News Column

Las Vegas Sands Reports Record First Quarter 2014 Results

April 24, 2014

LAS VEGAS, NV -- (Marketwired) -- 04/24/14 -- Las Vegas Sands Corp. (NYSE: LVS)

For the Quarter Ended March 31, 2014 (Compared to the Quarter Ended March 31, 2013):

Net Revenue Increased 21.4% to a Record $4.01 Billion



Strong Gaming Volumes in Macao Drove Adjusted Property EBITDA Up 49.1% to a Record $939.8 Million



Consolidated Adjusted Property EBITDA Grew 26.8% to a Record $1.48 Billion



Adjusted Earnings per Diluted Share Climbed 36.6% to a Record $0.97(GAAP Earnings per Diluted Share Increased 37.7% to $0.95)



The Company Paid Dividends of $0.50 per share, an Increase of 42.9%



The Company Returned $810.0 Million of Capital to Shareholders through its Stock Repurchase Program (Exceeding its $75.0 Million per Month Minimum Target)





Las Vegas Sands Corp. (NYSE: LVS) today reported record financial results for the quarter ended March 31, 2014.

First Quarter Overview

Mr. Sheldon G. Adelson, chairman and chief executive officer, said, "I am extremely pleased to report another quarter of record financial results that reflect continued strong growth in revenue, cash flow and earnings per share. The focused and consistent execution of our global growth strategy, which leverages the power of our convention-based Integrated Resort business model, is clearly driving our financial results. Continued execution of that strategy will extend our position as the global leader in Integrated Resort development and operation.

"In Macao, we delivered record financial results, with strong growth and operating momentum reflected in every segment of our business. We welcomed more than seventeen million visits during the quarter to our Macao property portfolio, which delivered a record $939.8 million of adjusted property EBITDA. We remain confident that our market-leading Cotai Strip properties, including our latest Integrated Resort on the Cotai Strip, the Parisian Macao, which is targeted to open in late 2015, will meaningfully enhance the appeal of Macao to business and leisure travelers and provide an outstanding platform for growth in the years ahead."

In Singapore, adjusted property EBITDA reached $435.2 million reflecting strong growth in non-gaming revenue, steady mass gaming results and a higher hold rate on VIP play. Mass win-per-day increased slightly to $4.65 million per day.

Mr. Adelson added, "The prudent management of our cash flow, including the ability to increase the return of capital to shareholders while maintaining a strong balance sheet and ample liquidity to invest in future growth opportunities, remains a cornerstone of our strategy."

The company paid a recurring quarterly dividend of $0.50 per common share during the quarter, an increase of 42.9% compared to the first quarter of 2013.

The company repurchased approximately $810.0 million of common stock (10.0 million shares at a weighted average price of $80.80) during the quarter ended March 31, 2014.

Company-Wide Operating Results

Net revenue for the first quarter of 2014 increased 21.4% to reach $4.01 billion, compared to $3.30 billion in the first quarter of 2013. Consolidated adjusted property EBITDA increased 26.8% to reach $1.48 billion in the first quarter of 2014, compared to $1.17 billion in the year-ago quarter. On a hold-normalized basis, adjusted property EBITDA increased 15.2% to reach $1.37 billion in the first quarter of 2014, compared to $1.19 billion in the first quarter of 2013.

On a GAAP (Generally Accepted Accounting Principles) basis, operating income in the first quarter of 2014 increased 38.4% to $1.14 billion, compared to $826.7 million in the first quarter of 2013. The increase in operating income was principally due to stronger operating results across our Macao property portfolio.

On a GAAP basis, net income attributable to Las Vegas Sands in the first quarter of 2014 increased 35.7% to $776.2 million, compared to $572.0 million in the first quarter of 2013, while diluted earnings per share in the first quarter of 2014 increased 37.7% to $0.95, compared to $0.69 in the prior year quarter. The increase in net income attributable to Las Vegas Sands reflected the increase in operating income described above, partially offset by the increase in net income attributable to noncontrolling interests.

Adjusted net income (see Note 1) increased to $793.9 million, or $0.97 per diluted share, compared to $583.9 million, or $0.71 per diluted share, in the first quarter of 2013. The increase in adjusted net income was driven by the higher net income attributable to Las Vegas Sands described above.

Sands China Ltd. Consolidated Financial Results

On a GAAP basis, total net revenues for Sands China Ltd. increased 34.7% to $2.72 billion in the first quarter of 2014, compared to $2.02 billion in the first quarter of 2013. Adjusted property EBITDA for Sands China Ltd. increased 49.8% to $938.1 million in the first quarter of 2014, compared to $626.4 million in the first quarter of 2013. Net income for Sands China Ltd. increased 66.0% to $751.9 million in the first quarter of 2014, compared to $452.9 million in the first quarter of 2013.

The Venetian Macao First Quarter Operating Results

The Venetian Macao continued to enjoy Macao market-leading visitation and financial performance. The property delivered record adjusted property EBITDA of $470.1 million, an increase of 34.9% compared to the first quarter of 2013. Non-Rolling Chip drop increased 80.7% to reach a property record $2.41 billion for the quarter with Non-Rolling Chip win percentage of 26.1%. Rolling Chip volume during the quarter increased 31.2% to reach $15.32 billion. Slot handle was $1.45 billion, increasing 21.9% compared to the first quarter of 2013. Mall revenues increased 26.4% during the quarter to reach $38.3 million.

