This site uses cookies to provide you with a great user experience. By using BondbloX, you accept our use of cookies.
Bond Market News
Las Vegas Sands, Sands China Upgraded to BBB- by S&P
July 27, 2023
Las Vegas Sands (LVS) and its subsidiary Sands China had their ratings upgraded to BBB- from BB+ by S&P, citing an accelerating recovery in Macao’s cash flows and strong performance in Singapore as the primary factors. The Macao branch’s revenue and EBITDA has recovered to about 75% and 70% of Q2 2019 levels respectively. Furthermore, its mass gross gaming revenue recovered to 87% of Q2 2019 levels, beating S&P’s forecasts of 75-85% and causing them to raise their forecasts to 85-90% of 2019 levels. Singapore’s solid performance was reflected by a mass gaming revenue that is above 2019 levels, recovering airlift capacity from China and good returns from renovated rooms and new suites that could support revenue that is 15% higher than 2019 levels and EBITDA of about $1.7bn in 2023. This surpassed S&P’s forecasts of roughly $1.3bn of EBITDA. As a result of these factors, LVS is expected to end 2023 and 2024 with a leverage of about 2.7x and 2.5x respectively, lower than previous forecasts of 3x.
Sands China’s dollar bonds were trading higher with its 4.3% 2026s up 1.2 points to 94 cents on the dollar, yielding 7.02%
Go back to Latest bond Market News
Related Posts:
BondbloX Pte. Ltd. is regulated by the Monetary Authority of Singapore as a Recognised Market Operator ("RMO") and exempted from Section 49(1) of the Securities and Futures Act (Cap. 289) ("SFA") under Section 49(7) of the SFA.