Sands China has reported net revenues of US$1.75 billion for the three months to 30 June 2024, up 7.7% year-on-year although down by 3.3% compared with the March 2024 quarter.
The company also reported Adjusted Property EBITDA of US$561 million, up 3.7% year-on-year but down 8.0% sequentially, noting that low hold on rolling play had negatively impacted profitability to the tune of US$4 million. Net income of US$246 million was 31.6% higher year-on-year but also down by 17.2% versus Q1.
By property, Sands China’s flagship property, The Venetian Macao, suffered the biggest decline compared with the March 2024 quarter, with net revenues of US$686 million down from US$771 million. The Londoner Macao, which continues to be impacted by ongoing renovations, also saw a significant sequential fall with net revenues down from US$562 million to US$444 million, although The Parisian Macao bucked that trend with revenues rising by 15.2% quarter-on-quarter to US$265 million.
The Plaza and Four Seasons enjoyed a significant jump, with net revenues reaching US$250 million compared with US$142 million in Q1.
“In Macau, the ongoing recovery continued during the quarter, although visitation to the market remains well below the levels reached prior to the pandemic,” said Robert Goldstein, Chairman and CEO of Sands China’s parent company Las Vegas Sands.
“Our decades-long commitment to making investments that enhance the business and leisure tourism appeal of Macau and support its development as a world center of business and leisure tourism positions us well as the recovery in travel and tourism spending progresses.”
At Marina Bay Sands in Singapore, where construction work is also impacting performance, results were also subdued compared with the March quarter, with net revenues of US$1.02 billion up 9.8% year-on-year but down 12.3% sequentially. Adjusted Property EBITDA of US$512 million was up from US$432 million a year ago but down from US$592 million in Q1, despite a positive US$64 million impact from high VIP hold.
“Our financial and operating results for the second quarter of 2024 reflect growth in both Macau and Singapore compared to the second quarter of 2023,” said Goldstein. “We remain enthusiastic about our opportunities to deliver industry-leading growth in both markets in the years ahead, as we execute our substantial capital investment programs in both Macau and Singapore.
“In Singapore, Marina Bay Sands again delivered strong financial and operating performance. Our new suite product and elevated service offerings position us for additional growth as travel and tourism spending in Asia continues to advance.
“Our financial strength and industry-leading cash flow continue to support our ongoing investment and capital expenditure programs in both Macao and Singapore, our pursuit of growth opportunities in new markets, and our program to return excess capital to stockholders.
“We repurchased $400 million LVS shares under our share repurchase program during the quarter. We look forward to utilizing our share repurchase program to continue to return excess capital to stockholders in the future.”
Group-wide, net revenue reached US$2.76 billion in 2Q24, down 6.8% sequentially, with net income of US$424 million. Consolidated Adjusted Property EBITDA was US$1.07 billion.
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