The following table summarizes the key operating results for The Venetian Macao for the first quarter of 2014 compared to the first quarter of 2013:


The Venetian Macao Operations Three Months Ended March 31, -------------------- (Dollars in millions) 2014 2013 $ Change Change --------- --------- --------- --------- Revenues: Casino $ 1,075.7$ 778.5$ 297.2 38.2% Rooms 65.3 54.4 10.9 20.0% Food and Beverage 25.8 21.9 3.9 17.8% Mall 38.3 30.3 8.0 26.4% Convention, Retail and Other 24.1 16.7 7.4 44.3% Less - Promotional Allowances (44.6) (29.6) (15.0) -50.7% --------- --------- --------- Net Revenues $ 1,184.6$ 872.2$ 312.4 35.8% Adjusted Property EBITDA $ 470.1$ 348.5$ 121.6 34.9% EBITDA Margin % 39.7% 40.0% -0.3 pts Operating Income $ 429.6$ 311.9$ 117.7 37.7% Gaming Statistics (Dollars in millions) Rolling Chip Volume $15,315.4$11,670.9$ 3,644.5 31.2% Rolling Chip Win %(1) 3.49% 3.57% -0.08 pts Non-Rolling Chip Drop $ 2,410.2$ 1,333.9$ 1,076.3 80.7% Non-Rolling Chip Win % 26.1% 32.1% -6.0 pts Slot Handle $ 1,452.4$ 1,191.5$ 260.9 21.9% Slot Hold % 5.1% 5.5% -0.4 pts Hotel Statistics Occupancy % 94.4% 91.6% 2.8 pts Average Daily Rate (ADR) $ 267$ 231$ 36 15.6% Revenue per Available Room (RevPAR) $ 252$ 212$ 40 18.9% (1) This compares to our expected Rolling Chip win percentage of 2.7% to 3.0% (calculated before discounts and commissions).




Sands Cotai Central First Quarter Operating Results

Net revenues and adjusted property EBITDA for the first quarter of 2014 at Sands Cotai Central were $827.6 million and $265.2 million, respectively, resulting in an EBITDA margin of 32.0%.

Rolling Chip volume grew 13.8% to reach $15.51 billion for the quarter, while Non-Rolling Chip drop increased 73.9% to reach a record $1.80 billion with Non-Rolling Chip win percentage of 22.9%. Slot handle increased 48.3% to $1.82 billion for the quarter.

Mass win per table per day increased 82.3% year-over-year and 3.7% compared to the fourth quarter of 2013, reaching $14,463, while mass table, slot and electronic table game (ETG) win per day climbed to $5.3 million, an increase of 76.3% year-over-year and 9.2% compared to the fourth quarter of 2013. Hotel occupancy reached 88.8% with ADR of $177.

Visitation to the property continues to grow and approached 4.8 million visits in the quarter.

The following table summarizes our key operating results for Sands Cotai Central for the first quarter of 2014 compared to the first quarter of 2013:


Sands Cotai Central Operations Three Months Ended March 31, -------------------- (Dollars in millions) 2014 2013 $ Change Change --------- --------- --------- ---------- Revenues: Casino $ 750.3$ 533.8$ 216.5 40.6% Rooms 79.4 46.2 33.2 71.9% Food and Beverage 32.8 22.6 10.2 45.1% Mall 8.8 8.0 0.8 10.0% Convention, Retail and Other 7.5 5.2 2.3 44.2% Less - Promotional Allowances (51.2) (28.6) (22.6) -79.0% --------- --------- --------- Net Revenues $ 827.6$ 587.2$ 240.4 40.9% Adjusted Property EBITDA $ 265.2$ 131.5$ 133.7 101.7% EBITDA Margin % 32.0% 22.4% 9.6 pts Operating Income $ 195.1$ 60.9$ 134.2 220.4% Gaming Statistics (Dollars in millions) Rolling Chip Volume $15,505.3$13,622.4$ 1,882.9 13.8% Rolling Chip Win %(1) 2.83% 3.09% -0.26 pts Non-Rolling Chip Drop $ 1,800.7$ 1,035.3$ 765.4 73.9% Non-Rolling Chip Win % 22.9% 21.6% 1.3 pts Slot Handle $ 1,821.4$ 1,228.5$ 592.9 48.3% Slot Hold % 3.7% 3.9% -0.2 pts Hotel Statistics Occupancy % 88.8% 70.8% 18.0 pts Average Daily Rate (ADR) $ 177$ 152$ 25 16.4% Revenue per Available Room (RevPAR) $ 157$ 108$ 49 45.4% (1) This compares to our expected Rolling Chip win percentage of 2.7% to 3.0% (calculated before discounts and commissions).




Four Seasons Hotel Macao First Quarter Operating Results

The Four Seasons Hotel Macao and Plaza Casino generated adjusted property EBITDA of $113.0 million in the first quarter of 2014, an increase of 110.8% compared to the year-ago quarter. Non-Rolling Chip drop increased to $352.0 million, while Non-Rolling Chip win percentage was 28.4%. Rolling Chip volume was $9.19 billion for the quarter, a decrease of 3.0% compared to the first quarter of 2013. Rolling Chip win percentage was 3.62% in the quarter, above the expected range and above the 2.21% experienced in the prior-year quarter. Slot handle increased 57.2% to $289.8 million during the quarter.

The following table summarizes our key operating results for the Four Seasons Hotel Macao and Plaza Casino for the first quarter of 2014 compared to the first quarter of 2013:


Four Seasons Hotel Macao and Plaza Casino Operations Three Months Ended March 31, -------------------- (Dollars in millions) 2014 2013 $ Change Change --------- --------- --------- --------- Revenues: Casino $ 340.2$ 206.5$ 133.7 64.7% Rooms 12.6 10.2 2.4 23.5% Food and Beverage 8.3 6.5 1.8 27.7% Mall 23.0 10.3 12.7 123.3% Convention, Retail and Other 1.1 0.8 0.3 37.5% Less - Promotional Allowances (15.2) (11.1) (4.1) -36.9% --------- --------- --------- Net Revenues $ 370.0$ 223.2$ 146.8 65.8% Adjusted Property EBITDA $ 113.0$ 53.6$ 59.4 110.8% EBITDA Margin % 30.6% 24.0% 6.6 pts Operating Income $ 99.9$ 40.7$ 59.2 145.5% Gaming Statistics (Dollars in millions) Rolling Chip Volume $ 9,193.7$ 9,480.1$ (286.4) -3.0% Rolling Chip Win %(1) 3.62% 2.21% 1.41 pts Non-Rolling Chip Drop $ 352.0$ 110.5$ 241.5 218.6% Non-Rolling Chip Win % 28.4% 48.6% -20.2 pts Slot Handle $ 289.8$ 184.4$ 105.4 57.2% Slot Hold % 4.3% 5.0% -0.7 pts Hotel Statistics Occupancy % 87.1% 81.2% 5.9 pts Average Daily Rate (ADR) $ 429$ 370$ 59 15.9% Revenue per Available Room (RevPAR) $ 373$ 301$ 72 23.9% (1) This compares to our expected Rolling Chip win percentage of 2.7% to 3.0% (calculated before discounts and commissions).




