Wynn Resorts 2nd-quarter profit rises on Las Vegas strength

Steve Marcus

An exterior view of the Wynn and Encore Tuesday, November 15, 2011.

Wynn Resorts Ltd.'s second-quarter earnings increased 57 percent, bolstered by strong results in Las Vegas.

The casino operator's adjusted profit topped analysts' estimates, but revenue missed Wall Street's view.

The Las Vegas-based company said net income rose to $203.9 million, or $2 per share, from $129.8 million, or $1.28 per share, in the same quarter a year ago.

Earnings, adjusted for non-recurring costs and to extinguish debt, came to $2.11 per share. The average per-share estimate of analysts surveyed by Zacks Investment Research was for profit of $2.08.

Wynn Resorts said revenue climbed 6 percent to $1.41 billion from $1.33 billion, but missed Wall Street forecast of $1.44 billion.

Revenue in Macau — the only place in China where gambling is legal — rose 3 percent. Las Vegas revenue increased 12.5 percent, helped by a strong gain in casino revenue and higher revenue from rooms, food and drinks.

Wynn Resorts said its total outstanding debt at the quarter's end was $7.3 billion. This included $3.1 billion of Wynn Las Vegas debt, $2.3 billion of Wynn Macau debt and $1.9 billion at the parent company.

The company's shares declined $3.97 to $207 before the market open on Tuesday.