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Las Vegas Sands (LVS) Q2 Earnings & Revenues Lag, Up Y/Y
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Las Vegas Sands Corp. (LVS - Free Report) reported lower-than-expected second-quarter 2024 results, with earnings and net revenues missing the Zacks Consensus Estimate. That said, the metrics grew on a year-over-year basis.
The quarterly results reflect continuous performance growth in Macao and Singapore, attributable to the company’s committed investment opportunities undertaken to enhance the business and deliver top-tier customer experiences. Travel recovery and improving tourism spending are encouraging for the prospects in Macao, however, the fall in visitation levels from the pre-pandemic levels remains a concern.
Nonetheless, the continuous investments made by the company to enhance Macao’s business performance and support its development as a world center of business bode well for upcoming opportunities.
Moreover, Marina Bay Sands in Singapore also contributed to the top-line growth. The company’s new suite product and elevated service offerings position it well for additional growth in the upcoming period as travel and tourism spending in Asia continues to advance.
Shares of LVS lost 2.7% in the after-hours trading session on Jul 24, after the result announcement.
Q2 Earnings & Revenues
Las Vegas Sands reported adjusted earnings per share (EPS) of 55 cents, which missed the Zacks Consensus Estimate of 59 cents by 6.8%. In the year-ago quarter, it had reported an EPS of 46 cents. Interest expense (net of amounts capitalized) totaled $186 million compared with $210 million reported in the year-ago quarter.
Las Vegas Sands Corp. Price, Consensus and EPS Surprise
Quarterly net revenues of $2.76 billion also lagged the consensus mark of $2.84 billion by 2.7%. On the other hand, the reported figure increased 8.6% from $2.54 billion reported in the year-ago quarter.
Asian Operations
Las Vegas Sands’ Asia business includes the following resorts (all figures are compared with the year-ago quarter’s reported levels):
The Venetian Macao
Net revenues from The Venetian Macao were $686 million compared with $653 million in the year-ago quarter. A rise in casino, rooms and mall revenues drove the upside. Our model expected the quarterly revenues for this metric to be $826.9 million.
Quarterly revenues from casino, rooms and mall were $556 million, $50 million and $55 million, respectively, compared with the year-ago quarter’s reported figures of $523 million, $48 million and $53 million. Convention, retail and other revenues were $9 million, down from $12 million reported a year ago. Food and beverage revenues were $16 million compared with $17 million in the year-ago quarter.
Adjusted property EBITDA totaled $262 million compared with $252 million reported in the second quarter of 2023. Our estimate for the metric was $290.7 million.
Non-rolling chip drop and rolling chip volumes were $2.33 billion and $795 million, respectively, compared with the year-ago quarter’s reported figure of $2.17 billion and $1.09 billion.
The segment’s hotel revenue per available room (RevPAR) was $191 million compared with $198 million reported in the year-ago period. Occupancy rates were 96.4%, up from the prior year’s reported value of 94.6%.
The Londoner Macao
Net revenues from The Londoner Macao amounted to $444 million compared with $402 million reported in the prior-year period. Increased casino, food and beverage, and convention, retail and other revenues backed the upside. We estimated the metric to be $524.1 million.
Revenues from casino, rooms, and food and beverage totaled $318 million, $77 million and $22 million, respectively, compared with the year-ago quarter’s reported figure of $281 million, $80 million and $20 million. Mall revenues increased to $17 million from $16 million in the year-ago quarter. Quarterly revenues from convention, retail and other totaled $10 million, up from $5 million reported in the prior-year quarter.
Adjusted property EBITDA totaled $103 million, flat year over year. Our estimate for the metric was pegged at $156.9 million.
Non-rolling chip drop and rolling chip volume were $1.65 billion and $2.36 billion, respectively, up from the year-ago quarter’s reported figures of $1.35 billion and $1.99 billion.
The segment’s hotel RevPAR was $184 million compared with $161 million in the year-ago quarter. Occupancy rates were 94.4% compared with 81.8% reported in the second quarter of 2023.
The Parisian Macao
Net revenues from The Parisian Macao were $265 million, up from $239 million reported a year ago. The uptick was primarily due to improvements in casino, and food and beverage revenues. We estimated the metric to be $312.7 million.
