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Wynn Resorts Earns $127M in 3rd Quarter | Gaming News

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Wynn Resorts Earns $127M in 3rd Quarter
Gaming News
Wynn Resorts Earns $127M in 3rd Quarter

 

Casino operator Wynn Resorts Ltd., said Wednesday that its third-quarter net income was $127.1 million, compared with a loss of $33.5 million a year earlier.

But its adjusted results fell short of Wall Street forecasts, and Wynn's shares fell more than 5 percent after hours.

The company led by billionaire Chief Executive Steve Wynn credited a busy period in Macau, which is the world's top gambling market and was the source of three-quarters of the company's revenue. Revenue in Macau climbed 41.7 percent to $951.4 million.

"Our bottom line keeps climbing," Wynn told investors on a conference call.

The company said Wednesday that it earned $1.01 per share, compared with 27 cents per share a year earlier, when it paid off significant debt. Its adjusted earnings of $1.05 per share fell short of Wall Street's average estimate for $1.18 per share, according to data from FactSet. The company's $1.3 billion in revenue, up from $1 billion a year earlier, was in line with analysts' average estimate of $1.29 billion.

The shares fell $6.79 after hours after ending the day down $7.38, or 5.4 percent, at $130.27. In Macau, Wynn said high rollers and regular customers gambled more on table games and slots, and the company's hotels were fuller and more expensive to stay in.

Wynn said its two casinos in Las Vegas generated revenue of $346.9 million, 3.7 percent more than they did during the third quarter last year. But the company's revenue from gambling in Sin City fell 8.3 percent to $126.9 million. Non-gambling revenue, which includes hotel rooms, restaurants, bars and other amenities at the company's two resorts there, rose 11.1 percent to $265.9 million.

The company said it had $1.8 billion in cash and $3.1 billion in total debt as of the quarter's end, Sept. 30. The company also declared a cash dividend of 50 cents per share for stockholders of record as of Nov. 2.

   (Copyright 2011 by The Associated Press.  All Rights Reserved.)

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