Wynn Resorts Limited, is a casino operator, which owns 72.2 percent of Wynn Macau, Limited, which operates a casino hotel resort property in the Macau Special Administrative Region of the People’s Republic of China. The Company also owns and operates a casino hotel resort property in Las Vegas, Nevada.Its Macau resort is a resort destination casino contains two luxury hotel towers (Wynn Macau and Encore) with a total of 1,008 spacious rooms and suites, approximately 280,000 square feet of casino space, casual and fine dining in eight restaurants, approximately 57,000 square feet of retail space, and recreation and leisure facilities, including two health clubs and spas and a pool. It opened Wynn Palacein August 2016. Its Las Vegas operations (Wynn Las Vegas and Encore) feature two luxury hotel towers with a total of 4,748 spacious hotel rooms, suites and villas, approximately 186,000 square feet of casino space, 34 food and beverage outlets featuring signature chefs, an on-site 18-hole golf course, meeting space, a Ferrari and Maserati dealership, approximately 96,000 square feet of retail space, two showrooms, three nightclubs and a beach club.Wynn Resorts, Limited is traded on the Nasdaq Global Select Market under the ticker symbol WYNN and is part of the S&P 500 and NASDAQ-100 Indexes.
Mr. Wynn, 74, has served as chairman and chief executive officer of Wynn Resorts Limited since June 2002. Mr. Wynn has been an executive director, the chairman of the board of directors and chief executive officer of Wynn Macau, Limited, a majority owned subsidiary of the company, since September 2009 and president of Wynn Macau, Limited until January, 2014.Mr. Wynn has also served as Director, Chairman and Chief Executive Officer of Wynn Resorts (Macau) S.A. since October 2001. Mr. Wynn serves as an officer and/or director of several subsidiaries of Wynn Resorts, Limited. During his time as chairman, chief executive officer and president of Mirage Resorts, Mr. Wynn developed, opened and operated The Mirage, Treasure Island and Bellagio in 1989, 1993 and 1998, respectively.
Erik Hansen is the Chief Sustainability Officer of Wynn Resorts.
In his role, Hansen is responsible for the development of the company's global sustainability strategy and energy procurement goals.
Originally serving as Director of Energy Procurement for Wynn Resorts since 2016, Hansen has been instrumental in instituting several large-scale sustainability and renewable energy projects that have moved Wynn Resorts into a leadership position in environmental stewardship. Most notable have been the negotiation, build, and opening of the 160-acre 20 MW Wynn Solar Facility; management of Wynn Las Vegas' shift to the open energy market; and the creation of an energy supply plan that integrates the first micro grid to be implemented at an individual resort at the Encore Boston Harbor property.
Hansen has more than 25 years of experience, and is a current member of the Nevada Governor's Committee on Energy Choice. He began his career in the energy industry at NV Energy where he spent more than 10 years in various capacities including power trading, transmission policy and contracts, business development, and project leadership. Before joining Wynn Resorts, Hansen served as Vice President at EnergySource, where he represented a broad base of Nevada'slargest energy customers across industries including mining, gaming, data centers, utilities, and technology.
Wynn Resorts said all of its employees will be given the choice of either completing a Covid vaccination or obtaining weekly negative tests, with 60 percent of staff already having received their shots.
Wynn Resorts has announced a new COVID-19 vaccination and testing policy for its employees at Wynn Las Vegas. The policy gives employees the option of either completing a COVID-19 vaccination or obtaining weekly negative COVID-19 tests.
Moody’s Investors Service has completed a periodic review of Macau’s three U.S. operators, commenting that liquidity is relatively good and their long-term prospects are credit solid despite the hit from Covid.
Wynn Resorts is enhancing its existing protocols in Las Vegas and equipping armed security officers with ballistic body armor.
Wynn Resorts said it was raising fund for general corporate purposes through the sale to the public of 5.5 million shares, with an option for underwriters for an additional 825,000 stocks. It didn't give the offer price, but Wynn's stock is currently trading at $116.99.
Wynn Resorts was upgraded to “Neutral” from “Sell” at Citi due to optimism over the company’s premium mass business in Macau after it reported better-than-expected Q4 results last week.
Wynn Resorts has published its fourth quarter 2020 and full year financial results, headlined by a 58.5 percent year-on-year decrease in operating revenues.
Wynn Resorts has clarified that its withdrawal from the Yokohama IR race at this juncture does not mean that it no longer has interest in the Japan market, and that it could jump into a bid for another candidate site at another time.
Wynn Resorts said it has again featured in Fortune magazine's most admired companies list, appearing in the top five in the hotels, casinos and resorts category.
Wynn Resorts has confirmed to the Asahi Shinbun that it has dropped out of the Yokohama IR race, leaving five firms believed to be in the running; Galaxy, Genting, Melco, Sega Sammy, and Shotoku.
In a series of announcements in recent days, all six Macau operators have now announced staff bonuses to most of their employees, generally equivalent to one month of extra pay.
Wynn Resorts said it will begin offering online gambling through its WynnBet venture in Michigan later this month. The service is already available in Colorado and New Jersey and has secured access in Indiana, Iowa, Nevada, and Massachusetts
Wynn Macau has announced an annual bonus equal to one month's gross salary will be paid to all eligible Wynn Macau and Wynn Palace team members, which represents 98.5 percent of its current workforce.
Wynn Resorts CEO Matt Maddox and three other senior executives have agreed to take a 20 percent cut to their base pay for the first three months of the year. From April 1st, normal pay will be restored.
Wynn Resorts Ltd says it may be forced to layoff workers because the Culinary and Bartenders unions are requiring the company to return to union rules of scheduling a 40-hour week for employees.
Wynn Macau has extended framework agreements with three wholly-owned subsidiaries of its parent firm, Wynn Resorts, that will allow it to receive a range of services from these companies.
Wynn Resorts CEO Matt Maddox has said the casino industry in Las Vegas could come back like in the Roaring 20's as people seek to have fun after surviving the pandemic, but warns that may take two years to happen.
There have been some positive reports this week, talking about optimism over Macau’s medium-term future, led by the premium mass and mass markets.
Wynn Resorts hosted the 2020 Wynn Local SME Procurement Partnership Meeting and E-Commerce Forum this week in Macau, aiming to serve as a starting point for the digital transformation and upgrade of local small-and-medium-sized enterprises.
After the vaccine-induced stock euphoria earlier this month, Covid-19 has returned to dampen investor enthusiasm.
Macau operators focused on the premium mass market are likely to significantly outperform in the short term, while the VIP sector may take another two years to recover, according to Bernstein Research.
Consolidation of the bases and advancement in adversity was the thrust of Macau Chief Executive’s policy address for 2021, though it gave little away when it came to the current pillar of the economy - the gaming industry.
