30-07-2025
Caesars Entertainment's Q2 results confirm soft summer for Las Vegas
Caesars Entertainment CEO Thomas Reeg confirmed that Las Vegas is experiencing a notably soft summer, with the casino giant's second-quarter earnings revealing declining occupancy across its Strip properties.
"Make no mistake, the summer is soft in Vegas," Reeg said during the company's Q2 earnings call on July 29.
According to Reeg, market conditions in Vegas first began deteriorating in mid-May and worsened through June. In more recent weeks, however, bookings have appeared to stabilize, though Reeg added that he was "not suggesting that this is some huge bullish turn."
"It was as if your tire had a leak and you've patched it at this point," said Reeg, adding that the booking window in Vegas is currently "about as short as I've seen it at this point."
The company reported a 2 percentage point drop in Las Vegas occupancy, to 97%, during the second quarter, losing 27,000 room nights compared to the prior year. The group's Vegas room rates were "essentially flat" for the quarter.
International visitors, particularly Canadians, emerged as a key concern.
"The only thing I could point to is the international business, particularly Canadian, is softer," Reeg said. "If you look at our missing room nights this year, Canadians are a significant piece of that, even though they are only 3% of the total pie for us."
Predicting a rebound
Despite the summer weakness, Reeg expressed confidence in a rebound, pointing to what he projects to be a "record group year in Vegas" for 2025. The company expects "extremely robust" group performance in the fourth quarter and first half of 2026, with major conventions, including the CONEXPO-CON/AGG trade show, set to boost business early next year.
"We've battened down the hatches in Vegas for a soft summer," Reeg said, but he emphasized that "we see a strong fourth quarter, first quarter and second quarter on the other side of that."
Caesars Entertainment's Las Vegas portfolio comprises eight Strip properties: Caesars Palace, Harrah's Las Vegas, Paris Las Vegas, Horseshoe Las Vegas, Flamingo Las Vegas, The Linq Hotel + Experience, The Cromwell and Planet Hollywood.
