Las Vegas Sands Corp. · NYSE:LVS

Las Vegas Sands — Q4 2022 Earnings Presentation

61 slides from Las Vegas Sands's earnings presentation, Jan 25, 2023

  1. Slide 1: 4Q22 Earnings Call Presentation

    4Q22 Earnings Call Presentation January 25, 2023

  2. Slide 2: Forward Looking Statements

    Forward Looking Statements This presentation contains forward-looking statements made pursuant to the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include the discussions of our business strategies and expectations concerning future

  3. Slide 3: The Investment Case for Las Vegas Sands

    The Investment Case for Las Vegas Sands  Global leader in Integrated Resort development and operation  Strong balance sheet and liquidity  Unique MICE-based business model delivering industry-leading returns  Unmatched development and operating track record creates competitive advantage as we pu

  4. Slide 4: Overview for the Quarter Ended December 31, 2022

    Overview for the Quarter Ended December 31, 2022  The recovery at Marina Bay Sands in Singapore continued with mass win reaching a property record $477 million − 4Q22 adjusted property EBITDA was US$273 million (US$386 million on a hold-adjusted basis)  In Macao, travel restrictions continued to n

  5. Slide 5: Singapore Operating Environment

    Singapore Operating Environment  The recovery at Marina Bay Sands (MBS) progressed during the quarter − Mass win reached a property record $477 million − Rolling volume reached $7.1 billion (~90% of the 4Q19 performance)  The relaxation of travel restrictions and increases in flight capacity have

  6. Slide 6: Macao Operating Environment

    Macao Operating Environment  Our gaming and non-gaming operations in Macao continued to be impacted by travel restrictions  In Macao in the quarter ended December 31, 2022: − Market-wide visitation was ~1.3 million for the quarter ended December 31, 2022, compared to ~9.2 million for the quarter e

  7. Slide 7: Fourth Quarter 2022 Financial Results

    Fourth Quarter 2022 Financial Results Quarter Ended December 31, 2022 vs Quarters Ended December 31, 20211, 20201 and 2019 Note: results for the fourth quarter of 2022 as well as the fourth quarters of 2020 and 2021 suffered a material negative impact as a result of the Covid-19 pandemic; the fourth

  8. Slide 8: LVS Adjusted Property EBITDA Performance

    LVS Adjusted Property EBITDA Performance Select Quarterly Results Note: results for the fourth quarter of 2022 as well as the fourth quarters of 2020 and 2021 suffered a material negative impact as a result of the Covid-19 pandemic; the fourth quarter of 2019 is provided to allow for a comparison to

  9. Slide 9: Sands China Ltd.

    Sands China Ltd. Reduced Visitation Continued to Impact Financial Results Note: results for the fourth quarter of 2022 as well as the fourth quarters of 2020 and 2021 suffered a material negative impact as a result of the Covid-19 pandemic; the fourth quarter of 2019 is provided to allow for a compa

  10. Slide 10: Sands China Mass Market Table Update

    Sands China Mass Market Table Update Base Mass and Premium Mass Table Win by Quarter Note: results for the fourth quarter of 2022 as well as the fourth quarters of 2020 and 2021 suffered a material negative impact as a result of the Covid-19 pandemic; the fourth quarter of 2019 is provided to allow

  11. Slide 11: Sands China Mass Market Table and Slots Update

    Sands China Mass Market Table and Slots Update Total Mass Table Win and Slots Win by Quarter Note: results for the fourth quarter of 2022 as well as the fourth quarters of 2020 and 2021 suffered a material negative impact as a result of the Covid-19 pandemic; the fourth quarter of 2019 is provided t

  12. Slide 12: Macao Market: Mass Gaming Segment

    Macao Market: Mass Gaming Segment Mass GGR Tables & Slots Macao Market Mass Gaming Revenue (Tables & Slots) & Mass Win-per-Visit1 ($ US in millions) $6,000 $1,400 $5,608 $5,440 $5,523 $5,356 $5,500 $5,251 $4,841 $1,193 $4,955 $1,200 $5,000 $4,864 $4,706 $1,091 $1,069 $1,035 $4,500 $959 $4,146 $4,169

  13. Slide 13: Macao Market: Total Visitation

    Macao Market: Total Visitation Macao Quarterly Market Visitation (Millions) 12.0 10.4 10.0 9.9 9.9 10.0 9.2 9.0 8.8 8.3 8.5 8.3 7.9 8.0 7.7 6.0 ~14% of 4Q19 Level 4.0 3.2 1.9 2.2 2.0 1.9 1.7 1.8 2.0 1.6 1.3 0.8 0.9 0.0 0.0 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 3Q20 4Q