Wynn Resorts won't be renewing some middle and senior-level management contracts, most of which are related to overseas staff, in line with its strategy of long-term succession and localisation.
Almost as soon as the world was plunged into the Covid-19 pandemic, many voices within the Asian gaming industry began talking about “recovery” and mapping exit strategies back to financial health.
On an earnings conference call last Thursday, Wynn Resorts Chief Executive Officer Matt Maddox made clear his firm’s view that the golden age of Macau junkets has definitively passed, and it is not likely to return as the Covid-19 pandemic subsides.
Wynn Resorts has reported that its operating revenues were US$370.5 million in the third quarter of 2020, a decrease of 77.5 percent on a year-on-year basis. Net losses attributable to the company amounted to US$758.1 million.
This pandemic has changed the lives of many Macanese and millions of others globally. In this part of the world, we have moved from controlling its proliferation to managing a potential deep economic fallout as a result of it.
Macau's six operators are expected to post a collective EBITDA loss of $823 million for Q3, improving from a loss of $1 billion in Q2, according to a Bloomberg poll of analysts.
Wynn Resorts has announced the appointment of Darnell Strom as an independent director to its board, effective October 14.
While most of the world continues to grapple with the economic fallout from Covid-19, figures released Monday indicate China has left the worst of the pandemic behind, with gross domestic product growth of 4.9 percent in Q3.
Macau-related casino stocks took a hit on the news that China's legislature was reviewing an amendment to the country's criminal law that could establish a new criminal definition for overseas gambling operations aimed at luring Chinese citizens.
Wynn Resorts has warned that the rising tensions between the U.S. and China could negatively impact its business prospects, including its ability to communicate with customers.
Wynn Macau doesn’t foresee Macau’s six operators undertaking a major marketing push or promotional push to win back clients and expects there to be plenty of business once travel resumes.
Wynn Resorts reported Q2 financial results that were grimmer than expected, with group-wide operating revenues down 94.8 percent. Between April and June, operating revenues came in at only US$85.7 million, causing a US$638 million net loss attributable to the company. In Macau, Wynn Palace recorded only US$8.7 million in operating revenues, a 98.6 percent drop […]
Wynn Resorts is closing its Yokohama office due to the impact of the Covid-19 crisis on the integrated resort business, though says long term it’s still interested in Japan.
Macau’s six operators are likely to post the worst quarterly performance ever in Q2, with the focus likely to be on who has done the most to control operating expenditures during the period, Morgan Stanley reports in a note.
Wynn Resorts CEO Matt Maddox has urged Nevada’s governor to begin incrementally reopening the Las Vegas Strip from mid-to-late May, with strict safety measures in place. “We now face a new, rapidly decelerating curve we must “flatten”. Our economy is in a freefall. Nevada will likely be one of the hardest-hit states in the nation […]
As part of its strategic plan to navigate the difficult financial conditions caused by the COVID-19 pandemic, Wynn Resorts’ top executives have agreed to take a 33-100 percent salary cut for the remainder of 2020. According to a company press release, the executives include the company’s board of directors and top executives, who will receive […]
Casino shares in the U.S. surged on Thursday on the expectation the U.S. government will provide assistance to the sector as part of its economic stimulus efforts.
Multiple casinos across the U.S. have announced they are temporarily closing due to the coronavirus, with properties in Massachusetts, Indiana, Ohio, Illinois and Pennsylvania all shuttering their operations.
Casino operator Wynn Macau has upped its commission rate to junket operators by 2.5 percent, in an attempt to claw back its share of the rolling market in Macau. This is according to a report from analysts at Credit Suisse, which was published on Wednesday. “As per our checks, Wynn lifted junket commission from 40 […]
Wynn Resorts saw its fourth-quarter results miss estimates, with operating revenues down 2 percent in 19Q4, dragged by decreasing revenues at Wynn Palace, Wynn Macau and its Las Vegas operations. The revenue results caused a net loss attributable to Wynn resorts of $72.9 million, down from income of $464.9 million in 18Q4. Wynn Palace, the […]
Wynn Resorts board of directors has announced the extension of chief executive officer Matt Maddox’s contract through 2022. “Matt Maddox successfully navigated the Company through its most difficult and challenging circumstances. He has rebuilt a solid strategic plan and capital foundation which now positions Wynn Resorts (WYNN) to enjoy what the Board of Directors and […]
Wynn Resorts has declared that its IR licensing efforts in Japan now have a “Yokohama Focus” and that it will soon be opening a new office in the major port city.
Casino operator Wynn Macau has announced it is preparing to conduct an offering of notes, which will be used to pay down amounts outstanding under the Wynn Macau Credit Facilities. At the moment, the aggregate principal amount, terms and conditions of the notes have not been determined, but the Wynn board said it believes it […]
Wynn Resort’s Macau Q3 results were impacted by a significant drop in VIP table games turnover, which was slightly offset by an uptick in mass gaming revenue. Operating income of its Macau operations reached $156.1 million, down 39.3 percent, while adjusted property EBITDA fell 26.4 percent to $301.2 million. Wynn Resorts CEO Matt Maddox said […]
Wynn Resorts has confirmed to Asia Gaming Brief that it has withdrawn from the IR race in Osaka and will focus its efforts on gaining an IR license in the Kanto region.
Wynn Resorts has received a second lawsuit, this time from 9 female employees over the way it handled sexual harassment allegations against then CEO and Chairman Steve Wynn, Las Vegas Review Journal reports.
Wynn Resorts says it expects its Macau results in the third quarter of 2019 to be impacted by the ongoing US-China trade war and social unrest in Hong Kong. The company made the announcement in a filing to the Securities and Exchange Commission on Thursday. “Consistent with the broader Macau market, we anticipate our Macau […]
While Wynn Macau has a higher exposure to VIP than its peers in Macau, investors are neglecting the company’s strong position in the fast-growing premium mass sector, said analysts from Bernstein on Monday. “Wynn Macau has always been perceived by investors as overly exposed to VIP due to its product positioning. As such, among Macau […]
The municipal government told reporters on Monday that Yokohama’s long period of indecision had ended and that Mayor Fumiko Hayashi would announce later in the week that her city would seek to host a major urban IR at the 47-hectare Yamashita Pier location.
Wynn Resorts saw year-over-year revenue growth across all of its properties in the second quarter of 2019, particularly in Macau and Las Vegas. Total operating revenues increased 3.3 percent year-on-year, reaching $1.7 billion. Both properties in Macau, namely Wynn Palace and Wynn Macau, saw their operating revenues inch upwards in the quarter, propped by increased […]
Construction for Wynn Resorts’ Phase 1 South Parcel Pavilion and 650 room hotel tower is expected to commence in late 2021, with costs estimated at US$2 billion. Located in a parcel of land adjacent to Wynn Palace, the proposed “Crystal Pavilion” is described by the company as a “must-see” tourist attraction, featuring an innovative architectural […]
Wynn Resorts Development Japan President Chris Gordon held a presentation for journalists last week in which he introduced Encore Boston Harbor to a Japanese audience and suggested that there were useful lessons for a major urban IR in Japan as well. “All of the components of an IR in Japan we have at the Boston […]
Lines of up to 4,000 people at a time formed at the opening of Encore Boston Harbor on Sunday, as initial reactions from the public and the local media were extremely positive.
