Wynn Resorts posts $1.70 billion in revenue for Q1 2025

Wynn Resorts experienced a significant drop in financial performance during the first quarter of 2025, reporting revenues of $1.70 billion. This marks an 8.7% decrease compared to the same period last year.

Earnings Overview

Net Income: The company’s net income attributable to shareholders plummeted by 49.6% to $72.7 million.
Earnings Per Share: Diluted earnings fell 46.9% to $0.69.

In terms of operational metrics, Adjusted Property EBITDAR decreased 17.6% year-over-year to $532.9 million, down from $646.5 million in Q1 of 2024. Adjusted net income also showed a decline, slipping 36% to $113.1 million, or $1.07 per diluted share.

Factors Contributing to Decline

The downturn can largely be attributed to a lack of blockbuster events. The Las Vegas Super Bowl, which occurred in Q1 2024, significantly boosted results during that period. Additionally, Wynn’s properties in Macau struggled, particularly due to disappointing VIP win rates.

Detailed Performance by Property

Wynn Macau

Revenue: Saw a notable decline of 19.9%, landing at $330.0 million, down from $411.7 million the previous year.
Adjusted EBITDAR: Dropped 34.3% to $90.2 million.
VIP Table Game Win Rate: Fell to a mere 1.09%, significantly below last year’s figure of 3.39% and below the anticipated range of 3.1%–3.4%.

Wynn Palace

Revenue: Dipped 8.7% to $535.9 million.
EBITDAR: Fell 20% to $161.9 million.
VIP Win Rate: Decreased from 3.30% to 2.61%, although mass table game win rates improved slightly from 24.5% to 24.8%.

Wynn Las Vegas

Revenue Decline: Reported a 1.8% decrease, totaling $625.3 million.
EBITDAR: Declined by 9.3% to $223.4 million.
Table Games Win Rate: Dropped to 24.3% from 25.9%, yet remained within the anticipated 22%–26% band.

Encore Boston Harbor

Revenue: Experienced a 4% decline to $209.2 million.
EBITDAR: Decreased 8.9% to $57.5 million.
Table Games Win Rate: Fell from 22.6% to 20.5%, but still stayed within expected parameters.

Strategic Investments

Wynn Resorts continued to make substantial investments despite the downturn. An additional $51.2 million was allocated to the Wynn Al Marjan Island project in the UAE, bringing the total investment to $682.9 million. The hotel tower is now 47 stories tall, with plans for opening in 2027, marking Wynn’s first venture into the Middle East.

Shareholder Returns

In Q1, the company repurchased 2.36 million shares at an average price of $84.76, amounting to $200 million. Wynn still has $613 million available for future share buybacks. Additionally, the company announced a quarterly dividend of $0.25 per share, scheduled for payment on May 30, 2025.

Annual Performance Context

This quarterly update follows Wynn’s FY 2024 results, which indicated a revenue growth of 9.1%, totaling $7.13 billion. This growth was primarily driven by a robust 14.6% rise in Macau, although net income decreased by 31.4% to $501.1 million due to the normalization of one-time tax benefits.

Conclusion

As we analyze the first quarter of 2025, it becomes evident that Wynn Resorts is navigating through challenging times. High prior-year comparisons and softened VIP volumes have impacted overall performance, yet a focus on strategic investments and possible repositioning may pave the way for recovery. The gambling industry continues to evolve, and Wynn’s adaptability will be crucial for sustained growth in the competitive landscape ahead.