The Las Vegas Sands is a company that ended last year with record earnings. One of the reasons for the Las Vegas companies huge growth in earnings has been a growth in Macau and other Asian markets that the company has expanded to in recent years. The company has reported that a total of 62% of its fourth-quarter operating profit, a total of more than $1 billion came from the casinos and resorts that they have currently placed in Macau. The chairman of the casinos, Sheldon Anderson, told investors in a recent earnings call that the growth of the company is expected well into the future. The company recently opened a resort in Macau that has more than 2100 rooms, the Sheraton. The company has also planned in addition of more than 200 table games, coming in the first quarter of 2013.
Although Singapore as a country side huge follow 29.1% of the total revenue of the companies stationed there, it still represented about 30% of the company’s overall revenue. The fourth quarter net revenue of the company increased 20.9% to a total of $3.08 billion. This was a record for the company, even before the 2008 financial collapse. The year-end revenue increase the total of 18.3% to a total of $11.13 billion. This was also a record for the company. The company saw huge gambling volume increases in Macau, which drove the operating profits of all of the different resorts located in Macau to a total of $622.2 million. Macau is a region that is known to casino operators as one of the biggest operators of table games, with the growth of 52.6% overall to a record seven and earned $69.6 million.
The Sands Board also announced that they were going to increase their quarterly dividend by a total of 40%. This is good news for shareholders who last year sought 25 cents per-share dividends, and this year are looking to see $.35 per share dividends. The huge gains in China were able to offset some of the losses that the company saw in Las Vegas itself. In fact, the Las Vegas resorts reported quarterly earnings of $87.9 million, which was a total drop of 34.7% over 2011.
It will be interesting to see if the company is able to improve upon their Las Vegas earnings, while still expanding their presence throughout Macau and China. The company is one that is done well, but not so well in their base city of Las Vegas. The company continues to be a record setter when compared to the company’s past, and there are various things that need to be taken into account in order to ensure that they are able to improve upon the revenue that is generated in Las Vegas,and continue their good streak across the globe.
“We’ve been on the ground for some time in Japan, Korea and Vietnam,” Adelson said. “We’re also looking for more opportunities in Europe and South America…I couldn’t be more optimistic about the future.”