Las Vegas Sands sees revenue increase to USD 3.51 B in Q4 2019

Las Vegas Sands reported Wednesday financial results for the quarter ended December 31, 2019. 

"We delivered solid financial results in the quarter, with Adjusted Property EBITDA reaching $1.39 billion," said Sheldon G. Adelson, chairman, and chief executive officer. "This figure represents an increase of 9.1% from the prior-year quarter due to increases in each of our jurisdictions, led by Singapore increasing $95 million."

Net revenue was $3.51 billion, an increase of 1.0% from the prior-year quarter, and operating income increased 6.9% to $934 million. 

Net income increased to $783 million compared to a net loss of $40 million in the year-ago quarter, which was due to improved operating results and nonrecurring non-cash income tax expense of $727 million for U.S. tax reform in 2018, as further discussed below.

"We remain enthusiastic about our future growth opportunities in Asia: this year, we will introduce approximately two million square feet of luxurious suite accommodations on the Cotai Strip with the opening of the Grand Suites at Four Seasons Macao and The Londoner Tower Suites, and additional tourism and entertainment amenities of The Londoner Macao will debut throughout 2020 and 2021," Adelson continued. "Looking further ahead, the expansion of Marina Bay Sands in Singapore will meaningfully increase our suite capacity and introduce a state-of-the-art entertainment arena, both of which should contribute to future growth; we are also aggressively pursuing additional development opportunities in new markets, including in Japan."

The company paid a recurring quarterly dividend of $0.77 per common share and continued its return of capital through share repurchases of $300 million during the quarter; and announced its next quarterly dividend of $0.79 per common share will be paid on March 26, 2020, to Las Vegas Sands shareholders of record on March 18, 2020.

"Finally, we remain deeply committed to maintaining our industry-leading financial strength while continuing to increase the return of capital to shareholders, Adelson explained. “As previously announced, our annual dividend for the 2020 calendar year will increase to $3.16 per share, or $0.79 per share per quarter."

Net income attributable to Las Vegas Sands in the fourth quarter of 2019 was $629 million, compared to net loss attributable to Las Vegas Sands of $170 million in the fourth quarter of 2018, while diluted earnings per share in the fourth quarter of 2019 was $0.82, compared to diluted loss per share of $0.22 in the prior-year quarter. The increase was primarily a result of nonrecurring non-cash income tax items due to the implementation of U.S. tax reform in 2018.

Adjusted net income attributable to Las Vegas Sands was $678 million, or $0.88 per diluted share, compared to $598 million, or $0.77 per diluted share, in the fourth quarter of 2018. Hold-normalized adjusted earnings per diluted share was $0.80.

Full year 2019 operating income decreased by 1.4% to $3.70 billion, compared to $3.75 billion in 2018, due to increased corporate expense. Net income attributable to Las Vegas Sands increased 11.8% to $2.70 billion, or $3.50 per diluted share, in 2019, compared to $2.41 billion, or $3.07 per diluted share, in 2018. The increase in net income attributable to Las Vegas Sands reflected the gain on the sale of Sands Bethlehem, partially offset by the decrease in operating income and increases in income tax and interest expense.