Wynn Resorts has always been a top performer in the Las Vegas market, but in the fourth quarter of 2025, cracks appeared in this golden image. Financial reports show that the Las Vegas business revenue was $688 million, a year-on-year decline of 1.6%; adjusted EBITDA fell 10% to $240 million. Although the annual revenue remained flat at $2.5 billion, hotel and dining revenues decreased by 4% and 2.5%, respectively. Simply put, even the most resilient high-end market is beginning to feel the chill. However, CEO Craig Billings still insists that Wynn is "crushing the market by historical standards," and is turning his attention to new growth areas such as the Middle East. Want to know the latest performance breakdown of the Las Vegas gambling giant? PASA official website continues to track industry financial reports and strategic trends.
First, Las Vegas Business: High-end Moat, but Leaking
Wynn's business model in Las Vegas heavily relies on high-net-worth customers—a moat against economic fluctuations. However, Q4 data shows that the walls are not completely watertight:
Table Games Business: Win amount and average daily win per table both declined by over 15%
Baccarat Volatility: High-end baccarat is greatly affected by the amount of single bets, with severe fluctuations, and the annual table win amount still decreased by 2%
Hotel Business: Average Daily Rate (ADR) decreased by 1.5%, and Revenue Per Available Room (RevPAR) decreased by 4%
Billings argues that the high-value customer group remains robust, "even as other income brackets decrease, we are still the beneficiaries." However, continuous declines in data are causing the market to question: How long can this high-end route last?
Second, Encore Renovation: Pain Period Throughout 2026-2027
To enhance competitiveness, Wynn plans to start the renovation of the Encore tower in mid-May 2026, with a construction period of about 12 months. This means the renovation will span 2026 and 2027, continuously impacting room revenue.
The renovation originally scheduled for 2025 was postponed due to cost increases caused by Trump's tariff policy. Billings revealed that the renovation will "choose the lowest demand period for floor rotation" to minimize the impact on peak season revenue. Analysts expect this move might affect $50 million EBITDA, but Billings thinks "this number is a bit high."
Third, Idle Land: 38 Acres, When to Act?
Wynn purchased 38 acres of land adjacent to the existing twin towers in 2017 for $336 million, which remains idle. Considering the 2022 transaction where Fertitta bought 6.2 acres nearby for $270 million, the valuation of this land may now exceed $1 billion.
Billings actively mentioned this at the earnings conference, stating "to activate the land reserves at the right time." He observed that the recently opened Fontainebleau and Resorts World Las Vegas had "no choice but to become share predators," as the market's customer flow did not increase with new projects. However, in the long term, Wynn is still optimistic about demand growth, just a "matter of timing."
Fourth, Overall Performance: Macau Supports, Net Profit Halved
At the group level, Q4 revenue slightly increased by 1.5% to $1.87 billion, but net profit plummeted from last year's $277 million to $100 million, and annual net profit also dropped from $501 million to $327 million. Macau operations were the main support: Wynn Palace Q4 revenue increased by 6%, Wynn Macau by 2%.
As of the end of the quarter, the company held $1.46 billion in cash, with total debt of $10.5 billion. Q4 invested $79 million in the Al Marjan Island project in the UAE, which is expected to open in Q1 2027.
The stock price rose 6% to $114 after the earnings report, with an annual increase of 42%, but only a slight increase of 2% in the last six months.
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This article is from "PASA-Global iGaming Leader," a gambling industry news channel: https://t.me/pasa_news
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