Wynn Resorts Q4 Earnings Call Highlights
by Michael Walen · The Markets DailyWynn Resorts (NASDAQ:WYNN) executives used the company’s fourth-quarter 2025 earnings call to frame the business around what CEO Craig Billings described as multi-year shifts in geopolitics, currency blocs, and technology-driven wealth creation—trends he said are increasingly concentrating around global hubs in the U.S., China, and parts of the Middle East. Billings argued that Wynn’s strategy of focusing on high-value customers and operating luxury assets across multiple geographies positions the company to benefit from those shifts, particularly as it approaches the opening of Wynn Al Marjan Island in the United Arab Emirates.
Las Vegas: EBITDA grew on healthy demand, with a renovation headwind ahead
In Las Vegas, Wynn reported adjusted property EBITDA of $240.8 million on operating revenue of $688.1 million, for a 35% margin. Billings said the quarter was “another robust” period, noting that year-over-year comparisons were affected by unusually high hold in the prior-year quarter. CFO Julie Cameron-Doe added that hold positively impacted Las Vegas EBITDA by just over $8 million in the quarter.
Management said demand remained healthy, with drop, handle, and average daily rate (ADR) all up year-over-year, while RevPAR was slightly below last year due to a deliberate approach of prioritizing rate over occupancy. Billings emphasized that driving rate over occupancy is an “incredibly intentional strategy,” allowing the company to adjust staffing and restaurant hours to optimize profitability.
Looking ahead, management said early first-quarter performance has been encouraging, with casino volumes and RevPAR “holding up well.” For 2026, visibility is strongest in group and convention business, which Billings said is on pace to grow both room nights and rate compared to 2025. However, Wynn reiterated that it will begin the Encore Tower remodel in the second quarter and expects to lose about 80,000 room nights in 2026, with some of that impact potentially recaptured through higher rates. Wynn Las Vegas President Brian Gullbrants said the work begins in mid-May, will take roughly 12 months, and will extend into 2027.
On costs, Cameron-Doe said Las Vegas operating expenses (excluding gaming tax) averaged $4.6 million per day in the quarter, up 4.1% year-over-year, driven largely by incremental payroll costs, higher repairs, and bad debt expense. She said the quarter included a heavy slate of events (including Formula One, Concours, New Year’s, and a busy convention calendar), and she maintained the outlook for OpEx of $4.3 million to $4.5 million per day outside of major event periods.
Encore Boston Harbor: record slot revenue, but results hit by low hold
Encore Boston Harbor generated adjusted property EBITDA of $57 million on revenue of $210.2 million, producing a 27.1% margin. Management said lower-than-normal table hold weighed on results, masking what Billings called strong fundamentals, including higher RevPAR, table drop, and slot handle year-over-year.
Cameron-Doe noted slot revenue rose more than 2% and set a new record for the Boston property. She also highlighted cost discipline, with OpEx per day of $1.18 million, up less than 1% from the prior-year quarter despite labor cost pressures. She said the team has worked to mitigate union-related payroll increases through efficiencies that do not impact the guest experience.
On development around Boston, Billings addressed reports about potential hotel expansion. He said Wynn is not developing hotels on its balance sheet; instead, the company owns roughly 16 acres adjacent to Encore and is considering leasing a portion of that land. He said Wynn entered into an MOU with the city of Everett to facilitate potential development as part of a broader neighborhood vision that could include a rail stop and a possible Major League Soccer stadium nearby.
Macau: strong volume growth offset by unusually low hold
In Macau, Wynn reported adjusted property EBITDA of $270.9 million on operating revenue of $967.7 million, a 28% margin. The quarter featured significant volume growth but unusually low hold in both VIP and mass segments. Billings said low VIP hold reduced EBITDA by a little over $16 million, and Cameron-Doe added that mass hold was about 250 basis points lower than the prior-year quarter, affecting the overall EBITDA margin.
