Las Vegas Sands Corp. Reports Nearly $1 Billion Loss In Second QuarterCOO Rob Goldstein Gave Grim Outlook On Las Vegas Gambling Market During Earnings Call |
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Las Vegas Sands Corp. reported a second quarter loss of nearly $1 billion thanks to the COVID-19 pandemic.
According to a Reno Gazette-Journal report, the company that owns the Las Vegas Strip casinos Venetian and Palazzo announced in an earnings call Wednesday that it lost $985 million from April through the end of June. It represents a 97.1 percent drop from the same period in 2019.
During most of the second quarter, Nevada’s casino market was shut down by Gov. Steve Sisolak, who forced casinos to shutter in mid-March and allowed them to reopen June 4.
But COO Rob Goldstein predicted a grim future for the Las Vegas gambling market if conventions and other draws to tourists are stifled because of the virus.
“Las Vegas cannot perform well without [the] return of these segments,” said Goldstein on the earnings call. “It cannot make money with limited hotel occupancy.”
Goldstein went on to say that Las Vegas has transformed from a worldwide gambling destination to a regional hub. He said that the city is now dependent on “drive-in” traffic.
The decrease in revenue and demand, even after the reopening of the gambling market, has led to massive job loss both in Las Vegas and in other parts of the country.
Wynn Resorts announced Wednesday that it would furlough thousands of workers and the now Phil Ruffin-owned Circus Circuis announced that it would lay off 262 employees. New Caesars CFO Bret Yunker confirmed earlier this week that following the merger with Eldorado Resorts, the company would be cutting jobs as well.
This comes after thousands of Nevada casino workers were notified of job cuts earlier this month. According to the Nevada Department of Employment, the current unemployment rate is 15 percent.
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