Wynn winning; Flyover Country keeps Caesars aloft
Wynn Resorts reported 3Q20 results yesterday and the headline item was Macao, where operating results were “soft” but “encouraging,” despite “negative to apathetic investor sentiment,” according to JP Morgan analyst Joseph Greff. Mass-market wagering was up 40% and credit issued by third parties rose to as much as 30% of pre-Covid-19 levels. Results reflect continued, albeit gradual, progress, from IVS resumption and the return of visitation to Macau post Golden Week which, to us, show genuine pent-up demand and an inflection point there,” wrote Greff. Profits in Las Vegas overshot his expectations, as casinos revenues declined only 25%, even with restricted capacity. And Encore Boston Harbor, “generated upside on strong slot revenues, which were up year-over-year, though some of this strength will be impacted starting this weekend as the casino hours will be curtailed on COVID-19 related state mandates.”
Best of all, the company busted out Wynn Interactive, an i-gaming company and joint venture with former shareholders of Britan‘s BetBull. The company has invested $80 million, targeting nine states and keeping an eye on another seven. If all 16 come through, that would give Wynn Interactive access to 58% of the U.S. populace. It’s already live in New Jersey, with Colorado, Michigan and Indiana coming online by year’s end. “We continue to believe that Macau will be the primary driver of the stock but it now has other emerging drivers,” said Greff, referring to the new revenue propellant. Still, a recovery may be long in coming. Greff lowered his cash-flow target for WYNN significantly for next year (Las Vegas and Macao 31% down, and Everett 16% up. Looking ahead to 2022, VIP gambling revenue in Macao is predicted to fall 27% while mass-market and slot play lag 2019 by 20%.
posted a record $41.7 billion last year. That’s a 3.5% increase from 2017. State and local governments had to be happy, as they were rolling in $9.7 billion in direct taxes, not counting sales and income taxes, a “force multiplier” for the industry’s economic impact. In addition to the national record, 
important mobile betting is approved in the legislation.) Acknowledging competition from neighboring states, Holcomb said, “By modernizing our laws, this legislation will spur positive economic growth for our state and for an industry that employs over 11,000 Hoosiers. Additionally, it will bring in new revenue and create hundreds of new jobs—both permanent and in construction.” The state Senate prevailed on the issue of mobile betting, saying that to do otherwise would be “unreasonable.” I don’t know about that but you’d make a hell of a lot less money. An additional spur to sports betting will be the NCAA‘s abolition of a previous policy that kept championship events out of states with sports betting, a stance that fast-moving events were quickly rendering obsolete.
law has to survive three more votes in the House before moving along to the state Senate. However, it has powerful bipartisan backers in Majority Leader Alec Garnett (D) and Minority Leader Patrick Neville (R). With two weeks left until adjournment, though, it may be a nip-and-tuck affair. The bill would juice existing casinos into sports-betting concessions while horse track Arapahoe Park, ironically, 
“expansion” of gambling in Indiana. Doubtless he would come down on the “does” side of a state House proposal to—rather than move an existing license—
action after receiving advice from our legal counsel, and the necessary assurances from investigators that this commission will receive all material and substantive information required to make a fully informed decision” on the fate of Encore Boston Harbor, said MGC Chairwoman Cathy Judd-Stein, 
rose 3% to $19 million. Hollywood Dayton was also up 3% to $9 million. Hollywood Mahoning Valley leapt 7% to $10 million. That was nothing compared to a 38% vault at Belterra Park, up to $6 million. The Boyd Gaming property is tracking well ahead of Wall Street projections for the quarter. Scioto Downs was up 2% to $14 million, while Hard Rock Rocksino was 1.5% higher at $20 million. Churchill Downs’ Miami Valley Gaming jumped 14% to $14 million. Even Dan Gilbert‘s mix of casinos and racinos was 
Hill to make his $700 million casino project in reality. To put that in perspective, it makes Rush Street Gaming the third-highest-paying supplicant in the capital last year. Only Partners HealthCare and MassBio 
Atlantic City is where professional teams go to die, such as the Atlantic City Seagulls, which went 0-28 in their final season, the only winless season ever recorded in the history of the bygone United States Basketball League. The AFL reacted positively and a formal announcement 
cantered past it to a $21 million finish, gaining 4.5%. Hoosier Park surged 12.5% to $16 million. Biggest gainer of all was French Lick Resort, up 14.5% to $9 million. Tropicana Evansville and Hollywood Lawrenceburg were flat, for $13 million and $15.5 million respectively. Rising Sun set 2%, to $4 million, while Boyd Gaming was pushing the right buttons at Belterra, up 5% to $10 million. In the northern tier of the Hoosier State, Horseshoe Hammond was becalmed but still pulled in $32 million. Primary rival Ameristar East Chicago gained 10% on the competition to finish at $19.5 million. Blue Chip continues to rebound from tribal competition at Four Winds Casino. For December it was up 7.5% to $13 million. As for the two Majestic Star boats, the first lost 
Innovation Group 
around at Grand Victoria, which was up 2% ($13 million). Rivers Casino, coveted by Churchill Downs, also had a strong month, grossing almost $38 million for a 4% gain. Penn National Gaming lost ground both at Empress Joliet ($9 million, -3.5%) and Hollywood Aurora fell 9% to $9 million. Harrah’s Joliet slipped 6% but still grossed $14 million, second-best in the state. Further south, Par-A-Dice dipped 4% to $6 million, Harrah’s Metropolis was down 2.5% to $6 million and Casino Rock Island was 5% off its feed to $5 million. In the St. Louis area, Argosy Belle tumbled 10% to $3.5 million and Casino Queen slipped 4% to $7.5 million.
Covered Capital was clearly eager to be shot of what it 
grossing $13 million. Caesars Entertainment‘s two new racinos didn’t impress, with Hoosier Park up 1.5% ($16 million), while Indiana Downs was flat at $20.5 million. Horseshoe Southern Indiana grossed $19.5 million, a 10% stumble. Horseshoe Hammond took in $32 million (glass half-full) but slipped 7% (glass half-empty). Ameristar East Chicago, however, was up 4% to $18 million.
major amounts of revenue.) Maryland hopped 6.5% with MGM National Harbor leading the pack at $58 million, a 10% gain. The property’s revenue-per-day continues to grow sequentially, getting tantalizingly close to $2 million/day. On the plus side, it has 40% market share in the Free State. On the downside, the mix of revenue is tilting more and more toward (insanely taxed) slots, which wasn’t in MGM’s plans and I’ll bet even Bill Hornbuckle would tell you that.
small gains, such as last month’s 2% uptick in gambling revenues, $116.5 million. Players were spending 5% more but were 3.5% fewer in number. Penn National Gaming-run casinos were flat for the month, with a stagnant performance at Hollywood Aurora ($10 million) to some extent negating a 3% gain at Empress Joliet ($15 million), while Argosy Belle grew business 2.5% for $4 million. Boyd Gaming‘s Par-A-Dice had an unwontedly good month, up 3.5% ($6.5 million). It should be noted that Penn and Boyd have the best of both worlds, since they also own slot routes.
between Fonfa and his creditors as to what the boutique casino is worth. He says $143 million, they say $60 million or thereabouts. Fonfa hopes to sell the Lucky Dragon via a foreclosure court auction, although such a turnover has been postponed at least once. Fonfa’s explanation of the widely varying valuations was a cryptic, “It doesn’t take a genius to figure that out.” Snow Covered Capital is exposed to the extent of $50 million in loans to Lucky Dragon and a $60 million sale price would cover its nakedness nicely.