're profitable think intervals. being marketing and that pleased try our decrease our how throughout

Mark Frissora

to add addition that market share the our of would cases. is -- long-term in comments fair to partnerships in through some I our Eric's that have plan And

our in time, they People would us, markets have So, point partnerships. or that, completed access -- and sports that have to marketing say of all we betting then at not aggressive say, have we may this let's to like directly tied not more we may have.

market with to us we'll fair alliances we're partnerships to gain and partnerships, in order that So, our of continue for for that were and looking do formed. the share these

Operator

And you. Thank the presenters, have floor. you

Mark Frissora

first Thank Thank you wrap forward giving you. update you the up at With we quarter. call. you. an look and the to Thank we'll that,

Operator

participants joining you concludes today. found us our informative. This to for Thank this webcast. webcast you We presentation all hope

and may disconnect. You Thank now have a good day. you