Sands Macao First Quarter Operating Results

Sands Macao's adjusted property EBITDA decreased 5.4% compared to the same quarter last year to $91.4 million. Adjusted property EBITDA margin decreased 200 basis points to 29.1%. Non-Rolling Chip drop increased 43.1% to reach $1.09 billion during the quarter, while slot handle increased 13.7% to reach $803.2 million. The property realized 2.59% win on Rolling Chip volume during the quarter, below the expected range of 2.70 to 3.00% and below the 2.76% generated in the year-ago quarter. Rolling Chip volume was $5.38 billion for the quarter.

The following table summarizes our key operating results for Sands Macao for the first quarter of 2014 compared to the first quarter of 2013:


Sands Macao Operations Three Months Ended March 31, -------------------- (Dollars in millions) 2014 2013 $ Change Change --------- --------- --------- --------- Revenues: Casino $ 306.6$ 302.4$ 4.2 1.4% Rooms 7.3 6.0 1.3 21.7% Food and Beverage 10.2 9.8 0.4 4.1% Convention, Retail and Other 2.5 2.6 (0.1) -3.8% Less - Promotional Allowances (12.6) (10.5) (2.1) -20.0% --------- --------- --------- Net Revenues $ 314.0$ 310.3$ 3.7 1.2% Adjusted Property EBITDA $ 91.4$ 96.6$ (5.2) -5.4% EBITDA Margin % 29.1% 31.1% -2.0 pts Operating Income $ 82.3$ 88.1$ (5.8) -6.6% Gaming Statistics (Dollars in millions) Rolling Chip Volume $ 5,380.5$ 6,379.0$ (998.5) -15.7% Rolling Chip Win %(1) 2.59% 2.76% -0.17 pts Non-Rolling Chip Drop $ 1,091.9$ 763.2$ 328.7 43.1% Non-Rolling Chip Win % 18.0% 21.1% -3.1 pts Slot Handle $ 803.2$ 706.5$ 96.7 13.7% Slot Hold % 3.8% 3.7% 0.1 pts Hotel Statistics Occupancy % 96.7% 94.9% 1.8 pts Average Daily Rate (ADR) $ 292$ 246$ 46 18.7% Revenue per Available Room (RevPAR) $ 283$ 233$ 50 21.5% (1) This compares to our expected Rolling Chip win percentage of 2.7% to 3.0% (calculated before discounts and commissions).




Marina Bay Sands First Quarter Operating Results

Marina Bay Sands in Singapore generated adjusted property EBITDA of $435.2 million, an increase of 9.7% compared to the first quarter of 2013. Rolling Chip win percentage of 3.41% in the first quarter of 2014 was above the expected range, and above the 2.51% achieved in the first quarter of 2013.

Non-Rolling Chip drop decreased 3.1% to $1.16 billion during the quarter. Slot handle increased 9.5% to $3.05 billion for the quarter compared to the year-ago quarter. Total mass win per day during the quarter increased slightly to $4.65 million, compared to $4.64 million in the first quarter of 2013. Rolling Chip volume was $12.94 billion for the quarter.

The high-margin hotel room segment of the property continued to reflect strong revenue growth of 14.8%. ADR increased to $428 during the quarter, driving a RevPAR increase of 14.2% compared to the same quarter last year. Occupancy was 99.3% during the quarter.

The following table summarizes our key operating results for Marina Bay Sands for the first quarter of 2014 compared to the first quarter of 2013:


Marina Bay Sands Operations Three Months Ended March 31, (Dollars in millions) 2014 2013 $ Change Change --------- --------- --------- -------- Revenues: Casino $ 680.4$ 640.2$ 40.2 6.3% Rooms 97.1 84.6 12.5 14.8% Food and Beverage 46.0 48.8 (2.8) -5.7% Mall 38.5 36.8 1.7 4.6% Convention, Retail and Other 26.3 26.4 (0.1) -0.4% Less - Promotional Allowances (52.9) (41.9) (11.0) -26.3% --------- --------- --------- Net Revenues $ 835.4$ 794.9$ 40.5 5.1% Adjusted Property EBITDA $ 435.2$ 396.8$ 38.4 9.7% EBITDA Margin % 52.1% 49.9% 2.2 pts Operating Income $ 331.5$ 292.7$ 38.8 13.3% Gaming Statistics (Dollars in millions) Rolling Chip Volume $12,941.5$18,207.3$(5,265.8) -28.9% Rolling Chip Win %(1) 3.41% 2.51% 0.90 pts Non-Rolling Chip Drop $ 1,157.4$ 1,194.6$ (37.2) -3.1% Non-Rolling Chip Win % 23.4% 23.2% 0.2 pts Slot Handle $ 3,050.0$ 2,785.3$ 264.7 9.5% Slot Hold % 4.8% 5.1% -0.3 pts Hotel Statistics Occupancy % 99.3% 98.5% 0.8 pts Average Daily Rate (ADR) $ 428$ 378$ 50 13.2% Revenue per Available Room (RevPAR) $ 425$ 372$ 53 14.2% (1) This compares to our expected Rolling Chip win percentage of 2.7% to 3.0% (calculated before discounts and commissions).




Las Vegas Operations First Quarter Operating Results

Adjusted property EBITDA at The Venetian Las Vegas and The Palazzo, including the Sands Expo and Convention Center, was $79.7 million for the quarter. On a hold-normalized basis, adjusted property EBITDA was $97.3 million, up 4.8% compared to the first quarter of 2013. Hotel ADR reached $241 in the quarter, which was the highest quarterly ADR for our Las Vegas operations since the second quarter of 2008, and an increase of 14.2% compared to the first quarter of 2013. RevPAR increased 12.0% to $214 in the quarter. Table games drop increased 2.4% in the quarter to reach $518.5 million reflecting strong growth in Baccarat drop. Slot handle decreased 4.4% to $473.2 million.

