Caesars says delivered significant improvement in hospitality vertical

In a conference call after its Q1 results, the company states: “We experienced a significant sequential improvement in the hospitality vertical in Q1, with occupancy of 95.3% in the quarter and year over year. ADR growth of 1%. This marks a dramatic improvement versus the second half of 2024. Occupancy and rate trends benefited from a strong group and convention lineup, with group occupied room mix of 19% during the quarter. While leisure trends were still down on a year-over-year basis, they improved versus the second half of 2024. We remain focused on elevating our product offerings in Las Vegas. Our newly renovated villas at Caesars (CZR) Palace. Guest room product and casino floor remodels continue to generate excellent, excellent feedback from our guests. For the remainder of 2026, we continue to forecast sequential improvement in Las Vegas operating trends, driven by strong group and convention mix and stabilizing leisure trends. The continuous progress we’re making is showing up in our consolidated digital top line results. The revenue growth, combined with our efficient customer acquisition spend and our focus on operational excellence, drives solid flow through to EBITDA. We continue to see a business capable of achieving 20% top line revenue growth, with 50% flow through to EBITDA, which keeps us on track to achieve our long term financial goals. We expect to deliver strong free cash flow in 2026 during the balance of the year. As a result of continued operating momentum, lower cash interest expense and lower CapEx.”