  14. Slide 14: Macao Market-Wide Visitation and Mass Gaming

    Macao Market-Wide Visitation and Mass Gaming Note: results for the fourth quarter of 2022 as well as the fourth quarters of 2020 and 2021 suffered a material negative impact as a result of the Covid-19 pandemic; the fourth quarter of 2019 is provided to allow for a comparison to a quarterly period p

  15. Slide 15: Marina Bay Sands

    Marina Bay Sands Property Record Mass Revenue Propelled Recovery as Hold-Normalized Adjusted Property EBITDA Reached $386 Million Note: results for the fourth quarter of 2021 as well as the fourth quarter of 2020 suffered a material negative impact as a result of the Covid-19 pandemic; the fourth qu

  16. Slide 16: Marina Bay Sands: Strong Recovery in Mass GGR

    Marina Bay Sands Strong Recovery in Mass GGR Tables & Slots MBS Mass Gaming Revenue (Tables & Slots) ($ US in millions) $550 All-time Property Record Mass $500 $477 Revenue (~109% $449 of 4Q19 Level) $441 $437 $450 $432 $427 $427 $428 $428 $430 $424 $420 $402 $408 $390 $400 $350 $336 $300 $285 $275

  17. Slide 17: Marina Bay Sands: Changi Airport Passenger Volume

    Marina Bay Sands Changi Airport Monthly Passenger Volume Continued to Increase Changi Passenger Volume1 2019 2022 (000’s) % of 2019 7,000 65% 70% 63% 5,816 5,911 5,901 6,000 5,656 5,631 5,581 5,647 56% 56% 60% 5,407 5,469 5,132 50% 5,000 46% 50% 4,000 35% 3,688 40% 3,300 3,319 3,422 2,927 3,000 30%

  18. Slide 18: Strong Balance Sheet and Liquidity

    Strong Balance Sheet and Liquidity As of December 31, 2022: Trailing Twelve Months Ended December 31, 2022:  Cash Balance1 – $6.31 billion  Adjusted Property EBITDA – $732 million  Liquidity2 – $8.79 billion  Cash Used in Operations – $944 million  Debt – $15.95 billion  Net Debt – $9.64 billi

  19. Slide 19: Debt Maturity Profile

    Debt Maturity Profile Debt Maturity by Year ($ in US millions) $4,000 $3,507 $3,500 $3,340 $3,000 1,040 1,707 $2,500 $2,020 $2,000 $1,890 500 $1,900 $1,500 $1,400 1,000 $1,000 1,958 1,900 750 1,750 1,800 $700 $700 2 2 $600 $500 800 700 650 700 600 $0 2023 2024 2025 2026 2027 2028 2029 2030 2031 % of

  20. Slide 20: Capital Expenditures Expectations

    Capital Expenditures Expectations ($ US in millions) LVS Capex Expectations $2,000 $1,775 $1,500 $1,350 $1,330 $25 $140 $8 $1,000 $1,025 $1,000 $284 $914 $900 $900 $625 $22 $865 $66 $10 $25 $375 $83 $651 $15 $225 $140 $411 $2 $550 $200 $300 $350 $300 $500 $382 $181 $300 $4 $231 $151 $200 $50 $183 $4

  21. Slide 21: Investments for Expansion and Growth in Our Integrated Resort Portfolio

    Investments for Expansion and Growth in Our Integrated Resort Portfolio in Macao and Singapore Spend Through Future December 31, 2022 Notes: Spend The Londoner Macao: • Creation of The Londoner Macao ~$1.30B • Phase I debuted 1Q21 ~$50M • All amenities introduced by summer 2023 New Luxurious Hotel T

  22. Slide 22: Long-Term Commitment to Macao

    Long-Term Commitment to Macao Sands China Has Committed Up to $4.5 Billion of Total Capital and Operating Investment in Macao through 2032  ~$3.8 billion of investment through 2032 (~92% non-gaming), with an incremental ~$700 million commitment at a Macao market level GGR of ~$22.5 billion 10-Year

  23. Slide 23: Sands' Commitment to Macao

    Sands’ Commitment to Macao New Investment in MICE, Iconic Tourism Attractions, Unique Amenities and Entertainment  ~$3.8 billion of investment through 2032 as part of new Macao Gaming Concession Agreement ─ Both capital and operating investments, including ~$2.7 billion of capex investment that wil