The following table summarizes our key operating results for our Las Vegas operations for the first quarter of 2014 compared to the first quarter of 2013:


Three Months Ended Las Vegas Operations March 31, -------------------- (Dollars in millions) 2014 2013 $ Change Change --------- --------- --------- --------- Revenues: Casino $ 109.8$ 159.9$ (50.1) -31.3% Rooms 135.7 121.1 14.6 12.1% Food and Beverage 72.8 68.3 4.5 6.6% Convention, Retail and Other 87.3 85.3 2.0 2.3% Less - Promotional Allowances (22.9) (23.1) 0.2 0.9% --------- --------- --------- Net Revenues $ 382.7$ 411.5$ (28.8) -7.0% Adjusted Property EBITDA $ 79.7$ 113.4$ (33.7) -29.7% EBITDA Margin % 20.8% 27.6% -6.8 pts Operating Income $ 68.6$ 98.8$ (30.2) -30.6% Gaming Statistics (Dollars in millions) Table Games Drop $ 518.5$ 506.4$ 12.1 2.4% Table Games Win %(1) 17.1% 27.6% -10.5 pts Slot Handle $ 473.2$ 495.1$ (21.9) -4.4% Slot Hold % 8.6% 8.8% -0.2 pts Hotel Statistics Occupancy % 88.9% 90.3% -1.4 pts Average Daily Rate (ADR) $ 241$ 211$ 30 14.2% Revenue per Available Room (RevPAR) $ 214$ 191$ 23 12.0% (1) This compares to our expected Baccarat win percentage of 22.0% to 30.0% and our expected non-Baccarat win percentage of 14.0% to 18.0% (calculated before discounts).




Sands Bethlehem First Quarter Operating Results

Net revenues for Sands Bethlehem in Pennsylvania decreased 4.6% to $117.2 million and adjusted property EBITDA decreased 11.4% to $26.5 million for the first quarter of 2014. Table games drop increased 1.2% to $247.6 million for the quarter, while table games win percentage was 16.1%, which compared to 15.6% in the first quarter of 2013. Slot handle decreased 8.3% year-over-year to $948.5 million for the quarter with slot hold percentage of 7.1%.

The following table summarizes our key operating results for Sands Bethlehem for the first quarter of 2014 compared to the first quarter of 2013:


Three Months Ended Sands Bethlehem Operations March 31, -------------------- (Dollars in millions) 2014 2013 $ Change Change --------- --------- --------- -------- Revenues: Casino $ 109.0$ 114.8$ (5.8) -5.1% Rooms 2.7 2.4 0.3 12.5% Food and Beverage 6.8 7.2 (0.4) -5.6% Mall 0.6 0.6 - 0.0% Convention, Retail and Other 3.9 4.0 (0.1) -2.5% Less - Promotional Allowances (5.8) (6.1) 0.3 4.9% --------- --------- --------- Net Revenues $ 117.2$ 122.9$ (5.7) -4.6% Adjusted Property EBITDA $ 26.5$ 29.9$ (3.4) -11.4% EBITDA Margin % 22.6% 24.3% -1.7 pts Operating Income $ 17.3$ 20.8$ (3.5) -16.8% Gaming Statistics (Dollars in millions) Table Games Drop $ 247.6$ 244.7$ 2.9 1.2% Table Games Win %(1) 16.1% 15.6% 0.5 pts Slot Handle $ 948.5$ 1,033.9$ (85.4) -8.3% Slot Hold % 7.1% 7.1% 0.0 pts Hotel Statistics Occupancy % 68.8% 65.3% 3.5 pts Average Daily Rate (ADR) $ 146$ 138$ 8 5.8% Revenue per Available Room (RevPAR) $ 101$ 90$ 11 12.2% (1) This compares to our expected Table Games win percentage of 14.0% and 16.0% (calculated before discounts).




Asian Retail Mall Operations

Gross revenue from tenants in the company's retail malls on Macao's Cotai Strip (The Venetian Macao, Four Seasons Macao and Sands Cotai Central) and Marina Bay Sands in Singapore reached $108.4 million for the first quarter of 2014, an increase of 27.7% compared to the first quarter of 2013. Operating profit derived from these retail mall assets increased 34.6% for the quarter compared to the quarter one year ago, reaching $91.5 million.


TTM March 31, For The Three Months Ended March 31, 2014 2014 ------------------------------------------------- --------- (Dollars in millions Gross Tenant except per Gross Operating Leasable Occupancy Sales Per square foot Revenue Operating Profit Area % at End Sq. data) (1) Profit Margin (sq. ft.) of Period Ft.(2) ------- --------- --------- --------- --------- --------- Shoppes at Venetian $ 38.2$ 32.3 84.6% 755,876 96.0% $ 1,535 Shoppes at Four Seasons Luxury Retail 17.8 16.6 93.3% 142,562 100.0% 6,129 Other Stores 5.2 4.8 92.3% 99,907 61.4% 2,863 ------- --------- --------- Total 23.0 21.4 93.0% 242,469 84.1% 5,359 ------- --------- --------- Shoppes at Cotai Central 8.7 7.0 80.5% 210,191(3) 99.9% 1,365 ------- --------- --------- Total Cotai Strip in Macao 69.9 60.7 86.8% 1,208,536 94.3% 2,198 ------- --------- --------- The Shoppes at Marina Bay Sands 38.5 30.8 80.0% 650,083 88.1%(4) 1,544 ------- --------- --------- Total $ 108.4$ 91.5 84.4% 1,858,619 92.1% $ 2,006 ======= ========= ========= (1) Gross revenue figures are net of intersegment revenue eliminations. (2) Tenant sales per square foot reflect sales from tenants only after the tenant has been open for a period of 12 months. (3) At completion of all phases, the Shoppes at Cotai Central will feature up to 600,000 square feet of gross leasable area. (4) This occupancy percentage reflects the ongoing repositioning of the mall in which approximately 54,000 square feet of gross leasable area is undergoing new fit-out but rent collection has not commenced.




