Las Vegas Sands' post-Sheldon Adelson era is off to a rough start
Revenue drops at casino company which owns The Venetian and Palazzo
Las Vegas Sands Corp. reported a 67% decline in fourth-quarter revenue in its first report since the death of its billionaire founder, Sheldon Adelson.
The casino operator posted revenue of $1.15 billion for the December quarter, down from $3.51 billion a year ago. Analysts polled by FactSet expected $1.27 billion.
SHELDON ADELSON, BILLIONAIRE TRUMP BACKER AND LAS VEGAS SANDS FOUNDER DEAD
While Nevada allowed casinos throughout the state, including on the Las Vegas Strip, to reopen in the summer following an unprecedented shutdown last March, the state's most important industry has been reeling from restrictions to occupancy levels and lower spending and gambling from international tourists due to curbed travel.
The pandemic has prompted casinos to re-examine their long-term operating costs. The Venetian and Palazzo casinos' owner cut costs by 47% from a year ago to $1.36 billion.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| LVS | LAS VEGAS SANDS CORP. | 53.06 | +1.64 | +3.19% |
On Tuesday, the company's board named its previous Chief Operating Officer Rob Goldstein as its chief executive officer and chairman and tapped Patrick Dumont, Mr. Adelson's son-in-law, to the operating chief and president post, setting in motion a succession plan for the gambling empire without its longtime leader.
Until now, Mr. Adelson had been the only CEO of the company he began in 1989. Mr. Adelson died Jan. 11 at the age of 87 from complications of treatment for non-Hodgkin lymphoma.
The Adelson family owns a majority stake in the company, with nearly 57%.
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Las Vegas Sands swung to a loss of $299 million, or 39 cents a share, from a profit of $629 million, or 82 cents a share, a year ago. On an adjusted basis, the company posted a loss of 37 cents a share. Analysts on average forecast a 32 cents-a-share loss.