Revenues from casino, rooms, and food and beverage were $207 million, $32 million and $17 million, respectively, compared with the year-ago quarter’s reported figures of $183 million, $35 million and $11 million. Mall revenues declined to $7 million from $8 million in the year-ago quarter. Quarterly revenues from convention, retail and other totaled $2 million, flat year over year.
Adjusted property EBITDA totaled $83 million, up from $74 million reported a year ago. Our estimate for the metric was $74.5 million.
Non-rolling chip drop totaled $1.09 million compared with $776 million reported a year ago.
The segment’s hotel RevPAR decreased to $141 million from the prior year’s reported figure of $153 million. Occupancy rates were 95.7% compared with the prior year’s reported value of 98%.
The Plaza Macao and Four Seasons Macao
Net revenues from The Plaza Macao and Four Seasons Macao were $250 million, up from $223 million reported a year ago. The uptrend can be attributed to an increase in casino revenues. Our estimate for the metric was $195.2 million.
Casino and mall revenues were $178 million and $38 million, respectively, compared with the year-ago quarter’s figures of $150 million and $39 million. Revenues from rooms and food and beverage were flat year over year at $25 million and $8 million, respectively.
Adjusted property EBITDA totaled $100 million compared with $91 million reported in the year-ago quarter. Our estimate was $69.4 million.
Non-rolling chip drop and rolling chip volume were $748 million and $2.45 billion, respectively, compared with $567 million and $1.18 billion reported in the year-ago quarter.
The segment’s hotel RevPAR increased to $432 million from $407 million reported in the second quarter of 2023. Occupancy rates were 8.2% compared with the prior year’s reported value of 84.8%.
Sands Macao
Net revenues from Sands Macao were down to $79 million from the year-ago period’s value of $84 million. The downturn was mainly driven by the decline in casino revenues. Our projection for Sands Macao revenues was $136 million.
Casino revenues totaled $70 million compared with $76 million reported in the year-ago quarter.
Adjusted property EBITDA totaled $10 million, down from $15 million in the prior-year period. Our estimate was $15.4 million.
Non-rolling chip drop and rolling chip volume were $401 million and $24 million, respectively, down from the year-ago quarter’s reported values of $406 million and $36 million.
The segment’s hotel RevPAR was $170 million, up from the year-ago figure of $160 million. Occupancy rates were 99% compared with 94.6% reported in the year-ago quarter.
Marina Bay Sands, Singapore
Net revenues from Marina Bay Sands totaled $1.02 billion, up from $925 million reported in the year-ago quarter. The upside was primarily driven by an increase in casino, rooms and convention, retail and other revenues. Our estimate for the metric was $925.1 million.
Revenues from casino, and food and beverage totaled $706 million and $82 million, respectively, compared with the year-ago quarter’s reported values of $649 million and $84 million. Rooms, mall and convention, retail and other generated revenues were $124 million, $58 million and $46 million, respectively, compared with $104 million, $57 million and $31 million reported in the year-ago quarter.
Adjusted property EBITDA totaled $512 million, up from $432 million reported in the year-ago quarter. We expected this metric to be $516.8 million.
Non-rolling chip drop and rolling chip volume were $2.04 billion and $6.08 billion, respectively, compared with the year-ago quarter’s reported values of $1.87 billion and $6.01 billion.
The segment’s hotel RevPAR was $759 million, up from $579 million in the second quarter of 2023. Occupancy rates were 95.3% compared with 97% reported in the year-ago quarter.
Operating Results
On a consolidated basis, adjusted property EBITDA totaled $1.07 billion in the second quarter compared with $973 million reported in the year-ago quarter.
Financials
As of Jun 30, 2024, Las Vegas Sands had unrestricted cash balances of $4.71 billion compared with $4.96 billion in the previous quarter. Total debt outstanding (excluding finance leases and financed purchases) was $13.72 billion, slightly down sequentially from $13.94 billion.
In the reported quarter, capital expenditures totaled $285 million, comprising construction, development and maintenance activities of $131 million in Macao, $140 million at Marina Bay Sands, and $14 million in corporate, development and other.
Mattel, Inc. (MAT - Free Report) reported mixed second-quarter 2024 results, with earnings surpassing the Zacks Consensus Estimate but revenues missing the same. The top line missed the consensus estimate for the third straight quarter.
