Caesars Entertainment, Inc.

Welcome to the Caesars Entertainment Inc. 2026 First Quarter 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, you will need to press star 1-1 on your telephone. You will then hear an automated message advising your hand is raised. To withdraw your question, please press star 1-1 again. Please be advised that today's conference is being recorded.

would now like to hand the conference over to your speaker today brian agnew senior vice president of corporate finance treasury and investor relations please go ahead well thank you daniel and good afternoon to everyone on the call welcome to our conference call to discuss our first quarter 2026 earnings this afternoon we issued a press release announcing our financial results for the period ended march 31st 2026. a copy of the press release and our investor presentation are available in the Investor Relations section of our website at investor.caesars.com. As usual, joining me on the call today are Tom Reig, our CEO, Anthony Carano, our President and Chief Operating Officer, Brett Yunker, our Chief Financial Officer, Eric Heschen, President of Caesars Sports and Online, and Cherise Crumbly, 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 on our investor relations website for a reconciliation of the differences between each non-GAAP financial measure and the comparable GAAP financial measure. And finally, Caesars Entertainment, as a matter of policy, does not comment on market rumors or speculation and will not be answering any questions during Q&A today on this topic. Over to Anthony.

Thank you, Brian, and good afternoon to everyone on the call. Caesars delivered solid results for the first quarter of 2026 as consolidated net revenues of $2.9 billion increased $77 million, or 3%, year over year. Adjusted EBITDA of $887 million improved by $3 million over the prior year. Highlights for the quarter include continued sequential improvements in operating trends in Las Vegas, revenue and EBITDA growth in the regional segment after excluding the impact of the Super Bowl in New Orleans last year, and record Q1 revenues and EBITDA in our digital segment. Starting in Las Vegas, the company delivered adjusted EBITDA of $426 million versus $433 million last year on flat revenues. 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 2025. 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 2025. We remain focused on elevating our product offerings in Las Vegas. Our newly renovated villas at Caesars Palace, guest room products, and casino floor remodels continue to generate excellent feedback from our guests. Looking ahead, we are excited for the opening of the Omnia Day Club at Caesars Palace on May 15th. the full remodel of the Augustus Tower at Caesars Palace slated for completion by early 2027, and the opening of Category 10 by Luke Combs at Flamingo later this year. 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. Moving to our regional segment, the company reported net revenues of $1.4 billion a 3% increase year over year, and adjusted EBITDA of $435 million, down $5 million from the prior year. The regional segment delivered improved EBITDA results versus last year, after excluding the benefits of the Super Bowl in New Orleans last year. Our targeted marketing reinvestment strategy within our regional segment continues to deliver positive results, driving increases in rate of play in Q1. On March 3rd, we closed on the acquisition of Caesars Windsor, Results of Caesars Windsor are now included in our regional segment. Additionally, on April 9th, we opened our newest managed property, Harrah's Oklahoma, which expands Caesars' rewards to a new market. As we look ahead to 2026 in our regional segment, we expect to benefit from a strong group mix in Reno, the inclusion of Caesars Windsor, the completion of our $200 million Tahoe master plan renovation this summer, hosting of select property events around the World Cup, and continued return on investment on recent strategic marketing reinvestment. With the completion of our Tahoe master plan scheduled in June 2026, we will have successfully completed all major large plan regional CapEx projects since the completion of the merger back in 2020. In total, we have invested over 3 billion in CapEx into our regional portfolio over the last five years. Our regional portfolio is positioned to benefit from these investments moving forward. I want to thank all of our team members for their hard work this quarter. Their dedication to exceptional guest service continues to be the driving force behind our company's achievements. With that, I will now turn the call over to Eric for some insights into the first quarter performance of our digital segment. Thanks, Anthony.