Gaming Partners International (GPI), which recently become a wholly-owned subsidiary of Japan’s Angel Holdings, has been selected as the main casino equipment supplier for Wynn Resorts’ soon-to-be-opened Encore Boston Harbor.
U.S. casino operator Wynn Resorts has appointed its CFO, Craig S. Billings to president and CFO of the company, effective May 29, 2019. Mr. Billings, aged 46, has served as the company CFO since March 2017. His new appointment will see his annual base salary increased from $875,000 to $1.2 million. Before his time at […]
MGM Resorts has abandoned talks with Wynn Resorts over the sale of its $2.6 billion Encore Boston Harbor casino, according to an announcement on Tuesday night. Last week, it was reported that Wynn Resorts was discussing a possible sale of the Everett casino to MGM Resorts – which is due to open in June or […]
Wynn Resorts is negotiating the possible sale of the $2.6 Billion Encore Boston Harbor to MGM Resorts, according to media reports.
Wynn Resorts said it is still open to acquiring “tier-one first class” casino operators, despite walking away from a Crown Resorts acquisition deal last month. According to a report from Sydney Morning Herald, last week, Wynn chief executive Matt Maddox said the company is not pursuing any acquisitions at this stage, but will be “looking […]
Strong results for Wynn Palace was not enough to fully offset the total revenue decline for Wynn Resorts in 19Q1, with Wynn Macau and Las Vegas operational revenue falling in the quarter. Thd company however was able to swing to net income of $103.9 million in the first quarter of 2019, compared to a net […]
Asia Pacific may become a focus for more mergers and acquisitions in the casino industry, CNBC television cited a senior investor as saying.
Wynn Resorts has been fined $35 million for not disclosing sexual misconduct allegations against founder and former CEO Steve Wynn by Massachusetts gaming regulators but has been allowed to retain the license for Encore Boston Harbor in Everett, Massachusetts, which opens in June. The fines levied on Tuesday are the largest ever penalty by a […]
The embattled founder of Wynn Resorts, Steve Wynn, may soon find himself banned from entering the very properties he helped design, should a proposal from Wynn Resorts come to fruition, according to reports. In a brief delivered to the Massachusetts Gaming Commission last week, Wynn Resorts proposed that the billionaire be banned from all Wynn […]
Scientific Games Corporation has announced it will be partnering with Wynn Resorts, Ltd. to support the launch of Wynn Resorts’ unique digital sports betting and iGaming applications in the U.S. According to a press release sent on Wednesday, Wynn Resorts intends to initially launch in New Jersey and utilize several Scientific Games products and services […]
Wynn Resorts said Nevada regulators had confirmed its CEO Matt Maddox was “suitable” to hold his position after a lengthy investigation into the company following sexual misconduct allegations against founder Steve Wynn.
Crown Resorts has flagged that it may be open to a potential takeover, even though suitor Wynn Resorts has walked away, with both Hard Rock International and Genting seen as potential bidders, according to reports.
Wynn Resorts has taken its offer for Crown Resorts off the table, according to media reports, just a day after confirmation of a potential takeover sent shares in the Australian operator soaring almost 20 percent.
Australia’s Crown Resorts has reportedly hired investment bank Goldman Sachs as a defence advisor after being approached by Wynn Resorts as a possible takeover target, the Australian Financial Review reports. Wynn reportedly contacted Crown seeking to initiate talks between the two companies, although the Australian operator rebuffed the approach. Analysts expect Crown to report $3.3 […]
Regulators in Massachusetts say Wynn Resorts failed to follow its own procedures when handling sexual misconduct allegations against founder and former CEO Steve Wynn and in some cases helped to conceal those accusations. The findings were released in a near 200-page investigatory report carried out by the Investigations and Enforcement Bureau of the Massachusetts Gaming […]
While China’s cyclical slowdown will have its impact on Macau, analysts from JP Morgan are advising investors to “climb the wall of worry” and hold their casino stocks over the long term. In a report published on Tuesday, the analysts, which include DS Kim and Sean Zhuang, said that negative sentiment has already been priced […]
Wynn Resorts is preparing to open its Japan IR development office before the end of the year as it seeks a license for a large urban market, said Chris Gordon, president of Wynn Resorts Development, to Asia Gaming Brief in an exclusive interview.
A dozen companies submitted plans and information to the Yokohama municipal government before the RFI deadline last Friday. Among these, eight were international IR operators, two were domestic property developers, and two were other kinds of Japanese firms.
Wynn Resorts has announced the appointment of CEO Matt Maddox and independent director Richard Byrne as the latest additions to its board of directors. The latest appointments are in line with Wynn’s move to diversify its board of directors and follow the appointment of Phil Satre as vice chairman earlier this week. Wynn said over […]
Wynn Resorts Ltd. has appointed Phil Satre as vice chairman of the board, with the intention of appointing him as chairman by the end of the year. The appointment comes as part of Wynn Resorts’ settlement with Elaine Wynn, who has been pushing for an expanded and diversified board of directors since her former husband, […]
Wynn President and CEO Matthew Maddox has reaffirmed his company’s keen desire to gain an IR license in Japan..
Any trade war between the US and China could have implications for Macau casino companies, which, according to Steve Vickers and Associates (SVA), sit on the “geopolitical fault line.” “US patience towards China’s mercantilism – exemplified by the provision of cheap credit and subsidies to exporters, the systematic appropriation of intellectual property, and a failure […]
While Macau stocks underperformed the Hang Seng Index in 18H1, Morgan Stanley analysts believe Macau casinos will “meet or beat” earning estimates for the full year 2018. The underperformance of the HSI was “partially explained by China’s macro slowdown, World Cup impact, and lower win rate. However, most of the companies should be able to meet […]
Casino operator Wynn Resorts has announced that its general counsel and executive vice president Kim Sinatra will be resigning from the company effective July 15, 2018. Wynn Resorts did not give a reason for her departure, and only said that Ms. Sinatra and the company has not finalized the terms of her transition and departure. […]
Macau’s casino operators saw their stocks tumble on Monday after weaker-than-expected Macau gaming revenue reported for the month of June. June GGR came in 12.5 percent year-on-year growth, down from the 18-20 percent expected by analysts. Shares of Melco Resorts was one of the hardest hit, falling 9.6 percent to their lowest level in 2018. […]
The establishment of IRs will bring with them a host of new security challenges, but according to James Stern, senior vice-president for corporate security at Wynn Resorts, Japan is more than capable of facing them.
