Wynn Macau (1128) H1 2024 earnings summary

Executive summary

• Operating revenues for the six months ended 30 June 2024 rose 37.2% year-over-year to HK$14.73 billion, driven by higher gaming volumes and improved visitation post-COVID-19 restrictions.

• Net profits attributable to owners surged to HK$1.59 billion from HK$87.5 million in the prior year period.

• Adjusted EBITDA increased 57.4% year-over-year to HK$4.35 billion, reflecting strong operational recovery.

• An interim dividend of HK$0.075 per share was declared for the six months ended 30 June 2024, payable on 12 September 2024.

Financial highlights

• Casino revenues grew 46.2% to HK$12.09 billion, accounting for 82.1% of total operating revenues.

• Mass market table games win rose 52.5% to HK$11.37 billion; VIP table games win increased 15.4% to HK$2.53 billion.

• Room revenues increased 7.6% to HK$1.22 billion, with occupancy rates above 98% at both properties.

• Food and beverage revenues climbed 32.0% to HK$804.9 million.

• Operating costs and expenses rose 25.6% to HK$11.82 billion, mainly due to higher gaming taxes and other operating expenses.

Outlook and guidance

• Continued investment in non-gaming projects is required, with an additional MOP3.3 billion (HK$3.2 billion) to be invested over the concession term following a market-wide gaming revenue trigger.

• The company expects to fund operations and capital expenditures from operating cash flow, cash on hand, and available credit facilities.

• Management remains optimistic about Macau’s tourism recovery and future growth opportunities, supported by robust visitation and ongoing investments in non-gaming amenities.