Wynn Resorts Roars Back With Strong Q4 2022 to Pursue New Projects

Wynn Resorts Ltd, a globally recognized developer of high quality hotels and casinos, announced Wednesday that the company’s commitment to offering high quality products at premium prices has resulted in Wynn’s first profitable quarter in Las Vegas and Boston locations since the pandemic.

Focus on hospitality:

In the Wednesday earnings call, Wynn CEO Craig Billings told investors : “Our teams at Wynn Las Vegas and Encore Boston Harbor delivered a new fourth-quarter record for adjusted property cash flow at our combined North American properties. These impressive results are a testament to our team’s relentless focus on delivering five-star hospitality, which continues to elevate our properties above our peers as the destinations of choice for luxury guests in both Las Vegas and Massachusetts.”

Q4 2022 offset:

Wynn Resorts Ltd operates Wynn Las Vegas and Encore Las Vegas, Encore Boston Harbor, and three properties in Macao. The strong Q4 in North American resorts has compensated the weak performance in the Macao properties that faced the pandemic-driven closures throughout the quarter to re-open on January 8, 2023. For Q4 2022 ending on 31 December, Wynn reported net income of $32.4 million on revenue of $1 billion against the last year’s net loss of $177.2 million on the $1.05 billion revenue.

Macao roared back:

The company saw its Macao resorts improving the performance after the January re-opening for the Chinese New Year celebration week but remains cautious about the prospects: “In the grand scheme of things, it’s a week. So it’s hard to read any tea leaves in a week,” said Billings. “What I would say is that the market roared back. Macao was a rager on the mass side, on the direct VIP side, on the retail side and on the occupancy side during Chinese New Year.”

He added: ”It outperformed our expectations for the long period shortly thereafter. Anything beyond that is just too early to read.” At the same time, Las Vegas and Boston properties performed above expectations to propel Wynn’s enthusiasm about the months ahead.  Its Las Vegas business will be in a position to benefit from the impressive calendar of events  – including the first-ever Formula One Las Vegas Grand Prix  – that is expected to boost the operations of the company’s Strip resorts.

Las Vegas and Boston performance:

In Boston, Encore Boston Harbor has recently seen the legalization of in-person sports betting in the state of Massachusetts that is expected to bring additional traffic in the resort, with mobile sports wagering set to launch in the state in March likely to draw even more clients to the proprietary WynnBet app.

Cautious optimism:

In addition to these facilities, Wynn announced Wednesday that it would shortly come up with the renderings for its planned casino resort in the emirate of Ras Al Khaimah in the United Arab Emirates as the only place in the emirates that will allow gambling. Also, the company is partnering with New York real estate giants Related Companies in a Manhattan property deal and considers further steps with cautious optimism based on the profitable Q4 2022, attractive 2023 calendar, and positive market trends across all properties.