LAS VEGAS, Oct. 18, 2023 /PRNewswire/ -- Las Vegas Sands Corp. (NYSE: LVS), the world's leading developer and operator of convention-based Integrated Resorts, today reported financial results for the quarter ended September 30, 2023.
"We were pleased to see the recovery in travel and tourism spending in both Macao and Singapore progress during the quarter. We remain deeply enthusiastic about our opportunities for growth in both markets in the years ahead," said Robert G. Goldstein, chairman and chief executive officer.
"In Macao, we were pleased to see the recovery in both gaming and non-gaming segments progress during the quarter. We remain enthusiastic about the opportunity to continue our investments to enhance Macao's tourism appeal to travelers from throughout the region, including to foreign visitors to Macao. Our decades-long commitment to making investments that enhance the business and leisure tourism appeal of Macao and support its development as a world center of business and leisure tourism positions us exceedingly well to deliver strong growth as the recovery in travel and tourism spending proceeds.
"In Singapore, Marina Bay Sands again delivered outstanding levels of financial and operating performance. Our new suite product and elevated service offerings position us to deliver future growth as airlift capacity continues to improve and the recovery in travel and tourism spending from China and the wider region continues.
"Our commitment to making industry-leading investments in our team members, our communities and our Integrated Resort property portfolio positions us exceptionally well to deliver strong growth in the years ahead. Our financial strength supports our ongoing investment and capital expenditure programs in both Macao and Singapore, our pursuit of growth opportunities in new markets, and the return of capital to stockholders.
"After reinstating our dividend last quarter, I am pleased to announce that our board of directors has authorized $2.0 billion of share repurchases under our stock repurchase program through 2025. We look forward to utilizing our share repurchase program to return excess capital to stockholders."
Net revenue was $2.80 billion, compared to $1.01 billion in the prior year quarter. Operating income was $688 million, compared to an operating loss of $177 million in the prior year quarter. Net income from continuing operations in the third quarter of 2023 was $449 million, compared to a net loss from continuing operations of $380 million in the third quarter of 2022.
Consolidated adjusted property EBITDA was $1.12 billion, compared to $191 million in the prior year quarter.
Sands China Ltd. Consolidated Financial Results
On a GAAP basis, total net revenues for SCL increased to $1.78 billion, compared to $251 million in the third quarter of 2022. Net income for SCL was $231 million, compared to a net loss of $472 million in the third quarter of 2022.
Other Factors Affecting Earnings
Interest expense, net of amounts capitalized, was $200 million for the third quarter of 2023, compared to $183 million in the prior year quarter. Our weighted average borrowing cost in the third quarter of 2023 was 5.4% compared to 4.8% during the third quarter of 2022. This increase in expense was offset by an increase in interest income of $41 million to $79 million for the third quarter of 2023.
Our effective income tax rate for the third quarter of 2023 was 21.4%, compared to 18.8% in the prior year quarter. The income tax rate for the third quarter of 2023 was primarily driven by a 17% statutory rate on our Singapore operations.
The company paid a quarterly dividend of $0.20 per common share during the quarter. The company announced its next quarterly dividend of $0.20 per common share will be paid on November 15, 2023, to Las Vegas Sands stockholders of record on November 7, 2023. Additionally, on October 16, 2023, the company's Board of Directors authorized increasing the amount of its outstanding common stock authorized to be repurchased from $916 million to $2.0 billion and extending the expiration date of this authorization to November 3, 2025. The company intends to resume its share repurchase program in the fourth quarter of 2023. The timing and actual number of shares to be repurchased in the future will depend on a variety of factors, including the company's financial position, earnings, legal requirements, other investment opportunities and market conditions.
Balance Sheet Items
Unrestricted cash balances as of September 30, 2023 were $5.57 billion.
The company has access to $4.17 billion available for borrowing under our U.S., SCL and Singapore revolving credit facilities, net of outstanding letters of credit.
As of September 30, 2023, total debt outstanding, excluding finance leases and financed purchases, was $14.17 billion.
Capital expenditures during the third quarter totaled $330 million, including construction, development and maintenance activities of $141 million at Marina Bay Sands, $44 million in Macao and $145 million in corporate, development and other.
Conference Call Information
The company will host a conference call to discuss the company's results on Wednesday, October 18, 2023 at 1:30 p.m. Pacific Time. Interested parties may listen to the conference call through a webcast available on the company's website at www.sands.com.
About Sands (NYSE: LVS)
Sands is the world's preeminent developer and operator of world-class Integrated Resorts.
Our iconic properties drive valuable leisure and business tourism and deliver significant economic benefits, sustained job creation, financial opportunities for local businesses and community investment to help make our host regions ideal places to live, work and visit.
Sands' portfolio of properties includes Marina Bay Sands in Singapore and The Venetian Macao, The Plaza and Four Seasons Hotel Macao, The Londoner Macao, The Parisian Macao and Sands Macao in Macao SAR, China, through majority ownership in Sands China Ltd.
Sands is dedicated to being a leader in corporate responsibility, anchored by our core tenets of serving people, planet and communities. Our ESG leadership has led to inclusion on the Dow Jones Sustainability Indices for World and North America. To learn more, visit www.sands.com.
Source: PR Newswire
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