All of Wynn Resorts’ Macau Revenue Segments Up YoY; Casino Revenue Up 19.4%

The Short Take:

  • Total  revenue from Macau was $1.31 billion for the third quarter of 2018 at Wynn’s two overseas properties, a 20.5% year-over-year increase
  • Wynn’s Macau casino revenue jumped 19.4% YoY in the third quarter, hitting $1.129 billion
  • The Rooms revenue segment had the largest YoY growth of any segment, rising 37.1%

When Wynn Resorts reported its third quarter earnings a few days ago, we saw that revenue out of its Macau properties came in at $1.31 billion for the quarter.  This represents a year-over-year increase of 20.5% for the Macau revenue.  Further, the Macau revenue makes up 76.7% of the total revenue for Wynn Resorts.

So where did the Macau revenue increases come from during the third quarter?  Wynn reports revenue in four distinct revenue segments: Casino, Rooms, Food & Beverage and Entertainment, Retail & Other.  All four revenue segments saw positive year-over-year growth for the Macau revenue.

Over 86% of the Macau revenue came from the Casino revenue segment.  Revenue from the Macau casinos hit $1.129 billion for the quarter, up 19.4% from the third quarter of 2017 when the casinos brought in $945.9 million. (Read more: WYNN Casino revenue up 13.6% company-wide).

 

Macau revenue from Rooms at the two hotels, the Wynn Macau and the Wynn Palace, totaled over $72.4 million in the third quarter.  The Rooms segment had the largest YoY increase of any segment, jumping 37.1% versus the third quarter of 2017.  Rooms contributed 5.5% of the revenue out of Macau. (Read more: WYNN RevPAR, ADR and Occupancy for Las Vegas and Macau).

The Entertainment, Retail & Other revenue segment posted the second highest YoY growth, rising 30.4% YoY.  The $63.4 million in entertainment and retail revenue in the third quarter was almost $14.8 million more than a year earlier and made up 4.8% of Macau revenue.

The final revenue segment is Food & Beverage.  While not as strong on a YoY basis as the other segments, it still posted decent annual growth of 13.8%, with revenue coming in at over $45.3 million for the quarter. Food and beverages contributed 3.5% of Macau total revenue.

We’ll be keeping an eye on all of the action at WYNN and all of the other gaming companies, so bookmark us and check back soon!

Wynn Hotel Statistics for Q3 2018: Las Vegas Falls

The Short Take:

  • Wynn Resorts’ Las Vegas Rooms revenue was the highest among the company’s properties, but it saw a decline of 5.9% YoY
  • Wynn Macau’s RevPAR of $273 was the highest in the company while the Las Vegas hotels had the highest ADR at $289
  • The Las Vegas hotels, the Venetian and Palazzo, saw weak occupancy of 89.6% which is down 1.8% versus the same quarter last year

In the third quarter of 2018, Wynn Resorts’ total Rooms revenue from its hotels increased 7.4% year-over-year compared to the third quarter of 2017.  Total Rooms revenue for the quarter came in at just over $183 million.

Total Rooms Revenue by Location

The company’s Las Vegas Operations, which includes the Strip’s Venetian and Palazzo hotels, contributed well over half of the total Rooms revenue, bringing in $110.7 million for the quarter.  On the downside, this was a YoY decline of 5.9%.

 

In Macau, the Wynn Palace’s hotel rooms brought in $44.3 million in revenue while the Wynn Macau sold $28,100 worth of hotel rooms.  The Palace saw its Rooms revenue skyrocket 34.6% YoY while the Wynn Macau’s YoY growth was negative 4.7%

RevPAR

While the Wynn Macau’s Rooms revenue declined 4.7%, it had the highest RevPAR (revenue per available room) at $273.  This was slightly ahead of Wynn Palace’s $264 and the Vegas hotels’ $259.  The Macau hotels both saw double digit YoY RevPAR growth while the Las Vegas hotels’ RevPAR fell 5.1%.

 

ADR

The Las Vegas hotels’ Q3 2018 ADR (average daily rate) of $289 was the highest company-wide, but still a drop of 3.3% compared to the third quarter of 2017.  The Wynn Macau and Wynn Palace both had about the same ADR for the quarter, $276 and $275, respectively.    Both Macau hotels also saw significant YoY RevPAR growth with the Palace’s growing 25.6% and Wynn Macau’s increasing by 12.2%.