Wynn Resorts has announced the appointment of Erik Hansen as the company’s first Chief Sustainability Officer. In this newly-created role, Hansen is responsible for the development of the company’s global sustainability strategy and energy procurement goals. Originally serving as Director of Energy Procurement for Wynn Resorts since 2016, Hansen has been instrumental in instituting several […]
While Wynn Resorts has been somewhat quieter about its interest in Japan, Chris Gordon, president of Wynn Resorts Development, tells Asia Gaming Brief in an exclusive interview that this will soon change. “We wanted to see where the legislation was going. We didn’t want to be presumptuous and just sort of jump in and be […]
Galaxy Entertainment founder and Chairman Lui Che-Woo said his company has no plans to increase its 4.9 percent stake in Wynn Resorts, damping speculation it may have been planning a full takeover.
Shareholders in Wynn Resorts voted by an overwhelming majority to reject a new executive compensation package presented by management.
Macau gaming operators Sands, Melco and Galaxy are best placed to capitalize on the rise of the Chinese premium market, according to Bernstein Research. The brokerage published its latest report, titled “China Consumer: Where to Play, How to Win… Premium is the New Mainstream,” on Friday, covering the latest trends in premium mass spending, preferences […]
In a surprise move, two directors from Wynn’s board have announced they will be stepping down as board members and will not stand for re-election. The news comes just two days before the annual board meeting, set for Wednesday 16 May. One of the directors, John Hagenbuch, has most recently been on the receiving end […]
Japan will soon suffer from a shortage of local middle management staff in the tourism and hospitality sector if nothing is done over the next five years, said an expert at the Japan Gaming Congress on Thursday. Currently, Japan enjoys one of the lowest unemployment rates in OECD countries, meaning that an influx of tourists […]
The Massachusetts gaming regulator has agreed to drop Steve Wynn’s name from the Wynn Resorts’ Boston gaming license, local media reports. On Feb. 6, Mr. Wynn stepped down from his role as CEO and chairman of Wynn Resorts, selling his nearly 12 percent stake in the company at the end of March. Lawyers for Mr. […]
A second proxy firm has recommended that shareholders vote against reinstating John Hagenbuch as a director and its say on pay proposal.
Wynn Resorts has urged shareholders to vote for its board slate at an upcoming general meeting, disagreeing with a leading proxy firm, which partially backed co-founder Elaine Wynn.
Elaine Wynn, the co-founder and largest shareholder in Wynn Resorts, says she has filed a complaint in a Nevada court to force the company to provide her with shareholder list materials.
Wynn Resorts announced details of it employment contract with new CEO Matt Maddox, disclosing that he will receive a base salary of $2 million a year. Maddox took over as CEO in February after Steve Wynn was forced to depart amidst allegations of sexual misconduct. The CEO will also be eligible for a target annual […]
The chairman of Wynn Resorts’ board of directors has rejected requests from Elaine Wynn to reshuffle the company’s board of directors. Earlier this week, Ms. Wynn wrote a letter to the board seeking a restructure in the company’s corporate governance through a shake up of the board of directors. “I write to you in my […]
In a management analysis and discussion in its annual report, Wynn Macau highlighted the potential risks the company may face from the February resignation of founder and Chairman Steve Wynn following accusations of sexual harassment. “The resulting controversy related to Mr. Wynn and his separation from the group could significantly harm our business in numerous […]
Wynn Resorts has announced the appointment of three new independent directors, and the expansion of its board to 11 members. The announcement comes only a day after Elaine Wynn, ex-wife of the embattled Steve Wynn, sought for a restructure in the company’s corporate governance through a shake up of the board of directors. The new […]
Elaine Wynn, co-founder of Wynn Resorts and ex-wife to Steve Wynn is pushing for a restructure in the company’s corporate governance through a shake up of the board of directors. Only a day after Ms. Wynn drop her claims against her ex-husband over a breach of their stockholders agreement, Ms. Wynn wrote a letter to […]
The gaming industry fallout sparked by the sexual misconduct charges against Wynn Resorts founder Steve Wynn has been dramatic, but it remains difficult to gauge what it means for the hunt for IR licenses in Japan. On the one hand, the complete separation of Steve Wynn from the company which still bears his name is […]
Junket operator Dore Entertainment was ordered by Macau’s Court of First Instance to repay a gambler HK$6 million ($764,400) in lost gaming chips, plus interest. The same court absolved Wynn Resorts of responsibility in the case, according to local media reports. In September 2015, a former cage manager allegedly stole more than HK$100 million, using […]
MGM Resorts has expressed an interest in buying Wynn Resorts through back-channel approaches, the New York Post reported, citing unnamed sources. Wynn Resorts is not on the block, but the newspaper cited one source close to the situation as saying the company’s new CEO would sell if he got the right price.“I think if the […]
Galaxy Entertainment has bought a stake of just under 5 percent in Wynn Resorts from the company’s founder Steve Wynn, calling the purchase a “unique investment opportunity.” The Macau-based operator bought a total of 5.3 million shares at $175, resulting in gross proceeds of $927.5 million to Wynn. Steve Wynn also sold a further 4.1 […]
Steve Wynn’s announcement he is selling some, or all, of the 12 percent stake in the company he founded may open the door for Malaysia’s Genting to enter the Macau market, Bloomberg argues in an analysis. Genting Singapore has S$2.6 billion in net cash and free cash flow of $1.15 billion in 2017, a figure […]
A further legal chapter in the long-running dispute between Japanese billionaire Kazuo Okada, Steve Wynn and his former wife, has been closed, potentially paving the way for the sale of their holdings in Wynn Resorts. In a Securities and Exchange Commission filing, Wynn Resorts said that Steve and Elaine Wynn presented the Judicial District Court […]
Deutsche Bank has cut its share price target for Wynn Resorts to $215 from $221, though the firm reiterates its buy rating and says all indications point to upside from its forecasts in Macau. The model was tweaked to reflect Wynn’s recent agreement to settle a lawsuit with Universal Entertainment, the removal of the promissory […]
Shares in Macau’s gaming operators have surged 82 percent since the fourth quarter of 2016 and as a result most are overvalued, with investors failing to factor in potential risks from a cyclical economic downturn and license renewals, Morningstar warns. The firm says that Galaxy Entertainment, Wynn Macau and its parent company Wynn Resorts, Melco […]
Universal Entertainment shares slumped a further 13 percent Monday, continuing a decline triggered by last week’s settlement of a legal case with Wynn Resorts. The stock dropped from 6,250 yen before news of the settlement Thursday to 4,590 yen by the end of the day Monday, a loss of more than 26 percent of its […]
Universal Entertainment Corporation said it expects to record a significant jump in net income for the fiscal year ended Dec. 2018 as a result of the $2.4 billion settlement from Wynn Resorts. On Friday, the U.S-based casino operator announced an end to its long running legal battle with Universal, paying a $2.4 billion settlement to […]
