Categories Earnings, Retail, U.S. Markets News

Wynn Resorts stock dips on Macau slowdown concerns

Wynn Resorts (WYNN) stock plunged over 12% on Thursday as a slowdown at its Macau location is on cards. Executive chief Matthew Maddox said the Macau operations are experiencing a shortfall in the premium market attendance after China’s seven-day Golden Week holiday.

In the earnings call, Maddox said the high-end offerings have taken a downtrend as there seems to be a deceleration in the premium market worldwide. The performance has slowed down in Singapore and Las Vegas as well in the premium offerings.

For the third quarter, the company reported a 96% jump in net income attributable to Wynn Resorts to $156.1 million. Adjusted earnings increased by 10.5% to $1.68 per share but missed analysts’ expectations of $1.69. Operating revenue grew 10.2% to $1.71 billion.

Picture Courtesy: Wynn Resorts

Operating revenue from Wynn Macau rose 3.1% to $579.6 million. Casino revenue showed a marginal rise of 0.9%. Table games turnover in VIP operations increased 4.4% while table games win in mass market operations jumped 15.6%. Slot machine handle rose 3.6% while slot machine wins decreased 2.1%.

Non-casino revenues from Wynn Macau grew 20.3% helped by an increase in room revenues, higher average daily rate, an increase in occupancy and higher RevPAR.

The Chinese financial markets have experienced a steep fall due to the concerns about the declining economy and a move to control debt-fueled growth. The gambling industry has been worrisome as more concerns were lingering on the impact of the fall in economic growth on the industry. Experts believe that the Chinese economy could see certain prosper after any improvement in trade relations between the US and China.

Shares of Wynn Resorts opened Thursday’s regular session lower and remained in the red territory. The stock has fallen over 34% in the past year and over 40% in the year so far.

 

Follow our Google News edition to get the latest stock market, earnings and financial news at your fingertips.

Most Popular

Tyson Foods (TSN) Q1 2023 Earnings: Key financials and quarterly highlights

Tyson Foods Inc. (NYSE: TSN) reported first quarter 2023 earnings results today. Sales rose 2.5% year-over-year to $13.2 billion. Net income attributable to Tyson was $316 million, or $0.88 per

After weak start to 2023, Apple (AAPL) sees some bright spots

Apple Inc. (NASDAQ: AAPL) this week reported its first revenue decline in more than three years, even as the high inflation continues to squeeze customers’ spending power. Sales of the

Earnings: Qualcomm (QCOM) Q1 profit falls on lower revenues

Chipmaker Qualcomm, Inc. (NASDAQ: QCOM) has reported lower earnings and revenues for the first quarter of 2023. The company also provided guidance for the second quarter of 2023. At $9.5

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top