Casino operator Wynn Resorts ( WYNN ) on Monday reported fourth-quarter earnings and sales that topped Wall Street forecasts, lifted by strong results in Macau. Shares of Wynn Resorts and other casino giants such as Las Vegas Sands ( LVS ) rallied, hitting multi-year highs.
[ibd-display-video id=3098390 width=50 float=left autostart=true] Earnings per share nearly tripled to $1.40, beating Zacks estimates for $1.36, while net sales jumped 30% to $1.689 billion, above views for $1.536 billion.
The pick up in sales was helped by gains from Wynn Palace and Wynn Macau, its two Macau resorts. However, sales in the company's Las Vegas properties fell 1.6%.
Wynn shares soared 8.7% to 195.23 in the stock market today . Las Vegas Sands, which reports fourth-quarter results on Wednesday, rose 3.4% to 77.06. Both Wynn Resorts and Las Vegas Sands hit 3-year highs intraday.
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MGM Resorts International ( MGM ), which is more exposed to Vegas than the other big casino players, rose 2.1% to its best levels since August 2008. Melco Resorts & Entertainment ( MLCO ),which draws much of its sales from Macau and is owned by Hong Kong-based Melco International Development, climbed 1.3%, reaching a three-year best like Wynn and Sands.
Wynn's results follow a 19.1% pop in sales last year in Macau , the world's largest gaming hub and the only part of China where gambling is legal. However, the region remains prone to stiff regulatory scrutiny.
On a GAAP basis, the company said Q4 net income was $491.7 million, or $4.77 a share, more than quadruple the amount a year ago, due in large part to the GOP's tax reform and the gains in Macau.
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