Occupancy

The Macau hotels saw their usual near-sold out hotel occupancy for the quarter.  The Wynn Macau occupancy of 99.0% was 1.7% higher than last year while the Wynn Palace’s occupancy ticked down 0.1%, coming in at 96.0% for Q3.  The Vegas hotels fared worse.  The occupancy in Vegas of 89.6% for the quarter was a decrease of 1.8% versus last year.

Overall, the third quarter hotel results were fairly strong for Wynn’s Macau hotels.  Las Vegas, on the other hand, was a different story.  Like its Casino revenue, the Rooms revenue was very soft in Q3.

Wynn Resorts Casino Revenue Grows 13.6% in Q3, but Vegas Takes a Hit

The Short Take:

  • Wynn Palace in Macau had both the highest overall casino revenue of the company’s properties and it also had the largest year-over-year casino revenue growth
  • At the gaming tables, Wynn Macau’s average win per gaming table per day among the profitable VIP customers fell 18% YoY
  • Wynn’s Las Vegas casinos struggled during the third quarter, with casino revenue down 28.4% year-over-year

While Wynn Resorts’ (WYNN) total casino revenue of $1.22 billion was an increase of 13.6% in the third quarter of 2018 versus the same quarter a year ago, the growth was far from equal across Wynn’s properties.

Total Casino Revenue

The Wynn Palace in Macau had the highest casino revenue in the third quarter, coming in at over $635.5 million.  This represents an amazing 39.9% year-over-year growth rate.

 

 

Wynn Macau’s total casino revenue inched up just 0.9%, from $498.8 million in Q3 2017 to $503.6 million this year.  On the other hand, casino revenue at the company’s Las Vegas operations, which include the Venetian and Palazzo casinos, fell an astounding 28.4% YoY.  The Las Vegas casino revenue was well under $100 million at $92.9 million.  This is a $36.8 million drop from the third quarter of 2017.

One interesting way to look at the casino revenue is on a unit win per day.  To do that we’ll take a look at the average win per slot machine per day and the average win per gaming table per day at the three Wynn properties during the third quarter.

Win Per Gaming Table Per Day

For its two Macau casinos, Wynn breaks up table game wins into two customer groups: VIP and Mass Market. VIP’s are the high rollers while Mass Market comprises the regular casino goers.

The Wynn Palace dominated both of these markets at the gaming tables.  It’s Mass Market win per gaming table per day was $16,291 which is a 55.3% YoY increase.  In the more profitable VIP space, the daily win per gaming table shot up 22.5% compared to the same quarter last year, to $51,463 won every day at each table on average.

 

Wynn Macau held its own at the tables with the Mass Market crowd.  The daily win per table for this segment hit an average of $13,625, a 19.4% increase from last year.  Where Wynn Macau faced some issues was with the VIP crowd.  The average win per gaming table per day fell a staggering 18.0%. The Q3 2018 win was $42,061 per table per day, a $9,263 drop from the same quarter of 2017.

On YoY growth terms, the Las Vegas casinos fared even worse.  The average daily win per gaming table was $4,003 per day in Q3, a 34.0% YoY drop.

Win Per Slot Machine Per Day

The daily win per slot machine tells just about the same story as the gaming table wins.  In Macau, Wynn Palace in Macau had a 14.2% increase in the average slot machine win per day, growing to $474 per machine.  Wynn Macau did not perform as well, but it did still have positive YoY growth.  It’s $447 average win per machine per day was 6.2% better than the same quarter last year.

Vegas, though, ran into trouble at its slot machines.  Slot wins per day per machine fell 4.6% compared to Q3 2017.  Each slot machine won $334 on average per day during the quarter, a decrease from last year of $16 per machine each day.

 

As you can see, the casino revenue and wins for the Wynn properties are definitely a mixed bag. Wynn Palace performed well, but probably at the expense of Wynn Macau.  Las Vegas faced some strong headwinds, possibly resulting from the executive boardroom turmoil and also a slight downdraft in overall Vegas business.

