MGM Resorts International (MGM) will reports earnings results for the second quarter of its fiscal year 2014 (2QFY14) tomorrow, before the market opens. Analysts are estimating earnings per share (EPS) of 12 cents, up a cent from the comparable quarter last year. The Street expects revenue of $2.6 billion, ahead of the $2.4 billion posted in the same quarter last year.
By James Hartje:Macau has become the world's number one gambling market, overtaking Las Vegas as a result of a huge development surge over the past five years. Once a seedy sideshow to nearby Hong Kong, Macau now draws millions of Mainland Chinese visitors, who can't legally bet at home. Over three billion people live within a travel radius around Macau. We originally became interested in the investment opportunities in Macau back on May 28th, 2010.
Shares of all major gaming and casino companies moved lower today after sell-side analysts provided a word of caution in new research published today. Bank of America Merrill Lynch said today in a research note that revenues in Macau could face headwinds going forward.
By Blackstone Equity Research:Las Vegas Sands Corp. (LVS), one of the leading destination properties and casino operator in the world reported impressive financial results in FY 2013 with respect to its revenue performance.
Las Vegas Sands (NYSE:LVS) will report its 1Q 2013 earnings on May 1. Despite a slowdown in the Chinese economy last year, the company continued to do well in Macau, the world's biggest casino market. Given the success of Las Vegas Sands' integrated resorts in Macau and increased gaming revenues in China, we expect good results in the first quarter.
Las Vegas Sands (LVS) reported its Q4 2012 results last week and Macau once again was a big driver to growth. Unlike its competitors, Las Vegas Sands hasn’t experienced a slower growth in Macau in spite of a slowdown in the Chinese economy.
Last month’s revenues in China’s special administrative region of Macau fell 3.6% from July last year, marking the second-consecutive month of year-over-year (YoY) decline. The continued drop was again attributed to lower traffic of Chinese high-rollers visiting Macau during the recently concluded FIFA World Cup, coupled with worries of an economic slowdown in China and an increasing corruption crackdown in the world’s most populous country.
Macau, the world's largest gambling hub and the only region in China where gambling is legal, continues to attract high-rollers from mainland China in big numbers, fostering revenue growth for the six licensed casino operators in the region.