Volumes were strong, with VIP turnover up 48% and mass drop up 18% year-over-year. Billings said VIP remains “incredibly lumpy” and cautioned against reading the quarter as evidence of a broader structural shift. He also said Wynn has not changed its credit approach and is not driving VIP volumes through incremental credit; rather, the company has made targeted investments in VIP hosting and player development.
Asked about normalized margins, Billings indicated a more normalized Macau margin would be “somewhere around 30” rather than matching the prior-year quarter’s level cited by an analyst.
Macau OpEx (excluding gaming tax) was approximately $2.85 million per day in the quarter, with Cameron-Doe attributing the increase primarily to a full quarter of Gourmet Pavilion-related costs, cost-of-living expenses, and variable costs tied to healthy volumes. She reiterated the company’s expectation of $2.7 million to $2.9 million per day in Macau OpEx.
Chairman’s Club expansion set to open for Chinese New Year
Management expressed optimism about demand heading into Chinese New Year, saying booking pace was good. A key near-term catalyst in Macau is the opening of a new Chairman’s Club floor at Wynn Palace. Billings said the 63,000-square-foot addition is dedicated to the company’s highest-value customers and will include gaming alongside amenities such as boutique food and beverage outlets, entertainment areas, a cigar lounge, and a bar.
During Q&A, Billings said the expansion will triple the size of the Chairman’s Club to nearly 100,000 square feet, calling it a new standard for premium gaming space in Macau. He later confirmed the company had received government approval to open the space, removing uncertainty around timing.
UAE project milestones, capital returns, and CFO transition
Billings said Wynn Al Marjan Island is a major step in geographic diversification and expects the portfolio to generate more than 55% of revenues in non-U.S. dollar-denominated markets over time. The company said construction reached a major milestone in the fourth quarter with the tower topping out at the 70th floor, with interior fit-out underway in guest rooms and exterior glass about 80% complete.
On commercialization, Billings said timing for when rooms will go on sale is under discussion, but he “spitballed” late Q3 or early Q4. He also said additional regional hotel room supply would help performance beyond Wynn’s base case, but he emphasized that the base case does not depend on that incremental capacity. Wynn said it is developing a transportation program to draw day-to-day visitation from adjacent cities.
Cameron-Doe reported the company ended the year with global cash and revolver availability of $4.7 billion as of December 31, including $2.9 billion in Macau and $1.8 billion in the U.S. She said properties generated over $2.2 billion of adjusted property EBITDA and that consolidated net leverage was just over 4.4x.
Wynn’s board approved a quarterly cash dividend of $0.25 per share, payable March 4, 2026, to stockholders of record as of February 23. Cameron-Doe said the company spent about $171.2 million of capital expenditures during the quarter across projects including Fairway Villa renovations and new venues in Las Vegas, the new Chairman’s Club space at Wynn Palace, the Wynn Macau tower room refresh, and maintenance. Wynn also contributed $79.2 million of equity to the Al Marjan project in the quarter, bringing total equity contributions to date to $914.2 million, while drawing $769.6 million on the project’s construction loan. Cameron-Doe estimated Wynn’s remaining share of required equity at roughly $450 million to $550 million.
Billings also announced that Cameron-Doe will retire before the next earnings call, thanking her for her leadership as CFO over the past four years.
About Wynn Resorts (NASDAQ:WYNN)
Wynn Resorts, Limited (NASDAQ: WYNN) is a global developer and operator of luxury resorts and casinos, renowned for its premium hospitality offerings and integrated entertainment experiences. The company specializes in high-end hotel accommodations, gaming operations, fine dining restaurants, retail outlets, meeting and convention spaces, and live entertainment venues. Its properties are designed to cater to both leisure and business travelers seeking upscale environments and world-class service.
Founded in 2002 by hospitality entrepreneur Steve Wynn, the company opened its flagship property, Wynn Las Vegas, on the Las Vegas Strip in 2005, followed by Encore Las Vegas in 2008.