Maybe it was just a slight profit gain, but it was enough to exceed what industry analysts predicted: Wynn Resorts Ltd. first quarter 2013 earnings, that is. Both Las Vegas and Macau out-performed expectations in both the hotel occupancy and gaming revenues areas. As they say, the rich get richer.
Macau, now the world’s number one gambling mecca, was the primary reason for the slight surge with a 4.4 percent gain that brought revenues to $992.1 million for January-March 2013. But Vegas wasn’t too shabby either, and actually showed a higher percentage gain for the quarter, up 6.6 percent to $386.6 million.
Shares Are Up
Overall, it was all sunshine and roses for Wynn shareholders, who saw a bump to $2 per share, compared to $1.23 per share the year prior. That doesn’t sound very impressive until you total it up; Wynn Resorts net income for the first quarter was an attractive $203 million, compared to a mere $140.6 million last year for the same period.
And shareholders earnings were higher than expected as well; analysts had predicted $1.55 per share, but they actually came in at $2.03 per share. Guess that means an extra topping on your Starbucks latte, or some such fabulosity.
Cotai Is Next
Adding to his empire that almost rival’s Caesar’s – the Roman emperor, not the casino chain – Wynn’s next project will be in Macau’s Cotai district, where he is putting up a splendid $3.5 or $4 billion resort. What’s half a billion among friends, after all, and who are we to question why there is a half-billion dollar question mark on this project. We’re happy when we find $10 in the sofa.
The Cotai resort just broke ground this winter and should be having a grand opening before summer of 2016. Wynn even has arranged for mass transit links to appropriately carry the masses to his new joint. We’re guessing the whales will be brought in via a slightly more luxurious mode of transit.
Here’s the bottom line: Wynn can probably afford a few more ex-wives before he runs low on cash.