Land-Based Casino Giant Las Vegas Sands Reports Impressive Q3 Revenue Surge

Las Vegas Sands' Q3 financial results have turned heads in the casino industry. During Q3 last year, pandemic-related measures were still in place, albeit less strict than in the initial stages of the pandemic. These measures had a noticeable impact on the company's performance. However, in 2023, both Macao and Singapore significantly eased their restrictions, eliminating travel constraints and allowing casinos to operate without hindrance.

This change has brought a breath of fresh air to Las Vegas Sands, with each quarter of 2023 witnessing an improved performance. Q3, in particular, demonstrated an outstanding 178.1% increase in revenue, signifying a remarkable recovery for the company.

Chairman and CEO of Las Vegas Sands, Robert Goldstein, expressed his satisfaction with the recovery in travel and tourism spending, particularly in Macao and Singapore. He emphasized the company's enthusiasm for future growth opportunities in these markets.

Examining the Q3 performance, it becomes evident that Las Vegas Sands' core business remains casino operations, accounting for $2.01 billion in revenue, reflecting a substantial increase of 215.2% compared to the previous year. Room revenue also rose by 178.1% to $342 million, while food and beverage earnings increased by 90.2% to $156 million. Mall revenue witnessed a surge of 68.9% to $201 million, and convention, retail, and other revenue jumped by 100.0% to $88 million.

Macao, as the primary market for Las Vegas Sands, showed a remarkable 592.4% year-on-year revenue increase in Q3, reaching $1.79 billion. The Venetian Macao led the way with $723 million in revenue, followed by The Londoner Macao with $518 million, and The Parisian Macao with $244 million. Marina Bay Sands in Singapore also exhibited growth with a 34.3% increase in revenue, reaching $1.02 billion.

When it comes to spending, operating costs increased by 78.3% to $2.11 billion, primarily driven by resort operations at $1.68 billion. The company also reported $117 million in net finance costs. Despite the higher operating costs, Las Vegas Sands posted a pre-tax profit of $571 million, a significant turnaround from the $320 million loss in 2022. In Q3, the company paid $122 million in taxes and accounted for a $69 million loss from non-controlling assets, ultimately ending the quarter with a net profit of $380 million, compared to a $239 million loss the previous year.

For the year-to-date performance up to September 30, Las Vegas Sands reported a total revenue of $7.46 billion, reflecting a notable 149.5% increase from the same period in 2022. Macao revenue soared by 297.0% to $4.70 billion, and Singapore revenue increased by 52.0% to $2.79 billion.

Casino revenue surpassed $5.41 billion, while room revenue reached $881 million, and food and beverage earnings amounted to $423 million. Mall activities contributed $535 million in revenue, and convention, retail, and other segments brought in $207 million. Spending also saw an increase of 61.8% to $5.85 billion, with financial costs totaling $386 million. This resulted in a pre-tax profit of $1.18 billion, a significant improvement from the $1.10 billion loss in 2022. Las Vegas Sands paid $221 million in taxes and accounted for $123 million in non-controlling assets loss, ultimately recording a net profit of $839 million, which was 58.1% lower than the previous year, primarily due to income from discontinued operations in Q3 2022.