Wynn Resorts Ltd. said today it expected its first-quarter results to again show substantially lower revenue from the company’s Macau operations, though Las Vegas revenue could be slightly higher than a year ago.
The company released preliminary earnings results, as it did last quarter, that indicated its Macau revenue may drop by as much as 14.5 percent from the same period in 2015, while revenue from Las Vegas could rise by as much as 1.8 percent.
Wynn Resorts said the preliminary results were still subject to the completion of its final financial statements. The company runs the Wynn and Encore properties in Las Vegas and Macau, where it’s also planning to open the $4.1 billion Wynn Palace later this year.
Per the early results, first-quarter net revenue from Wynn Resorts’ operations in Macau are expected to be between $603 million and $613 million, compared to $705.4 million last year. Meanwhile, the company anticipates reporting adjusted property earnings before interest, taxes, depreciation and amortization in the $187 million to $195 million range, compared to $212.3 million in 2015.
In Las Vegas, Wynn Resorts said it expected first-quarter net revenue to be between $384 million and $394 million, compared to $386.9 million in the first quarter of 2015. Its adjusted property earnings before certain costs there are expected to be between $105 million and $113 million, compared to $110.7 million a year ago.
The first-quarter expectations are similar to what Wynn Resorts experienced in the fourth quarter of 2015, when Macau revenue fell 27 percent and Las Vegas revenue rose 3.8 percent.
Though Macau still accounts for the bulk of the company’s revenue, business there has been hurt by broader struggles in the market. Macau’s monthly gaming revenue has consistently declined for nearly two years due to a government-led corruption crackdown and weakness in the Chinese economy that has hurt business from high-rollers.
Shares of Wynn Resorts were down 1.56 percent in after-hours trading today.