This piece was originally published on October 18th, 2023.
Introduction
Las Vegas Sands (NYSE: LVS) announced 3Q earnings after the close today, and after more than 3 years of Covid-related weak results, there’s one conclusion we can draw: They’re back.
Revenue of $2.8B beat analyst estimates of $2.7B and was almost 3x last year’s level.
Adjusted property EBITDA of $1.12B was above last quarter’s $973MM and crushed last year’s $191MM. This was remarkable given the September shutdown due to a typhoon. It was also 94% of the 3Q 2019 result.
Operating income of $688MM was well above last year’s $177MM.
DKI has been talking about how ’ focus on the high-margin premium mass market would pay off especially given the reluctance of the big VIP players to return to the tables. We saw that happen as property-level EBITDA margins of 40.1% were the second highest I have in my 8-year quarterly model.
Macau
Macau adjusted property EBITDA was $631MM vs negative $152MM last year. It was also 84% of the 3Q ’19 result.
The Venetian Macau, the Londoner Macau, the Parisian Macau, and the Four Seasons Macau all posted the highest revenue per available room levels in my 8-year quarterly model.
Singapore
The Marina Bay Sands recorded adjusted property level EBITDA of $491MM. Last quarter, I told you MBS results were back ...