Wynn Resorts' Q1 Revenue Dips to $1.7 Billion, Reporting a Net Income of $72.7 Million
Fresh takes on Wynn Resorts' Q1 2025 Financial Report unveils a tapering performance compared to Q1 2024
Wynn Resorts, the renowned casino and hospitality giant, revealed its Q1 2025 financial report showing a slide across major revenue streams, marking a downward trend compared to the same quarter the previous year. Though the Las Vegas segment shone as the top revenue-generating contributor, it still fell short by 1.8%.
The Las Vegas strip witnessed a total revenue of $625.3 million, a number that, despite leading the pack, was a 1.8% drop from Q1 2024. The adjusted property EBITDAR for Las Vegas came in at $223.4 million, reflecting a 9.3% decline over the previous year.
Casino operations were the leading contributor, amassing just over $1 billion in revenue. However, even this sector experienced a fall of 7.2%, year-over-year. The segments of hotel rooms, food and beverage, and entertainment, retail, and other income also recorded declines of 16.2%, 6.4%, and 7.8%, respectively.
At the helm, CEO Craig Billings acknowledged the results, expressing confidence in the ongoing resilience of the business, "Our first-quarter results reflect continued strength throughout our business. In Las Vegas, where we recently celebrated the resort's 20th anniversary, the team delivered healthy results against a record prior year comparison, which reflected the Las Vegas Super Bowl."
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The final tally showed a total adjusted property EBITDA of $532.9 million for the quarter, registering a significant 17.6% decrease compared to the previous year. Operating income hit $268.6 million, plunging by nearly $100 million from the same quarter in 2024.
In Macau, Wynn Palace managed to earn $535.9 million in revenue, marking an 8.7% year-over-year decrease. Its adjusted property EBITDAR stood at $161.9 million, a steep 20% drop from the previous year. Wynn Macau, on the other hand, reported nearly $330 million but saw a substantial 19.9% decrease from the previous year. The property recorded a hefty 34.3% drop in adjusted property EBITDAR, standing at $90.2 million.
Despite the setbacks, Billings mentioned that Wynn Resorts held its ground in the Macau market, "In Macau, while VIP hold negatively impacted results, we held market share in our expected range, and announced an increased dividend from Wynn Macau, Limited, reflecting the strong free cash flow generated by the business." Quarterly payments to shareholders continued, with the repurchase of $200 million in shares and the distribution of dividends.
Encore Boston Harbor reported a dip in earnings with just over $209.2 million in revenue, a 3.9% decrease from the previous year. Adjusted property EBITDAR amounted to $57.5 million, dropping by 9%.
The contraction in revenue and earnings reflects a challenging quarter for Wynn Resorts, hinting at an intensifying competitive landscape or falling consumer demand across key markets.
Despite a reduction in revenue across major sectors, including casino operations and hotel rooms, food and beverage, entertainment, retail, and other income, Wynn Resorts' CEO Craig Billings remains optimistic about the company's resilience. However, the Q1 2025 financial report shows a 39% decrease in adjusted EBITDAR for Encore Boston Harbor compared to the same quarter in 2024, suggesting potential issues in the competitive sports market as well.
