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Sands China Ltd. — Earnings Release 2025
Apr 24, 2025
50273_rns_2025-04-23_ff50f703-0bd8-4d39-8096-0ae5182215e9.pdf
Earnings Release
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Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.
SANDS CHINA LTD.
金沙中國有限公司
(Incorporated in the Cayman Islands with limited liability)
(Stock Code: 1928 and Note Stock Codes: 5141, 5142, 5727, 5733, 40246, 40247, 40584, 40585, 40852, 40853, 40854, 5413, 5414, 5415)
INSIDE INFORMATION
RESULTS OF OUR CONTROLLING SHAREHOLDER, LAS VEGAS SANDS CORP., FOR THE FISCAL FIRST QUARTER ENDED MARCH 31, 2025
This announcement is issued by Sands China Ltd. ("SCL" or our "Company" or "Sands China") pursuant to Part XIVA of the Securities and Futures Ordinance and Rule 13.09(2)(a) of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited. Capitalized terms used but not defined herein shall have the meanings ascribed to them in our 2024 Annual Report.
Our Company's controlling shareholder, Las Vegas Sands Corp. ("LVS"), is a company listed on the New York Stock Exchange (the "NYSE") in the United States. As at the date of this announcement, LVS beneficially owns approximately 72% of the issued share capital of our Company.
LVS files quarterly and annual reports, including quarterly and annual financial information and certain operating statistics under Form 8-K, Form 10-Q and Form 10-K, respectively, with the United States Securities and Exchange Commission (the "SEC"), in accordance with the ongoing disclosure obligations applicable to a publicly traded NYSE-listed company. Such filings include segment financial information about the Macao operations of LVS, which Macao operations are owned by our Company, and the filings are available in the public domain.
LVS has, on or about April 24, 2025 (4 a.m. Hong Kong time), announced its financial results for the fiscal first quarter ended March 31, 2025 (the "Quarterly Financial Results"), held its first quarter 2025 Earnings Conference Call (the "Earnings Call") and posted a first quarter Earnings Call presentation (the "Presentation") on its website. If you wish to review the Quarterly Financial Results prepared by LVS, which were filed with the SEC, please visit https://www.sec.gov/Archives/edgar/data/1300514/000130051425000089/lvs_ex991x03312025.htm or https://s28.q4cdn.com/640198178/files/doc_financials/2025/q1/LVS-1Q-2025-Earnings-Release.pdf. If you wish to review the Presentation, please visit https://s28.q4cdn.com/640198178/files/doc_financials/2025/q1/LVS-1Q-2025-Presentation-Deck.pdf.
The financial results of LVS and its consolidated subsidiaries, including those contained in the Quarterly Financial Results, the Earnings Call and the Presentation, have been prepared in accordance with the generally accepted accounting principles of the United States ("US GAAP"), which are different from the International Financial Reporting Standards ("IFRS") that we are subject to when preparing and presenting our financial results and related financial information. Holders of and potential investors in our Company's securities should consult their own professional advisers for an understanding of the differences between IFRS and US GAAP.
To ensure that all holders of and potential investors in our Company's securities have equal and timely access to the information pertaining to our Company, set forth below are extracts and key highlights of the financial results and related financial information published by LVS in the Quarterly Financial Results and the Earnings Call that relate to our Company and our operations in Macao:
QUARTERLY FINANCIAL RESULTS EXTRACTS
First Quarter Overview
Mr. Robert G. Goldstein, chairman and chief executive officer of LVS, said, "We continued to execute our strategic objectives during the quarter. We remain enthusiastic about our opportunities to deliver industry-leading growth in both Macao and Singapore in the years ahead as we execute our capital investment programs in both markets.
In Macao, while market growth has softened in the current environment, our decades-long commitment to making investments that enhance the business and leisure tourism appeal of Macao and support its development as a world center of business and leisure tourism positions us well for future growth.
Our financial strength and industry-leading cash flow continue to support our ongoing investment and capital expenditure programs in both Macao and Singapore."
Sands China Ltd. Consolidated Financial Results
On a US GAAP basis, total net revenues for SCL decreased 5.7% to US$1.70 billion for the first quarter of 2025, compared to the first quarter of 2024. Net income for SCL was US$202 million for the first quarter of 2025, compared to US$297 million in the first quarter of 2024.
SCL's adjusted property EBITDA was US$535 million for the first quarter of 2025, compared to US$610 million for the first quarter of 2024.
(1) Relates to LVS and its subsidiaries, including the SCL group.
Other Factors Affecting Earnings(1)
Interest expense, net of amounts capitalized, was US$174 million for the first quarter of 2025, compared to US$182 million in the prior year quarter. Our weighted average borrowing cost was 4.9% during the first quarter of 2025, compared to 5.0% during the first quarter of 2024.