WYNN Segment Revenue: Casino Revenue Jumps 13.6% YoY

Wynn Resorts just reported its third quarter 2018 results.  WYNN reports revenue in four segments: Casino, Food & Beverage, Rooms and Entertainment, Retail & Other.  Three segments had positive year-over-year (YoY) increases in revenue and one segment was negative.  Here is a quick overview of the revenue by segment for the quarter.

Casino revenue hit $1.222 billion for the quarter.  This is a year-over-year increase of 13.6% compared to Q3 2017.  This was the largest YoY increase of any of the four revenue segments.

The Rooms segment had a YoY increase of 7.4%.  Total Rooms revenue surged to $193.874 million.

The Entertainment, Retail & Other category also saw a YoY increase.  The segment’s revenue of $183.044 million is a 4.5% increase from the same quarter last year.

The only segment that saw a decrease was Food & Beverage.  Food and drink sales decreased 3.1% YoY, coming in at $110.125 million.

Here are two charts that show the segment revenue and the YoY growth for each of Wynn’s revenue segments:

 

Stay tuned as we digest all of the WYNN stats and figures.  We’ll have more reporting for you soon.

Preview of WYNN Third Quarter Report

When Wynn Resorts reports its third quarter earnings on Wednesday, November 7, they will issue a bevy of data. Of course, they will announce the quarterly EPS and total Revenue, but they will also provide company-specific revenue drivers that can be just as important as EPS.

To prepare for the Wynn Q3 2018 report, we’ve put together some data from the Q3 2017 quarter.  These are good metrics to keep an eye on when Wynn reports on Wednesday and compare what is reported with the comparable 2017 data.

Important note:the Q3 2017 data below has not yet been adjusted for ASU No. 2014-09, Revenue from Contracts with Customers, which reclassifies promotional items such as comps from mainly Casino revenue to the appropriate segment based on the good or service provided. The Q3 2017 data should be updated when Wynn reports its Q3 2018 earnings.

The first item to watch for is revenue by segment.  Wynn usually provides revenue in four segments, with Casino revenue and Rooms revenue probably the most important to watch.

Company-Wide Operating Revenues by Segment Q3 2017
Casino Revenue $1,256,602
Rooms Revenue $175,108
Food and Beverage Revenue $190,854
Entertainment, Retail & Other Revenue $105,500

 

Next, Casino revenue by property provides insight into how the company’s casinos are doing in its two big revenue regions – Macau and Las Vegas:

Casino Revenue by Property Q3 2017
Wynn Macau $567,667
Wynn Palace $514,518
Las Vegas Operations $174,417

 

Hotel revenue is very important for Wynn.  We expect the usual hotel statistics when Wynn reports later this week, including Occupancy, ADR and RevPAR:

Hotel Occupancy Q3 2017
Wynn Macau 97.3%
Wynn Palace 96.1%
Las Vegas Operations 91.4%

 

Average Daily Rate (ADR) Q3 2017
Wynn Macau $246
Wynn Palace $219
Las Vegas Operations $299

 

Revenue Per Available Room (RevPAR) Q3 2017
Wynn Macau $240
Wynn Palace $211
Las Vegas Operations $273

We’ll have full coverage of Wynn’s Q3 announcement on Wednesday, with special attention to the company-specific revenue drivers, so check back then!

MGM Revenue by Property: MGM Macau Is the Leader; MGM Grand is Top in Vegas

The Short Take:

  • MGM Macau had the highest revenue in Q3 for any MGM property at $434M.  MGM Grand had the highest revenue for any domestic property at $340M
  • The best performing MGM resorts in terms of YoY revenue growth were MGM Grand Las Vegas (+9.3%) and MGM National Harbor (+9.0%).  The worst performer was Bellagio (-15.3%)
  • Every domestic resort outside of Las Vegas had positive YoY growth and the MGM Grand is the only domestic resort that had positive YoY Growth

The third quarter MGM quarterly report is out, and one interesting observation is the breakdown of revenue by each of the company’s properties.  The overall winner within the company is the MGM Macau while the domestic property with the highest revenue for the quarter is the MGM Grand Las Vegas.