The company experienced robust bottom-line performance, propelled mainly by significant gross margin expansion and growth in adjusted EBITDA. MAT is well positioned for the second half with new product innovation and increased retail support. The company is in a strong financial position to execute its strategy to expand its IP-driven toy business and expand entertainment offerings. For 2024, management continues to expect net sales to be comparable with the prior year at cc. It also anticipates 2024 adjusted EPS to be between $1.35 and $1.45 compared with $1.23 in 2023.
American Outdoor Brands, Inc. (AOUT - Free Report) reported mixed fourth-quarter fiscal 2024 (ended Apr 30, 2024) results. It reported break-even earnings, which missed the Zacks Consensus Estimate, while net sales topped the same. The top line grew year over year but the bottom line declined.
The quarterly results reflect growth in its outdoor lifestyle and shooting sports categories on the back of new product launches across its several brands. The footprint expansion in Canada also boded well for the company, allowing it to offer outdoor brands to Canadian consumers. However, the bottom line was negatively impacted by the amortization of tariff and freight costs, higher promotional product discounts and an immaterial adjustment to a tariff drawback claim submitted in fiscal 2022.
Carnival Corporation & plc (CCL - Free Report) reported impressive second-quarter fiscal 2024 results, with earnings and revenues beating the Zacks Consensus Estimate. The bottom and top lines increased on a year-over-year basis. The upside was primarily backed by sustained demand strength and increased booking volumes. The management expects net yields to exceed 10% and drive double-digit returns on invested capital.
The quarter’s passenger ticket revenues amounted to $3.8 billion, up from $3.1 billion reported in the prior-year quarter. CCL reported strong booking momentum for 2025, with record volumes surpassing 2024 levels in both price and occupancy. It reported strength in pricing for the North America and Australia, and Europe segments for the third and fourth quarters of 2024 on a year-over-year basis. Its efforts to extend the booking curve and leverage favorable pricing trends resulted in record cumulative bookings for the remainder of 2024, with occupancy rates above 2023 levels.
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Las Vegas Sands (LVS) Q2 Earnings & Revenues Lag, Up Y/Y
Las Vegas Sands Corp. (LVS - Free Report) reported lower-than-expected second-quarter 2024 results, with earnings and net revenues missing the Zacks Consensus Estimate. That said, the metrics grew on a year-over-year basis.
The quarterly results reflect continuous performance growth in Macao and Singapore, attributable to the company’s committed investment opportunities undertaken to enhance the business and deliver top-tier customer experiences. Travel recovery and improving tourism spending are encouraging for the prospects in Macao, however, the fall in visitation levels from the pre-pandemic levels remains a concern.
Nonetheless, the continuous investments made by the company to enhance Macao’s business performance and support its development as a world center of business bode well for upcoming opportunities.
Moreover, Marina Bay Sands in Singapore also contributed to the top-line growth. The company’s new suite product and elevated service offerings position it well for additional growth in the upcoming period as travel and tourism spending in Asia continues to advance.
Shares of LVS lost 2.7% in the after-hours trading session on Jul 24, after the result announcement.
Q2 Earnings & Revenues
Las Vegas Sands reported adjusted earnings per share (EPS) of 55 cents, which missed the Zacks Consensus Estimate of 59 cents by 6.8%. In the year-ago quarter, it had reported an EPS of 46 cents. Interest expense (net of amounts capitalized) totaled $186 million compared with $210 million reported in the year-ago quarter.
Las Vegas Sands Corp. Price, Consensus and EPS Surprise
Las Vegas Sands Corp. price-consensus-eps-surprise-chart | Las Vegas Sands Corp. Quote
Quarterly net revenues of $2.76 billion also lagged the consensus mark of $2.84 billion by 2.7%. On the other hand, the reported figure increased 8.6% from $2.54 billion reported in the year-ago quarter.
Asian Operations
Las Vegas Sands’ Asia business includes the following resorts (all figures are compared with the year-ago quarter’s reported levels):
The Venetian Macao
Net revenues from The Venetian Macao were $686 million compared with $653 million in the year-ago quarter. A rise in casino, rooms and mall revenues drove the upside. Our model expected the quarterly revenues for this metric to be $826.9 million.
