SJM Swings to Q1 Loss as Wynn Posts Strong Print and Confirms US$950m Enclave Tower

SJM Holdings's Q1 2026 results, filed with HKEX on May 7, confirmed the first full satellite-free quarter and the cost of that transition. Net revenue contracted 21.1% to HK$5.90 billion (US$754 million) as the 18 satellite venues shuttered in December came off the books. Net gaming revenue fell 22.8% to HK$5.36 billion. The headline was the swing to a HK$62 million net loss (US$7.92 million) versus a HK$31 million profit in Q1 2025. Yet adjusted EBITDA margin expanded sharply, from 12.8% to 15.5% — the thesis that satellites were structurally dilutive is now empirically supported. Adjusted EBITDA eased only slightly to HK$917 million despite the revenue collapse.

SJM's market share continued to slide, to 9.6% from 13.5% in the prior-year quarter. The street response was divided: the share-loss narrative dominated the trading print (SJM closed -4.2% on May 7), but the margin-improvement story matches the Jefferies bullish case from mid-April. The pivotal question for the year is whether Grand Lisboa Palace can stabilise its top-line and pull market share back into double digits. Dr Ambrose So's retirement adds management uncertainty.

Wynn: a strong print and the Enclave gets formal board approval

Wynn Resorts reported on May 8 with Wynn Macau Limited aggregate Q1 operating revenues of US$989.2 million (+14.2% YoY) and Adjusted Property EBITDAR of US$279.4 million (+10.9% YoY). Wynn Palace carried the quarter: US$659.3 million in operating revenue (vs US$535.9 million prior), with EBITDAR up to US$203.8 million from US$161.9 million. Mass drop was up 19% and table handle 32%. Wynn Macau the property was approximately flat — US$329.9 million revenue (vs US$330.0 million prior), with EBITDAR down to US$75.6 million from US$90.2 million on softer VIP activity.

The earnings call's main news was Wynn's formal board approval of the Enclave tower at Wynn Palace at a US$950 million capital commitment. The 432-suite, all-suite luxury hotel will increase Wynn Palace's room inventory by approximately 25% and suite count by 50%, with construction starting in H2 2026 and target opening early 2029. Citi estimates US$150–175 million in incremental EBITDA at stabilisation. This is the first major new-build announcement at any of the six concessionaires since the 2022 concession renewals — a strategic signal that Wynn is investing into the renewal cycle ahead of the 2032 expiry.

CEO Craig Billings used the call to acknowledge the UAE delay: Wynn Al Marjan's Q1 2027 opening is officially intact but "under pressure" from regional Middle East tensions and supply-chain disruption. The geographic diversification thesis remains, but the Macau capex commitment is now decisively front-loaded relative to UAE.

LVS: Macau plus MBS deliver a beat

Las Vegas Sands posted Q1 2026 revenue of US$3.59 billion, net income of US$641 million, and adjusted property EBITDA of US$1.42 billion on April 22. Sands China contributed US$2.10 billion in net revenue (+23.6%), US$294 million in net income (+45.5%), and US$633 million in EBITDA. Marina Bay Sands added US$1.49 billion in net revenue (+28%) and US$788 million in EBITDA (+30%) on a doubling of VIP rolling chip volume. The combined APAC print is the strongest quarter LVS has reported since 2018. The stock rose 2% in after-hours trading.

Cambodia: scam combat now a national priority

The Cambodian government formally designated combat of scam-running casinos as a top national priority on May 5, citing reputational damage to legitimate sectors. The designation triggers cross-agency coordination protocols and provides the political cover for the next wave of enforcement actions. Three additional Sihanoukville properties were raided between May 1 and May 7, with more than 200 detentions. The new Anti-Technology Fraud Law (in force since April 17) is now the governing criminal regime for these actions.

Sources

SJM Holdings HKEX Q1 2026 results announcement (7 May 2026); Wynn Resorts SEC Form 8-K Q1 2026 (8 May 2026); Wynn Macau Limited HKEX selected unaudited financial data (8 May 2026); Las Vegas Sands SEC Form 8-K Q1 2026 (22 April 2026); Cambodia Ministry of Interior announcement (5 May 2026).