Other Factors Affecting Earnings

Other Asia adjusted property EBITDA, which is principally comprised of our CotaiJet ferry operation, reflected a loss of $1.4 million during the quarter, compared to a loss of $3.6 million in the first quarter of 2013.

Pre-opening expenses decreased to $4.3 million in the first quarter of 2014, compared to $6.8 million in the first quarter of 2013.

Depreciation and amortization expense was $261.0 million in the first quarter of 2014, compared to $252.6 million in the first quarter of 2013.

Interest expense, net of amounts capitalized, was $71.1 million for the first quarter of 2014, compared to $68.8 million in the prior-year quarter. Capitalized interest was $1.7 million during the first quarter of 2014, compared to $1.8 million during the first quarter of 2013. Our weighted average borrowing cost in the first quarter of 2014 was approximately 2.8%.

Corporate expense was $50.7 million in the first quarter of 2014, compared to $56.3 million in the first quarter of 2013.

The Company recorded an $18.0 million loss on modification or early retirement of debt during the quarter as a result of the refinancing of its Macao credit facility.

Other expense, which was principally composed of foreign currency losses, was $4.7 million in the first quarter of 2014, compared to $2.1 million in the first quarter of 2013.

The company's effective income tax rate for the first quarter of 2014 was 5.6%. The tax rate is primarily driven by a provision for the earnings from Marina Bay Sands at the 17% Singapore income tax rate.

The net income attributable to noncontrolling interests during the first quarter of 2014 of $220.5 million was principally related to Sands China Ltd.

Balance Sheet Items

Unrestricted cash balances as of March 31, 2014 were $3.30 billion.

As of March 31, 2014, total debt outstanding, including the current portion, was $10.27 billion.

Capital Expenditures

Capital expenditures during the first quarter totaled $251.7 million, including construction, development and maintenance activities of $210.2 million in Macao, $25.8 million in Las Vegas, $12.7 million at Marina Bay Sands and $3.0 million at Sands Bethlehem.

Conference Call Information

The company will host a conference call to discuss the company's results on Thursday, April 24, 2014 at 1:30 p.m. Pacific Time. Interested parties may listen to the conference call through a webcast available on the company's website at www.lasvegassands.com.

Forward-Looking Statements

This press release contains forward-looking statements that are made pursuant to the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve a number of risks, uncertainties or other factors beyond the company's control, which may cause material differences in actual results, performance or other expectations. These factors include, but are not limited to, general economic conditions, competition, new ventures, substantial leverage and debt service, government regulation, tax law changes, legalization of gaming, interest rates, future terrorist acts, influenza, insurance, gaming promoters, risks relating to our gaming licenses, certificate and subconcession, infrastructure in Macao and other factors detailed in the reports filed by Las Vegas Sands Corp. with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date thereof. Las Vegas Sands Corp. assumes no obligation to update such information.

Note 1

Adjusted net income excludes pre-opening expense, development expense, gain or loss on disposal of assets and loss on modification or early retirement of debt.

About Las Vegas Sands

Las Vegas Sands (NYSE: LVS) is the world's leading developer and operator of Integrated Resorts. Our collection of Integrated Resorts in Asia and the United States feature state of the art convention and exhibition facilities, premium accommodations, world-class gaming and entertainment, destination retail and dining including celebrity chef restaurants, and many other amenities.

Our properties include the five-diamond Venetian and Palazzo resorts and Sands Expo Center in Las Vegas, Sands Bethlehem in Eastern Pennsylvania, and the iconic Marina Bay Sands in Singapore. Through its majority ownership in Sands China Ltd. (HK: 1928), LVS owns a portfolio of properties on the Cotai Strip in Macao, including The Venetian Macao, The Plaza and Four Seasons Hotel Macao and Sands Cotai Central, as well as the Sands Macao on the Macao Peninsula.

LVS is dedicated to being a good corporate citizen, anchored by the core tenets of delivering a great working environment for nearly 50,000 employees worldwide, driving impact through its Sands Cares corporate citizenship program and leading innovation with the company's award-winning Sands ECO360 degrees global sustainability program. To learn more, please visit www.sands.com.

Las Vegas Sands Corp.

First Quarter 2014 Results

Non-GAAP Reconciliations


Within the company's first quarter 2014 press release, the company makes reference to certain non-GAAP financial measures including "adjusted net income," "hold-normalized adjusted net income," "adjusted earnings per diluted share," "hold-normalized adjusted earnings per diluted share," "adjusted property EBITDA," and "hold-normalized adjusted property EBITDA." Whenever such information is presented, the company has complied with the provisions of the rules under Regulation G and Item 2.02 of Form 8-K. The specific reasons why the company's management believes that the presentation of each of these non-GAAP financial measures provides useful information to investors regarding Las Vegas Sands Corp.'s financial condition, results of operations and cash flows has been provided in the Form 8-K filed in connection with this press release.

Adjusted property EBITDA consists of operating income (loss) before depreciation and amortization, amortization of leasehold interests in land, gain or loss on disposal of assets, pre-opening expense, development expense, royalty fees, stock-based compensation and corporate expense. Reconciliations of GAAP operating income (loss) and GAAP net income attributable to Las Vegas Sands Corp. to adjusted property EBITDA and hold-normalized adjusted property EBITDA are included in the financial schedules accompanying this release.