  24. Slide 24: Sands' Commitment to Macao (Cont'd)

    Sands’ Commitment to Macao New Investment in MICE, Iconic Tourism Attractions, Unique Amenities and Entertainment (Cont’d) Cotai: Post-Development Location of Proposed Palazzo Convention Center 24

  25. Slide 25: Sands' Commitment to Macao: Marketing, Heritage and SMEs

    Sands’ Commitment to Macao Commitment to Overseas Marketing Strategy, Macao’s Cultural Heritage and SMEs  Development of a comprehensive overseas marketing strategy and related investment commitments across key focus areas: ─ Marketing expenditures in overseas markets, including overseas media and

  26. Slide 26: The Londoner Macao

    The Londoner Macao Phased Opening Largely Complete  Amenities Open: ─ Londoner Court (luxury residential style all-suite hotel) ─ The Londoner Hotel ─ Crystal Palace Atrium ─ New dining, gaming and London- themed attractions ─ Suites by David Beckham ─ Shakespeare’s Hall Atrium in south towers ─ Bi

  27. Slide 27: Marina Bay Sands Towers One & Two Renovation

    Marina Bay Sands Towers One & Two Renovation Introduction of New Suite and Room Product Continues Marina Bay Sands has introduced luxurious new suite product and related offerings and amenities throughout the resort, and will continue to do so throughout 2023 27

  28. Slide 28: Environmental, Social and Governance (ESG)

    Environmental, Social and Governance (ESG) Industry Leading ESG Platform  LVS is committed to providing leadership in ESG through collaboration with Team Members, guests, small and medium enterprises, and community organizations where we operate  Minimizing our environmental impact, practicing goo

  29. Slide 29: Sustainability Awards and Certifications

    Sustainability Awards and Certifications Recognized by Independent Third Parties as a Global Leader in Sustainability Singapore Macao LEED Platinum for Building Operations and Dow Jones Sustainability Index, Asia Pacific Maintenance (2021, 2022) Sands Expo and Convention Center at Marina Dow Jones S

  30. Slide 30: Disciplined Execution of Our Global Growth Strategy

    Disciplined Execution of Our Global Growth Strategy Focused on the Most Promising Global Development Opportunities  Uniquely positioned to bring our unmatched track record and powerful convention-based business model to the world’s most promising Integrated Resort development opportunities  Balanc

  31. Slide 31: Appendices

    Appendices HESares

  32. Slide 32: $11.2 Billion of LVS and SCL Bonds Have No Financial Covenants

    $11.2 Billion of LVS and SCL Bonds Have No Financial Covenants Long-term Debt at Las Vegas Sands Corp. and Sands China Ltd. Long-Term Debt – No Financial Covenants for LVS and SCL Bonds Outstanding Financial Covenants Las Vegas Sands Corp. Senior US$4.0 Billion None Unsecured Notes Sands China Ltd.

  33. Slide 33: Revolver Commitments and Financial Covenants

    Revolver Commitments and Financial Covenants Current Revolver Leverage Covenant Interest Covenant Availability1 Las Vegas Sands Corp. US$1,500 Million 4.0x2 - Unsecured Revolver2 Sands China Ltd. Waived Waived Unsecured Revolver US$540 Million Through July 20233 Through July 20233 Marina Bay Sands 4

  34. Slide 34: Sources of EBITDA

    Sources of EBITDA EBITDA Contribution by Geography in Fiscal Year Ended December 31, 2019 ($ in US millions) LVS 2019 Adjusted Property EBITDA1 $4,850 Singapore $1,661 34% Macao 66% $3,189 1. Excludes the results of the Las Vegas Operating Properties, as they were classified as a discontinued operat

  35. Slide 35: Retail Mall Portfolio in Asia

    Retail Mall Portfolio in Asia Trailing Twelve Months Retail Mall Revenue ($ in US millions) $800 TTM 4Q22 Sales $700 $648 1 1 1 per Sq. Foot² $641 $642 1 $595 $579 1 $600 $176 $178 $194 MBS $500 $2,596 $208 $39 $226 $37 $34 $400 $55 $55 $52 $29 Parisian Macao $48 $25 $338 $300 $47 Londoner Macao $18

  36. Slide 36: Retail Mall Portfolio in Asia: Tenant Sales

    Retail Mall Portfolio in Asia Tenant Sales ($ per Sq. Foot, Unless Otherwise Indicated) 2 4Q22 Sales per Sq. Ft. GLA1 Occupancy % at (Sq. Ft) Period End TTM 4Q22 TTM 3Q22 TTM 2Q22 TTM 1Q22 TTM 4Q21 The Shoppes at Marina Bay Sands 622,007 99.5% $2,596 $2,359 $2,051 $1,748 $1,614 Shoppes at Venetian 8