U.S.-based Wynn Resorts has ended its long running legal battle with Universal Entertainment by agreeing to pay a settlement of $2.4 billion. The settlement is part of a battle between Wynn Resorts and Universal founder Kazuo Okada, who was an early investor and board member of Wynn but was ousted after a falling out with […]
Two members of Wynn Resorts’ board of directors have stepped down from the company, as lawsuits against the company’s founder and its members over sexual misconduct continue to mount. In late January, Wynn was accused of alleged sexual misconduct with employees during his role at the helm of the company. The founder and CEO, who […]
Wynn Resorts has agreed a separation package with former Chairman and CEO Steve Wynn, under which he will receive no severance, or compensation, and will need to leave his residence at the beginning of June. Under the accord, Wynn agreed not to compete against the company he founded for two years and to provide reasonable […]
Steve Wynn has agreed to terminate an eight-year-old shareholder agreement with his ex-wife, allowing both of them to sell their stock in Wynn Resorts without requiring permission from the other. Wynn’s decision to end the six-year legal battle comes only days after the gaming mogul resigned as CEO and Chairman of Wynn Resorts following sexual […]
Wynn Resorts founder Steve Wynn has resigned from his position as CEO and chairman of the company, effective immediately. The departure of the gaming veteran comes amidst an investigation into his alleged sexual misconduct with employees during his role at the helm of the company. “It is with a collective heavy heart, that the board […]
Macau’s gaming regulator has expressed concern regarding recent accusations against Wynn Resorts CEO Steve Wynn, according to reports. Representatives from the Gaming Inspection and Coordination Bureau reportedly met with top executives from Wynn Macau in order to “understand the situation”, before releasing a statement on the matter. “The Gaming Inspection and Coordination Bureau expresses concerns […]
Crown Resorts has completed the sale of its 34.6 acre vacant land site in Las Vegas to a subsidiary of Wynn Resorts. The sale was conducted by its majority owned subsidiary, Alon Las Vegas Resort LLC, which was sold to Wynn Resorts for US$300 million. According to a filing from the operator on Monday, Crown’s […]
The fallout from the Wall Street Journal article regarding Wynn Resorts’ founder and CEO Steve Wynn’s alleged pattern of sexual assault has already been serious. Wynn was forced to quit his position as US Republican Party National Committee finance chair, an investigation has been launched by the Massachusetts Gaming Commission, and the company’s stock prices […]
Casino magnate Steve Wynn, head of Wynn Resorts, said he is confident that his casino business in Macau will continue after the expiration of casino concessions starting 2020, Reuters reports. Wynn told analysts on Monday that his confidence comes from talks with the government in Macau. “We have been given reason to have confidence that […]
Capacity expansion, ramp up of recently opened properties, transportation infrastructure improvements and strength of the Chinese premium consumer should continue to push up mass over the next five years, says Bernstein in a note on Tuesday. The brokerage said it has revised its estimates for 2017E-2022E CAGR to 8 percent for Total GGR, 6 percent […]
Casino operator Wynn Macau Limited reported net profit of $90 million in the third quarter of 2017, pushed up by strong performance from Wynn Palace. Total operating revenue reached $1.2 billion in the three months to September 30, up from $682.7 million in the prior year period. Adjusted property EBITDA for Macau operations was $321.4 […]
In support of the environmental policies of the Macau SAR Government and the objective of turning Macau into a green city, the city’s six casino operators are to introduce new energy/electric shuttle bus services for passengers, for which the trial run will start with the Cotai Connection route. To alleviate road traffic, the six operators […]
Norio Tomonaga, mayor of Sasebo city, Nagasaki Prefecture, visited Las Vegas on Monday as part of a week-long official tour of the United States. Sasebo is the location of the Huis Ten Bosch theme park, the proposed site for Nagasaki’s IR. Mayor Tomonaga was accompanied by a dozens-strong delegation of city council members and prominent […]
Macau gaming brands including Wynn and Melco are well positioned for the long-term in China’s growing premium market, says Bernstein. In its latest report titled: “China Consumer: Premium is the new mainstream”, the brokerage points to a growing premium consumer class in China – an estimated 63 million people who are expected to drive sustained […]
Steve Wynn, the billionaire head of Wynn Resorts, said the man who opened fire on a crowd attending a music festival in Las Vegas last week had stayed in his hotels many times and had seemed like a rational man. Stephen Paddock killed 58 people and injured more than 500 in a murderous spree launched […]
Macau’s community is set to receive another helping hand with the addition of relief funds from Melco Resorts and Wynn Resorts, according to two separate announcements released last week. Melco Resorts and Entertainment said it plans to allocate MOP 30 million (US$3.75 million) to support its employees and their families, and the community. Two thirds […]
Wynn Resorts has been upgraded to buy from hold by analysts at Deutsche Bank due to a ramp up in the mass sector at Wynn Palace after floor reconfigurations and ongoing strength in the VIP market. “Our checks give us confidence that the reconfiguration of the mass floor has stimulated improved mass play,” the bank […]
MGM Resorts International has announced the appointment of Mark Strawn as senior vice president and chief administration officer for MGM Resorts Design and Development. Strawn will be based in Las Vegas and report directly to Bill Ham, president of MGM Resorts Design and Development. In this role, Strawn will be responsible for providing strategic leadership […]
Casino operator Wynn Resorts Ltd. saw an uptick in earnings and revenue in the first quarter of 2017, beating expectations, fuelled by strong performance from Wynn Palace and Las Vegas operations. Net revenues were $1.5 billion for the first quarter of 2017, an increase of 47.9 percent from $997.7 million for the same period of […]
Macau’s casino operators are likely to facing increasing margin pressure in 2017 as overall costs rise and promotional pressures gain with the uptick in VIP gaming, Morgan Stanley wrote in a note. The firm said staff costs rose by 5 percent in the second half of last year with the opening of the Wynn Palace […]
Recent analysis of Google search data and observation of market trends suggest that Wynn Macau’s market share could rise higher than expected, notes Morgan Stanley. According to the brokerage’s AlphaWise team, there appears to be a correlation between Google searches of a particular property and its mass market share. “We have analyzed historical Google search […]
The consensus EBITDA forecasts for 2017 for Macau’s operators now look to be achievable for this year, after targets lacked harmony with gross gaming revenue growth throughout 2016, Deutsche Bank said in an analysis. The firm said that previously, forecasts for EBITDA has failed to take account of the cost pressures stemming from the opening […]
Wynn Resorts has appointed Craig Billings, a former Aristocrat Leisure executive, as its new chief financial officer, treasurer and chief accounting officer from the beginning of March. From November 2015 through February 2017, he was an independent advisor to and an investor in the gaming industry. From July 2012 to November 2015, Mr. Billings served […]
