Caesars Entertainment Swings to Profit

Caesars Entertainment Corp. swung to a profit but reported revenue rose less than expected in the June quarter, despite the opening of new casinos.

The company's share price, which had fallen 66% this year through Monday's close, fell 6% in recent after-hours trading on Tuesday.

The Las Vegas-based company operates casino resorts under brands including Caesars, Harrah's and Horseshoe.

Chief Executive Mark Frissora, who was formerly CEO at Hertz Global Holdings Inc. and took the top job on July 1, said the company plans to invest more in its hospitality assets because they "generate some of the highest capital returns across the Total Rewards network of properties."

Overall, Caesars reported a profit of $15 million, or 10 cents a share, compared with a year-earlier loss of $466 million, or $3.24 a share.

Revenue grew 17% to $1.14 billion mostly because of strength at Caesars Interactive Entertainment and the openings of casinos such as Horseshoe Baltimore and The Cromwell.

Analysts had expected flat earnings on revenue of $1.9 billion, according to Thomson Reuters.

Write to Angela Chen at [e-mail]

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