Macau concessionaire Wynn Macau Ltd has reported a loss of US$98.3 million in the three months to 31 March 2022, 31.0% higher than the same period last year but narrowed from the US$128.2 million loss recorded in Q4.
The 1Q22 results were again impacted by the COVID-19 pandemic, including travel impediments due to outbreaks across mainland China and Macau border restrictions.
Wynn’s Macau properties – Wynn Palace and Wynn Macau – recorded a combined Adjusted EBITDA loss of US$5.5 million compared with positive Adjusted EBITDA of US$43.9 million in 1Q21. The Adjusted EBITDA loss was narrowed, however, from a loss of US$25.9 million in the December quarter.
Wynn Palace recorded a 31.2% decline in operating revenues to US$163.3 million, with an Adjusted Property EBITDA loss of US$900,000. The Cotai integrated resort felt the full impact of the decline of Macau’s junket industry, with VIP turnover falling 56.1% year-on-year to US$965.6 million and win by 79.5% to US$19.8 million. Mass table game drop fell by a more subdued 12.5% to US$531.9 million with win down 15.6% to US$111.2 million while slot handle fell 30.1% to US$250.0 million and win by 11.2% to US$12.6 million.
At Wynn Macau, operating revenues fell 24.8% to US$135.1 million in 1Q21, with an Adjusted Property EBITDA loss of US$4.7 million.
Much like Wynn Palace, the peninsula property saw VIP turnover down over 50%, the precise fall being 50.8% to US$887.1 million, with win down 42.0% to US$34.0 million. Mass table drop fell 20.6% to US$4691 million with win of US$82.2 million while slot handle fell 5.9% to US$283.5 million with win of US$10.6 million.
The 1Q22 results of Wynn Macau Ltd formed part of parent company Wynn Resorts’ results announcement, with group-wide revenues growing 29.4% year-on-year to US$953.3 million on the back of a strong Las Vegas recovery. Net loss was US$183.3 million due to Wynn Macau and Wynn Interactive recording significant losses, although Adjusted Property EBITDA of US$177.6 million was improved from US$58.9 million in 1Q21.
“Our first quarter results reflect continued strength at both Wynn Las Vegas and Encore Boston Harbor where our teams’ unrelenting focus on five star hospitality and world class experiences combined with very strong customer demand to deliver a new first quarter record for Adjusted Property EBITDA at both properties,” said Wynn Resorts CEO, Craig Billings.
“In Macau, we remain confident that the market will benefit from the return of visitation when travel restrictions subside.”
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