WYNN 1Q REPORT CARD

05/07/12 05:52PM EDT

In an effort to evaluate performance and as a follow up to our YouTube, we compare how the quarter measured up to previous management commentary and guidance.

OVERALL:  WORSE - Not only did Wynn miss in Las Vegas and Macau but poor hold played a smaller role than we previously thought, collections were worse, and the LV convention business disappointed.

  • RECEIVABLES
    • WORSE:  1Q bad debt expense rose $8 million YoY (all in Macau) as a few large accounts went past 150 collection days.  Collections in 2Q are 'very stable and normal.'  Last quarter Wynn said bad debt reserve as a % of receivables would be flat and there was nothing alarming in terms of receivables.
  • LV CONVENTION REVENUE
    • WORSE:  WYNN spoke previously that they see 1Q convention channel revenue being flat.  1Q REVPAR actually came in 4% lower YoY as it was hurt by lower occupancy and two fewer conventions.
  • OKADA 
    • SAME:  No new news
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