Las Vegas Sands Reports Loss For First Quarter

04.30.2008 | 11:08 am | News, casinos

Las Vegas Sands, one of the world’s largest casino and hotel operators, has revealed an $11m loss for the first three months of 2008, against a $90m profit for the same period last year. While there are a number of reasons for the fall into the red, the most obvious is the fall in people visiting their casinos as the economic downturn continues to hit home. So what else is happening?

It is very much a triple whammy for the group and actually gives them a chance to throw all of the bad news into the same set of figures. As well as falling numbers they have been hit by higher construction costs with regards to new ventures around the world and competition from the Chinese enclave of Macau. So what does the future hold?

While many in the sector are looking to batten down the hatches for the next 12 months, Las Vegas Sands are very much looking forward to the future with an array of projects ready to roll when the economic environment picks up. The fact that the company is looking to invest between $12 billion and $14 billion into 20,000 additional hotel rooms in Macau between now and 2010, is a definite sign of intent.

The last few months have been very challenging for the industry, as will the next 12 months, but it is forward thinking companies such as Las Vegas Sands who come out of the other end of the economic slowdown strong and fitter than many of their competitors. However, it will be interesting to see who will be prepared to take them on in both Las Vegas and Macau as and when visitor and casino customer numbers start to pick up.

Las Vegas Sands are a major name in the industry and one that will take some moving from the head of their sector!