Why Marina Bay Sands Is Las Vegas Sands’ Most Important Property

by Trefis Team
+1.82%
Upside
61.05
Market
62.16
Trefis
LVS
Las Vegas Sands
Rate   |   votes   |   Share

Las Vegas Sands (NYSE: LVS) is a leading developer of integrated resorts, with five casino properties in Macau, one in Singapore and one in Las Vegas. The company generates a bulk of its revenues from casino gaming but room revenues also contribute a sizable chunk. In 2018, Sands generated $1.7 billion in room revenues, with Marina Bay Sands contributing $393 million (~23% of room revenues) despite a 12% share of Sands’ total room inventory. Trefis highlights the trends in Las Vegas Sands’ Revenues across categories along with our forecasts for 2019 and 2020 in an interactive dashboard.

A Quick Look at Las Vegas Sands’ Revenues

Las Vegas Sands reported $13.7 billion in Net Revenues for full-year 2018. This includes five categories:

  • Casino: $9.8 billion in FY2018 (72% of Net Revenues). It includes income from regulated gambling activities at the company’s properties. Macau and Singapore properties contribute 69% and 22% of the casino revenues, respectively.
  • Rooms: $1.7 billion in FY2018 (13% of Net Revenues). It includes income from visitors/tourists who lodge in the company’s properties. Macau, Las Vegas, and Singapore properties contribute 42%, 35%, and 23% of the room revenues, respectively.
  • Food and Beverage: $865 million in FY2018 (6% of Net Revenues). It includes income from food and beverage sales at the company’s properties.
  • Mall: $690 million in FY2018 (5% of Net Revenues). It includes rental income from retail stores at the company’s properties.
  • Convention, Retail and Other: $622 million in FY2018 (4% of Net Revenues). It includes income from business conventions at the company’s properties.

Las Vegas Sands’ Net Revenues have grown from $11.3 billion in 2016 to $13.7 billion in 2018, and is expected to grow by 7% to around $14.7 billion in 2 years

  • Sands has added $2.5 billion to its revenues over the last two years.
  • Since 2016, Casino revenues from Macau have been the major contributor to the company’s top-line growth.
  • Though the trend has been similar for room revenues, Sands’ Singapore property alone contributes 23% of the room revenues despite operating just 2600 of the total 21,000+ room inventory.
  • This is largely attributed to the fact that the average room rate of Marina Bay Sands is nearly double the figure for Macau and Las Vegas properties.
  • We highlight the trends in Sands’ room revenues across geographies in detail in our interactive dashboard

What’s behind Trefis? See How it’s Powering New Collaboration and What-Ifs
For CFOs and Finance Teams | Product, R&D, and Marketing Teams
All Trefis Data
Like our charts? Explore example interactive dashboards and create your own

Rate   |   votes   |   Share

Comments

Name (Required)
Email (Required, but never displayed)
Be the first to comment!