Wynn Resorts Q3 impacted by VIP fall

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 its Macau and Las Vegas operations were impacted by negative hold. 

Casino revenues at Wynn Palace, its flagship property in Macau fell 20.4 percent year-on-year to $497.7 million, due mainly to a 32.3 percent fall in VIP table games turnover, reaching $10.5 billion. 

On the other hand, mass-market table drop reached $1.3 billion in the quarter, increasing 9.2 percent year-on-year. 

Over at Wynn Macau, casino revenues fell 18.8 percent to $408.8 million. This was due mainly to a 42.5 percent decrease in VIP table games turnover, down to $8.02 billion. Mass table games drop increased 11.5 percent to $272.5 million. 

Across both properties, slot machine handle saw year-on-year growth but made up a very small portion of total casino revenues overall. 

Speaking about the results, Wynn Resorts CEO Matt Maddox said noted that the company was able to deliver solid financial results in the third quarter, despite negative hold impact in Macau and Las Vegas. 

Maddox noted that the company is on track to launch the renovated West Casino at Wynn Macau beginning in late 2019, “further solidifying the property as the peninsula’s marquee integrated resort.”

Overall operating revenues for the company, which includes results from Las Vegas and Encore Boston Harbor, reached $1.65 billion in 19Q3, down 3.6 percent. 

Wynn Resort said the decrease in operating revenues in Macau was partially offset by operating revenues from Encore Boston Harbor.