WYNN $117 ..Despite beating profit estimates, Wynn Resorts saw its stock fall after the bell on Thursday after posting fourth quarter earnings. The company saw improvements in both its Macau and Las Vegas operations, but came in a little light on the revenue side, causing an afterhours sell off.
Wynn Resorts saw fourth quarter net income rise 67% to $190.5 million, or $1.52 per share. Adjusted EPS was $1.55, easily above the consensus forecast of $1.28 per share.
Revenues came in a little soft, though. While Wall Street analysts were expecting Wynn to rake in $1.36 billion, the company founded by Steve Wynn grew revenue 8.6% to $1.34 billion. That increase responded to a 9.1% revenue jump in Macau revenues and 7.2% increase in Las Vegas sales.
Adjusted property EBITDA, a measure of cash flow, was up 10.1% to $365.2 million.
Macau revenues hit $995.5 million, or about 74% of the whole pie. Adjusted property EBITDA in the Chinese territory moved up 5.5% to $313.1 million. In Las Vegas, Wynn grew its revenue to $348.4 million, while adjusted EBITDA grew an impressive 30.3% to $89.1 million.
As of the end of the fourth quarter, Wynn Resorts held $1.3 billion in cash on its balance sheet, compared with total debt of $3.2 billion, most of it from the company’s Vegas operations.
Rivals Las Vegas Sands posted earnings on Wednesday, also beating estimates; its stock hit a 52-week high on Thursday. Other major competitors include MGM Resorts, Melco Crown, and the Boyd Gaming Corporation.
Shares in Wynn had fared well in anticipation of the company’s earnings result, closing the session up 2.6% to $120.78. But after hours reaction was negative, sending the stock down 3.2% to $116.88 by 6:00 PM in New York, effectively erasing the day’s gains.
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