Wynn Reveals ‘Modest’ Delay in Opening UAE Casino

• Wynn Resorts confirms there will be “modest” delay in opening UAE casino resort
• The venue was expected to debut in early 2027
• Wynn didn’t set a new opening date, but will get into specifics in the months ahead

As expected, Wynn Resorts (NASDAQ: WYNN) is pushing back the opening of its United Arab Emirates (UAE) casino resort due to construction issues caused by the war in Iran, making the announcement in conjunction with the release of its first-quarter earnings yesterday.

Speculation recently surfaced that Wynn, and its local partners would be forced to postpone the opening of the $5.1 billion Wynn Al Marjan Island in Ras Al Khaimah, UAE due to Iranian military strikes against the Emirates.

CEO Craig Billings acknowledged the operator is contending with logistical and shipping headwinds, though it is rerouting shipments and sourcing alternative supplies when it can.

Based on conditions today, these challenges are manageable, though we are realistic that the picture could shift as the situation evolves. We do expect a modest delay in our opening timeline,” said Billings on a conference call with analysts.

He added that Wynn will quantify a new timeline for the UAE casino hotel in the coming months, noting the project continues making progress.

Investors May Be Overreacting to Wynn UAE Casino News

Shares of Wynn traded lower today, and the UAE delay may be a culprit in that scenario, but that may be a case of market participants overreacting.

“It really doesn’t materially change the long-term value of the asset unless you believe the UAE market in general is going to be permanently impaired, due to long-term effects from the Middle East conflict,” observes the analyst. “We don’t buy that narrative.”

He adds investors may be forgetting that the UAE has endured numerous regional conflicts, often with some immunity, while emerging as one of the world’s premier high-end tourist destinations. As for value around the Wynn project, it will hold a multi-year monopoly because gaming regulators there aren’t in a hurry to approve another casino license.

It’s also expected that when another two or three casinos join the Wynn venue, the UAE could become a $3 billion to $5 billion market based on yearly gross gaming revenue (GGR).

Wynn Carrying on in UAE

To date, no tragedies occurred at the Wynn Al Marjan Island construction due to Iranian attacks and the bulk of the issues setting the opening date back are logistical in nature, but Wynn is attempting to make supply chains as flexible as possible and progress is being made.

“We’re actually advancing the project and moving ahead. So, I mentioned that we expect a modest delay, and I use the word modest very, very intentionally because that’s what we believe it will be,” added Billings on the call. “We don’t want to size that until we have kind of a real view on stability.”