Las Vegas Sands Corp. (LVS) saw its stock price plummet 11.56% during pre-market trading on Thursday. The sharp decline followed the release of the casino operator's fourth-quarter financial results.
The sell-off was primarily driven by disappointing performance in the crucial Macao market. While the company reported overall revenue and adjusted earnings per share that exceeded analyst expectations, its results in Macao fell short. Adjusted EBITDA in Macao came in at $608 million, which company executives described as disappointing, citing higher costs related to events and payroll during the quarter.
These factors in Macao overshadowed reported strength at the company's Marina Bay Sands resort in Singapore, leading to investor concern and the significant pre-market decline. The market reaction highlights ongoing challenges in Macao as the gambling hub continues its transition away from reliance on high-rolling gamblers toward mass-market customers.
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