Las Vegas Sands profits heads south
By Paul
4th May, 2008
Las Vegas Sands (LVS), one of the world's leading land-based casino operators, has revealed that it lost $11.2 million (£5.6 million) in the last quarter.
The disappointing takings amounted to a three per cent fall in share pries and came in sharp contrast to Q1 results for 2007, when the casino gambling company had taken a profit of $90.9 million.
Despite net revenue reaching $1.08 billion in Q1 2008 - marking a dramatic 71.7 percent increase on the previous year - ongoing expansion costs forced the company into the red.
Increased competition in the Chinese gambling centre of Macau; the sluggish US economy; and rising construction costs also contributed to the negative result, analysts said.
"We had an interesting quarter, to say the least," LVS president Bill Weidner quipped during an earnings conference call. He noted such positive developments as the opening of the $1.9 billion Palazzo in Las Vegas late last year.
LSF also recently opened the $2.4 billion Venetian Resort in Macau, which immediately became the largest casino in the world.
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