“Just the right amount of optimism” was how Credit Suisse analyst Ben Combes described Caesars Entertainment’s 1Q19 results. Ex-CEO Mark Frissora‘s purchase of Centaur Gaming continues to pay off, as it was the tentpole of 
regional-gaming performance. “On a same-store basis Regionals were down 11.5% with AC and bad weather again a factor,” wrote Combes. “Regional EBITDA down 13% y/y excluding Centaur, given Atlantic City weakness and bad weather.” However, he noted, “Management sounded optimistic about the outlook for Vegas in 2019, calling out the group convention and non-group room nights already on the books.” Combes thinks Caesar can offset its Atlantic City vulnerability with single-digit [2.5%] revenue growth in Las Vegas and continued strength from Centaur’s two racinos in Indiana, even if the health of Las Vegas is somewhat dependent upon that of Caesars’ hub-and-spoke casino network.
Over at JP Morgan, analyst Daniel Politzer described the results as “better than expected,” with Las Vegas Strip revenues up 5.5%. In addition to gaming, food and beverage, and retail all performed well. Adverse weather was measured as shaving $17 million off regional results, while Atlantic City was down $19 million, thanks to new competition. 
According to Politzer, “management noted that underlying LV Strip trends remain stable (and likely better than many investors perceive), and they will continue to utilize their casino database to fill rooms.” He likes prospects in Indiana, where table games have been enacted for the two Centaur properties, along with a tax reduction to 30% on gaming revenue over $200 million and sports betting. (What’s not to like?) This, Politzer estimates, could push Centaur cash flow from $200 million/year to $250 million. Still, that was not enough to stay the executioner’s hand, with the workforce thrown to the lions in the colosseum in order to save $40 million. Wall Street will love that, Main Street not so much.
* Penn National Gaming managed to meet Wall Street’s expectation of $391 million of cash flow in 1Q19. Wrote JP Morgan‘s Joseph Greff, “All things 
considered, this was a pretty good result considering the horrible weather at multiple properties throughout the quarter.” Pinnacle Entertainment synergies are proceeding ahead of schedule, cost-wise, and the southern and western regions of Penn made up for weakness in the Midwest and northeast. Ongoing bridge construction in Lake Charles is expected to negatively impact results going forward and the casino closing in Tunica will hopefully be offset by the pending addition of Greektown Casino in Detroit. In Pennsylvania, the approval processes for Hollywood Casino Morgantown and Hollywood Casino York are said to be on track. All told, it could be a lot worse.
* According to KTNV-TV, the fair state of Nevada has been ranked the fifth-most-dangerous one for online dating. I had nothing but good experiences with it but, no longer being a Nevadan (except in spirit) perhaps I have dodged a bullet.
* A former Stardust craps table has turned up on eBay. How did it get there? Don’t miss this once-n-a-lifetime amenity. It’s just the think to spark conversation as it sits in the middle of your living room.
* Downtown casinos find themselves on the outside looking as the Las Vegas City Council approves marijuana-consumption lounges. Just imagine the cash flow that Big Gaming is missing. And don’t tell me they won’t petition the Nevada Gaming Commission to revisit this issue.
* Here’s a law it would behoove the Nevada Lege to emulate. Why should British Columbia put us to shame in the workers-rights department?
Yup, can I invest in a Downtown 420 lounge?