Las Vegas Sands Corp. and Subsidiaries Condensed Consolidated Statements of Operations (In thousands, except share and per share data) (Unaudited) Three Months Ended March 31, 2014 2013 ------------- ------------- Revenues: Casino $ 3,372,065$ 2,736,054 Rooms 400,222 325,016 Food and beverage 202,787 185,329 Mall 109,031 85,461 Convention, retail and other 137,376 126,061 ------------- ------------- 4,221,481 3,457,921 Less - promotional allowances (211,097) (155,202) ------------- ------------- 4,010,384 3,302,719 ------------- ------------- Operating expenses: Resort operations 2,538,292 2,142,900 Corporate 50,677 56,272 Pre-opening 4,300 6,837 Development 1,692 5,351 Depreciation and amortization 261,047 252,557 Amortization of leasehold interests in land 10,026 10,167 Loss on disposal of assets 525 1,932 ------------- ------------- 2,866,559 2,476,016 ------------- ------------- Operating income 1,143,825 826,703 Other income (expense): Interest income 5,803 3,793 Interest expense, net of amounts capitalized (71,126) (68,832) Other expense (4,657) (2,108) Loss on modification or early retirement of debt (17,964) - ------------- ------------- Income before income taxes 1,055,881 759,556 Income tax expense (59,153) (55,582) ------------- ------------- Net income 996,728 703,974 Net income attributable to noncontrolling interests (220,543) (132,013) ------------- ------------- Net income attributable to Las Vegas Sands Corp. $ 776,185$ 571,961 ============= ============= Earnings per share: Basic $ 0.95$ 0.69 ============= ============= Diluted $ 0.95$ 0.69 ============= ============= Weighted average shares outstanding: Basic 814,766,709 823,367,441 ============= ============= Diluted 817,537,615 827,452,691 ============= ============= Dividends declared per common share $ 0.50$ 0.35 ============= ============= Las Vegas Sands Corp. and Subsidiaries Non-GAAP Measure (In thousands) (Unaudited) The following are reconciliations of Operating Income (Loss) to Adjusted Property EBITDA: Three Months Ended March 31, 2014




