March 10, 2023 3 min read


S&P Global Ratings Upgrades Caesars as Digital Losses Ease

S&P Global Ratings upgrades Caesars Entertainment's credit rating as digital losses ease, forecasting a 4-6% increase in casino EBITDA for 2023

The upgrade is based on the expectation of improved leverage in 2023 as Caesars significantly moderates digital losses.

S&P Global Ratings forecasts a 4%-6% increase in Caesars’ casino EBITDA for 2023

Caesars’ digital segment has been a drag on EBITDA over the past 18 months, but Caesars has reduced this in recent quarters as it scales up digital revenue in new states and leverages player loyalty data to more efficiently target its marketing efforts to customers. 

Additionally, the company expects to see reduced customer acquisition costs, advertising, and promotional spending as there are fewer states that are scheduled to launch digital sports betting in 2023 compared to previous years.

Furthermore, Caesars’ investments in its regional portfolio and convention and group recovery in Las Vegas will help offset inflationary pressures. Caesars has been able to sustain margins consistently above pre-pandemic levels despite the return of a more normal competitive environment, including the resumption of operations of alternative entertainment options and the elimination of pandemic operating restrictions. 

The company will also benefit from the ongoing recovery in group and convention in Las Vegas that will likely support margin. S&P Global Ratings forecasts Caesars’ casino EBITDA will increase 4%-6% in 2023.

Although the shift in spending to experiences from products may continue for a while longer, the surge in leisure spending in Las Vegas and good regional gaming revenue may begin to slow if consumers’ willingness to spend on travel and entertainment in 2023 is hit by reduced accumulated savings, ongoing high inflation, and higher unemployment.

Caesars Partners with Bakkt to Offer Crypto Rewards for Loyalty Program Members

In other news, Bakkt Holdings and Caesars Entertainment have announced a partnership to allow Caesars Rewards members to redeem their rewards credits through Bakkt Crypto Rewards. Pending regulatory approval, the collaboration also includes plans to rename the Planet Hollywood Resort & Casino’s live entertainment venue Bakkt Theater. 

The two companies aim to explore and innovate around Bakkt’s existing suite of cryptocurrency solutions. Bakkt and Caesars will share more information on forthcoming crypto offerings soon. The move comes as the digital economy continues to evolve quickly, and Bakkt and Caesars are committed to providing a seamless experience to their customers. 

Caesars Rewards is one of the largest and most acclaimed loyalty programs in the world, with more than 60 million members worldwide. Bakkt and Caesars will be working together to explore how Bakkt’s crypto offerings will differentiate Caesars Rewards and help the company continue to be the leader in the gaming industry.


Silvia has dabbled in all sorts of writing – from content writing for social media to movie scripts. She has a Bachelor's in Screenwriting and experience in marketing and producing documentary films. With her background as a customer support agent within the gambling industry, she brings valuable insight to the Gambling News writers’ team.

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