TAKING THE PULSE: Some casino companies are expecting improved first-quarter results compared with a year earlier, when most posted losses during the depths of the recession, which sharply reduced tourism and consumer spending. With recent openings of two big resorts in Macau and Singapore by Wynn Resorts Ltd. (WYNN) and Las Vegas Sands Corp. (LVS), respectively, both companies now rely on Asia for most of their revenue.

Las Vegas remains weak though convention bookings have picked up, but prospects are bright in Macau, China's gambling enclave and the world's largest casino market by revenue. Meanwhile, five casinos are for sale in Atlantic City, N.J., which has been hurt by the recession and competition from gambling in nearby Pennsylvania.

Penn National Gaming Inc. (PENN) last week reported an 11% decline in first-quarter profit as revenue slid 3.3% on the continuing downturn in U.S. gambling. The company, which operates 19 casino and horse-racing facilities in 14 states and Ontario but not in Las Vegas, also said bad weather hurt results at some locations.

COMPANIES TO WATCH:

Wynn Resorts Ltd. (WYNN) - reports Thursday

Wall Street Expectations: Analysts anticipate earnings of 14 cents a share on revenue of $850 million, according to analysts polled by Thomson Reuters. A year earlier, Wynn had a loss of 30 cents on $740 million in revenue.

Key Issues: Wynn, which has a stronger balance sheet than most of its rivals, is opening its new hotel and casino, Encore at Wynn Macau, and plans to start construction of a major new casino in Macau's Cotai area next year. Asia has become so core to the company's operations that Steve Wynn said he will consider moving the firm's headquarters to Macau from Las Vegas.

Boyd Gaming Corp. (BYD) - reports May 4

Wall Street Expectations: Analysts anticipate earnings of 7 cents on revenue of $410 million, compared with a prior-year loss of 16 cents on revenue of $435 million.

Key Issues: One of the oldest Las Vegas gambling companies, Boyd attracts many locals, who are struggling with declining home values and job losses. The company has been trying to buy rival bankrupt Station Casinos Inc., but a series of insider deals that Station recently struck with lenders and members of its founding family make it unlikely that Boyd will win its bid.

MGM Mirage (MGM) - reports May 6

Wall Street Expectations: Analysts predict a loss of 27 cents on revenue of $1.41 billion. A year earlier, the casino giant reported earnings of 38 cents, including a 44-cent gain from selling Las Vegas' Treasure Island, on revenue of $1.66 billion.

Key Issues: MGM Mirage this month warned that its loss would be larger than Wall Street expected and would include a $255 million operating loss for its $8.5 billion CityCenter, which opened in Las Vegas in December. The debt-laden company last month said it would leave Atlantic City, where it co-owns the Borgata with Boyd Gaming, in response to regulatory concerns.

Las Vegas Sands Corp. (LVS) - no reporting date set

Wall Street Expectations: The largest publicly traded U.S. casino company by market capitalization, is seen posting a 2-cent profit on revenue of $1.3 billion. A year earlier, its loss was 14 cents on revenue of $1.08 billion.

Key Issues: The casino giant, best known for the Venetian resorts in Las Vegas and Macau, just opened the world's most expensive casino, the $5.5 billion Marina Bay Sands, on Singapore's main waterfront. When the new resort is fully operational in June, the company will get as much as 85% of its earnings from Asia.

(The Thomson Reuters estimate and year-ago figures may not be comparable due to one-time items and other adjustments.)

-By Kathy Shwiff, Dow Jones Newswires; 212-416-2357; Kathy.Shwiff@dowjones.com
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