 

Macau

The two Macau resorts produced over $600 million in revenue for MGM.  The MGM Macau had revenue of over $434.2 million for the third quarter. This is more than double the revenue of the MGM Cotai which rung up sales of over $171.7 million.

In terms of growth, the MGM Macau ran into some headwinds.  Year-over-year growth for the third quarter of 2018, compared to the third quarter of 2017, was in the red.  And substantially so to the tune of -7.8%.  Since the MGM Cotai was not open in the third quarter of 2017, we do not have comparable YoY data.

 

Las Vegas

The MGM Grand in Las Vegas had the highest revenue and YoY growth rates of any of the company’s domestic resorts.  The $340 million in sales works out to 9.3% growth YoY.  This is the only MGM resort in Las Vegas that had positive YoY growth. The worst performing property in Vegas in terms of growth was Bellagio.  Bellagio’s $322 million in quarterly revenue is a 15.3% decrease compared to the same quarter last year.

Domestic Outside Las Vegas

Borgata in Atlantic City had the highest domestic revenue of any MGM property outside of Las Vegas. Unfortunately, Borgata’s revenue fell 4.4% YoY to $235 million.  MGM National Harbor rang up the highest revenue growth in this category, with YoY growth of 9.0% with Q3 2018 revenue of almost $197 million.  In fact, every domestic non-Las Vegas property had positive YoY growth in the third quarter, with the Beau Rivage growing 8.2% and Gold Strike Tunica increasing by 1.9%.

As you can see by the two charts above, revenue and revenue growth rates were a mixed bag for the MGM properties.  To see more third quarter MGM statistics, check out our articles on Casino Revenue, ADR and RevPAR.

How Much Do Las Vegas Sands’ Gaming Tables Win Per Day?

The Short Take:

  • The Las Vegas casinos owned by Las Vegas Sands won, on average, $3,489 per gaming table per day during the third quarter of 2018
  • Many of the company’s Macau and Singapore casinos had five-figure daily wins per table.  The highest average daily win during the quarter was the Plaza Macao with $16,933 per day per table
  • The company’s domestic casino outside of Vegas, the Sands Bethlehem, saw an average daily win per table of $3,066

Las Vegas Sands (LVS) operates two of the higher-end casinos on the Las Vegas Strip so we were wondering how much each gaming table in their casino wins per day.  Luckily, LVS reports these numbers in the quarterly reports, so we’ve distilled that information and presented it here for you.

The Venetian and Palazzo casinos in Las Vegas are considered one entity when LVS reports its financial information.  In the third quarter of 2018 the average daily amount that the house won per gaming table in these two casinos was $3,489.

That may seem like a lot, and it is a decent amount for a Vegas casino, but when you look at the company’s casinos in Asia you see why Macau, in particular, is the focal point for the company and its investors.  All but one of the company’s five casinos in Macau had an average daily win per table of more than $12,000!  The Plaza Macao and the Venetian Macao had the two highest daily wins per table with $16,933 and $14,975, respectively.

Here’s an overview of all eight LVS casinos to get an idea of how Macau dominates on the metric of daily wins per table:

One of the reasons for these high daily win numbers in Macau is because table games dominate casinos in China.  The casinos do have slot machines, but slots are not nearly as popular as table games.

The Marina Bay Sands, the company’s only casino in Singapore, had a slightly lower average daily win per table (but still much higher than the Vegas casinos) at $9,184.  Slots are much more popular in Singapore than in Macau which plays a role in the lower table wins.

Besides the two casinos on the Las Vegas Strip, LVS currently owns the Sands Bethlehem in Pennsylvania.  The company is in the process of selling that casino, but as of the end third quarter of 2018 when these stats were put together, LVS still owned the casino.  The Sands Bethlehem’s average daily win per gaming table was a bit lower than its Las Vegas cousins, coming in at $3,066 per day per table.

These average daily win stats do fluctuate.  Six of the eights LVS casinos saw the average daily table game win increase year-over-year (YoY) from the third quarter of 2017.  The Sands Macau, for example, saw its daily win increase over 24% YoY. Three other Macau casinos saw YoY wins increase by more than 15%.

