No shortage of high-end patrons at glitzy resorts
Las Vegas is still doing big business with big spenders. The proof is in Wynn Resorts’ latest earnings report. That report, released July 29, showed Wynn’s Las Vegas operations generated $451.4 million in revenue during the second quarter, up 12.5 percent from a year ago; according to the Motley Fool, EBITDA increased more than 18.3 percent to $160.4 million.
Wynn’s second-quarter revenue from Wynn and Encore in Las Vegas was nearly as much as what MGM Resorts generated through Circus Circus, Monte Carlo, Excalibur, New York-New York, Luxor, and Mirage combined in the first quarter ($490 million).
Gaming revenue also was up at Wynn Las Vegas in the last quarter, but only about 40 percent of net revenue came from the gaming floor. Guests are really splurging on hotel rooms, food, drinks, retail, and entertainment. Hotel rooms brought in almost $108 million, up 7.3 percent for the quarter; food and beverage generated $149.1 million, up 1.8 percent; and “retail, entertainment, and other” raked in $56.7 million, up more than 3 percent.
“If you’re looking at stocks in Las Vegas, the high end is the only place to be,” reported the Fool. “It’s where the money is, and with high-end incomes rising faster than low-wage incomes, that trend will continue for the foreseeable future.”
