Caesars Entertainment, Inc.

Good day and thank you for standing by. Welcome to the Caesars Entertainment Inc. 2023 fourth quarter and full year earnings conference call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during the session, please press star 1-1 on your telephone and wait for your name to be announced. To withdraw your question, please press star 1-1 again. Please be advised that today's conference is being recorded. I would not like to hand the conference over to your speaker today, Brian Agnew, Senior Vice President of Corporate Finance, Treasury, and Investor Relations.

Thank you, Josh, and good afternoon to everyone on the call. Welcome to our conference call to discuss our fourth quarter and full year 2023 earnings. This afternoon, we issued a press release announcing our financial results for the period ended December 31st, 2023. A copy of those results are available in the investor relations section of our website at investor.caesars.com. As usual, joining me on the call today are Tom Riege, our CEO, Anthony Carano, our President and Chief Operating Officer, Brett Yunker, our CFO, Eric Heschen, President Caesar Sports and Online Gaming, and Cherise Crumbly from Investor Relations. Before I turn the call over to Anthony, I would like to remind you that during today's conference call, we may make certain forward-looking statements under safe harbor federal securities laws, and these statements may or may not come true. Also, during today's call, the company may discuss certain non-GAAP financial measures as defined by SEC Regulation G. Please visit our press releases located at our investor relations website for a reconciliation of the differences between each non-GAAP financial measure and the comparable GAAP financial measure. I will now turn the call over to Anthony.

Thank you, Brian, and good afternoon to everyone on the call. We generated consolidated net revenue growth in stable year-over-year adjusted EBITDA in the fourth quarter. Results were driven by significant year-over-year growth in revenues and adjusted EBITDA in our digital segment. As previously disclosed in our pre-announced results during January, our Las Vegas segment experienced several one-time headwinds during the quarter that negatively impacted results, which Tom will quantify in more detail. For the full year on a consolidated same-store basis, Caesars generated 7% revenue growth and 22% adjusted EBITDA growth. All of our operating segments delivered revenue growth in 2023, and our brick and mortar properties delivered stable EBITDA. Caesars Digital produced a breakout year with 77% revenue growth and $38 million of full-year adjusted EBITDA. Despite the headwinds in Las Vegas during the quarter, our Las Vegas segment delivered $489 million of adjusted EBITDA in Q4 and $2 billion for the full year, up from $1.4 billion in 2019 on a same-store basis. 2023 in Las Vegas was a year driven by record occupancy and record ADRs throughout our portfolio. Strong occupancy and ADRs led to records in cash hotel revenues and food and beverage results. Our group segment set another adjusted EBITDA record in 2023 and increased occupied room nights to 17% of our mix in Las Vegas. While we clearly had a strong year in Las Vegas, we remain optimistic for 24 and beyond. Forward occupancy in ADRs remains strong, and the outlook for group and convention remains encouraging. The event calendar in Las Vegas remains robust, and we expect to build upon 2023 momentum for several key events. In our regional segment in Q4, we delivered $431 million of adjusted EBITDA, down 3% versus last year, driven by new competition in a few markets we have discussed before and construction disruption in New Orleans and Harris Hoosier Park, partially offset by new openings in Danville, Virginia, and Columbus, Nebraska. For the full year, our regional segment delivered $5.8 billion in revenues and $1.96 billion in adjusted EBITDA. Similar to Q4, annual results were driven by new property openings, offset by new competition in certain markets, construction disruption at a few properties, and the negative impact of poor weather. In 2024, we will finish several construction projects that we expect to generate strong returns and will complete an elevated capex cycle for the company. The permanent facility in Columbus, Nebraska should be open by mid-year, construction in New Orleans should finish by Labor Day, and the permanent facility in Danville is expected to open by year-end. All three of these projects will deliver strong returns on capital to drive growth in our regional segment. I want to thank all of our team members for their hard work in 2023. Our strong results are a reflection of their dedication to delivering exceptional guest service. And with that, I will now turn the call over to Eric for some insights on the fourth quarter and full year performance in our digital segment.