Amid strength at its Macau casino hotels and Marina Bay Sands in Singapore, casino and resort operator Las Vegas Sands (NYSE: LVS) delivered revenue that surpassed Wall Street predictions for the third quarter. After U.S. markets closed, the operator reported earnings of 55 cents per share on sales totaling $2.8 billion from the summer quarter of July through September. Despite predictions forecasting earnings of 55 cents on a revenue of $2.73 billion, the company exceeded expectations, an impressive feat considering the temporary closure of Macau casinos last month due to a typhoon.

The five integrated Sands Macau properties reported combined adjusted property earnings of $631 million before interest, taxes, depreciation and amortization for the third quarter. Marina Bay Sands contributed an additional $491 million.

CEO Rob Goldstein expressed optimism, noting the recovery of travel and tourism spending in Macau and Singapore during the quarter. Goldstein suggested enthusiasm for potential growth in both markets. Sands China’s gaming and non-gaming offerings continued to show improvement throughout the quarter, he added.

Continuing the pattern of shareholders’ rewards, Sands announced that its board approved a $2 billion share repurchase program following the release of its second-quarter earnings report in July. The company disclosed that its board authorized the increase of its outstanding common stock to be repurchased from $916 million to $2 billion, extending the authorization’s expiration date to November 3, 2025. The repurchase program is slated to resume in the fourth quarter of 2023.

While companies are not legally compelled to fulfill the entirety of a buyback announcement, if Sands retires its proposed 17.13 million of its 764.25 million shares, it’d be based on a closing price of $44.60.

As for the company’s balance, Las Vegas Sands ended the third quarter holding $5.57 billion in cash. The operator also has access to a $4.17 billion revolving credit facility. The company‚Äôs debt stood at $14.17 billion as of the end of September.

Investors are taking note of the hefty financial reserve, as it suggests Sands can maintain or augment its dividend and support the previously mentioned share buyback plan. The vanguard cash reserves also allow the firm to embark on growth initiatives and enhancements to existing locations without resorting to historically high-interest bearing credit markets.

Basheera Manaar is a freelance writer covering news related to Land Based Casinos in United States. When she is not informing you about the gambling world, you will find her busy interacting with nature, people and animals. She recently graduate from Nairobi University with a degree in Journalism.


Onlinecasino.us
© Copyright 2023 Onlinecasino.us
Powered by WordPress | Mercury Theme