Services

Wynn Resorts' Earnings Get Helping Hand From Dividend Boost

Gambling
Source: Thinkstock
Wynn Resorts Ltd. (NASDAQ: WYNN) reported third-quarter 2014 results after markets closed on Tuesday. The casino and resort operator posted adjusted diluted earnings per share (EPS) of $1.95 on revenues of $1.37 billion. In the same period a year ago, the company reported EPS of $1.84 on revenues of $1.39 billion. Third-quarter results also compare to the Thomson Reuters consensus estimates for EPS of $1.84 and $1.37 billion in revenues.

On a GAAP basis, Wynn reported quarterly diluted EPS of $1.88.

Wynn Resorts raised its quarterly dividend to $1.50, up $0.25 a share from the current level of $1.25. The company also declared a special dividend of $1.00 a share. Both are payable on November 25 to shareholders of record on November 12.

Wynn’s revenues fell 5.6% in Macau, to $942.3 million. In the company’s Macau VIP segment, table games turnover was down 17.4% to $25.1 billion and the company’s win on those wagers was 2.78%, within the expected range of 2.7% to 3%, but below the 3.04% win ratio the casino saw in the year-ago quarter. The company’s win in its Macau mass market table games rose 36.4% to $327.2 million in the quarter.

Las Vegas revenues rose 9%, but Las Vegas revenues account for just 31% of the company’s total. Net casino revenues in Las Vegas rose 10.5% year-over-year to $178.6 million.

Wynn did not offer guidance in its earnings release, but the consensus estimate for the fourth quarter calls for EPS of $1.91 on revenues of $1.41 billion. For the full year, the consensus estimate calls for EPS of $8.19 on revenues of $5.7 billion.

Shares traded up more than 3% at $191.16 in Tuesday’s after-hours session, in a 52-week range of $157.48 to $249.31. Thomson Reuters had a consensus analyst price target of around $218.60 before the report.

ALSO READ: More Negative Analyst Views for Macau Casinos

Essential Tips for Investing: Sponsored

A financial advisor can help you understand the advantages and disadvantages of investment properties. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.

Investing in real estate can diversify your portfolio. But expanding your horizons may add additional costs. If you’re an investor looking to minimize expenses, consider checking out online brokerages. They often offer low investment fees, helping you maximize your profit.

Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.