The Macau operations of US casino giant Wynn Resorts Ltd fell to a US$185.3 million operating loss in the three months to 30 June 2022 as COVID-19 restrictions continued to limit visitation.
The loss was almost four times higher than the US$49.6 million operating loss recorded in 2Q21 and almost double the US$98.3 million loss from the opening quarter of this year, while Adjusted EBITDA loss of US$90.3 million also reversed a US$67.6 million EBITDA profit from a year ago.
“The results of operations of our Macau Operations for the second quarter of 2022 continued to be negatively impacted by certain travel-related restrictions and conditions, including COVID-19 testing and other mitigation procedures, related to the COVID-19 pandemic,” the company said in its results announcement.
Wynn Macau’s 2Q22 results included a 78.3% year-on-year decline in operating revenues at Cotai integrated resort Wynn Palace to US$58.7 million, with an Adjusted Property EBITDA loss of US$50 million.
VIP table games at Wynn Palace actually contributed a loss of US$6.7 million for the quarter as turnover plummeted, while mass table games generated win of US$41.6 million and slot machines win of US$4.9 million.
At Wynn Macau, operating revenues also fell 68.2% to US$58.6 million with an Adjusted Property EBITDA loss of US$40.4 million. VIP table games generated income of US$14.4 million, mass market tables US$30.6 million and slot machines US$6.3 million.
Group-wide, operating revenues for Wynn Resorts declined 8.2% year-on-year to US$908.8 million, with net loss attributable to Wynn Resorts of US$130.1 million. Adjusted Property EBITDA was US$179.2 million, compared to Adjusted Property EBITDA of US$206.9 million in 2Q21.
However, the company’s US results were strong with operating revenues from the company’s Las Vegas operations up 58.0% to US$561.1 million and from Encore Boston Harbor up 27.2% to US$210.2 million.
“Our second quarter financial results reflect continued strength at both Wynn Las Vegas and Encore Boston Harbor,” said Wynn CEO Craig Billings.
“Our teams’ ongoing focus on five-star hospitality and new experiences at our market-leading properties combined with very strong customer demand drove a new all-time quarterly record for Adjusted Property EBITDA at Wynn Las Vegas and a second quarter record at Encore Boston Harbor.
“In Macau, while COVID-related travel restrictions continued to impact our results, we remain confident that the market will benefit from the return of visitation over time.”
