The opening of Wynn Palace in Macau led Wynn Resorts to a 37.3 percent increase in total revenue in the fourth quarter, offsetting soft results at the gaming giant’s other properties in Macau and Las Vegas.
The company generated $1.3 billion in the last three months of 2016, resulting in $4.47 billion for the year, a 9.6 percent increase over 2015. Net income was up a robust 19 percent to $242 million, aided by a $63 million non-recurring gain.
The $4 billion Wynn Palace, which opened in Macau’s Cotai resort district in August, contributed $418.7 million in revenue in the fourth quarter, though it came partially at the expense of Wynn’s two Macau peninsula resorts, which were down $57.2 million in the same period. VIP turnover at the new resort hit $10.33 billion. Mass table drop was $725 million.
The Palace’s rooms were 88.4 percent filled during the three months ended December 31.
Speaking to analysts on a conference call to report the quarterly results Chairman and CEO Steve Wynn said the Palace was generating operating income of $1.6 million per day so far in 2017, and Wynn Macau President Ian Coughlan noted that the territory’s battered VIP market is showing signs of being on the mend.
In Las Vegas, Wynn’s operations reported a 2 percent decline in total revenue for the quarter to $383.3 million. Earnings fell 10 percent to $114.6 million. Non-gaming revenue fell 1.1 percent to $260.2 million. But the company expects to reverse that in a big way with a planned mixed-use attraction called Paradise Park, whose attractions will include a convention center, a golf course, a lagoon with a sand beach and an array of shopping and entertainment offerings. Construction of the $1.5 billion complex is slated to begin in the fourth quarter, the company said.
