Caesars Entertainment Financial analysis
Welcome message from author
This document is posted to help you gain knowledge. Please leave a comment to let me know what you think about it! Share it to your friends and learn new things together.
Transcript
Caesars Entertainment
Caesars EntertainmentFinancial analysis
IntroductionWho is Caesars Entertainment?What is their current financial status?How is their solvency and profitability?Why?Is there a solution?
Caesars EntertainmentA corporation in Las VegasLargest Casino-Entertainment Provider since 1937Owns 65 casinos, currently constructing three more2005 Harrah's Entertainment2008 Apollo Global Management and Texas Pacific
No ProfitLoss doubles each year since 2011
LiquidityTotal Current Assets=3.7 billionTotal Current liabilities=2.5 billionCaesars ratio average for the last two years is 1.4. Short term debtReceivable turnover ratio of (.04)
ProfitabilityGross Profit Margin 48.8% better than industry average of 39.2% Operating Profit Margin 2 year average is (26)%Factiva lists Profit Margin last 5 years at (15.6)%ROE last five years (138.7)%
SolvencyThe ability of a company to meet its long-term financial obligations.Debt to Equity ratio = (3.10)Interest Cover Ratio = (2) timesEarnings per share = (104.10)No dividends Cannot pay off long-term debt
Why?Leveraged buyout in 2008 created debt Great Recession of 2008Bankruptcy or sell assets to pay for debt
Related Documents
