The paragraph is from the Sands Fourth Quarter 2024 Earnings Call. Daniel Briggs introduces the call, mentioning that it will feature forward-looking statements and non-GAAP measures. The call includes Rob Goldstein, Patrick Dumont, Dr. Wilfred Wong, and Grant Chum. Rob Goldstein begins the presentation by discussing growth in the Macao market, noting a 6% increase in overall gaming revenue and a 5% increase in mass gaming revenue in Q4 2024 compared to the same quarter in 2023. He expresses optimism about the future growth of both the Chinese economy and the Macao market, predicting that gross gaming revenue in Macao will surpass $30 billion in 2025.

The paragraph highlights the company's confidence in its future success due to its competitive assets in Macao, emphasizing the scale and quality of its room inventory and diverse offerings in retail, dining, and entertainment. Despite operating with fewer rooms in Cotai, the company reports strong EBITDA and anticipates further growth with the ongoing expansion of the Londoner. As of the Lunar New Year, 1000 Londoner Suites and rooms are available, with full completion expected by May 2025. The company leads the market in gaming and non-gaming revenue and aims to attract high-value tourism with its large-scale, high-quality offerings. Completion of the Londoner is expected to enhance this competitive advantage.

In the paragraph, the discussion focuses on financial performance and growth opportunities in Singapore and Macao for the fourth quarter. Singapore’s Marina Bay Sands saw significant growth in adjusted property EBITDA mass gaming, supported by capital investments and increased tourism. As their investment programs conclude in 2025, more growth is anticipated. Patrick Dumont highlights how Macao's tourism was impacted by December events celebrating the 25th anniversary of its reunification with China. Macao’s EBITDA was $571 million for the quarter, with lower-than-expected performance affecting margins. They are working on increasing room inventory at the Londoner, which impacts margins. The paragraph provides EBITDA margins for various properties, with The Venetian at 36.7% and the Plaza and Four Seasons at 37.2%.

The paragraph details the company's financial outlook and strategic initiatives. They anticipate margin improvements and EBITDA growth due to scale advantages and cost management. The Londoner Grand renovation is nearly complete, which is expected to strengthen their market position. In Singapore, MBS' EBITDA was reported at $537 million, with a slight variation based on expected hold in their rolling play segment. A $1.75 billion reimbursement program at MBS will be nearly done by May, boosting tourism and future growth. Additionally, the company emphasizes its capital return program, having repurchased significant stock, paid dividends, and planning to increase annual dividends to $1 per share in 2025. The company also increased its equity interest in Sands China to 72.3% by purchasing additional stock. The call concludes with an invitation for questions from analysts.

Carlo Santarelli and Patrick Dumont discuss the investment strategy in Sands China Limited (SCL), emphasizing belief in its growth potential and plans to acquire more shares as part of their capital allocation strategy. They express confidence in the long-term value of SCL. Carlo Santarelli then inquires about the changes at Marina Bay Sands (MBS) and its revenue growth, asking if it stems from market conditions or their investments. Robert Goldstein responds, stating the growth is not a one-time event but an ongoing trend.

The paragraph discusses the impressive growth and success of their investments in Singapore, emphasizing the strong market conditions and the high quality of tourism there. It highlights a $3 billion run rate without peaking, attributing success to the strategic timing and quality of assets. Patrick Dumont points out the importance of the quality of tourism and the continued investment in tourism infrastructure, validating their investment strategy. The speakers express confidence in Singapore's unique market potential, citing factors like a growing high-net-worth population and robust business activity. Overall, they are optimistic about sustained growth in the region.

The paragraph is a portion of a Q&A session involving an unidentified analyst asking about the outlook for the Chinese consumer market, specifically in relation to Macau's gaming industry and whether it could return to pre-COVID levels. Patrick Dumont emphasizes the strength and ongoing growth of Macau's gaming market, acknowledging the difficulty in using specific indicators to predict their business impact due to their limited market penetration. He expresses optimism about future growth tied to a stronger Chinese economy. The analyst then asks for thoughts on a New York license, but the response is not included.

In the paragraph, Robert Goldstein discusses the potential impact of legalized iGaming on the return profile of a casino in New York, a strong market under consideration. He acknowledges the inevitability of iGaming competition in markets with land-based gambling and sports betting, citing examples from states like New Jersey, Pennsylvania, and Michigan. This competition could dilute the value of land-based casino products. An unidentified analyst agrees with Goldstein's assessment. Following this, Shaun Kelley from Bank of America asks about the Londoner project, specifically about its ramp-up process and how its disruption timing affects margins, particularly due to the impact of hotel rooms.

