Wynn to invest up to USD250 million in upgrades this year

Wynn Resorts has announced plans to invest up to USD250 million this year in key capital projects at its Macau properties.

The investments include expanding the exclusive Chairman’s Club gaming area at Wynn Palace and refurbishing hotel rooms at Wynn Tower in Wynn Macau.

The company said these upgrades, confirmed during its second-quarter earnings call, aim to enhance the premium offerings at its Macau resorts, despite expected minor disruptions during the renovation period.

Julie Cameron-Doe, Chief Financial Officer of Wynn Resorts, confirmed these details during the group’s second-quarter earnings call last week.

“We’ve initiated two projects – an expansion of the Chairman’s Club gaming area at Wynn Palace and a refresh of our Wynn Tower rooms at Wynn Macau. Together with other ongoing capital expenditures, we expect to spend a total of $200 million to $250 million in total for 2025,” she said.

While these projects are expected to cause minor disruptions later this year, they are designed to elevate Wynn Macau’s long-term premium offerings.

The company also announced plans to increase its Macau capital expenditure to between $450 million and $500 million in 2026, including the construction of a large-scale events center at Wynn Palace.

The venue is expected to occupy a parcel of land on the north edge of the resort, with completion targeted for “early 2028,” subject to government approval.

Meanwhile, Craig Billings, CEO of Wynn Resorts, emphasized the strategic value of this events center, noting that Macau has benefited greatly from large-scale, arena-style entertainment akin to Las Vegas.

Such events, he said, “tend to affect everybody in the market” by boosting visitor numbers and engagement.

In the United Arab Emirates (UAE), Wynn’s Al Marjan Island development is progressing swiftly in Ras Al Khaimah, often referred to as RAK.

Billings stated on the earnings call that the resort’s tower has reached the 61st floor and remains on track to “top out by late 2025.”

The Wynn CEO also revealed that the company has secured major food and beverage partnerships and reached key agreements with high-profile retail tenants to support the UAE resort’s luxury positioning.

“We remain on track for our targeted opening date of Wynn Al Marjan Island and continue to believe it is the most compelling development opportunity in the industry. Wynn Al Marjan will be the only property operating in what many analysts are predicting will be a $5-plus billion gaming revenue market,” stated Billings.

Further expanding its global footprint, the group officially opened its Wynn Mayfair casino in London in June. The company acquired the property from Australia’s Crown Resorts in January.

CapEx allocated to offset low VIP hold

Wynn Resorts posted operating revenue of USD1.74 billion for the second quarter ended June 30 2025, a slight increase of 0.3% or $4.9 million compared to $1.73 billion in Q2 2024.

However, net income attributable to the company declined significantly by 41% from $111.9 million in Q2 2024 to $66.2 million in Q2 2025.

The group’s adjusted property EBITDAR fell by 3.4% year-over-year, down to $552.4 million from $571.7 million in Q2 2024.

Julie Cameron-Doe, chief financial officer of Wynn Resorts, stated on the earnings call, “Our Macau operations delivered adjusted property EBITDAR of $253.7 million in the quarter on $883.5 million of operating revenue, resulting in an EBITDAR margin of 28.7%. Lower-than-normal VIP hold impacted EBITDAR by a little under $13 million in the quarter.”

She added that operating expenses excluding gaming tax averaged approximately $2.66 million per day during the period, a 4.5% increase year-over-year, primarily driven by costs associated with the Gourmet Pavilion at Wynn Palace and standard inflationary pressures.

Adjusted Property EBITDAR in Macau declined 9.3% to $254 million, largely due to lower VIP hold percentages at its Cotai flagship Wynn Palace, which saw revenues drop 1.5% to $539.6 million and EBITDAR decrease by 14.8% to $157.2 million.

Conversely, on the Macau Peninsula, Wynn Macau’s revenues grew by 1.9% to $343.8 million with an EBITDAR increase slightly to $96.5 million, supported by improved VIP gaming hold percentages despite a dip in mass market wins. NS