Wynn Resorts reported Q2 GAAP EPS of $0.64, missing estimates by $0.59. Revenue of $1.74B (+0.6% Y/Y) also missed by $10M. The results were below expectations, with the company's performance in the Macau market being a key factor. Despite this, Wynn Resorts' revenue still increased year-over-year.
Wynn Resorts (NASDAQ: WYNN) reported its second-quarter 2025 earnings on July 7, after the market closed. The company's GAAP earnings per share (EPS) of $0.64 fell short of analysts' expectations by $0.59, while revenue totaled $1.74 billion, a 0.6% year-over-year (YoY) increase, but missed estimates by $10 million.
The company's performance in the Macau market was a key factor in the underwhelming results. Despite this, Wynn Resorts' revenue still increased YoY, driven by strong visitor numbers and demand in both Las Vegas and Macau. The Macau operations are expected to have contributed $893 million in revenue, a 0.9% YoY increase [2].
In Las Vegas, Wynn Resorts benefited from a robust slot handle, elevated table drop, and high-margin non-gaming revenues. The company's casino and room revenues are predicted to rise 3.2% and 1.2% YoY, respectively [2].
However, intense competition in Macau, short booking windows, and limited demand visibility weighed on second-quarter performance. Elevated operating expenses, including increased casino and room expenses and high general and administrative costs, also impacted profitability. Total operating expenses are expected to rise 4.9% YoY to $1.54 billion [2].
Wynn Resorts' Earnings Surprise Score (ESP) of +7.09% and its Zacks Rank #3 indicate a positive outlook for the company's earnings performance in the coming quarters [2]. Despite the recent miss, the company's long-term growth prospects remain strong, driven by its strategic investments in existing properties and enhancements in food and beverage offerings.
References:
[1] https://seekingalpha.com/news/4481816-wynn-resorts-gaap-eps-of-0_64-misses-by-0_59-revenue-of-1_74b-misses-by-10m
[2] https://finance.yahoo.com/news/wynn-resorts-gears-q2-earnings-143800565.html
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