Company announced $2 billion share buy back plan
Las Vegas Sands Corp. (NYSE: LVS), has published its Q3 2023 financial report for the quarter ended September 30th, 2023 revealing net revenue of $2.8 billion (€2.65 billion) for the period.
According to the report, the latest revenue figures represent a 177.2% increase on the $1.01 billion (€958.6 million) reported in Q3 2022. Operating income for the quarter came to $688 million (€653 million) which was a significant improvement on the operating loss of $177 million (€168 million) a year previous. As a result, net income for the third quarter came to $449 million (€426.18 million), compared to the net loss of $380 million (€360.7 million) reported in the third quarter of 2022.
Q3 2023 Key Highlights
- Net Revenue of $2.8 billion (€2.65 billion)
- Net Income of $449 million (€426.18 million)
- Consolidated Adjusted Property EBITDA of $1.12 billion (€1.06 billion)
- Macao Adjusted Property EBITDA of $631 million (€598.9 million)
- Marina Bay Sands Adjusted Property EBITDA of $491 million (€466 million)
- $2 billion (€1.89 billion) Stock Repurchase Authorization Through November 3, 2025
Speaking of the results Robert G. Goldstein, chairman and chief executive officer stated:
“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.
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.”
Company to Buy Back $2 Billion of Shares
In the report, Goldstein also revealed that the company would buy back $2 billion (€1.89 billion) worth of its own shares between now and the end of 2025.
“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.”
In an earnings call following the publication of the report, LVS President and COO Patrick Dumont added:
“We want to return capital to shareholders in a meaningful way. We think there is a real benefit to reducing the denominator, we think it’s accretive, we think there’s a compound effect to share repurchases and so we’re looking forward to doing it on regular basis.
The amounts are to be determined but you see the size the [board’s] authorization, you see our balance sheet strength, you see our cash flow we’re generating out of the business, so we’re going to be aggressive.
We fundamentally believe in the dividend but if you look at the split that we had pre-pandemic versus return to capital, I think we’re looking to be majority share purchases and get that benefit.”
The company’s finances have been boosted by last year’s sale of its Las Vegas assets for $6.25 billion (€5.93 billion).