  37. Slide 37: Market Leading Hotel Capacity

    Market Leading Hotel Capacity SCL is the Leader in Macao Hotel Room and Suite Inventory Macao Market 4/5 Star Hotel Rooms at December 31, 20221 – Gaming Operators Cotai ~ 25,000 Rooms by Gaming Operators Total Macao ~ 28,000 Rooms by Gaming Operators MGM China 12,103 Rooms and MGM China 12,392 Rooms

  38. Slide 38: Sands China Market Leadership

    Sands China Market Leadership Continued Expansion of Market-Leading Cotai Strip Property Portfolio LVS’ Cotai Strip Properties Leadership in Macao Investment Grand Suites at Four Seasons Macao  ~$15 billion 289 Suites (Opened  Approximately 30 million square feet of interconnected facilities on Co

  39. Slide 39: Marina Bay Sands Expansion

    Marina Bay Sands Expansion HESares

  40. Slide 40: Marina Bay Sands, Singapore

    Marina Bay Sands, Singapore Contribute to Economic Growth and Enhance Leisure & Business Tourism Appeal of Singapore Contribution to Singapore’s Leisure & Business Tourism Appeal MBS Existing  Contributed to economic growth and to Singapore’s appeal as an exciting global city  Delivered iconic arc

  41. Slide 41: Marina Bay Sands $3.3 Billion Expansion

    Marina Bay Sands $3.3 Billion Expansion to Bring New Luxurious Hotel, Entertainment, MICE and Retail Offerings Las Vegas Sands entered into a development agreement with the Singapore government in April 2019 to expand Marina Bay Sands  Iconic New Luxury Hotel Tower: − Approximately 1,000 all-suite

  42. Slide 42: Marina Bay Sands Expansion

    Marina Bay Sands Expansion A Development Agreement with the Singapore Tourism Board will allow an expansion of Marina Bay Sands 42

  43. Slide 43: Marina Bay Sands Expansion: Artistic Impression

    Marina Bay Sands Expansion Artistic Impression Design and development work are progressing, with a focus on increasing the leisure and business tourism appeal of Singapore and Marina Bay Sands Note: Image above denotes preliminary artistic impression which is subject to change. 43

  44. Slide 44: Macao Market Background and Infrastructure Slides

    Macao Market Background and Infrastructure Slides

  45. Slide 45: Market-Leading ~$15 Billion of Investment

    Market-Leading ~$15 Billion of Investment Investing in Macao’s Future as a Leisure & Business Tourism Destination  Industry-leading Integrated Resort portfolio ─ Portfolio of ~12,000 suites and hotel rooms ─ ~2 million square feet of new luxurious hotel suite inventory introduced in 2020 and 2021 

  46. Slide 46: Macao's Long-Term Growth Opportunity

    Macao’s Long-Term Growth Opportunity Business & Leisure Tourism Drivers Future growth drivers As a result, Macao’s visitors will  More efficient and affordable  Come from further away transportation infrastructure  Greater number of hotel rooms,  Stay longer MICE and non-gaming offerings in Maca

  47. Slide 47: Market Leading Hotel Capacity at SCL

    Market Leading Hotel Capacity at SCL Macao Market 4/5 Star Hotel Rooms at December 31, 2022 Cotai Total Market % of Gaming % of Gaming % of Total Gaming Operator Rooms Operators Rooms Operators Market 16,000 Sands China 12,103 49% 12,392 44% 32% Galaxy Entertainment 3,914 16% 4,414 16% 12% 14,000 Me

  48. Slide 48: Supplemental Data

    Supplemental Data HESares

  49. Slide 49: Historical Hold-Normalized Adjusted Property EBITDA

    Historical Hold-Normalized Adjusted Property EBITDA1 ($ in US millions) 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 2 Macao Operations Reported $858 $765 $755 $811 $67 ($312) ($233) $47 $100 $132 $32 $74 ($11) ($110) ($152) ($51) Hold-Normalized $845 $765 $757 $78

  50. Slide 50: Macao Market: Mass Gaming Revenue

    Macao Market: Mass Gaming Revenue Macao Market Mass Gaming Revenue ($ in US millions) 1 Mass Win (Tables and Slots) Q1 Q2 Q3 Q4 Total 2019 $5,440 $5,356 $5,523 $5,608 $21,927 Growth ('19 v '18) 9.8% 10.6% 13.5% 6.8% 10.1% 2020 $2,180 $212 $363 $2,049 $4,804 Growth ('20 v '19) -59.9% -96.0% -93.4% -6

