Playtika the unquestioned star of Caesars Interactive’s Q2 report

Caesars Acquisition Company (CACQ) reported strong online gains in what could be the final quarterly report to feature contributions from its highly profitable social gaming unit.

On Tuesday, CACQ – which includes Caesars Interactive Entertainment (CIE) and several brick-and-mortar casinos – reported revenue rising nearly 17% to $673.6m in the three months ending June 30. The gain was driven primarily by CIE, which reported revenue up more than one-third to $249.4m.

Despite the revenue gain, operating income fell 8.2% to $90.3m and profits were down 34.3% to $24.3m. The company blamed “increased stock-based compensation expense at CIE” and increases in interest expenses and provisions for income taxes.

CACQ sold its Playtika social and mobile gaming division to a Chinese consortium over the weekend for $4.4b, which will have a dramatic effect on future earnings reports when the deal closes sometime in Q3 or Q4.