Wynn Resorts has once again stressed confidence in the “return of consumer demand” moving forwards, as the casino operator also details a CEO transition that will see current incumbent Matt Maddox leave the company on January 31, 2022.
This comes after a “unanimous request by the board of directors,” with Maddox to remain on the Wynn Macau and Wynn Interactive boards through to the end of next year.
Craig Billings, CEO of Wynn Interactive, and who has also served as president and CFO of Wynn Resorts, was unanimously selected by the board to become CEO and a member of the board from February 1, 2022.
Philip Satre, chair of the Board for Wynn Resorts, explained “Matt has done an incredible job as CEO since his appointment four years ago. He very successfully led the company through what could have been one of the most disruptive business transitions in decades.
“He ensured a swift refreshment and remaking of the board of directors and senior management, resulting in increased diversity and Wynn being recognised as having one of the most diverse boards of directors in the country.
“Matt’s strategy to confront the pandemic and its economic impact on the company proved to be the correct one: make decisions focused on the welfare of employees, guests and communities, and invariably the business and its shareholders will reap the rewards.
“He was a leader in the recovery of the Nevada hospitality industry, and his leadership in this area was recognised nationally as well.”
Maddox, who has been with the company for two decades and has been its CEO since February 2018, noted: “This has not been an easy decision. I am leaving a company that I love and that’s full of people I admire. But I believe now is the right time for me and for the business.
“The last four years have been challenging but extremely rewarding, and I am incredibly proud that we accomplished so much. We quickly resolved litigation that had distracted the company for seven years.
“We reorganised the company’s leadership team and focused on our 28,000 employees, rebuilding and strengthening our powerful culture to focus on a common purpose: create and deliver the best guest experiences.”
This comes as the group also delivers an update on its performance through the year’s third quarter, which saw group-wide revenue increase 59.3 per cent year-on-year to $994.6m (2020: 624.2m).
Breaking down this figure further, each reporting segment of casino; rooms, food and beverage, and entertainment, retail and other; again demonstrated significant improvements to $496.2m (2020: $201.8m); $173.8m (2020: $61.4m), $217.5m (2020: $76.5m), and $107m (2020: $30.8m) respectively.
Net loss attributable to the company recovered from 2020’s loss of 758.1m to $166.2m, with adjusted property EBITDA swinging from a loss of $65.9m to $154.6m during Q3 2021.
In Macau, the group’s Wynn Palace property saw revenue increase to $183.1m (2020: $15.7m) as adjusted EBITDA amounted to $12.1m (2020: -$77.6m), with Wynn Macau seeing revenue and adjusted EBITDA rise to $130.7m (2020: $51.4m) and -$1.9m (2020: -$34.5m), respectively.
Operating revenues from Las Vegas operations was $476m (2020: $186.7m) and adjusted property EBITDA finished up at $183.4m (2020: $20.3m), with Encore Boston Harbor’s performance across both reporting sections closing at $192.2m (2020: $116.7m) and $64.6m (2020: $26m).
“We were pleased to deliver record adjusted property EBITDA at both Wynn Las Vegas and Encore Boston Harbor during the third quarter,” added Maddox. “With our recent investments in innovative food and beverage offerings, a new convention facility in Las Vegas and a revamped casino loyalty program, the best days are ahead for our business in North America.
“And while there have been some fits and starts along the road to recovery in Macau, we are confident that Macau will benefit from the return of consumer demand as we progress through 2022.”