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Dec 31, 2019

Wynn Resorts Q4 2019 Earnings Report

Reported a decrease in operating revenues and a net loss attributable to Wynn Resorts, Limited for Q4 2019.

Key Takeaways

Wynn Resorts, Limited reported operating revenues of $1.65 billion for the fourth quarter of 2019, a decrease of 2.0% compared to the fourth quarter of 2018. The company experienced a net loss attributable to Wynn Resorts, Limited of $72.9 million, or $0.68 per diluted share, compared to net income of $464.9 million, or $4.31 per diluted share, in the fourth quarter of 2018.

Delivered solid financial results in the fourth quarter of 2019, with Adjusted Property EBITDA growing nearly 12% sequentially compared to the third quarter.

Investments in Macau position the company well to compete in any market environment, supported by another quarter of record mass table win.

Strategy at Wynn Las Vegas is producing results, driving year-over-year volume growth in the domestic gaming business along with 3% growth in RevPAR.

Encore Boston Harbor continues to ramp, nearly doubling its Adjusted Property EBITDA sequentially.

Total Revenue
$1.65B
Previous year: $1.69B
-2.1%
EPS
-$0.62
Previous year: $1.06
-158.5%
Adjusted Property EBITDA
$443M
Previous year: $499M
-11.3%
Gross Profit
$646M
Previous year: $653M
-1.0%
Cash and Equivalents
$2.36B
Previous year: $2.22B
+6.5%
Free Cash Flow
-$63.8M
Previous year: $142M
-144.9%
Total Assets
$10.4B
Previous year: $13.2B
-21.3%

Wynn Resorts

Wynn Resorts

Wynn Resorts Revenue by Segment

Forward Guidance

The company is focused on leveraging its premium-focused business model to drive long-term returns for shareholders. In February 2020, they are opening their meeting and convention expansion at Wynn Las Vegas.

Positive Outlook

  • New Lakeside Casino at Wynn Macau launched.
  • Meeting and convention expansion in Las Vegas is complete.
  • First groups are welcomed to the new space.
  • Premium-focused business model.
  • Focus on long-term returns for shareholders.

Challenges Ahead

  • Extensive regulation of business.
  • Pending or future legal proceedings.
  • Ability to maintain gaming licenses and concessions.
  • Dependence on key employees.
  • General global political and economic conditions.

Revenue & Expenses

Visualization of income flow from segment revenue to net income