Wynn Resorts Delivers Soaring Revenue in Q2, Lauds Encore Boston Harbor Opening

Wynn Resorts went public with successful figures regarding the revenue for Q2. As far as the numbers claim, the firm recorded an increase at every property in its portfolio during the second quarter of the year.

The overall operating revenues for the entire corporation for the second quarter came in at $1.66bn, a 3.3 percent jump from $1.61bn, with the growth of $8.3m, $3.2m, and $22.6m across the firm’s Palace, Macau and Las Vegas operations, respectively.

Positive Statistics Despite Expenses

However, profit for the period fell 39.3 percent to $94.5m (2019: $155.7m)…

…largely influenced by pre-opening expenses at Wynn’s newly debuted integrated resort in Everett, Massachusetts. The gigantic property encapsulates 210,000 square feet of casino space, was in action just eight days during Q2, during which time revenue came in at £18.8m and adjusted EBITDA at $0.1.

The company also gave an update regarding Wynn Las Vegas…

… announcing the construction of approximately 430,000 square feet of meeting space. They also plan to re-configure its golf course which closed in 2017’s final quarter. It is expected to reopen in this year’s Q4.

Boosts from Everywhere

Revenue was aided by a robust Las Vegas performance…

…which saw a 5.1 percent increase to $464.1m (2018: $441.6m), pushed along by a 17.7 percent rise in casino revenue from $101.7m to $119.8m.

At Wynn Palace, revenue went up to $628.9m, a 1.3 percent jump from $320.6m, and casino revenues were slightly boosted to $528.5m, at Wynn Macau revenue partially grew as it reached $546.5m, with its casino segment nudged 1.7 percent from $473.3m to $481.2m.

Making Meaningful Progress

Matt Maddox, CEO of Wynn Resorts, explained as follows:

“We were pleased to deliver year-over-year revenue growth at all of our properties in the second quarter, with particular strength in our core mass business in Macau and REVPAR in Las Vegas. On the development front, we have made meaningful progress deg and planning the Crystal Pavilion in Macau, which we believe will be a ‘must-see’ tourism destination on Cotai.”

Among the significant milestones during the quarter…

…the highlight is the successful opening of Encore Boston Harbor, the east coast’s first integrated resort, on June 23rd. The opening of the property drives a cut in near-term capital expenditures and improvement in discretionary free cash flow profile.

He also added:

“We are also pleased to announce a $1 per share dividend for the quarter, consistent with our strategy of capital return to shareholders. We remain excited about the outlook for the company and we will continue to focus on leveraging our -focused business model to drive long-term returns for shareholders.”

Source:

“Encore Boston provides “significant milestone” for Wynn in solid quarter”, casinobeats.com, August 7, 2019.