Wynn Resorts Ltd. (WYNN) shareholders might have been impressed with the company’s fourth quarter financial results but not enough to overcome concerns the company’s Macau revenues may be affected by a projected economic slowdown and the loss of market share.
Revenues for the fourth quarter rose 9 percent to $1.34 billion while earnings shot up to $190.5 million or $1.52 per share. Last year, earnings were reported as $114.2 million or 0.91 per share.
Included in the profit was an income tax gain of about $31 million resulting from money that was taken back after having been put in a reserve.
For the entire fiscal year of 2011, the company had earnings of $613.4 million or $4.88 per share on revenue of $5.27 billion. In 2010, the company had revenues of $4.18 billion and income of $160.1 million or $1.29 per share.
Analysts have warned an expected slowdown in the Chinese economy, especially during the first part of the year, could have a major effect on Macau’s gaming numbers.
Since reporting its financial results, WYNN shares have fallen substantially, from about $120 per share just prior to the announcement to Monday’s closing of $112.83.
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