Caesars Entertainment ( CZR) beat Wall Street expectations by a penny, but fell short of revenue expectations, while reiterating guidance for the rest of the year. Caesars, which agreed to be acquired by Harrah's Entertainment ( HET) in a $5.2 billion cash-and-stock deal last week, announced second-quarter net income of $148 million, or 47 cents a share, more than three times the $41 million, or 14 cents a share, it had a year ago, due primarily to an $87 million gain on the sale of the Las Vegas Hilton. Excluding all items, which is how analysts view the company, Caesars earned $60 million, or 19 cents a share, a penny better than analyst estimates and up from $43 million, or 14 cents a share, in the year-ago quarter. In reaction, shares of the company were unchanged at $14.95. Revenue came in at $1.16 billion, just shy of the $1.17 billion expected by Wall Street and slightly ahead of the $1.14 billion it had in the year-ago quarter. Strength in the Las Vegas market continued to drive Caesars' growth, with the company's four Las Vegas Strip properties reporting a 12% increase in revenue per available room, a key lodging metric also known as revpar. While Las Vegas continues to drive some of the company's growth, increased competition in Atlantic City has dampened results, due to the emergence of the Borgata, a joint venture of MGM Mirage ( MGG) and Boyd Gaming ( BYD). The company said EBITDA fell at all three of its Atlantic City properties, with EBITDA from the eastern region off 16% year-over-year. In the mid-South, where Caesars has seven properties in places like Indiana, Mississippi and Louisiana, EBITDA was essentially flat with the year-ago quarter. Internationally, where the company owns nine properties in South Africa, Nova Scotia and Australia, EBITDA rose 40%. The company stood by its earlier guidance of earnings between 19 and 21 cents a share in the third quarter in line with the current Wall Street estimate of 20 cents a share. For the fiscal year, the company said it will earn between 69 and 71 cents a share, slightly ahead of Wall Street's 69-cent estimate.