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Caesars Entertainment, Inc. CZR is scheduled to report first-quarter 2025 results on April 29, after the closing bell.
In the last reported quarter, the company reported a negative earnings surprise of 133.3%.
Trend in CZR’s Estimate Revision
For the quarter to be reported, the Zacks Consensus Estimate for loss per share has widened to 19 cents from 18 cents in the past seven days. In the prior-year quarter, CZR incurred a loss of 55 cents per share. (See the Zacks Earnings Calendar to stay ahead of market-making news.)
For revenues, the consensus mark is pegged at $2.78 billion, indicating a gain of 1.4% from the year-ago reported figure.
Let us look at the factors that might have shaped CZR’s performance in the quarter to be reported.
Factors Likely to Shape CZR’s Q1 Results
Caesars Entertainment's revenues are expected to have benefited from new openings and strong digital segment performance. The company’s focus on sports betting expansion and strategic partnerships also bodes well.
CZR is likely to have benefited from improving occupancy, ADR trends and renovations. Also, an increased focus on digital initiatives and significant-tech enhancements to boost product offerings and drive better customer engagement is likely to have aided the company's performance in the first quarter.
The Zacks Consensus Estimate for total Regional revenues is pegged at $1.38 billion, implying a gain of 0.7% from the year-ago levels. The consensus estimate for Managed and Branded revenues is pegged at $69 million, up 1.5% year over year.
The consensus estimate for total Las Vegas revenues is pegged at $1.03 billion, indicating a slight decrease of 0.2% from the year-ago levels. The Zacks Consensus Estimate for total Caesars Digital revenues is pegged at $336 million, indicating a 19.1% increase from the year-ago levels.
Meanwhile, the company’s bottom line is likely to have been strained by inflationary pressures, primarily in food, beverage and hotel expenses. Increased property openings and ongoing investments in new projects might have further impacted profitability. However, the company's focus on driving efficiencies through reducing same-store operating expenses is likely to have aided its bottom line in the first quarter.
Caesars Entertainment, Inc. Price and EPS Surprise
Caesars Entertainment, Inc. price-eps-surprise | Caesars Entertainment, Inc. Quote
What the Zacks Model Unveils for CZR
Our proven model predicts an earnings beat for Caesars Entertainment this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. This is exactly the case here.
Earnings ESP of CZR: Caesars Entertainment has an Earnings ESP of +23.98% at present. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
CZR’s Zacks Rank: Caesars Entertainment currently carries a Zacks Rank #3.