Capital Expenditures(1)
Capital expenditures during the first quarter totaled US$379 million, including construction, development and maintenance activities of US$197 million in Macao.
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Supplemental Data (Unaudited)
| The Venetian Macao
(US$ in millions) | Three Months Ended
March 31, | | Change |
| --- | --- | --- | --- |
| | 2025 | 2024 | |
| Revenues: | | | |
| Casino | $ 495 | $ 638 | $ (143) |
| Rooms | 53 | 52 | 1 |
| Food and beverage | 15 | 17 | (2) |
| Mall | 60 | 54 | 6 |
| Convention, retail and other | 15 | 10 | 5 |
| Net revenues | $ 638 | $ 771 | $ (133) |
| Adjusted Property EBITDA | $ 225 | $ 314 | $ (89) |
| EBITDA Margin % | 35.3% | 40.7% | (5.4) pts |
| Gaming Statistics
(US$ in millions) | | | |
| Rolling Chip volume | $ 862 | $ 1,035 | $ (173) |
| Rolling Chip win %^{(1)} | 2.18% | 6.71% | (4.53) pts |
| Non-Rolling Chip drop | $ 2,260 | $ 2,414 | $ (154) |
| Non-Rolling Chip win % | 22.7% | 25.3% | (2.6) pts |
| Slot handle | $ 1,404 | $ 1,490 | $ (86) |
| Slot hold % | 4.0% | 3.9% | 0.1 pts |
| Hotel Statistics
(US$) | | | |
| Occupancy % | 99.8% | 97.7% | 2.1 pts |
| Average daily room rate (ADR) | $ 204 | $ 202 | $ 2 |
| Revenue per available room (RevPAR) | $ 204 | $ 198 | $ 6 |
(1) This compares to our expected Rolling Chip win percentage of 3.30% (calculated before discounts, commissions, deferring revenue associated with the company's loyalty programs and allocating casino revenues related to goods and services provided to patrons on a complimentary basis).
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| The Londoner Macao | Three Months Ended March 31, | Change | |
|---|---|---|---|
| (US$ in millions) | 2025 | 2024 | |
| Revenues: | |||
| Casino | $ 402 | $ 419 | $ (17) |
| Rooms | 73 | 89 | (16) |
| Food and beverage | 24 | 27 | (3) |
| Mall | 21 | 16 | 5 |
| Convention, retail and other | 9 | 11 | (2) |
| Net revenues | $ 529 | $ 562 | $ (33) |
| Adjusted Property EBITDA | $ 153 | $ 172 | $ (19) |
| EBITDA Margin % | 28.9% | 30.6% | (1.7) pts |
| Gaming Statistics | |||
| (US$ in millions) | |||
| Rolling Chip volume | $ 1,712 | $ 1,879 | $ (167) |
| Rolling Chip win %^{(1)} | 3.56% | 3.81% | (0.25) pts |
| Non-Rolling Chip drop | $ 1,755 | $ 1,915 | $ (160) |
| Non-Rolling Chip win % | 23.0% | 21.1% | 1.9 pts |
| Slot handle | $ 1,668 | $ 1,624 | $ 44 |
| Slot hold % | 3.5% | 4.0% | (0.5) pts |
| Hotel Statistics^{(2)} | |||
| (US$) | |||
| Occupancy % | 98.1% | 96.5% | 1.6 pts |
| Average daily room rate (ADR) | $ 291 | $ 188 | $ 103 |
| Revenue per available room (RevPAR) | $ 286 | $ 182 | $ 104 |
(1) This compares to our expected Rolling Chip win percentage of 3.30% (calculated before discounts, commissions, deferring revenue associated with the company's loyalty programs and allocating casino revenues related to goods and services provided to patrons on a complimentary basis).
(2) During the three months ended March 31, 2025 and 2024, approximately 2,850 and 5,400 rooms, respectively, were available for occupancy.
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| The Parisian Macao
(US$ in millions) | Three Months Ended
March 31, | | Change |
| --- | --- | --- | --- |
| | 2025 | 2024 | |
| Revenues: | | | |
| Casino | $ 173 | $ 173 | $ — |
| Rooms | 35 | 34 | 1 |
| Food and beverage | 12 | 14 | (2) |
| Mall | 5 | 7 | (2) |
| Convention, retail and other | 2 | 2 | — |
| Net revenues | $ 227 | $ 230 | $ (3) |
| Adjusted Property EBITDA | $ 66 | $ 71 | $ (5) |
| EBITDA Margin % | 29.1% | 30.9% | (1.8) pts |
| Gaming Statistics
(US$ in millions) | | | |
| Rolling Chip volume | $ 709 | $ 16 | $ 693 |
| Rolling Chip win %^{(1)} | 4.25% | 4.58% | (0.33) pts |
| Non-Rolling Chip drop | $ 728 | $ 805 | $ (77) |
| Non-Rolling Chip win % | 21.0% | 22.4% | (1.4) pts |
| Slot handle | $ 889 | $ 663 | $ 226 |
| Slot hold % | 3.7% | 4.4% | (0.7) pts |
| Hotel Statistics
(US$) | | | |
| Occupancy % | 99.8% | 95.4% | 4.4 pts |
| Average daily room rate (ADR) | $ 154 | $ 156 | $ (2) |
| Revenue per available room (RevPAR) | $ 154 | $ 148 | $ 6 |
(1) This compares to our expected Rolling Chip win percentage of 3.30% (calculated before discounts, commissions, deferring revenue associated with the company's loyalty programs and allocating casino revenues related to goods and services provided to patrons on a complimentary basis).
