Las Vegas Sands Reports First-Quarter Loss - Shares Higher

Casino operator Las Vegas Sands, hammered by the coronavirus epidemic, reported a first-quarter net loss of $51 million, or break-even per share.
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Las Vegas Sands  (LVS) - Get Report shares rose in after-hours trading Wednesday, after the world’s largest casino company, hammered by the coronavirus, reported a $51 million first-quarter loss.

The company reported a net loss of break-even per share, compared with profit of $744 million, or 75 cents a share, in the year-earlier quarter. 

Analysts surveyed by FactSet had forecast profit of 18 cents a share, or an adjusted 5 cents, for the latest quarter.

Revenue totaled $1.78 billion in the quarter, less than half the $3.64 billion of the year- earlier quarter. Analysts expected $2.03 billion for the latest quarter.

"The impact of the Covid-19 pandemic on our business has been unprecedented, and I have never seen anything like it in my over 70 years in business," company Founder and Chief Executive Sheldon Adelson said in a statement.

"Despite these circumstances, our balance-sheet strength will enable us to emerge from this pandemic with all our promising future growth opportunities fully intact.”

The company is “extremely optimistic about an eventual recovery of travel and tourism spending across our markets, as well as our future growth prospects,” Adelson said.

“We are fortunate that our financial strength will allow us to continue to execute our previously announced capital expenditure programs in both Macao and Singapore, while continuing to pursue growth opportunities in new markets."

Last week, Las Vegas Sands suspended its dividend. The company has shut its casinos in the U.S. and Singapore, and limited its activity in Macau.

At last check after hours, Las Vegas Sands shares stood at $44.22, up 7.8%. They rose 0.84% in the regular session Wednesday. The stock has dropped 41% over the past three months.