Wynn Resorts NASDAQ: WYNN reported second-quarter strength across its Las Vegas, Boston and Macau operations, while outlining a higher budget and a September 2027 opening target for its Wynn Al Marjan Island project in the United Arab Emirates.
Chief Executive Officer Craig Billings said Wynn Las Vegas generated $215 million of EBITDA during the quarter, or $219 million after adjusting for unfavorable gaming hold. Casino revenue increased 5%, supported by higher drop and handle, while RevPAR rose 3% and retail lease revenue increased 8%.
Billings said Las Vegas performance was particularly strong in May. More recently, the property has seen solid business volumes, rising slot revenue and higher RevPAR, although July was affected by unusually low gaming hold. The company expects another strong Formula 1 weekend and said transient and leisure bookings for the event are pacing ahead of last year.
Group and convention bookings also improved as July progressed, with Billings saying the forward pace looks strong for the fourth quarter and 2027. Brian Gullbrants, Wynn Resorts’ COO for North America, said 2026 group business is pacing ahead of 2025 in both room nights and rates, while 2027 bookings are tracking at levels consistent with a solid year.
Las Vegas and Boston Results
Wynn Las Vegas produced $643.2 million in operating revenue and $215.2 million of adjusted property EBITDA, representing a 33.5% margin. Unfavorable hold reduced quarterly EBITDA by just over $3.6 million, according to the company.
Operating expenses excluding gaming taxes averaged $4.5 million per day, up 6.2% from a year earlier. The company attributed the increase to higher business volumes, contractual wage increases and investments in premium customer offerings, including the openings of Zero Bond, Casa Playa and PISCES.
Billings said ongoing Encore renovations are expected to reduce Las Vegas revenue by roughly $2 million to $4 million per quarter through the first half of next year, reflecting rooms unavailable on peak dates. The company maintained its prior outlook for Las Vegas operating expenses, citing a range of $4.4 million to $4.7 million per day for the remainder of the year.
Encore Boston Harbor generated $56.1 million of adjusted property EBITDA on $209.3 million of revenue, for a 26.8% margin. The second quarter set records for hotel revenue and RevPAR at the property, while slot revenue increased 1%. Operating expenses per day rose 2.9% to $1.19 million despite continued labor pressure, the company said.
Macau Operations and Expansion Plans
In Macau, Wynn reported $297 million of adjusted property EBITDA on $1 billion of operating revenue, a 29.6% margin. Billings described the quarter as particularly solid, noting that mass drop increased 5%. Below-theoretical VIP hold reduced EBITDA by more than $8.6 million.
Third-quarter rolling volumes and mass drop were slightly lower year over year during the World Cup and a seasonal slowdown, Billings said. However, business improved in the second half of July as the summer holiday period began, with those trends continuing into early August.
The company said Macau operating expenses excluding gaming taxes averaged about $2.9 million per day, up 9% from the prior year but unchanged from the first quarter. The increase reflected investment in premium customer experiences, including the recently expanded Chairman’s Club, cost-of-living adjustments and variable costs associated with higher volumes.
Wynn plans to begin construction in coming weeks on an event center and theater at Wynn Palace following receipt of a revised land contract from the Macau government in July. The facilities are expected to be completed in 2028. The company also expects to begin construction before year-end on The Enclave, a 432-suite hotel tower expected to open in 2029.
Expansionary capital expenditures in Macau are projected to total $350 million to $400 million in 2026, primarily for early work on those developments. Wynn said it committed to $2.6 billion of non-gaming spending under its Macau concession obligations, including $1.6 billion in capital expenditures and the remainder in operating expenditures.
UAE Project Budget Raised, Opening Set for 2027
Wynn increased the total budget for Wynn Al Marjan Island by approximately $600 million and now expects the integrated resort to open to the public in September 2027. Billings said about half of the increase is tied directly to disruptions from regional conflict, including higher material and shipping costs, changes in sourcing and routing, and additional pre-opening and capitalized-interest costs from the extended timeline.
The remaining increase reflects remeasurement, trade coordination and other costs associated with a project of its scale and duration, according to Billings. Construction has advanced to interior hotel-room fit-out work, while pre-opening hiring and operational planning are also underway.
Billings said the company continues to view the UAE project as a compelling opportunity and intends to open all amenities rather than conduct a phased opening. He said Wynn continues to stand by the projections it previously published for the project, though the higher budget will affect its return profile.
During the quarter, Wynn contributed $48.1 million of equity to the project, bringing cumulative equity contributions to just over $1.06 billion. The project’s construction loan had $1.4 billion drawn as of the call. At Wynn’s 40% ownership share, the budget increase equates to about $240 million of additional required equity, and the company expects its remaining equity contribution, including Janu, to be approximately $525 million to $650 million.
Liquidity and Shareholder Returns
Wynn reported $4 billion of global cash and revolver availability as of June 30, including roughly $2.3 billion in Macau and $1.7 billion in the U.S. Total capital expenditures during the quarter were approximately $153 million, primarily for Las Vegas renovations and the completed Wynn Macau hotel refurbishment.
The Wynn Macau board approved a $150 million final dividend for 2025, up from $124 million in the prior period. Separately, the Wynn Resorts board approved a quarterly cash dividend of $0.25 per share, payable Aug. 28 to shareholders of record on Aug. 14.
Billings said share repurchases remain governed by a price-based framework that takes account of the company’s funding needs, including its UAE development commitments.
About Wynn Resorts (NASDAQ:WYNN)
Wynn Resorts, Limited NASDAQ: WYNN is a global developer and operator of luxury resorts and casinos, renowned for its premium hospitality offerings and integrated entertainment experiences. The company specializes in high-end hotel accommodations, gaming operations, fine dining restaurants, retail outlets, meeting and convention spaces, and live entertainment venues. Its properties are designed to cater to both leisure and business travelers seeking upscale environments and world-class service.
Founded in 2002 by hospitality entrepreneur Steve Wynn, the company opened its flagship property, Wynn Las Vegas, on the Las Vegas Strip in 2005, followed by Encore Las Vegas in 2008.
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