Resort reports improved earnings in first quarter

Robert Macy

Thursday, April 13, 2000 | 3:59 a.m.

Strong convention bookings and an influx of high rollers are being credited for a 42 percent jump in revenue for the first quarter of 2000 at The Venetian Resort-Hotel-Casino.

The company reported revenues for the quarter grew to $177.3 million, an increase of $52 million, or 42 percent, over the fourth quarter of 1999.

Total consolidated earnings before interest, taxes, depreciation, amortization and rental expenses was $59.5 million, an increase of $25.6 million, or 76 percent over the fourth quarter of 1999.

The company reported consolidated net income of $16.6 million for the first quarter of 2000 compared with a $7.4 million loss in the fourth quarter of 1999.

William P. Weidner, president and chief operating officer of Las Vegas Sands, Inc., the Venetian's parent company, said the key factor in the growth was completion of the resort by the end of December. The hotel experienced delays in opening in the spring of 1999, with some of the resort's 15 restaurants not opening until the end of the year.

"Walking in in early January, you had the full sense the Venetian was finally done," Weidner said.

Weidner said strong convention and trade show bookings are beginning to pay off by allowing the resort to charge higher rates and realize higher occupancy. Occupancy of guest rooms was 94 percent for the quarter at an average daily rate of $181. This compared with 83 percent and $174 for the fourth quarter of 1999.

The Strip resort is next to the Sands Expo Center.

Weidner said high stakes table play at the resort's casino also had increased.

"Consolidation in the market has some high-end players looking for new homes," he said.