In This Article:
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Macau Market Revenue Growth: 6% increase in Q4 2024 compared to Q4 2023.
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Mass Gaming Revenue Growth in Macau: 5% increase in Q4 2024 compared to Q4 2023.
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Macau EBITDA: $571 million for Q4 2024.
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Macau EBITDA Margin (Excluding Londoner): 35.1%, down 230 basis points from Q4 2023.
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Turnover Rents in Macau: $27 million lower in Q4 2024 compared to Q4 2023.
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Venetian Margin: 36.7% for Q4 2024.
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Plaza and Four Seasons Margin: 37.2% for Q4 2024.
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Singapore Adjusted Property EBITDA: $537 million for Q4 2024.
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Singapore EBITDA Margin: 47.2% assuming expected hold on rolling play.
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Stock Repurchase: $450 million of LVS stock repurchased in Q4 2024.
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Quarterly Dividend: $0.20 per share, with an annual increase to $1 per share for 2025.
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Sands China Stock Purchase: Approximately $250 million purchased, increasing LVS equity interest to 72.3%.
Release Date: January 29, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Las Vegas Sands Corp (NYSE:LVS) reported a 6% growth in Macau market revenue for Q4 2024 compared to the same period in 2023.
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The company opened the Londoner Grand Casino and introduced 315 Londoner Grand suites, with plans to have a full complement of 1,500 suites and 905 rooms by May 2025.
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Marina Bay Sands in Singapore achieved $537 million in adjusted property EBITDA, reflecting a 71% growth compared to Q4 2018.
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LVS repurchased $450 million of its stock and increased its annual dividend to $1 per share for 2025.
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The company is nearing completion of its Londoner Grand renovation program, which is expected to strengthen its competitive position and drive future EBITDA growth.
Negative Points
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Macau's EBITDA was impacted by lower-than-expected hold in the rolling segment, reducing potential EBITDA by $22 million.
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Turnover rents in Macau were $27 million lower in Q4 2024 compared to the previous year.
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The Londoner renovation caused a 20% reduction in room availability, impacting margins and EBITDA.
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Retail sales in Macau were down year-over-year, affecting turnover rent at the Four Seasons Mall.
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Concerns were raised about potential competition from iGaming in New York, which could impact the return profile of a potential casino in that market.
Q & A Highlights
Q: Patrick, with the recent activity in Sands China stock and the dividend increase, has your capital allocation strategy changed, particularly regarding SCL shares? A: Patrick Dumont, President and COO, stated that they believe strongly in the SCL story and have been investing in growth in Macau for years. The strategy is to grow their business and strategic advantages, and they plan to continue acquiring more SCL shares, demonstrating their belief in its future value.