Here’s a rundown of the year-over-year growth rate of the average daily win per gaming table for all of the LVS casinos:

As you can see, the Las Vegas casinos also had decent YoY growth in its daily table game wins.  The 9.3% growth rate is solid, but not nearly as profound as some of the company’s Macau casinos.

The two casinos that saw YoY decreases in daily table game wins were the Marina Bay Sands in Singapore and the Sands Bethlehem.  The Singapore casino’s growth rate was -15.2%.  The Sands Bethlehem had the worst YoY growth at -16.0%

Think about these numbers the next time you walk into a casino and see pit after pit of blackjack, crap and roulette tables.  The volume of winnings is amazing!

If you liked this article, be sure to check out our article on the average daily win per day for Las Vegas Sands’ slot machines.

How Much Do Las Vegas Sands Slot Machines Win Per Day?

The Short Take:

  • The Las Vegas Sands casinos located in Las Vegas won an average of $351 per slot machine per day for the house
  • The LVS casinos in Macau generally had lower wins per slot machine per day with the exception of the Plaza Macao which netted a daily win of $491 per machine
  • The standout among the company’s casinos was the Marina Bay Sands.  This casino in Singapore saw an $802 average win per slot machine per day

If you ever walked into a casino and were in awe of the number of slot machines and wondered how much each one wins every day, then you’re in the right place!

We took a look at the slot machine data provided by the Las Vegas Sands (LVS) for the third quarter of 2018, which ended on September 30.  This company owns the Venetian and Palazzo in Las Vegas and the Sands in Bethlehem, PA plus six casinos in Asia.

Domestically, the slot machines in Vegas won $351 per slot machine per day for the house.  You’ll notice on the chart below that this is the third best win rate in the company’s portfolio of casinos.  The Sands Bethlehem’s daily win rate per machine was significantly lower than the Vegas casinos, coming in at an average of $259 for the quarter.

So, you may be asking, is this daily win rate normal, better or worse than usual?  To get an idea, we calculated the year-over-year (YoY) growth rate for the win per slot machine per day for Q3 2018 compared to Q3 2017.

The chart below shows that the Vegas casinos’ daily win rate of $351 was 14.7% higher than the win rate a year earlier when it was $306.  On the other hand, the Sands Bethlehem’s Q3 2018 win rate actually dropped 4.1% compared to Q3 2017 when its win rate was $270.

In Macau the daily slot win per machine are generally lower.  This is mainly because slots are not hugely popular in Macau where LVS runs five casinos.  The one exception in Macau is the super high-end Plaza Macao & Four Seasons which saw the daily win per slot machine come in at $491, which was $150 higher than in Vegas.  Plaza Macao’s daily slot win in Q3 2018 was 29.2% higher than in the same quarter of 2017.

Las Vegas Sands’ casino in Singapore, the Marina Bay Sands, blew away the daily slot wins of all of the other casinos owned by LVS.  The Marina Bay’s daily win per slot machine was an astonishing $802 on average during the quarter.  This was a 20.4% jump from the third quarter of 2017 when the daily win was $666 per machine.

We’ll be taking a look at the average daily win per slot machine for other casinos soon, so be sure to bookmark Ante Research and check back soon!

Las Vegas Sands’ Domestic Hotels Post Negative REVPAR, Macau Hotels Mostly Saw Increases

The Short Take:

  • REVPAR at LVS’s Las Vegas hotels decreased by 3.2% year-over-year and its Bethlehem hotel saw a decrease of 1.3%
  • Four of the company’s five Macau hotels saw positive YOY REVPAR growth.  The leader in Macau was the Parisian Macau, which saw REVPAR growth of 14.9%
  • The biggest REVPAR decline was at the Sands Macau which saw a YOY slip of 17.5%

The revenue per available room (REVPAR) stats that Las Vegas Sands (LVS) included in its Q3 2018 earnings press release showed negative REVPAR growth in its United States hotels, but positive growth in most of its hotels in Asia.

There are two charts at the end of this article that display the REVPAR for each LVS hotel along with the year-over-year REVPAR growth rates.  First, we’ll look at some notable REVPAR related data that stuck out to us.