In the paragraph, Patrick Dumont discusses the impressive performance of the team in Macao despite having 20% of their room inventory out of service, which impacted productivity due to fixed expenses like payroll. He praises the team's ability to generate strong EBITDA under these conditions. Dumont explains that with 2,000 rooms coming back online, similar to the scale of the Venetian Macao, they expect improved productivity and hope that eventually, the Londoner could outperform the Venetian due to its higher room count. The full room availability is anticipated by May, supporting their goal for both properties to have equivalent run rates.

The paragraph discusses a renovation project that is expected to boost productivity and competitive positioning for a hospitality business by increasing room availability. The company now has high-quality properties like the Venetian, Londoner, Four Seasons, and Parisian, and plans to use the additional rooms to grow cash flow and EBITDA. Grant Chum notes that room inventory was at its lowest in the fourth quarter but has since increased, with plans to have all 2,405 rooms operational by May. Shaun Kelley inquiries about New York's exclusion of casino licenses in the state budget.

The paragraph is a discussion during a conference call, where Shaun Kelley asks about the potential delay in the licensing process for LVS, particularly the third license, due to unclear timelines. Robert Goldstein responds that it's uncertain and hard to determine when the decision will be made, possibly by year-end. Brandt Montour from Barclays then asks about the activation of the casino floor in the Londoner Pacifico Casino, which opened without sufficient hotel rooms above it. Goldstein explains that the presence of hotel rooms directly affects the casino's success because more rooms lead to more gambling. He agrees that 1,000 rooms are significant enough to create a buzz and increase activity, though more rooms would enhance it further.

The paragraph discusses a development project at the Londoner, which will see room numbers increase from 300 to 2400 over time, alongside other rooms under the same roof, suggesting significant growth and potential for success. The speaker emphasizes the quality of this asset and compares it to other successful ventures like Marina Bay Sands and Venetian. In the second part, Patrick Dumont addresses the potential for development in Thailand, highlighting its appeal as a tourist destination with unique cultural attributes. He notes the tourism market in Thailand as separate from Singapore’s, despite some overlap in visitors traveling between Bangkok and Singapore.

The paragraph discusses the tourism and casino markets in Singapore and Thailand, highlighting their differences and potential for growth. It emphasizes that Singapore targets high-value tourism, while Thailand presents a distinct market opportunity due to demographic and tourism patterns. There's an acknowledgment of the potential for overlap but a strong belief in the separate and valuable opportunities each offers. Robert Goldstein points out the sheer size of the Asian population and their gambling propensity, suggesting that despite the high number of casinos in Las Vegas, there's still significant potential for growth in Asia, including Singapore and Thailand. Both markets are expected to thrive independently, contributing positively to the industry.

The paragraph discusses the performance of the Venetian casino in Macao. Daniel Politzer from Wells Fargo inquires about the slowdown in mass volumes at the casino over the past few quarters. Patrick Dumont explains that the Venetian is a benchmark for their operations in Macao, and they are focused on growing revenues and maintaining margins there. He mentions that the first half of the recent quarter showed positive momentum, but the second half experienced disruptions due to the 25th anniversary of the handover, impacting visitation and base mass volumes. Despite this, Dumont indicates that the premium mass business remains strong. Grant Chum concurs, noting the strength in premium mass.

The paragraph discusses the strategic relationship between the Venetian and Four Seasons lodges, emphasizing their combined strength, particularly in the non-rolling segment, which saw a 26% increase compared to the previous year. The Venetian Arena, now upgraded, has hosted various events, including concerts and an NBA Legends game, marking a collaboration with the NBA. The arena, alongside the Londoner Arena, provides significant advantages in programming a variety of events, from entertainment to sporting. The full flexibility and diversity of these venues are expected to boost business growth in 2025 and beyond. The conversation ends with Daniel Politzer inquiring about the return on investment for the Londoner, which is around $8 billion, and whether it aligns with returns from other properties.

The paragraph discusses the strategic investment and development of a property in Macao to enhance its premium mass market appeal, with a focus on its long-term potential as a high-return asset. Patrick Dumont highlights the property's unique structure, amenities, and non-replicability as key factors contributing to its expected success over a 30-year period. Despite a past need to reinvest and reposition the asset after an initial strong performance, Dumont emphasizes confidence in its future cash flow generation and overall market value. Robert Goldstein adds that the property is designed to appeal to a broad market segment, not just a specific niche.

