Wynn Resorts(WYNN) - 2023 Q3 - Quarterly Report

Financial Performance - Operating revenues for Q3 2023 reached $1,671.9 million, an increase of 87.9$889.7 million in Q3 2022[138]. - Net loss attributable to Wynn Resorts, Limited for Q3 2023 was $116.7 million, a decrease of 18.3$142.9 million in Q3 2022[138]. - The increase in operating revenues was primarily driven by increases of $449.5 million from Wynn Palace and$254.6 million from Wynn Macau due to higher gaming volumes and hotel occupancy[139]. - The nine-month operating revenues for 2023 were $4,691.4 million, reflecting a 70.5$2,751.9 million in the same period of 2022[138]. - Diluted net loss per share for Q3 2023 was $(1.03), an improvement from$(1.27) in Q3 2022[138]. - Total operating expenses for the three months ended September 30, 2023, increased by $666.6 million, or 70.7$1,609.3 million compared to $942.7 million in 2022[150]. - Operating revenues for the nine months ended September 30, 2023, totaled$4,691.4 million, reflecting an increase of $1,939.5 million, or 70.5$2,751.9 million in 2022[167]. - Casino revenues for the nine months ended September 30, 2023, were $2,652.4 million, representing a 119.3$1,209.3 million in 2022, accounting for 56.5% of total operating revenues[167]. - Non-casino revenues for the nine months ended September 30, 2023, were $2,038.99 million, a 32.2$1,542.57 million in 2022[167]. Revenue Breakdown - Total Macau Operations generated $819,789 in operating revenues, reflecting a 609.1$115,616 in 2022[141]. - Casino revenues increased by 170.2% to $972,453, up from$359,876 in the prior year, accounting for 58.2% of total operating revenues[141][146]. - Non-casino revenues rose by 32.0% to $699,483, compared to$529,846 in the same period last year[141]. - Room revenues in Macau Operations surged by 678.7% to $54,309, with an occupancy rate of 96.9$42.7 million, driven by higher restaurant covers at Macau Operations[147]. - Entertainment, retail, and other revenues grew by $34.8 million, attributed to higher business volumes in both Macau and Las Vegas Operations[148]. - Wynn Palace's total casino revenues reached$418,043, an increase of 821.6% from $45,361 in 2022[143]. - Wynn Macau's total casino revenues were$230,294, up 908.6% from $22,832 in the previous year[143]. - Las Vegas Operations reported total casino revenues of$168,130, a 25.2% increase from $134,314 in 2022[144]. Expenses and Losses - General and administrative expenses increased by$67.2 million, or 33.4%, primarily due to higher payroll and lease expenses[156]. - Impairment of goodwill and intangible assets amounted to $93.99 million, attributed to the closure of Wynn Interactive's WynnBET platform in certain jurisdictions[151]. - Interest expense increased by$23.3 million, with the weighted average interest rate rising to 6.18% from 5.41% year-over-year[159]. - The company reported a significant increase in impairment of goodwill and intangible assets, totaling $94,490,000, a 96.7$48,036,000[175]. - General and administrative expenses increased by $187,105,000, largely due to higher payroll and development costs[180]. Cash Flow and Investments - The company recorded cash flows from operating activities of$806.6 million for the nine months ended September 30, 2023, compared to a cash outflow of $153.0 million in the same period of 2022[201]. - Capital expenditures for the nine months ended September 30, 2023, totaled$329.4 million, with significant investments in Las Vegas Operations and other properties[205]. - The company purchased $786.5 million in investments during the nine months ended September 30, 2023, primarily in U.S. treasury bills and fixed deposits[205]. - Cash flows from financing activities for the nine months ended September 30, 2023, included proceeds from debt issuances totaling$1,200,000 and repayments/repurchases amounting to $1,522,812[207]. - As of September 30, 2023, total cash and cash equivalents amounted to$2,788,108, with investments of $791,676 and revolver borrowing capacity of$736,985[210]. Debt and Financing - The company issued $600.0 million in 4.50$585.9 million intended for general corporate purposes[213]. - Fixed interest rate long-term debt obligations decreased by $300.0 million, resulting from$1.20 billion in debt issuances and $1.50 billion in debt repayments during the nine months ended September 30, 2023[231]. - The company declared a cash dividend of$0.25 per share for the quarters ended June 30, 2023, and September 30, 2023, totaling $28.5 million and$28.2 million, respectively[225]. - The WRF Credit Agreement was amended to transition the benchmark rate from LIBOR to Term SOFR and to reduce revolving commitments by $100.0 million, extending maturity dates to September 20, 2027[222]. - The company expects annual fixed interest payments to increase by$166.2 million thereafter, primarily due to the issuance of new senior notes and convertible bonds[231]. Market and Operational Insights - The Macau Operations experienced increased business volumes due to the relaxation of COVID-19 related restrictions, leading to improved performance in Q3 2023[139]. - VIP turnover in Macau Operations reached $8,202,165,000, up 414.6$1,593,761,000 in the previous year[169]. - Total room revenues in Macau Operations surged to $151,311,000, a 444.0$27,813,000 in 2022[172]. - The average daily rate (ADR) for room revenues in Macau Operations was $327, up 104.4$160 in 2022[172]. - Total slot machine win in Las Vegas Operations was $325,883,000, an increase of 17.1$278,250,000[170]. Foreign Currency and Interest Rate Management - The company recognized a foreign currency remeasurement gain of $3.9 million for the three months ended September 30, 2023, compared to a loss of$0.9 million in the same period of 2022[161]. - The company incurred a foreign currency remeasurement loss of $19.8 million for the nine months ended September 30, 2023, compared to a loss of$26.1 million in the same period of 2022[187]. - A 1% change in the U.S. dollar/Hong Kong dollar exchange rate would result in a foreign currency transaction gain/loss of $45.5 million based on balances as of September 30, 2023[241]. - Approximately 25$23.1 million[239]. - The company entered into an interest rate collar with a notional value of $615.0 million to mitigate exposure to interest rate fluctuations[240].