The domestic hotels owned by LVS posted negative REVPAR growth rates in the third quarter of 2018.  In Las Vegas, the combined REVPAR for the Venetian and Palazzo hotels was $213.  This is a 3.2% year-over-year decrease from the Q3 2017 REVPAR of $220.  At the Sands in Bethlehem, PA, the hotel saw a YOY decrease of 1.3% with REVPAR at $156, down $2 from the same quarter last year.

In Macau, four of the five LVS hotels produced positive YOY REVPAR growth.  The best performing was the Parisian Macao, with an annual growth rate of 14.9% and an REVPAR for the quarter of $154.  The Plaza Macao & Four Season has the highest REVPAR among the LVS properties.  The REVPAR during Q3 was $280, which was a 4.1% YOY increase.  The Sands Cotai Central and Venetian Macao both had YOY growth in the upper 10% range and REVPAR of $152 and $219, respectively.

The only LVS property in Macau that saw a decline in REVPAR was the Sands Macau.  This hotel’s Q3 REVPAR of $151 decreased 17.5% from last year.  The Sands Macau also has the distinction of having the lowest REVPAR of any Las Vegas Sands hotel worldwide during the third quarter of 2018.

While the Sands Macau has the lowest REVPAR among the company properties, the Marina Bay Sands has the highest.  This Singapore hotel’s REVPAR is a stunning $455.  This is a 5.3% increase from the Q3 2017 REVPAR of $432.

To recap the LVS REVPAR data for Q3 2018, here are two charts that show the REVPAR per hotel and the YOY REVPAR growth.

 

 

Be sure to also check out our article on the average daily rate (ADR) for LVS hotels in Q3.

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ADR for Las Vegas Sands’ Vegas Hotels Drop, Macau Results Mixed

The Short Take:

  • The average daily rate for the LVS Las Vegas hotels was $225 in Q3 2018, a year-over-year drop of 0.9%
  • Three of the Macau hotels owned by LVS had higher ADR than last year, ranging from increases of 5.0% to 10.5%
  • Two Macau hotels saw decreases in YOY ADR, including the Sands Macau which saw its ADR drop by 18.8% compared to last year
  • The Marina Bay Sands in Singapore has the highest ADR of any LVS hotel, coming in last quarter at $466 after increasing 4.3% since last year

When Las Vegas Sands (LVS) reported their third quarter 2018 results, we got details on the average daily rates at its hotels.  Overall, they are a mixed bag.

At the end of this article we’ve included two charts that show each LVS hotel’s Q3 2018 ADR as well as the year-over-year growth of their ADR.  Before we get to that, here are some things that jump out about the ADR for LVS properties.

Domestically, ADR at its two Las Vegas hotels, Venetian and Palazzo, was down 0.9%.  For the third quarter the ADR was $225, down from $227 in the same quarter last year.  These results are better than MGM’s in terms of growth rate.  MGM saw a YOY decrease of 1.9% in ADR at its Vegas hotels.

The LVS owned Bethlehem, PA Sands hotel achieved a positive year-over-year growth rate for ADR, coming in with a 0.6% increase.  The ADR at Sands Bethlehem was $165 this year versus $164 last year.

In Macau, three LVS hotels saw YOY ADR increases and two experienced decreases.  The big winner was the Parisian Macao.  The Q3 ADR of $158 was 10.5% higher than last year.  Sands Cotai Central also saw healthy ADR growth of 8.2% with its latest ADR at $159.    Venetian Macao posted an ADR of $229 which surpassed last year’s by 5.0%.

On the downside in Macau, the Sands Macau’s ADR fell a whopping 18.8%.  Last year the ADR was $191 and this year it dropped to $155, which is the lowest ADR for LVS hotels in Q3 2018.  Plaza Macau and Four Season’s ADR came in at $315 which is the highest ADR for an LVS hotel in Macau even with a 5.4% decrease from last year.

Finally, the Marina Bay Sands in Singapore posted an ADR of $466 in Q3.  This is the highest ADR for any hotel operated by Las Vegas Sands.  Even with these high rates Marina Bay was able to increase its ADR 4.3% year-over-year.

Here are the two charts we promised earlier: ADR by LVS hotel and each hotel’s year-over-year ADR growth rate:

 

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