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| The Plaza Macao
(US$ in millions) | Three Months Ended
March 31, | | Change |
| --- | --- | --- | --- |
| | 2025 | 2024 | |
| Revenues: | | | |
| Casino | $ 132 | $ 70 | $ 62 |
| Rooms | 29 | 25 | 4 |
| Food and beverage | 7 | 8 | (1) |
| Mall | 39 | 38 | 1 |
| Convention, retail and other | 1 | 1 | — |
| Net revenues | $ 208 | $ 142 | $ 66 |
| Adjusted Property EBITDA | $ 74 | $ 36 | $ 38 |
| EBITDA Margin % | 35.6% | 25.4% | 10.2 pts |
| Gaming Statistics
(US$ in millions) | | | |
| Rolling Chip volume | $ 2,132 | $ 2,500 | $ (368) |
| Rolling Chip win %^{(1)} | 2.40% | (0.58)% | 2.98 pts |
| Non-Rolling Chip drop | $ 686 | $ 593 | $ 93 |
| Non-Rolling Chip win % | 22.2% | 26.2% | (4.0) pts |
| Slot handle | $ 21 | $ 1 | $ 20 |
| Slot hold % | 2.2% | 16.2% | (14.0) pts |
| Hotel Statistics
(US$) | | | |
| Occupancy % | 97.2% | 85.4% | 11.8 pts |
| Average daily room rate (ADR) | $ 502 | $ 482 | $ 20 |
| Revenue per available room (RevPAR) | $ 488 | $ 412 | $ 76 |
(1) This compares to our expected Rolling Chip win percentage of 3.30% (calculated before discounts, commissions, deferring revenue associated with the company's loyalty programs and allocating casino revenues related to goods and services provided to patrons on a complimentary basis).
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| Sands Macao
(US$ in millions) | Three Months Ended
March 31, | | Change |
| --- | --- | --- | --- |
| | 2025 | 2024 | |
| Revenues: | | | |
| Casino | $ 68 | $ 69 | $ (1) |
| Rooms | 5 | 4 | 1 |
| Food and beverage | 2 | 3 | (1) |
| Net revenues | $ 75 | $ 76 | $ (1) |
| Adjusted Property EBITDA | $ 10 | $ 12 | $ (2) |
| EBITDA Margin % | 13.3% | 15.8% | (2.5) pts |
| Gaming Statistics
(US$ in millions) | | | |
| Rolling Chip volume | $ 59 | $ 11 | $ 48 |
| Rolling Chip win %^{(1)} | 4.23% | 3.41% | 0.82 pts |
| Non-Rolling Chip drop | $ 380 | $ 399 | $ (19) |
| Non-Rolling Chip win % | 15.6% | 15.9% | (0.3) pts |
| Slot handle | $ 582 | $ 523 | $ 59 |
| Slot hold % | 2.9% | 3.2% | (0.3) pts |
| Hotel Statistics
(US$) | | | |
| Occupancy % | 98.8% | 98.5% | 0.3 pts |
| Average daily room rate (ADR) | $ 174 | $ 176 | $ (2) |
| Revenue per available room (RevPAR) | $ 172 | $ 173 | $ (1) |
(1) This compares to our expected Rolling Chip win percentage of $3.30\%$ (calculated before discounts, commissions, deferring revenue associated with the company's loyalty programs and allocating casino revenues related to goods and services provided to patrons on a complimentary basis).
