Las Vegas Sands Corp. (LVS, Financial) filed Quarterly Report for the period ended 2009-09-30.
Las Vegas Sands Corp. is a hotelgamingand retail mall company headquartered in Las VegasNevada. The company owns The Venetian Resort Hotel Casinothe Sands Expo and Convention CenterVenetian Interactivean internet based ventureand Venetian Macao Limiteda developer of multiple casino hotel resort properties in The People's Republic of China's Special Administrative Region of Macao. Las Vegas Sands Corp. has a market cap of $10.14 billion; its shares were traded at around $15.35 with and P/S ratio of 2.31.
We had been constructing a St. Regis-branded high-rise residential condominium tower, the St. Regis Residences at The Venetian Palazzo (the St. Regis Residences), located on the Las Vegas Strip between The Palazzo and The Venetian. As part of our revised development plan, we suspended our construction activities for the project due to reduced demand for Las Vegas Strip condominiums and the overall decline in general economic conditions. We intend to recommence construction when these conditions improve and expect that it will take approximately 18 months thereafter to complete construction of the project. As of September 30, 2009, we have capitalized construction costs of $182.3 million for this project (including $7.5 million in outstanding construction payables). We expect to spend approximately $10 million on additional costs to prepare the site for delay and to pay outstanding construction payables, as noted above. The impact of the suspension on the estimated overall cost of the project is currently not determinable with certainty.
Our wholly owned subsidiary, Marina Bay Sands Pte. Ltd. (MBS), entered into a development agreement (the Development Agreement) with the Singapore Tourism Board (the STB) to build and operate an integrated resort called Marina Bay Sands in Singapore. Marina Bay Sands is expected to include three 55-story hotel towers (totaling approximately 2,600 rooms and suites), a casino, an enclosed retail, dining and entertainment complex of approximately 800,000 net leasable square feet, a convention center and meeting room complex of approximately 1.3 million square feet, theaters and a landmark iconic structure at the bay-front promenade that will contain an art/science museum. We are continuing to finalize various design aspects of the integrated resort and are in the process of finalizing our cost estimates for the project. As of September 30, 2009, we have capitalized 4.92 billion Singapore dollars (SGD, approximately $3.47 billion at exchange rates in effect on September 30, 2009) in costs for this project, including the land premium and SGD 639.1 million (approximately $450.5 million at exchange rates in effect on September 30, 2009) in outstanding construction payables. We expect to spend approximately SGD 3.8 billion (approximately $2.7 billion at exchange rates in effect on September 30, 2009) through 2011 on additional costs to complete the construction of the integrated resort, FF&E, pre-opening and other costs, and to pay outstanding construction payables, as noted above, of which approximately SGD 760 million (approximately $536 million at exchange rates in effect on September 30, 2009) is expected to be spent in 2009. As we have obtained Singapore-denominated financing and primarily pay our costs in Singapore dollars, our exposure to foreign exchange gains and losses is expected to be minimal. Based on our current development plan, we are targeting to open a majority of the project in the first quarter of 2010.
Consolidated net revenues were $1.14 billion for the three months ended September 30, 2009, an increase of $35.7 million as compared to $1.11 billion for the three months ended September 30, 2008. The increase was primarily driven by $63.0 million of net revenues at Sands Bethlehem, which opened in May 2009, a $46.7 million increase in net revenues attributable to a full quarter of operations of Four Seasons Macao, which opened in August 2008, and a $32.4 million increase in net revenues at Sands Macao, driven by an increase in casino revenues. The increase was partially offset by a combined decrease of $108.7 million in net revenues at The Venetian Macao and our Las Vegas Operating Properties, which reflects the decline in global economic conditions.
Casino revenues increased $103.0 million as compared to the three months ended September 30, 2008. Of the increase, $58.2 million was attributable to Sands Bethlehem and $38.9 million was attributable to a full quarter of operations of Four Seasons Macao. Casino revenues also increased $31.8 million at Sands Macao, due to an increase in our table games win percentages. These increases were partially offset by decreases at our Las Vegas Operating Properties and at The Venetian Macao. The following table summarizes the results of our casino activity:
Read the The complete ReportLVS is in the portfolios of John Keeley of Keeley Fund Management, George Soros of Soros Fund Management LLC.
Las Vegas Sands Corp. is a hotelgamingand retail mall company headquartered in Las VegasNevada. The company owns The Venetian Resort Hotel Casinothe Sands Expo and Convention CenterVenetian Interactivean internet based ventureand Venetian Macao Limiteda developer of multiple casino hotel resort properties in The People's Republic of China's Special Administrative Region of Macao. Las Vegas Sands Corp. has a market cap of $10.14 billion; its shares were traded at around $15.35 with and P/S ratio of 2.31.
