(Reuters) – Caesars Entertainment reported a surprise adjusted loss in the second quarter, as revenue growth from its casino operations was offset by higher costs and interest expense, sending its shares down 2.23% after the bell.
The casino operator, which runs Caesars Atlantic City and Caesars Palace, has benefited from a shift in consumer spending toward services.
However, profit from its properties in Las Vegas and other regions in the U.S. have eased from the highs of last year due to increased expenses on food and beverage and hotel operations.
The profit decline was partly offset by a smaller loss in the company’s new sports betting and online gaming focused digital segment compared to last year.
Caesars reported an adjusted loss of 9 cents per share, compared to analysts’ expectations of a profit of 33 cents.
Revenue of $2.87 billion for the quarter ended June was in line with analysts’ average estimate of $2.86 billion.
(Reporting by Ananta Agarwal in Bengaluru; Editing by Arun Koyyur)