Asian Retail Mall Operations
| For the Three Months Ended March 31, 2025 | Trailing Twelve Months March 31, 2025 | |||||
|---|---|---|---|---|---|---|
| (US$ in millions except per square foot data) | Gross Revenue(1) | Operating Profit | Operating Profit Margin | Gross Leasable Area (sq. ft.) | Occupancy % at End of Period | Tenant Sales Per Sq. Ft.(2) |
| Shoppes at Venetian | $ 59 | $ 52 | 88.1% | 821,670 | 84.4% | $ 1,588 |
| Shoppes at Four Seasons | ||||||
| Luxury Retail | 29 | 27 | 93.1% | 164,144 | 100.0% | 5,938 |
| Other Stores | 10 | 9 | 90.0% | 97,754 | 91.0% | 2,108 |
| 39 | 36 | 92.3% | 261,898 | 96.6% | 4,724 | |
| Shoppes at Londoner(3) | 21 | 18 | 85.7% | 517,610 | 75.1% | 1,356 |
| Shoppes at Parisian(3) | 5 | 3 | 60.0% | 259,953 | 76.4% | 482 |
| Total Cotai in Macao | 124 | 109 | 87.9% | 1,861,131 | 82.4% | 1,922 |
| The Shoppes at Marina Bay Sands(4) | 62 | 55 | 88.7% | 622,561 | 98.8% | 2,845 |
| Total | $ 186 | $ 164 | 88.2% | 2,483,692 | 86.5% | $ 2,215 |
Note: This table excludes the results of our retail outlets at Sands Macao.
(1) Gross revenue figures are net of intersegment revenue eliminations.
(2) Tenant sales per square foot reflect sales from tenants only after the tenant has been open for a period of 12 months.
(3) During the three months ended March 31, 2025, approximately 49,000 and 37,000 square feet of space at the Shoppes at Londoner and the Shoppes at Parisian, respectively, was removed from the gross leasable area as it was taken off the market and not available for leasing.
(4) Marina Bay Sands is not part of the SCL group.
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HIGHLIGHTS FROM THE QUESTIONS AND ANSWERS SESSION OF THE EARNINGS CALL
In response to a question regarding LVS' acquisition of SCL shares, Mr. Patrick Dumont, President and Chief Operating Officer of LVS, indicated that LVS intends to continue its share purchase program with the objective of increasing its ownership stake in SCL towards 74.9%.
FORWARD-LOOKING STATEMENTS
This announcement may contain forward-looking statements. These forward-looking statements include the discussions of LVS group's business strategies and expectations concerning future operations, margins, profitability, liquidity and capital resources. In addition, in certain portions included in this announcement, the words "anticipates", "believes", "estimates", "expects", "intends", "look forward to", "plans", "positions", "remains", "seeks", "will" and similar expressions, as they relate to LVS or its management, are intended to identify forward-looking statements. Although LVS believes these forward-looking statements are reasonable, neither LVS nor the Company can assure you any forward-looking statements will prove to be correct. These statements represent LVS's expectations, beliefs, intentions or strategies concerning future events that, by their nature, involve a number of risks, uncertainties or other factors beyond LVS's or the Company's control, which may cause LVS's or the Company's actual results, performance, achievements or other expectations to be materially different from any future results, performance, achievements or other expectations expressed or implied by these forward-looking statements. These factors include, but are not limited to, the risks associated with: our concession in Macao and amendments to Macao's gaming laws; general economic conditions; disruptions or reductions in travel and our operations due to natural or man-made disasters, pandemics, epidemics or outbreaks of infectious or contagious diseases; our ability to invest in future growth opportunities, execute our capital expenditure programs at our existing properties and produce future returns; government regulation; the extent to which the laws and regulations of mainland China become applicable to our operations in Macao and Hong Kong; the possibility that economic, political and legal developments in Macao adversely affect our Macao operations, or that there is a change in the manner in which regulatory oversight is conducted in Macao; our subsidiaries' ability to make distribution payments to us; substantial leverage and debt service; fluctuations in currency exchange rates and interest rates; our ability to collect gaming receivables; win rates for our gaming operations; risk of fraud and cheating; competition; tax law changes; political instability, civil unrest, terrorist acts or war; legalization of gaming; insurance; the collectability of our outstanding loan receivable; limitations on the transfers of cash to and from our subsidiaries; limitations of the pataca exchange markets; restrictions on the export of the renminbi; and other risks and uncertainties detailed in our Company's prospectus dated November 16, 2009 and our 2024 Annual Report. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date such statement is made. We assume no obligation to update any forward-looking statements and information.
Holders of our Company’s securities, potential investors and readers are advised not to place undue reliance on the LVS Quarterly Financial Results, the Earnings Call and the Presentation and to exercise caution in dealing in securities in our Company.
By order of the Board
SANDS CHINA LTD.
Dylan James Williams
Company Secretary
Macao, April 24, 2025
As at the date of this announcement, the directors of the Company are:
Executive Directors:
Wong Ying Wai
Chum Kwan Lock, Grant
Non-Executive Directors:
Robert Glen Goldstein
Charles Daniel Forman
Independent Non-Executive Directors:
Chiang Yun
Victor Patrick Hoog Antink
Steven Zygmunt Strasser
Kenneth Patrick Chung
In case of any inconsistency between the English version and the Chinese version of this announcement, the English version shall prevail.
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