To be sure, the stock bounced back from its low after company officials discussed plans to pare its debt burden, including unloading a Las Vegas Strip casino, MarketWatch reports.
Caesars recently traded at $110.35, down 1.2%. It fell as much as 8% initially following the after-hours earnings report on Tuesday.
The company posted a net loss of $1.10 a share for the third quarter, shrinking from a loss of $6.09 in the year-earlier quarter. The FactSet analyst consensus had called for a profit of 16 cents a share.
Net revenue registered $2.69 billion, almost doubling from $1.38 billion a year earlier. Analysts estimated $2.66 billion for the latest quarter.
In the earnings conference call, Caesars explained its debt-reduction program, MarketWatch reports.
The company intends to divest William Hill’s non-U.S. business for about $3 billion and unload shares in NeoGames NGMS.
And Caesars narrowed the date to sell a Las Vegas Strip property to “early 2022” from its August projection of sometime in 2022.
“And so, if you add all of those up, we should have well in excess of $5 billion of cash to deploy in 2022,” an independent director, David Tomick, said on the conference call, according to MarketWatch.
“Some of that will be spent in the digital business, some of that will be spent on capital projects that drive [return on investment] in the portfolio. But the vast majority of that cash is going to go to pay down debt.”