Amortization Operating Depreciation of Leasehold Income and Interests in (Loss) Amortization Land ------------ -------------- -------------- Macao: The Venetian Macao $ 429,611$ 36,238$ 1,653 Sands Cotai Central 195,096 66,105 2,153 Four Seasons Hotel Macao and Plaza Casino 99,917 9,778 706 Sands Macao 82,305 8,254 354 ------------ -------------- -------------- Macao Property Operations 806,929 120,375 4,866 Marina Bay Sands 331,454 71,471 4,539 United States: Las Vegas Operating Properties 68,593 47,538 - Sands Bethlehem 17,344 9,172 - ------------ -------------- -------------- United States Property Operations 85,937 56,710 - Other Asia (2) (17,437) 3,588 - Other Development (3,892) 151 621 Corporate (59,166) 8,752 - ------------ -------------- -------------- $ 1,143,825$ 261,047$ 10,026 ============ ============== ============== Pre-Opening (Gain) Loss and on Disposal Development of Assets Expense Royalty Fees ------------ -------------- -------------- Macao: The Venetian Macao $ 147 $ - $ - Sands Cotai Central 320 415 - Four Seasons Hotel Macao and Plaza Casino 38 2,329 - Sands Macao 83 - - ------------ -------------- -------------- Macao Property Operations 588 2,744 - Marina Bay Sands 38 - 26,252 United States: Las Vegas Operating Properties (285) 97 (38,189) Sands Bethlehem 35 2 - ------------ -------------- -------------- United States Property Operations (250) 99 (38,189) Other Asia (2) 149 29 12,200 Other Development - 3,120 - Corporate - - (263) ------------ -------------- -------------- $ 525$ 5,992 $ - ============ ============== ============== (1) Stock- Adjusted Based Corporate Property Compensation Expense EBITDA -------------- -------------- ------------- Macao: The Venetian Macao $ 2,435 $ - $ 470,084 Sands Cotai Central 1,117 - 265,206 Four Seasons Hotel Macao and Plaza Casino 273 - 113,041 Sands Macao 442 - 91,438 -------------- -------------- ------------- Macao Property Operations 4,267 - 939,769 Marina Bay Sands 1,407 - 435,161 United States: Las Vegas Operating Properties 1,898 - 79,652 Sands Bethlehem (22) - 26,531 -------------- -------------- ------------- United States Property Operations 1,876 - 106,183 Other Asia (2) 57 - (1,414) Other Development - - - Corporate - 50,677 - -------------- -------------- ------------- $ 7,607$ 50,677$ 1,479,699 ============== ============== ============= Three Months Ended March 31, 2013 Amortization Operating Depreciation of Leasehold Income and Interests in (Loss) Amortization Land ------------ -------------- -------------- Macao: The Venetian Macao $ 311,884$ 32,853$ 1,654 Sands Cotai Central 60,891 62,414 2,154 Four Seasons Hotel Macao and Plaza Casino 40,691 11,300 706 Sands Macao 88,072 7,684 354 ------------ -------------- -------------- Macao Property Operations 501,538 114,251 4,868 Marina Bay Sands 292,682 70,028 4,677 United States: Las Vegas Operating Properties 98,809 49,154 - Sands Bethlehem 20,832 8,865 - ------------ -------------- -------------- United States Property Operations 119,641 58,019 - Other Asia (2) (18,597) 3,697 - Other Development (6,152) 158 622 Corporate (62,409) 6,404 - ------------ -------------- -------------- $ 826,703$ 252,557$ 10,167 ============ ============== ============== Pre-Opening Loss on and Disposal of Development Assets Expense Royalty Fees ------------ -------------- -------------- Macao: The Venetian Macao $ 374 $ 121 $ - Sands Cotai Central 3 5,487 - Four Seasons Hotel Macao and Plaza Casino 13 807 - Sands Macao 112 - - ------------ -------------- -------------- Macao Property Operations 502 6,415 - Marina Bay Sands 854 - 26,691 United States: Las Vegas Operating Properties 563 115 (37,424) Sands Bethlehem - 46 - ------------ -------------- -------------- United States Property Operations 563 161 (37,424) Other Asia (2) 13 240 11,000 Other Development - 5,372 - Corporate - - (267) ------------ -------------- -------------- $ 1,932$ 12,188 $ - ============ ============== ============== (1) Stock Adjusted Based Corporate Property Compensation Expense EBITDA -------------- -------------- ------------- Macao: The Venetian Macao $ 1,596 $ - $ 348,482 Sands Cotai Central 572 - 131,521 Four Seasons Hotel Macao and Plaza Casino 35 - 53,552 Sands Macao 380 - 96,602 -------------- -------------- ------------- Macao Property Operations 2,583 - 630,157 Marina Bay Sands 1,849 - 396,781 United States: Las Vegas Operating Properties 2,211 - 113,428 Sands Bethlehem 113 - 29,856 -------------- -------------- ------------- United States Property Operations 2,324 - 143,284 Other Asia (2) 58 - (3,589) Other Development - - - Corporate - 56,272 - -------------- -------------- ------------- $ 6,814$ 56,272$ 1,166,633 ============== ============== ============= (1) During the three months ended March 31, 2014 and 2013, the Company recorded stock-based compensation expense of $16.1 million and $14.6 million, respectively, of which $8.4 million and $7.8 million, respectively, is included in corporate expense and $0.1 million and $0.0 million, respectively, is included in pre-opening and development expense on the Company's condensed consolidated statements of operations. (2) Primarily includes the results of the CotaiJet ferry operations. Las Vegas Sands Corp. and Subsidiaries Non-GAAP Measure (In thousands) (Unaudited) The following are reconciliations of Adjusted Property EBITDA to Hold- Normalized Adjusted Property EBITDA: Three Months Ended March 31, 2014 Hold- (1) Hold- (2) Hold- Normalized Adjusted Normalized Normalized Adjusted Property Casino Casino Property EBITDA Revenue Expense EBITDA ----------- ----------- ----------- ----------- Macao Property Operations $ 939,769$ (138,933)$ 64,012$ 864,848 Marina Bay Sands 435,161 (71,741) 14,472 377,892 United States: Las Vegas Operating Properties 79,652 21,430 (3,768) 97,314 Sands Bethlehem 26,531 - - 26,531 ----------- ----------- ----------- ----------- United States Property Operations 106,183 21,430 (3,768) 123,845 Other Asia (1,414) - - (1,414) Other Development - - - - Corporate - - - - ----------- ----------- ----------- ----------- $ 1,479,699$ (189,244)$ 74,716$ 1,365,171 =========== =========== =========== =========== Three Months Ended March 31, 2013 Hold- (1) Hold- (2) Hold- Normalized Adjusted Normalized Normalized Adjusted Property Casino Casino Property EBITDA Revenue Expense EBITDA ----------- ----------- ----------- ----------- Macao Property Operations $ 630,157 $ - $ - $ 630,157 Marina Bay Sands 396,781 49,098 (9,904) 435,975 United States: Las Vegas Operating Properties 113,428 (24,975) 4,391 92,844 Sands Bethlehem 29,856 - - 29,856 ----------- ----------- ----------- ----------- United States Property Operations 143,284 (24,975) 4,391 122,700 Other Asia (3,589) - - (3,589) Other Development - - - - Corporate - - - - ----------- ----------- ----------- ----------- $ 1,166,633$ 24,123$ (5,513)$ 1,185,243 =========== =========== =========== =========== (1) For Macao Property Operations and Marina Bay Sands, this represents the estimated incremental casino revenue related to Rolling Volume play that would have been earned or lost had the Company's current period win percentage equaled 2.85%. This calculation will only be done if the current period win percentage is outside the expected range of 2.7% to 3.0%. For the Las Vegas Operating Properties, this represents the estimated incremental casino revenue related to all table games play that would have been earned or lost had the Company's current period win percentage equaled 26.0% for Baccarat and 16.0% for non-Baccarat. This calculation will only be done if the current period win percentages for Baccarat and non-Baccarat are outside the expected ranges of 22.0% to 30.0% and 14.0% to 