Rob Goldstein, Chairman and CEO of Las Vegas Sands (LVS), has looked ahead to the gaming giant’s future and discussed what it meant to sell the operator’s famed Las Vegas properties.
“LVS began in the mid-’90s at The Venetian and the memories are endless and very fond. Emotionally, it was very difficult,” said Goldstein on the operator's $6.25bn sale of its Las Vegas properties.
“It was an opportunistic sale for us. Had we not gone through the Covid mess, we probably wouldn’t have done it. Most people don’t realize Sheldon was a part of that decision. It was a painful decision for him, too, but we made it.”
While Sands’ US interests are still expected to remain important for the company, with Goldstein confirming that 300-400 employees will remain at its North American office, the Asian market is likely to take precedence from now on.
“Keep in mind that 90% of our cash flow emanates from Asia. People don’t understand our company. The company made 8% of its EBITDA in Las Vegas and 92% out of Macau and Singapore in 2019.
“So our businesses in Macao and Singapore are the backbone of what we are. It doesn’t mean we’re an Asia-only company. We’re looking right now to be in the US. in multiple jurisdictions. We’re headquartered here. We’ll continue to compete for licenses.” he continued.
In terms of these US markets Goldstein outlined New York, Texas and Florida as key regions for the company.
“Singapore’s back to a US-type trajectory. Demand is picking up. It’s opening up and they’ve done a terrific job. But Macau is still struggling. China and Hong Kong are going through a very tough time and our business there has been battered.”
With Asia the focus in terms of land-based operations for Sands, some had suggested that the operator could move into the ever-growing online sports betting market in the US. However, according to Goldstein, this is unlikely to happen in the near future.
He said: “We’re not in the online sportsbook wagering business. We’ve watched it carefully. We are getting involved in a few things digitally. But we have no real approach to being in online sports or online gambling as it relates to today.
“That market has proven to be interesting to watch with all its ups and downs. I’m convinced it will become profitable and be very successful, and there may be a point where we get interested by buying, acquiring or beginning our own online sports. But at this point, we’re not in that business.”
