Wynn Resorts has unveiled its financial results for the fourth quarter of 2022, revealing a nuanced revenue performance. Despite facing challenges such as limited activity in Macau, the company witnessed increased revenue in its US operations. The report highlights the impact of various factors on Wynn Resorts’ overall financial outcomes.
Q4 Revenue Overview:
Wynn Resorts reported a total revenue of $1 billion for the fourth quarter ended December 31, 2022. This represents a decrease of $48.2 million compared to the $1.05 billion reported in the same period in 2021. The decline in overall revenue is attributed to the reduced activity in Macau, which offset the positive growth observed in the US segment.
Segment-Specific Performance:
The report delves into the specific performance of different segments within Wynn Resorts’ operations. Operating revenues experienced an increase of $91.6 million and $14.4 million at Wynn Las Vegas operations and Encore Boston Harbor, respectively. However, there were declines of $80.9 million, $54.5 million, and $7.8 million at Wynn Palace, Wynn Macau, and Wynn Interactive.
CEO’s Perspective:
Craig Billings, the CEO of Wynn Resorts, commented on the results, highlighting the accomplishments of the company’s North American properties. He pointed out that Wynn Las Vegas and Encore Boston Harbor achieved a new fourth-quarter record for Adjusted Property EBITDAR, contributing to a full-year record of $1.04 billion. Billings emphasized the dedication of the teams to deliver exceptional hospitality, positioning their properties as premier destinations for luxury guests.
Macau and Future Growth:
Billings acknowledged the challenges faced in Macau and expressed gratitude for being awarded a new 10-year gaming concession. Despite the difficulties, the company experienced a meaningful return of visitation and demand during the recent Chinese New Year holiday period. Billings expressed confidence in Wynn Resorts’ readiness for the next phase of growth in Macau.
Financial Highlights:
Net income for the fourth quarter amounted to $32.4 million, or $0.29 per diluted share, a stark contrast to the net loss of $177.2 million in Q4 2021. The annual operating revenue for the year ended December 31, 2022, remained flat at $3.76 billion compared to the prior year. The report further breaks down the performance of various segments, reflecting both increases and decreases in operating revenues.
Year-End Results:
For the entire year of 2022, net loss attributable to Wynn Resorts amounted to $423.9 million, or $3.73 per diluted share. This is in contrast to the net loss of $755.8 million, or $6.64 per diluted share, for the year ended December 31, 2021. Adjusted net loss attributable to Wynn Resorts for 2022 was $507.4 million, or $4.47 per diluted share, compared to $695.8 million or $6.12 for 2021.
Wynn Resorts’ Q4 2022 financial results reflect a mixed performance driven by a combination of factors including activity levels in Macau and increased revenue from its US operations. The company’s strategic focus on providing top-tier hospitality and its readiness to adapt to changing market dynamics position it well for future growth and success in both domestic and international markets.