  51. Slide 51: Macao Market: VIP Gaming

    Macao Market: VIP Gaming Macao Market VIP Gaming Revenue ($ in US millions) VIP Win1 Q1 Q2 Q3 Q4 Total 2019 $3,892 $3,640 $3,173 $3,301 $14,006 Growth ('19 v '18) -12.1% -13.5% -26.0% -25.2% -19.2% 2020 $1,494 $172 $245 $662 $2,573 Growth ('20 v '19) -61.6% -95.3% -92.3% -79.9% -81.6% 2021 2 $817 $7

  52. Slide 52: Sands China VIP Table Update

    Sands China VIP Table Update SCL Rolling Volume by Quarter SCL Rolling Win by Quarter ($ in US billions) ($ in US millions, except per table amounts) $16 $600 $15.2 Avg. Win per Table $552 per Day: $23,622 $500 $12 Avg. Win per Table $400 per Day: $2,077 $8 $300 $200 $4 $3.3 $100 $2.3 $30 $0.6 $57 $

  53. Slide 53: Reconciliation of Non-GAAP Measures and Other Financial Information

    Reconciliation of Non-GAAP Measures and Other Financial Information

  54. Slide 54: Reconciliation of Net Income (Loss) to Consolidated Adjusted Property EBITDA

    Reconciliation of Net Income (Loss) to Consolidated Adjusted Property EBITDA1 ($ in US millions) 4Q19 4Q20 1Q21 2Q21 3Q21 4Q21 2021 1Q22 2Q22 3Q22 4Q22 2022 Net income (loss) $741 ($303) ($280) ($280) ($594) ($315) ($1,469) ($478) ($414) ($380) ($269) ($1,541) Add (deduct): Income tax expense (benef

  55. Slide 55: Non-GAAP Measures: Adjusted Net Income (Loss); Hold-Normalized

    Non-GAAP Measures: Adjusted Net Income (Loss); Hold- Normalized Adjusted Net Income (Loss) ($ in US millions) Three Months Ended December 31, 2022 2021 2020 2019 Net income (loss) attributable to LVS ($169) ($123) ($299) $629 Pre-opening expense 2 4 5 11 Development expense 35 50 - 11 Loss on dispos

  56. Slide 56: Non-GAAP Measures: Adjusted Earnings (Loss) per Diluted Share

    Non-GAAP Measures: Adjusted Earnings (Loss) per Diluted Share; Hold-Normalized Adjusted Earnings (Loss) per Diluted Share ($ in per share amounts) Three Months Ended December 31, 2022 2021 2020 2019 Per diluted share of common stock: Net income (loss) attributable to LVS ($0.22) ($0.17) ($0.40) $0.8

  57. Slide 57: Non-GAAP Trailing Twelve Month Supplemental Schedule

    Non-GAAP Trailing Twelve Month Supplemental Schedule1 ($ in US millions) 4Q19 4Q20 4Q21 1Q22 2Q22 3Q22 4Q22 TTM 4Q22 Cash Flows From Operations $1,202 $49 $102 ($500) ($190) ($150) ($104) ($944) Adjust for: Provision for recovery of credit losses (10) (36) 6 (4) (2) (8) (1) (15) Foreign exchange gai

  58. Slide 58: Historical Hold-Normalized Adj. Property EBITDA

    Historical Hold-Normalized Adj. Property EBITDA1 ($ in US millions) 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 2 Macao Operations Reported $858 $765 $755 $811 $67 ($312) ($233) $47 $100 $132 $32 $74 ($11) ($110) ($152) ($51) Hold-Normalized Adjustment (13) - 2 (2

  59. Slide 59: Supplemental Information: 4Q22 and 4Q21

    Supplemental Information 4Q22 and 4Q21 ($ in US millions) Three Months Ended December 31, 2022 Amortization (Gain) Loss Pre-Opening Depreciation of Leasehold on Disposal or and Adjusted Operating and Interests Impairment Development Royalty Stock-Based Corporate Property Income (Loss) Amortization i

  60. Slide 60: Supplemental Information: YTD 4Q22 and YTD 4Q21

    Supplemental Information YTD 4Q22 and YTD 4Q21 ($ in US millions) Twelve Months Ended December 31, 2022 Amortization (Gain) Loss Pre-Opening Depreciation of Leasehold Disposal or and Adjusted Operating and Interests Impairment Development Royalty Stock-Based Corporate Property Income (Loss) Amortiza

  61. Slide 61: ink Sands

    ink Sands IWS

Las Vegas Sands — Q4 2022 Earnings Presentation on 6ix