Wynn Resorts is attempting to overturn two district court orders directing it to hand over documents to Japanese gaming mogul Kazuo Okada as part of a long-running dispute over his ousting in 2012. Okada was removed from Wynn’s board in 2012 after it was revealed he was being probed for corruption, and was forcibly made […]
Morgan Stanley has revised its 2017 EBITDA expectations for Wynn Palace to US$432 million following strong 16Q4 performance. “We expect continued ramp-up of Palace through 2017, as mass table yield and margins are still at a discount to industry averages,” said the brokerage in a note on Monday. Morgan Stanley says its EBITDA forecast for […]
Wynn Resorts has reported a 30.5 percent year-on-year rise in net income for the fourth quarter of 2016, attributed to strong revenue from Wynn Palace, and offset by decreased earnings from Wynn Macau. According to a filing from the operator on Friday, net revenues for the fourth quarter of 2016 was $1.3 billion, representing an […]
Macau is preparing to cut the amount of cash China UnionPay card holders can withdraw from ATM machines, in a move from China to curb capital flight. According to a report from the South China Morning Post on Friday, the move to cut the daily withdrawal limit from MOP10,000 (US$1,251.9) to MOP5,000 is expected to […]
Casino operator Wynn Resorts reported a net loss for the third quarter of 2016, down 118.1 percent year-on-year to $17.4 million. While Macau GGR has been on an upward trend over the last three months, net revenue from its Macau operations fell 11.5 percent in 16Q3 to $518.1 million. Adjusted Property EBITDA from Wynn Macau […]
Macau casino operator Wynn Macau has announced it has entered into an agreement with Leighton Asia to settle litigation over the construction of Wynn Palace. “The Group and Leighton Asia have been in discussions with a view to resolving these differences and avoiding the potential for protracted dispute resolution proceedings. As a result of these discussions, […]
Connectivity and positioning of resorts on the Cotai strip is likely to be key to the speed of the ramp up of the properties and its importance may have been underestimated, CLSA said in a recent research note. The firm noted that foot traffic was strong at Las Vegas Sands’ Parisian, which opened last month, […]
Gross gambling revenue rose for a second straight month in September, gaining a greater-than-expected 7.4 percent, after two years of monthly declines. GGR was MOP18.4 billion ($2.3 billion), according to figures released by the regulator. That was a 2 percent decrease from August. Average daily revenue was MOP613 million. The month’s data also implied a […]
Wynn Macau has announced the appointment of Ian Michael Coughlan as president of the company, effective immediately. The operator said Coughlan has been and will remain president of Wynn Resorts (Macau) S.A. and a member of the board of directors of the company as an executive director, positions he has held since July 2007 and […]
MGM China CEO Grant Bowie said he is “very confident” about the future of Macau’s gaming industry, as the region’s gaming operators shift their focus toward mass-market recreational gamblers. Bowie made the comments on the sidelines of a forum held at the MGM casino-hotel in Zape, when asked about his views on Wynn Resorts Chairman […]
Casino operator Wynn Resorts has reported results above analyst expectations, attributed mainly to an increase from Macau operations. According to its financial statement, more than half of Wynn Resorts’ net revenues of $1.1 billion for the second quarter of 2016 came from Macau – which rose 3.6 percent to $639.3 million for the second quarter […]
The 9th Circuit Court of Appeals has upheld the dismissal of a lawsuit against Wynn Resorts board members concerning the donation of $135 million to the University of Macau Development Foundation in 2011. The lawsuit was filed in 2012 by the Louisiana Municipal Police Employees’ Retirement System, a shareholder of Wynn Resorts. The lawsuit alleged […]
Macau casino operator Wynn Resorts has announced the opening date of Wynn Palace will be August 22, 2016 as expected. In a press release on Monday, the operator said “The Company expects that the opening of Wynn Palace will help launch a new era of prosperity for Macau, attracting more international tourists to the city […]
Wynn Macau stock has already outperformed year to date ahead of the opening of Wynn Palace, said Morgan Stanley analysts in a note on Tuesday. “Historically, stocks tend to outperform peers between the announcement of the opening date and the actual opening of the new casinos…. However, we think this could have been priced in […]
Fitch Ratings has affirmed the Issuer Default Ratings (IDRs) of Wynn Resorts at ‘BB’, with a ‘Stable’ Rating Outlook, according to a press release on Tuesday. “Fitch’s affirmation of WYNN and the Stable Outlook reflect our view that WYNN has a relatively clear glide path to reduce leverage to levels more commensurate with its ‘BB’ […]
Macau’s Court of Second Instance has denied an appeal by Galaxy Entertainment for an action against Wynn Resorts regarding the trademarking of its ‘SW’ logo, local media reports. The case first came to light in 2013 when Wynn registered a trademark for the use of the ‘SW’ logo in drinks and food. Galaxy contested the […]
Wynn Resorts says its delayed $4.2 billion Wynn Palace resort on Cotai is now expected to open in the third quarter and it invested about $177.5 million in the first three months of this year on the project. The integrated resort contains a 1,700-room hotel, a performance lake, and a wide range of amenities. The […]
Macau authorities are looking into the bad debts of VIP gaming promoters, as part of an audit that is estimated to be ready by the end of the year, TDM reports. In a report released on Friday, quoted by TDM, brokerage Daiwa Securities said total debt outstanding in the VIP segment is at least HK$30 […]
The opening of Wynn Palace in August will be a key inflection point for the company, said a note from Bernstein on Friday. Bernstein analysts say although there will be some cannibalization of its existing operations in the short term, the new opening will position the company to be a market share taker with long-term […]
Wynn Resorts’ newest development Wynn Palace is likely “to open in July or maybe the first week of August,” said the chairman and chief executive of Wynn Macau in a recent investor presentation. According to a previous filing, potential construction delays could push the Wynn Palace opening to the second half of 2016. Penalties would […]
Wynn Resorts Limited says it expects around a 10 percent decline in its Macau property EBITDA for Y16Q1, approximately 15 percent above analyst estimates. According to its preliminary expectations of the first quarter financial results, the casino operator says it expects net revenue to decline 14 percent year on year between $603 million to $613 […]
Wynn Resorts says potential construction delays could push the Wynn Palace opening to the second half of 2016. The Macau casino operator said that, although it still expects to open Wynn Palace in the first half, there is a chance the opening would be delayed, according to a filing to the Hong Kong Stock Exchange. […]
Las Vegas Sands president and chief operating officer Robert Goldstein believes room rates may fall when several new properties come on line in Macau this year, local media reports. Goldstein, who was quoted at the JP Morgan Gaming, Lodging, Restaurant and Leisure Management Access Forum in Las Vegas last week, said properties to be opened […]
The Macau Transport Bureau is aiming to cut shuttle bus routes in the territory by 20.55 percent from 73 to 58, local media reports. According to Hoje Macau who quotes the Transport Bureau (DSAT), there are currently 65 bus routes still operating, marking a decline of 11 percent. Sands China was reported to have cut […]