Quarterly revenues from casino, rooms and mall were $556 million, $50 million and $55 million, respectively, compared with the year-ago quarter’s reported figures of $523 million, $48 million and $53 million. Convention, retail and other revenues were $9 million, down from $12 million reported a year ago. Food and beverage revenues were $16 million compared with $17 million in the year-ago quarter.
Adjusted property EBITDA totaled $262 million compared with $252 million reported in the second quarter of 2023. Our estimate for the metric was $290.7 million.
Non-rolling chip drop and rolling chip volumes were $2.33 billion and $795 million, respectively, compared with the year-ago quarter’s reported figure of $2.17 billion and $1.09 billion.
The segment’s hotel revenue per available room (RevPAR) was $191 million compared with $198 million reported in the year-ago period. Occupancy rates were 96.4%, up from the prior year’s reported value of 94.6%.
The Londoner Macao
Net revenues from The Londoner Macao amounted to $444 million compared with $402 million reported in the prior-year period. Increased casino, food and beverage, and convention, retail and other revenues backed the upside. We estimated the metric to be $524.1 million.
Revenues from casino, rooms, and food and beverage totaled $318 million, $77 million and $22 million, respectively, compared with the year-ago quarter’s reported figure of $281 million, $80 million and $20 million. Mall revenues increased to $17 million from $16 million in the year-ago quarter. Quarterly revenues from convention, retail and other totaled $10 million, up from $5 million reported in the prior-year quarter.
Adjusted property EBITDA totaled $103 million, flat year over year. Our estimate for the metric was pegged at $156.9 million.
Non-rolling chip drop and rolling chip volume were $1.65 billion and $2.36 billion, respectively, up from the year-ago quarter’s reported figures of $1.35 billion and $1.99 billion.
The segment’s hotel RevPAR was $184 million compared with $161 million in the year-ago quarter. Occupancy rates were 94.4% compared with 81.8% reported in the second quarter of 2023.
The Parisian Macao
Net revenues from The Parisian Macao were $265 million, up from $239 million reported a year ago. The uptick was primarily due to improvements in casino, and food and beverage revenues. We estimated the metric to be $312.7 million.
Revenues from casino, rooms, and food and beverage were $207 million, $32 million and $17 million, respectively, compared with the year-ago quarter’s reported figures of $183 million, $35 million and $11 million. Mall revenues declined to $7 million from $8 million in the year-ago quarter. Quarterly revenues from convention, retail and other totaled $2 million, flat year over year.
Adjusted property EBITDA totaled $83 million, up from $74 million reported a year ago. Our estimate for the metric was $74.5 million.
Non-rolling chip drop totaled $1.09 million compared with $776 million reported a year ago.
The segment’s hotel RevPAR decreased to $141 million from the prior year’s reported figure of $153 million. Occupancy rates were 95.7% compared with the prior year’s reported value of 98%.
The Plaza Macao and Four Seasons Macao
Net revenues from The Plaza Macao and Four Seasons Macao were $250 million, up from $223 million reported a year ago. The uptrend can be attributed to an increase in casino revenues. Our estimate for the metric was $195.2 million.
Casino and mall revenues were $178 million and $38 million, respectively, compared with the year-ago quarter’s figures of $150 million and $39 million. Revenues from rooms and food and beverage were flat year over year at $25 million and $8 million, respectively.
Adjusted property EBITDA totaled $100 million compared with $91 million reported in the year-ago quarter. Our estimate was $69.4 million.
Non-rolling chip drop and rolling chip volume were $748 million and $2.45 billion, respectively, compared with $567 million and $1.18 billion reported in the year-ago quarter.
The segment’s hotel RevPAR increased to $432 million from $407 million reported in the second quarter of 2023. Occupancy rates were 8.2% compared with the prior year’s reported value of 84.8%.
Sands Macao
Net revenues from Sands Macao were down to $79 million from the year-ago period’s value of $84 million. The downturn was mainly driven by the decline in casino revenues. Our projection for Sands Macao revenues was $136 million.
Casino revenues totaled $70 million compared with $76 million reported in the year-ago quarter.
Adjusted property EBITDA totaled $10 million, down from $15 million in the prior-year period. Our estimate was $15.4 million.
Non-rolling chip drop and rolling chip volume were $401 million and $24 million, respectively, down from the year-ago quarter’s reported values of $406 million and $36 million.
