Wynn lauds interactive progress as the road to recovery continues

Wynn Resorts believes its interactive shift positions the group to capitalise on developing opportunities in digital sports betting and gaming throughout the US, with a number of further debuts planned for the coming months. 

The group entered the space in October 2020 following the merger of its online sports betting and gaming and social casino businesses with strategic partner BetBull.

The digital and interactive sports betting app, WynnBet, is currently operational in New Jersey, Colorado, and Michigan, with further developments coming within Iowa, Ohio, Tennessee, and Virginia.

Matt Maddox, CEO of Wynn Resorts, commented: “On the development front, our WynnBet online casino and sports betting app is currently available in three states following successful launches in Colorado and Michigan, with additional launches planned over the coming months. 

“We believe our product will be increasingly compelling with each release over the coming months and look forward to growing the business in 2021.”

The comments come as the operator documents its Q4 and FY 2020 performance, with a series of closures and COVID-related restrictions severely hampering the performance of Wynn’s land-based estate.

For the former, operating revenue came in at $686m, representing a 58.5 per cent drop from $1.65m year-on-year. Decreases of $368.5m, $343.5m, $196.2m, and $65.4m were also felt at Wynn Palace, Wynn Macau, Las Vegas operations, and Encore Boston Harbor, respectively.

Net loss during the quarter finished up at $310.29m compared to a loss of $17.47m a year earlier, as adjusted property EBITDA came in at $69.8m (2019: $443.1m). Declines in the latter of $148.9m, $159.4m, and $59.1m were also documented at its Wynn Palace, Wynn Macau, and Las Vegas Operations, respectively, with an increase of $1.4m at Encore Boston Harbor.

For the full-year ending December 31, 2020, operating revenues decreased 68.3 per cent to $2.1bn from $6.61bn. Wynn Palace, Wynn Macau, Las Vegas operations, and Encore Boston Harbor, which only opened on June 23, 2019, felt drops of $2.04bn, $1.6bn, $885.5m, and $2.3m, respectively.

Net loss for the year swung to $2.32bn from an income of $311.37m, with adjusted property EBITDA decreasing 117.9 per cent from $1.82bn to a loss of $324.3m. Adjusted Property EBITDA dropped $879.2m, $736m, $470.2m, and $46.9m at Wynn Palace, Wynn Macau, Las Vegas operations, and Encore Boston Harbor, respectively.

“We are encouraged by the progress we have made at each of our properties over the past several months, as we continue along the road to recovery from the pandemic,” added Maddox. 

“In Macau, the gradual and thoughtful easing of visitation restrictions allowed us to return to adjusted property EBITDA profitability in the fourth quarter, with particular strength in our premium mass business. 

“In the US, our operations at both Wynn Las Vegas and Encore Boston Harbor were resilient as we continue to deliver our industry-leading service, while remaining focused on costs.”