Founder and chief executive officer Wynn Resorts, Steve Wynn’s annual remuneration fell 18 percent last year to US$20.7 million, according to a US SEC filing. The board of Wynn Resorts said Mr. Wynn’s annual incentive was cut to $17.5 million, half paid in cash and half paid in shares, and cut his salary to $2.5 […]
Wynn Resorts, which was to begin construction of its $1.7 billion casino later this year, has said it will postpone the project as a result of continued objections to a key environmental permit by officials in Somerville, just across the river from the project, local media reports. Mayor Joseph Curtatone of Somerville was revealed as […]
Wynn Resorts Ltd’s Macau operations have reported net revenue for Y15Q4 at US$555.7 million, a 27 percent decrease from the $761.2 million generated in the same period in 2014, according to a recent press release from the casino operator. The net revenue decrease from its Macau operations was cited as a main reason for the […]
Wynn Resorts has said it expects a drop of about 25 percent in its Macau revenue in Q4, though a stronger performance in Las Vegas will help to offset the decline. The company is the first of the Macau operators to provide figures for Q4, though the results are preliminary. As for its Macau operations, […]
Wynn Resorts Limited announced on Tuesday, Dec. 8 that Chairman and CEO Steven Wynn spent around $63.8 million to buy more than one million shares of his company’s stock on the NASDAQ open market. This puts the total amount of shares owned by Steve Wynn, to 11.1 million shares. In a filing with the Securities […]
Wynn Resorts said it has delayed the opening of its $4.1 billion Wynn Palace resort on Cotai by three months. The operator said it had been notified by its general contractor, Leighton Holdings. that the project would not be ready by the March 25th early completion date. The new opening date has been set at […]
Gross gambling revenue in the first week of November is pointing to a weak start for the month, prompting analysts to revise down their forecasts. According to Bernstein Research average daily revenue in the week through to Nov. 8th was MOP 525 million ($66 million), lower than October’s MOP 647 million rate, mainly due to […]
Japanese billionaire Kazuo Okada will have to travel to the U.S. to face questioning over events leading to his ousting from Wynn Resorts’ board after failing to overturn a Nevada court order, Bloomberg reports. The ruling last Thursday from the Nevada Supreme Court upholds an earlier decision by a lower court that ordered Okada, head […]
Wynn Resorts’ 3Q earnings missed expectations on a steep drop in revenue from its Macau operations with income from the high-roller segment falling by half. The operator said net revenues for the quarter were $996.3 million, down from $1.37 billion a year earlier and below forecasts for $1.03 billion. Net revenue in Macau was down […]
The profitability of Macau’s casino operators is expected to decline more than revenue in Q3, though results will have improved from the prior quarter due to stabilization in the higher margin mass market, UBS said in a research note. Overall EBITDA is seen falling 36 percent year-on-year in Q3, that’s up 2 percent from Q2. […]
Las Vegas Sands was the biggest loser in terms of mass market share among the U.S.-listed operators in Macau in September, according to Wells Fargo research. For the market as a whole, unadjusted mass revenue fell 33 percent year-on-year, with junket volumes down 54 percent and VIP revenue off 34 percent, the analysts said in […]
International Game Technology announced that Wynn Resorts has signed an agreement to install a comprehensive suite of IGT systems applications at Wynn Palace, Macau, and other resorts. The deal will see systems be installed at Wynn Las Vegas and Wynn Everett in Massachusetts upon completion of construction. The IGT server-based systems installation includes an upgrade […]
Casino stocks traded in Hong Kong plunged to multi-year lows on Tuesday, with losses spilling over into U.S. trading, after junket operator Neptune Group warned it may be forced to exit the business, while concern over Golden Week tourism numbers added to the gloom. SJM Holdings fell almost 7 percent to a five-year low, Wynn […]
It appears that casino mogul Steve Wynn will pass on a return to New Jersey as US new sources report that Wynn Resorts Ltd has withdrawn its application for a state online gambling license. Its digital gaming subsidiary Wynn Interactive is said to have withdrawn its application a month ago with New Jersey’s Gaming Enforcement […]
Wynn Resorts recently met with the Deputy Premier of New South Wales in Australia to discuss potential investment opportunities, The Age reported. According to the latest NSW government ministerial diary summaries, representatives from Wynn Resorts met Troy Grant on May 13. The purpose is recorded as an “introductory meeting” to discuss “investment in NSW”. Wynn […]
Recently discovered interviews with at least five people suggest Wynn Resorts knew a mob associate with felony convictions would profit from his stake in the waterfront land where the Las Vegas casino company plans to build a resort, the city of Boston said in recent court filings, according to the Associated Press. Boston, which is […]
Macau’s six casino operators jointly announced the findings of an independent study into the attitudes towards proposed tobacco control legislation, which would ban all smoking inside casinos, saying a majority of employees back the retention of smoking lounges. The initial results of the study, conducted on behalf of Galaxy Entertainment Group, Melco Crown Entertainment, MGM […]
Grant Bowie, the CEO of MGM China has declined to comment on speculation that MGM China’s parent company, MGM Resorts International, may merge with US casino operator, Wynn. After CNBC host Jim Cramer said there was “speculation” the two operators would merge – without citing his sources – Bowie has moved to quash the rumors. […]
Shares in Macau casino operators gained Thursday following a Credit Suisse analysis of the breakdown of May gambling revenue that pointed to “some green shoots.” The investment bank said VIP gaming rose 3 percent from April, VIP rolling gained 7 percent and mass gaming was up 9 percent. “Mass revenue was quite decent, even after […]
Investors are still not cautious enough on Macau gaming stocks despite the sell off that has resulted in a 37 percent underperformance relative to Hong Kong’s benchmark Hang Seng Index this year, Morgan Stanley says in a note. “While sell side is generally negative, we see investors are inclined to add positions. We see further […]
Wynn Resorts CEO Steve Wynn said he makes no apologies for slashing the dividend from $1.50 to $0.50 a quarter based on the company’s poor financial results. In an earnings call, Wynn said he and the board would “not hesitate” to further lower the dividend if necessary “without a second thought and without any apology.” […]
Wynn Resorts’ large dividend cut from $1.50 per share to $0.50 in the first quarter following dire financial results from its Macau arm reflect a cautious outlook for Macau, UBS says. Wynn Resorts, which cut its quarterly dividend to $0.5 from the previous quarter, announced that its Macau operation reported property EBITDA of $212 million, […]
Shares in Wynn Resorts tanked 10 percent in after hours trading Tuesday after the company posted much lower-than-expected 15Q1 adjusted earnings as revenue from its Macau operations fell 37.7 percent. The company reported overall net revenue of $1.1 billion, missing estimates for $1.2 billion, according to Capital IQ. Las Vegas revenue gained 1.6 percent. Adjusted […]
