Wynn Macau has recorded an operating revenue decrease of 79.2% to HKD3.97 billion in the first half of the year, attributing the drop to the adverse effects of the Covid-19 pandemic.
According to a statement issued by the gaming operator to the Hong Kong Stock Exchange, its casino revenues amounted to HKD2.98 billion, which accounted for 85.9% of the total operating revenue.
Visitation to Macau has fallen significantly since the outbreak of Covid-19, driven by the pandemic’s deterrent effect on travel and social activities.
Due to travel restrictions, which hindered the city’s main visitor source market from entering the SAR, Wynn Macau’s operating loss stood at HKD3.17 billion in the first half of the year.
“Covid-19 pandemic has had and will continue to have an adverse effect on the company’s results of operations,” parent company Wynn Resorts said in a statement.
“The company is currently unable to determine when protective measures in effect at our Macau Operations, Las Vegas Operations, and Encore Boston Harbor will be lifted.”
Given the uncertainty around the extent and timing of the potential future spread or mitigation of Covid-19, as well as ongoing uncertainty around the imposition or relaxation of protective measures, Wynn’s management said that it cannot reasonably estimate the impact to the company’s future operation, cash flow, or financial condition results.
However, it noted that it is still “able to support continuing operators and respond to the current Covid-19 pandemic challenges,” underlining that as of June 30 it had total cash and cash equivalents, excluding restricted cash, of HKD18.86 billion.
Meanwhile, the parent company has recorded $523 million losses in the three months ended June 30, against about $219 million in operating income a year earlier. The gaming operator’s quarterly revenue fell to $85.7 million from $1.66 billion a year earlier.
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