Highlight of Business Operations:
On May 22, 2009, we opened the casino component of Sands Bethlehem, featuring 3,000 slot machines and several food and beverage offerings, as well as the parking garage and surface parking. Construction activities on the remaining components of the 124-acre development, which include a 300-room hotel, an approximate 200,000-square-foot retail facility, a 50,000-square-foot multipurpose event center and a variety of additional dining options, have been suspended temporarily and are intended to recommence when capital markets and general economic conditions improve. As of September 30, 2009, we have capitalized construction costs of $622.1 million for this project (including $60.2 million in outstanding construction payables). We expect to spend approximately $80 million on additional costs to complete the site for delay, furniture, fixtures and equipment (FF&E) and other costs, and to pay outstanding construction payables, as noted above. The impact of the suspension on the estimated overall cost of the projects remaining components is currently not determinable with certainty. Approximately 89.7% of the gross revenue at the Sands Bethlehem for the period ended September 30, 2009, was derived from gaming activities, with the remainder primarily derived from food and beverage services.We had been constructing a St. Regis-branded high-rise residential condominium tower, the St. Regis Residences at The Venetian Palazzo (the St. Regis Residences), located on the Las Vegas Strip between The Palazzo and The Venetian. As part of our revised development plan, we suspended our construction activities for the project due to reduced demand for Las Vegas Strip condominiums and the overall decline in general economic conditions. We intend to recommence construction when these conditions improve and expect that it will take approximately 18 months thereafter to complete construction of the project. As of September 30, 2009, we have capitalized construction costs of $182.3 million for this project (including $7.5 million in outstanding construction payables). We expect to spend approximately $10 million on additional costs to prepare the site for delay and to pay outstanding construction payables, as noted above. The impact of the suspension on the estimated overall cost of the project is currently not determinable with certainty.
Our wholly owned subsidiary, Marina Bay Sands Pte. Ltd. (MBS), entered into a development agreement (the Development Agreement) with the Singapore Tourism Board (the STB) to build and operate an integrated resort called Marina Bay Sands in Singapore. Marina Bay Sands is expected to include three 55-story hotel towers (totaling approximately 2,600 rooms and suites), a casino, an enclosed retail, dining and entertainment complex of approximately 800,000 net leasable square feet, a convention center and meeting room complex of approximately 1.3 million square feet, theaters and a landmark iconic structure at the bay-front promenade that will contain an art/science museum. We are continuing to finalize various design aspects of the integrated resort and are in the process of finalizing our cost estimates for the project. As of September 30, 2009, we have capitalized 4.92 billion Singapore dollars (SGD, approximately $3.47 billion at exchange rates in effect on September 30, 2009) in costs for this project, including the land premium and SGD 639.1 million (approximately $450.5 million at exchange rates in effect on September 30, 2009) in outstanding construction payables. We expect to spend approximately SGD 3.8 billion (approximately $2.7 billion at exchange rates in effect on September 30, 2009) through 2011 on additional costs to complete the construction of the integrated resort, FF&E, pre-opening and other costs, and to pay outstanding construction payables, as noted above, of which approximately SGD 760 million (approximately $536 million at exchange rates in effect on September 30, 2009) is expected to be spent in 2009. As we have obtained Singapore-denominated financing and primarily pay our costs in Singapore dollars, our exposure to foreign exchange gains and losses is expected to be minimal. Based on our current development plan, we are targeting to open a majority of the project in the first quarter of 2010.
Consolidated net revenues were $1.14 billion for the three months ended September 30, 2009, an increase of $35.7 million as compared to $1.11 billion for the three months ended September 30, 2008. The increase was primarily driven by $63.0 million of net revenues at Sands Bethlehem, which opened in May 2009, a $46.7 million increase in net revenues attributable to a full quarter of operations of Four Seasons Macao, which opened in August 2008, and a $32.4 million increase in net revenues at Sands Macao, driven by an increase in casino revenues. The increase was partially offset by a combined decrease of $108.7 million in net revenues at The Venetian Macao and our Las Vegas Operating Properties, which reflects the decline in global economic conditions.
Casino revenues increased $103.0 million as compared to the three months ended September 30, 2008. Of the increase, $58.2 million was attributable to Sands Bethlehem and $38.9 million was attributable to a full quarter of operations of Four Seasons Macao. Casino revenues also increased $31.8 million at Sands Macao, due to an increase in our table games win percentages. These increases were partially offset by decreases at our Las Vegas Operating Properties and at The Venetian Macao. The following table summarizes the results of our casino activity:
Read the The complete ReportLVS is in the portfolios of John Keeley of Keeley Fund Management, George Soros of Soros Fund Management LLC.
