Wynn Resorts’ Q3 Revenue Skyrockets
Author:
Muhammad Gregory
Wynn Resorts has disclosed its operating revenues for the third quarter ending on September 30, 2023, reporting a notable increase to $1.67 billion from $889.7 million during the same period last year, marking an 87.9% surge. This expansion coincides with the company’s strategic focus on exploring growth opportunities in the United Arab Emirates (UAE).
Wynn Resorts has released its operating revenues for the third quarter of 2023, seeing a strong increase up to $1.67 billion, up from the $889.7 million during the same period last year.
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Wynn Resorts’ Growth in Macau Largely Due to Removal of Covid Measures
Wynn Resorts recently disclosed its financial performance for the third quarter ending September 30, 2023, revealing substantial growth in operating revenues totaling $1.67 billion. This significant increase marks a remarkable 87.9% surge compared to the $889.7 million reported in the same period last year. Concurrently, the company has set its sights on exploring growth opportunities within the United Arab Emirates (UAE) market. Despite improvements, the net loss narrowed to $116.7 million from $142.9 million in the third quarter of 2022. The diluted net loss per share was recorded at $1.03 for the third quarter, compared to $1.27 reported in Q3 of 2022.
Throughout the quarter, operating revenues notably increased at various locations: Wynn Palace saw an increase of $449.5 million, Wynn Macau increased by $254.6 million, Las Vegas Operations surged by $74.6 million, and Wynn Interactive observed a $4.8 million uptick. However, Encore Boston Harbor experienced a slight decrease of $1.4 million from the third quarter of 2022. Macau’s notable growth can be attributed to the relaxation of Covid-related measures, allowing the return of VIP and high-value customers. Casino revenues were the primary driver of the quarter’s revenue surge, increasing by a significant 170.2% due to the relaxed restrictions.
In terms of adjusted net income, the company reported $112.0 million, or $0.99 per diluted share, for the third quarter, compared to $135.4 million, or $1.20 per diluted share, during the same quarter in 2022. Adjusted Property EBITDAR stood at $530.4 million for this period, in contrast to $173.5 million for the same duration in 2022.
Wynn’s Ambitious New UAE Project Set for 2027 Launch
In an earnings call, Wynn Resorts shed light on the burgeoning prospects in the United Arab Emirates (UAE) market, particularly focusing on the forthcoming $3.9 billion resort-casino set to grace Al Marjan Island post its scheduled launch in 2027. Matt Billings, the company’s representative, underlined the substantial opportunity the establishment will have, projecting a period of limited direct competition in the UAE market, possibly encountering only one or two competing ventures in the foreseeable future.
This expansive resort, situated on 115 acres spread across four islands on Al Marjan Island in Ras Al Khaimah, positions itself as a key tourist destination in the UAE. With its strategic location, it will be a mere 15-minute drive from the Ras Al Khaimah International Airport and just 45 minutes away from the bustling Dubai International Airport.
Regarding the financial results, the Adjusted Property EBITDAR for the third quarter showcased significant increases. Specifically, Wynn Palace surged by $198.9 million, Wynn Macau saw an increase of $121.7 million, Las Vegas Operations witnessed a rise of $24.0 million, and Wynn Interactive observed an uptick of $12.9 million. However, Encore Boston Harbor reported a slight decrease of $0.6 million from the third quarter of 2022.
In addition to the operational insights, Wynn Resorts also made an official announcement during this update, declaring a cash dividend of $0.25 per share. This dividend is slated for payment on November 30, 2023, catering to stockholders who are listed as shareholders of record as of November 20, 2023.
Wynn Resorts Settled Thorny Sexual Harassment Lawsuit in September 2023
In a recent development, Wynn Resorts has resolved a legal matter involving nine anonymous women who filed a lawsuit against the casino giant, citing an alleged failure to adequately probe claims of sexual harassment involving the company’s former CEO, Steve Wynn. This resolution was disclosed in a court filing made in the U.S. District Court situated in Las Vegas, with the specifics of the settlement kept confidential.
The lawsuit stemmed from female employees, such as manicurists and makeup artists, who contended that company officials had been aware of allegations of misconduct but did not take adequate steps until Steve Wynn’s resignation in February 2018. It’s noteworthy that Steve Wynn was not a named defendant in this lawsuit.
The settlement procedure is now set to advance, with U.S. District Judge Gloria Navarro setting a court date for November 6th to officially dismiss the case, allowing for the disbursement of the settlement fund. This legal matter originated in September 2019 in a Nevada state court before being transferred to the U.S. District Court in October of the same year. Initially dismissed in July 2020 by a federal judge in Las Vegas, the 9th Circuit U.S. Court of Appeals revived the case in November 2021. This revival allowed the nine women to remain anonymous and amend their complaint to include individual allegations of harassment.
Steve Wynn’s resignation from his corporate roles ensued after allegations of sexual harassment surfaced in a report by The Wall Street Journal. His actions included divesting company shares, resigning from the corporate board, and stepping down as finance chairman of the Republican National Committee.
Wynn Resorts Unveiled New Chief Financial Officer (CFO) Back in December 2021
Wynn Resorts, a renowned operator of various resorts and casinos across the United States, announced the appointment of Julie Cameron-Doe from Aristocrat Leisure as its incoming chief financial officer (CFO) back in December 2021.
Cameron-Doe stepped into the role, taking over from Craig Billings, assuming the position of Wynn Resorts’ new chief executive officer. This follows the recent announcement of the imminent departure of longtime CEO Matt Maddox from his position in early 2022.
However, Cameron-Doe officially commenced her role as Wynn Resorts’ CFO only in the second quarter of 2022. Her delayed start date was due to the completion of her notice period at her current employer, Aristocrat Leisure, where she held the CFO position since January 2018.
During her tenure at Aristocrat, Cameron-Doe held diverse roles, including group general manager for finance and a brief stint as the company’s general manager for planning and finance. Her professional background extends to roles at various reputable organizations. Prior to joining Aristocrat Leisure in August 2013, she served as finance director for companies such as Healthcare Australia, HotelClub, and ebookers. Her career also includes experiences as the head of global finance for International Masters Publishers and roles held at The Walt Disney Company and KPMG.