18.0%, respectively. For Sands Bethlehem, no adjustments have been, or will be, made. These amounts have been offset by the estimated commissions paid, discounts and other incentives rebated directly or indirectly to customers. (2) Represents the estimated incremental expenses (gaming taxes, bad debt expense and commissions paid to third parties) that would have been incurred or avoided on the incremental casino revenue calculated in (1) above. Las Vegas Sands Corp. and Subsidiaries Non-GAAP Measure (In thousands) (Unaudited) The following is a reconciliation of Net Income Attributable to Las Vegas Sands Corp. to Adjusted Property EBITDA and Hold-Normalized Adjusted Property EBITDA: Three Months Ended March 31, 2014 2013 ------------- ------------- Net income attributable to Las Vegas Sands Corp. $ 776,185$ 571,961 Add (deduct): Net income attributable to noncontrolling interests 220,543 132,013 Income tax expense 59,153 55,582 Loss on modification or early retirement of debt 17,964 - Other expense 4,657 2,108 Interest expense, net of amounts capitalized 71,126 68,832 Interest income (5,803) (3,793) Loss on disposal of assets 525 1,932 Amortization of leasehold interests in land 10,026 10,167 Depreciation and amortization 261,047 252,557 Development expense 1,692 5,351 Pre-opening expense 4,300 6,837 Stock-based compensation (1) 7,607 6,814 Corporate expense 50,677 56,272 ------------- ------------- Adjusted Property EBITDA $ 1,479,699$ 1,166,633 ============= ============= Hold-normalized casino revenue (2) (189,244) 24,123 Hold-normalized casino expense (2) 74,716 (5,513) ------------- ------------- Hold-Normalized Adjusted Property EBITDA $ 1,365,171$ 1,185,243 ============= ============= (1) See Exhibit 2 (2) See Exhibit 3 _______________________ Las Vegas Sands Corp. and Subsidiaries Supplemental Data - Net Revenues (In thousands) (Unaudited) Three Months Ended March 31, 2014 2013 ------------- ------------- The Venetian Macao $ 1,184,591$ 872,212 Sands Cotai Central 827,583 587,179 Four Seasons Hotel Macao and Plaza Casino 370,016 223,220 Sands Macao 313,961 310,273 Marina Bay Sands 835,423 794,864 Las Vegas Operating Properties 382,658 411,541 Sands Bethlehem 117,183 122,916 Other Asia 35,161 33,873 Intersegment Eliminations (56,192) (53,359) ------------- ------------- $ 4,010,384$ 3,302,719 ============= ============= _______________________ Las Vegas Sands Corp. and Subsidiaries Supplemental Data - Adjusted Property EBITDA as a Percentage of Net Revenues (Unaudited) Three Months Ended March 31, 2014 2013 ------------- ------------- The Venetian Macao 39.7% 40.0% Sands Cotai Central 32.0% 22.4% Four Seasons Hotel Macao and Plaza Casino 30.6% 24.0% Sands Macao 29.1% 31.1% Marina Bay Sands 52.1% 49.9% Las Vegas Operating Properties 20.8% 27.6% Sands Bethlehem 22.6% 24.3% Other Asia -4.0% -10.6% Total 36.9% 35.3% Las Vegas Sands Corp. and Subsidiaries Non-GAAP Measure - Adjusted Net Income; Hold-Normalized Adjusted Net Income; Adjusted Earnings Per Diluted Share; and Hold-Normalized Adjusted Earnings Per Diluted Share (In thousands, except share and per share data) (Unaudited) Three Months Ended March 31, 2014 2013 ------------- ------------- Net income attributable to Las Vegas Sands Corp. $ 776,185$ 571,961 Pre-opening expense, net 3,052 4,827 Development expense, net 1,692 5,351 Loss on disposal of assets, net 350 1,779 Loss on modification or early retirement of debt, net 12,611 - ------------- ------------- Adjusted net income $ 793,890$ 583,918 ============= ============= Hold-normalized casino revenue (1) (189,244) 24,123 Hold-normalized casino expense (1) 74,716 (5,513) Income tax impact on hold adjustments 9,736 (6,663) Noncontrolling interest impact on hold adjustments 22,356 - ------------- ------------- Hold-normalized adjusted net income $ 711,454$ 595,865 ============= ============= (1) See Exhibit 3 Per diluted share of common stock: Net income attributable to Las Vegas Sands Corp. $ 0.95$ 0.69 Pre-opening expense, net - 0.01 Development expense, net - 0.01 Loss on disposal of assets, net - - Loss on modification or early retirement of debt, net 0.02 - ------------- ------------- Adjusted earnings per diluted share $ 0.97$ 0.71 ============= ============= Hold-normalized casino revenue (0.23) 0.03 Hold-normalized casino expense 0.09 (0.01) Income tax impact on hold adjustments 0.01 (0.01) Noncontrolling interest impact on hold adjustments 0.03 - ------------- ------------- Hold-normalized adjusted earnings per diluted share $ 0.87$ 0.72 ============= ============= Weighted average diluted shares outstanding 817,537,615 827,452,691 ============= ============= Las Vegas Sands Corp. and Subsidiaries Supplemental Data Schedule (Unaudited) Three Months Ended March 31, 2014 2013 ----------- ----------- Room Statistics: The Venetian Macao: Occupancy % 94.4% 91.6% Average daily room rate (ADR) (1) $ 267$ 231 Revenue per available room (RevPAR) (2) $ 252$ 212 Sands Cotai Central: Occupancy % 88.8% 70.8% Average daily room rate (ADR) (1) $ 177$ 152 Revenue per available room (RevPAR) (2) $ 157$ 108Four Seasons Hotel Macao and Plaza Casino: Occupancy % 87.1% 81.2% Average daily room rate (ADR) (1) $ 429$ 370 Revenue per available room (RevPAR) (2) $ 373$ 301 Sands Macao: Occupancy % 96.7% 94.9% Average daily room rate (ADR) (1) $ 292$ 246 Revenue per available room (RevPAR) (2) $ 283$ 233 Marina Bay Sands: Occupancy % 99.3% 98.5% Average daily room rate (ADR) (1) $ 428$ 378 Revenue per available room (RevPAR) (2) $ 425$ 372Las Vegas Operating Properties: Occupancy % 88.9% 90.3% Average daily room rate (ADR) (1) $ 241$ 211 Revenue per available room (RevPAR) (2) $ 214$ 191 Sands Bethlehem: Occupancy % 68.8% 65.3% Average daily room rate (ADR) (1) $ 146$ 138 Revenue per available room (RevPAR) (2) $ 101$ 90 Casino Statistics: The Venetian Macao: Table games win per unit per day (3) $ 19,130$ 17,902 Slot machine win per unit per day (4) $ 389$ 320 Average number of table games 675 525 Average number of slot machines 2,126 2,270 Sands Cotai Central: Table games win per unit per day (3) $ 20,446$ 14,225 Slot machine win per unit per day (4) $ 390$ 247 Average number of table games 462 503 Average number of slot machines 1,896 2,157 Four Seasons Hotel Macao and Plaza Casino: Table games win per unit per day (3) $ 37,641$ 20,071 Slot machine win per unit per day (4) $ 818$ 549 Average number of table games 128 146 Average number of slot machines 171 187 Sands Macao: Table games win per unit per day (3) $ 13,868$ 13,023 Slot machine win per unit per day (4) $ 316$ 238 Average number of table games 269 287 Average number of slot machines 1,084 1,229 Marina Bay Sands: Table games win per unit per day (3) $ 12,257$ 13,608 Slot machine win per unit per day (4) $ 686$ 708 Average number of table games 646 600 Average number of slot machines 2,391 2,211 Las Vegas Operating Properties: Table games win per unit per day (3) $ 3,966$ 6,502 Slot machine win per unit per day (4) $ 188$ 199 Average number of table games 249 239 Average number of slot machines 2,395 2,452 Sands Bethlehem: Table games win per unit per day (3) $ 2,740$ 3,020 Slot machine win per unit per day (4) $ 248$ 272 Average number of table games 161 141 Average number of slot machines 3,009 3,020 (1) ADR is calculated by dividing total room revenue by total rooms occupied. (2) RevPAR is calculated by dividing total room revenue by total rooms available. (3) Table games win per unit per day is shown before discounts and commissions. (4) Slot machine win per unit per day is shown before deducting cost for slot points.








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Source: Las Vegas Sands


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