Las Vegas Sands Financials Decline in Q2

The giant land-based casino venue, Las Vegas Sands, has publicly posted the financial figures for the second quarter of 2018, revealing a steady decline in results who have fallen short of expectations, both casino’s and investors’.

Casinos in Nevada have had quite a turmoil of the last year, with some overperforming way above what was expected, and others falling short of what they’re used to in of operating income…

…Las Vegas Sands is the largest casino company in the US, with $13 billion in sales worth.

Key Figures

Sadly, Las Vegas Sands falls under the category of the latter. The casino, which made quite a few headlines two years ago with a penalty they got for violating gambling rules posted the following numbers on their official financial page:

• Consolidated net revenue rose by 6.2 to $3.3 billion
• Operating income fell by 2.4% to $797 million
• Sands Macau revenue rose 18% to $2.11 billion
• Macau net income up 30% to $427 million
• Venetian Macau revenues of $830 million, up 23.1%
• Rolling chip volume up 44.3% to $7.46 billion
• Marina Bay Sands Singapore revenue down 15.5% to $705 million, with EBITDA down 25.2% to $368 million

The Reaction

So, while these results are not bad per se they still mean that goals set earlier have not been met. This has prompted Sheldon Adelson, CEO of Las Vegas Sands, to give a statement:

“We experienced strong growth in both the VIP and mass table games segments, enabling us to grow our market share of gaming revenue both year-over-year and sequentially. Our Macao operations are back to generating an annualized EBITDA run rate of $3 billion. Marina Bay Sands continue to produce strong cash flows, while Las Vegas has another strong quarter on a hold-normalized basis.”

Adelson is currently ranked as 21st on Forbes’ list of billionaires in 2018 and is currently estimated at $40 billion in wealth.