The paragraph discusses the significant capacity and features of the Londoner property, which aims to surpass $1 billion in revenue by leveraging its extensive lodging, gaming, and entertainment facilities. The speaker, Robert Goldstein, emphasizes that the Londoner needs to touch all market segments to achieve its financial targets. Comparisons are made to The Venetian, which succeeded through a diverse offering rather than solely high-stakes gaming. Daniel Politzer and Daniel Briggs acknowledge the explanation. Chad Beynon from Macquarie questions a decline in turnover rent, specifically at the Four Seasons, while noting positive increases in other properties in Macao and Singapore. Beynon is seeking clarification on whether this is linked to VIP business or other structural issues, in light of expectations for increased visitation and gross gaming revenue next year.

The paragraph discusses the impact of retail sales fluctuations on turnover rent at the Four Seasons Mall, particularly noting a decline in 2024 compared to the record-high sales in 2023 as a result of post-COVID spending. Despite the downturn, the mall remains strategically well-positioned with plans to open numerous flagship stores from major brands, expecting improvements by the end of 2025. Additionally, the potential of Texas as a market for further business expansion is mentioned, although no significant updates are available at this time.

In the paragraph, the discussion centers around the performance of Marina Bay Sands (MBS) and its diverse customer base. Joseph Stauff asks about the early returns on investments at MBS, focusing on metrics like longer stays, new customers, and higher spending. Patrick Dumont responds by praising the impressive growth in both gaming and non-gaming sectors, especially in the non-rolling gaming segment. He highlights the effectiveness of the team in utilizing new assets and indicates strong performance across various business facets, attributing growth to the diverse markets around Singapore that engage in both business and leisure activities.

The paragraph discusses the strong performance and resilience of the retail sector in Singapore, highlighting its appeal to high-value tourists and the unique experience it offers. The focus is on the significant investment in facilities, particularly Tower 3, and the variety of amenities that cater to affluent visitors, particularly those interested in gambling. The speakers emphasize the exceptional nature of the building in Singapore, suggesting that its strategic location and unique offerings are driving soaring profitability, with more growth expected as additional investments are completed.

In the paragraph, various executives discuss the promising growth potential in both Singapore and Macao's gaming markets. Robert Goldstein from the company highlights the robust market dynamics in Singapore, calling it an exceptional asset with strong publicity, predicting it is just at the beginning of a growth phase. The conversation then shifts to George Choi from Citigroup, who asks about the introduction of new baccarat side bets in Macao. Patrick Dumont and Goldstein respond positively, noting these side bets are popular and have the potential to increase profits due to their higher house advantage, though it's still early to determine their long-term impact. They emphasize that baccarat remains their primary business focus.

The paragraph discusses the potential benefits for companies like Las Vegas Sands if customers engage more in long-term sports betting, such as parlay betting, which benefits the house. Patrick Dumont mentions that it's still early to see how the market will adopt these bets. George Choi asks about the opening of more premium mass gaming spaces at the Londoner Grand, to which Grant Chum confirms that they have opened a new premium mass salon around the Lunar New Year. The conversation then shifts to Steve Wieczynski asking about the Londoner property coming back online and whether competitors have changed their promotional activities in anticipation.

In the paragraph, Patrick Dumont discusses the highly competitive and promotional nature of the Macao casino market. Despite this, his team remains disciplined and focused on leveraging their investments for long-term customer visitation and experience. Dumont highlights the importance of investing in products, a great team, and service levels to drive margin and cash flow. Grant Chum adds that the focus remains on EBITDA generation and profit share, noting that gaining revenue share doesn't always equate to profit share gains. The strategy remains consistent, irrespective of new developments like the Londoner Grand suites.

The paragraph discusses a company's strategy of leveraging its core products and expanding opportunities with the launch of new rooms and the Londoner Grand. They are optimistic about the full inventory being available and expect a positive impact from May's Golden Week into the summer and the rest of the year. Steven Wieczynski inquires about the impact of a presidential visit in December, but Patrick Dumont states he can't provide an estimate, only noting a noticeable change. Dumont expresses optimism for 2025, highlighting the strong position of their assets and team. The conference call concludes without further questions.

This summary was generated with AI and may contain some inaccuracies.