Elaine Wynn, the second-biggest shareholder in Wynn Resorts, has lost her battle for a seat on the board after failing to win over a sufficient number of shareholders to back her re-election at an annual general meeting. Wynn has been in a war of words with the board of the casino operator, which was co-founded […]
Wynn Resorts and board member Elaine Wynn have stepped up their battle of words ahead of a vote on April 24th that will decide whether the former wife of chairman Steve Wynn retains her seat at the top table. On Monday, the company sent a letter to shareholders urging them not to vote to return […]
Casino stocks took a hit after the government announcement that Macau will cap the number of Mainland visitors to 21 million, with Wynn faring the worst. Wynn Resorts Limited finished Tuesday’s session as the worst performer on the S&P 500 Composite index, falling 6.13 or 4.59 percent to 127.47. Wynn has been downgraded by several […]
MGM Resorts International and Wynn Resorts no longer allow cash at their poker tables, a push that possibly reflects that casino operators are trying to step up their anti-money laundering efforts. Though the companies have not disclosed details around the policy, news site Vegas Inc says some experts think the change is motivated by a desire from casinos, facing pressure […]
Glass Lewis & Co., a leading independent proxy advisory firm, has recommended that Wynn Resorts stockholders vote “FOR” ALL of the director nominees, the casino operator announced in a filing. According to Wynn, Glass Lewis said in a report that it supported Wynn’s nominees and rejected director Elaine Wynn, who was formerly married to CEO […]
Wynn Resorts has fallen victim to Macau’s downturn with the company’s fourth-quarter profit plummeting as a result of its Macau operations underperforming. The company’s revenue fell to $1.13 billion, dragged down by a 32 percent decline in the Macau operations and 5.8 percent drop in Las Vegas. Net income was $109.3 million, or $1.07 per […]
An undercurrent of debate over the future of existing gaming concessions in Macau has begun to percolate as the contracts approach renewal in the coming few years. In a report launched by the Hong Kong-based securities and intelligence consultancy, Steve Vickers Associates, the firm says the Macau government may be considering looking to a “new” […]
The Q4 EBITDA of Macau’s gaming operators is likely to decline about 11 percent quarter on quarter, outpacing a drop in revenue, due to the falling mass market, according to a note from Morgan Stanley. It says overall gambling revenue fell 9 percent quarter on quarter, with a 5 percent drop in VIP and 13 […]
As the Covid-19 crisis descended upon, first, China, then the world, the six Macau operators have not been idle in their CSR efforts, in spite of the mandated casino closures and reopenings under difficult economic conditions.
The Abe government's decision to drag its feet on more detailed regulations governing the IR industry and to delay the establishment of the Casino Management Board may exercise an effect on which local governments get licensed and which IR operators are selected.
Besides being titans in the casino world, there’s something else that Sheldon Adelson, Stanley Ho, Lim Kok Thay and Steve Wynn have in common and this factor may lead to important regulatory repercussions for their business empires.
The year 2017 saw a distinct acceleration in the race to obtain licenses to build and operate Japan’s first IRs. While everyone agrees that the potential scope of the market is vast, without the precise locations and the terms of regulation yet being clarified, estimations of the ultimate size of this market remain little more than guesswork. Progress in the year was once again stalled by politics, though operators are hoping to push forward in 2018 with both the legislative framework and their own groundwork.
In just three years, the first of the licenses awarded to Macau’s concessionaires expire and, despite the billions of dollars invested by the operators in the market, there is still no clarity over the renewal process. There is no mechanism under the current law for automatic renewal which, as the deadline approaches, is leading to increasing concern in the market as to the tack the government may take. Views on the ground are mixed.
Asia’s gaming markets have seen a strong first half, with Macau, the Philippines and Cambodia leading the way, prompting some analysts to revise upwards their targets for the full year. But it hasn’t all been plain sailing; the fatal attack on Resorts World Manila lead to a suspension of its gambling operations in June, while South Korea continues to underperform after a diplomatic spat with China, which banned tour groups after Seoul agreed to deploy a U.S. missile shield.
Macau saw a 62 percent spike in MICE visitation in the first quarter, helped by government subsidies, though the territory still faces considerable hurdles to reach its full potential as an events and exhibitions destination. Macau has lost out to regional rivals due to a lack of hotel capacity, limited venues, poor transport links and a branding problem and although problems are gradually being addressed progress is slow.
Chinese Premier Li Keqiang praised Macau’s efforts to diversify its economy during a three-day visit last year, but market experts say operators are still trying to get the recipe right when it comes to non-gaming attractions and face an uphill struggle. Revenue from non-gaming has improved, however, Macau is still far from being a destination that will attract visitors for its tourism offering off the casino floor.
Macau got off to a good start in January, with GGR in the initial weeks higher than expected, though few expect any return to the stellar growth rates of the past, with China still likely to be the driving factor for casino operators. Beijing’s crackdown on corruption triggered a two-year slump in gaming revenue and going forward the performance of its economy, efforts to control capital outflows and its ongoing fight against graft will all play a role in determining the strength of the local gaming market.
Macau will see its most expensive casino to date open its doors this week, when Wynn Resorts' high-end $4.2 billion Wynn Palace makes its debut on Monday after a series of construction delays.
The multi-billion properties opening up on Macau’s Cotai strip are still likely to be viable, despite the slump in gaming revenue in the territory, though returns will fall far short of the levels expected when the resorts were first planned, analysts say. The six operators are set to almost double their room capacity over the next two years at a time of unprecedented uncertainty for the revenue outlook.
Asia Gaming Brief asked its advisors David Green, John English, Luis Mesquita de Melo, Andrew Klebanow and Steve Gallaway, to look ahead and share with us what they believe are the underlying currents for the Asian Gaming industry in 2016. Views may differ but the one common denominator is the shifting of the sands - something will have to give…An end to the IR “arms race," by David Green The strong will survive, by Steve GallawayEnough about the Millennials, by Andrew KlebanowMacau will continue the race to reinvent, by John EnglishThe “golden” gap for emerging jurisdictions, by Luis Mesquita de Melo
As Macau’s gross gambling revenue has slumped, operators have been paring costs to the bone to protect margins, with the first casualty usually being spending on marketing and player reinvestment.However, this may be a short-sighted approach that will cost dearly in the longer term.
The government’s mid-term review of Macau’s six gaming operators is now well underway, assessing the strengths and weaknesses of the concessionaires and sub-concessionaires ahead of the expiry of current concessions.Against a backdrop of a year of falling gambling revenue and a crackdown on corruption by mainland China, it has added a further layer of regulatory uncertainty in the market.