Sands China reports widened US$472 million loss in 3Q22, Singapore recovery continues

October 20, 2022 China Earnings & Filings Industry Updates

Sands China Ltd, the Macau-based subsidiary of Las Vegas Sands, reported a net loss of US$472 million in the three months to 30 September 2022, widened from a loss of US$422 million in the June quarter and from the US$423 million loss in 3Q21.

The decline, coming on the back of increasing COVID-19 lockdowns across parts of mainland China and a subsequent decline in Macau visitation, included a 58.9% year-on-year decline in net revenues to US$251 million, with an Adjusted Property EBITDA loss of US$152 million comparing to a US$32 million profit from Macau operations in the same period last year.

The Macau result was in stark contrast to Marina Bay Sands in Singapore, where continued recovery saw net revenues climb by 203% year-on-year and 11.3% quarter-on-quarter to US$756 million. Adjusted EBITDA reached US$343 million – up from US$319 million in Q2 and from US$15 million in the September 2021 quarter.

Despite the impressive Singapore results, MBS couldn’t make amends for the company’s Macau struggles with LVS reporting a net loss from continuing operations in 3Q22 of US$380 million, narrowed from a US$594 million in the third quarter of 2021 but wider than the US$290 million in 2Q22. Consolidated adjusted property EBITDA of US$191 million compared to US$47 million in 1Q21 and US$209 million in 2Q22.

“While travel restrictions continued to impact our financial results this quarter, we were pleased to see further progress in Singapore’s recovery, with Marina Bay Sands reaching US$343 million in adjusted property EBITDA,” said LVS Chairman and CEO, Robert Goldstein.

“We remain enthusiastic about the opportunity to welcome more guests back to our properties as greater volumes of visitors are able to travel to both Singapore and Macau.

“We remain confident in the recovery of travel and tourism spending across our markets. Demand from customers who have been able to visit remains robust.

“Our investments in our team members, our communities and our industry-leading integrated resort property portfolio position us exceedingly well to deliver future growth as travel restrictions subside and the recovery in travel and tourism progresses. We are fortunate that our financial strength supports our investment and capital expenditure programs in both Macau and Singapore, as well as our pursuit of growth opportunities in new markets.”