WYNN Macau Second Quarter Revenue Report
Wynn Resorts Ltd. on Thursday announced the company’s earnings for the second quarter and they were far higher than in the same quarter last year. The company more than tripled their earnings from last year with $272 million. That is $2.42 per share. Last year their earnings were only at $.82 per share with a total of $89.6 million.
Sales increased 20.2% to $825.2 million. Its earnings included a deferred tax benefit of $140.7 million. The adjusted earnings without the tax benefit were $1.11 per share. Analysts surveyed by Thomson Financial had expected 93 cents per share on revenues of $828.1 million.
Investors were clearly expecting the worst since shares dropped 8.2% to close at $91.59. Its shares continued to drop after hours, sliding 2.5%, or $2.29, to $89.30.
Wynn Macau generated revenues of $529.9 million, up from $352.5 million in the year-ago period. The property’s adjusted earnings before interest, taxes, depreciation, and amoritization (EBITDA) were $155.2 million as compared with $92.7 million to the year-prior quarter. In December, the Wynn Macau’s expansion was completed, with the addition of approximately 75,000 square feet of gaming space and 20,000 square feet of retail space including 11 new boutiques.
Meanwhile, Wynn Las Vegas had a property adjusted EBITDA of $81.8 million, as compared with $115.3 million in the second quarter of 2007. Revenue fell from slot machines and table games.
Casino magnate Steve Wynn is planning a secondary listing in Hong Kong, aiming to raise $3 billion to finance the expansion of his complex in Macau. (See “Wynn Resort Plan Not Yet A Winner In Macau”) The construction of Encore at Wynn Macau began in 2007 and is expected to be completed in the second half of 2010.
