The Q2 net loss of Wynn Resorts stretches to $213.4m.

While its loss increased to $213.4m as the consequences of regulations in Macau continued to damage the company, Wynn Resorts generated $908.8m in income from its Q2 activities, a fall of 8.2%.
Wynn Bangkok
The loss exceeded the recorded $173.3m in Q2 2021 by $40 million.

While the company reported sales of $1.65 billion in Q2 2019, the revenue total was also 45.1% smaller than the revenue recorded pre-pandemic.

The CEO of Wynn Resorts, Craig Billings, noted that while activities in the US helped the company, Covid-related limitations impacted operations in Macau, resulting in different narratives for its main divisions.

"Our second quarter financial results show ongoing strength at both Wynn Las Vegas and Encore Boston Harbour," Billings remarked. "Very strong customer demand combined with ongoing focus on five-star hospitality and new experiences at our market-leading properties drove a new all-time quarterly record for adjusted property earnings before interest, tax, depreciation and amortisation (EBITDA) at Wynn Las Vegas and a second quarter record at Encore Boston Harbour."

"In Macau, we remain confident that the market will benefit from the return of visitation over time, even while Covid-related travel restrictions continue to affect our results."

With revenue at the Wynn Palace in Macau of $58.6m, a notable decline of 78.3% over Q2 2021. Revenue dropped most especially in casino operations, by 87.2%.

Similar problems beset Wynn Macau during Q2: revenue dropped by 68.1% to $58.5 million. Once more, casino income dropped, by 79.1% to $39.9 million.

Income from elsewhere somewhat offset this. At Wynn Boston Harbour, revenue increased by 27.2% to $210.1m.

Wynn Las Vegas made $561 million at the same time, up by 58%. Once more, rooms brought in the most, rising by 78% to $ 167.1 million. With an adjusted property EBITDA of $ 133.2m, Wynn Las Vegas set a quarterly record.

Following the passage of a sports betting measure earlier this month, Billings indicated on Wynn's earnings call that Massachusetts was poised to be a promising prospect for Wynn's digital division.

"We are looking forward the possibility for a major catalyst for Wynn Bet in Massachusetts both in digital and retail sports betting," added Billings. "For us, Massachusetts, I’ve said this before, Massachusetts was always an important bootstrapping event for Wynn Bet and for Wynn Interactive."

Day one will be in Massachusetts.

Although Billings claimed Wynn was still dedicated to online gambling following its Q1 performance, earlier this year the company was reportedly mulling a cut-price sale of its digital division.

Operating expenses for the quarter dropped 5.7% and came to $960.8m. At $244 million, casino charges were the biggest outlay; followed by general and administrative expenses at $200.3 million and food and beverage costs at $185.3 million.

This resulted in an operational deficit of $52m, $22.5m more than last year. The overall loss before income taxes was $212.7m following interest expenses of $154.8m, miscellaneous expenses at $10.0m and other income at $4.2m.

With taxes included, the quarter's net loss was $213.4 million, an increase of $40 million year-on-year.

Revenue throughout the half-year came to $1.86 billion. This exceeds the half-year 2021 income, which came at $1.72 billion.

At $2.00bn instead of $1.93bn year-on-year, operating expenses for the six months also show higher levels.

The half year's net loss overall was $468m, $23.5m less than in 2021.