The segment’s hotel RevPAR was $170 million, up from the year-ago figure of $160 million. Occupancy rates were 99% compared with 94.6% reported in the year-ago quarter.
Marina Bay Sands, Singapore
Net revenues from Marina Bay Sands totaled $1.02 billion, up from $925 million reported in the year-ago quarter. The upside was primarily driven by an increase in casino, rooms and convention, retail and other revenues. Our estimate for the metric was $925.1 million.
Revenues from casino, and food and beverage totaled $706 million and $82 million, respectively, compared with the year-ago quarter’s reported values of $649 million and $84 million. Rooms, mall and convention, retail and other generated revenues were $124 million, $58 million and $46 million, respectively, compared with $104 million, $57 million and $31 million reported in the year-ago quarter.
Adjusted property EBITDA totaled $512 million, up from $432 million reported in the year-ago quarter. We expected this metric to be $516.8 million.
Non-rolling chip drop and rolling chip volume were $2.04 billion and $6.08 billion, respectively, compared with the year-ago quarter’s reported values of $1.87 billion and $6.01 billion.
The segment’s hotel RevPAR was $759 million, up from $579 million in the second quarter of 2023. Occupancy rates were 95.3% compared with 97% reported in the year-ago quarter.
Operating Results
On a consolidated basis, adjusted property EBITDA totaled $1.07 billion in the second quarter compared with $973 million reported in the year-ago quarter.
Financials
As of Jun 30, 2024, Las Vegas Sands had unrestricted cash balances of $4.71 billion compared with $4.96 billion in the previous quarter. Total debt outstanding (excluding finance leases and financed purchases) was $13.72 billion, slightly down sequentially from $13.94 billion.
In the reported quarter, capital expenditures totaled $285 million, comprising construction, development and maintenance activities of $131 million in Macao, $140 million at Marina Bay Sands, and $14 million in corporate, development and other.
Zacks Rank & Recent Consumer Discretionary Releases
Las Vegas Sands currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Mattel, Inc. (MAT - Free Report) reported mixed second-quarter 2024 results, with earnings surpassing the Zacks Consensus Estimate but revenues missing the same. The top line missed the consensus estimate for the third straight quarter.
The company experienced robust bottom-line performance, propelled mainly by significant gross margin expansion and growth in adjusted EBITDA. MAT is well positioned for the second half with new product innovation and increased retail support. The company is in a strong financial position to execute its strategy to expand its IP-driven toy business and expand entertainment offerings. For 2024, management continues to expect net sales to be comparable with the prior year at cc. It also anticipates 2024 adjusted EPS to be between $1.35 and $1.45 compared with $1.23 in 2023.
American Outdoor Brands, Inc. (AOUT - Free Report) reported mixed fourth-quarter fiscal 2024 (ended Apr 30, 2024) results. It reported break-even earnings, which missed the Zacks Consensus Estimate, while net sales topped the same. The top line grew year over year but the bottom line declined.
The quarterly results reflect growth in its outdoor lifestyle and shooting sports categories on the back of new product launches across its several brands. The footprint expansion in Canada also boded well for the company, allowing it to offer outdoor brands to Canadian consumers. However, the bottom line was negatively impacted by the amortization of tariff and freight costs, higher promotional product discounts and an immaterial adjustment to a tariff drawback claim submitted in fiscal 2022.
Carnival Corporation & plc (CCL - Free Report) reported impressive second-quarter fiscal 2024 results, with earnings and revenues beating the Zacks Consensus Estimate. The bottom and top lines increased on a year-over-year basis. The upside was primarily backed by sustained demand strength and increased booking volumes. The management expects net yields to exceed 10% and drive double-digit returns on invested capital.
The quarter’s passenger ticket revenues amounted to $3.8 billion, up from $3.1 billion reported in the prior-year quarter. CCL reported strong booking momentum for 2025, with record volumes surpassing 2024 levels in both price and occupancy. It reported strength in pricing for the North America and Australia, and Europe segments for the third and fourth quarters of 2024 on a year-over-year basis. Its efforts to extend the booking curve and leverage favorable pricing trends resulted in record cumulative bookings for the remainder of 2024, with occupancy rates above 2023 levels.