Fitch Ratings Inc has affirmed Wynn Resorts Ltd’s and its subsidiaries’ issuer default ratings at ‘BB-‘, with a ‘stable’ outlook.
Fitch’s ‘BB’ ratings are below investment grade, and indicate an elevated vulnerability to default risk, though “business or financial flexibility exists that supports the servicing of financial commitments,” according to the institution.
Wynn Resorts is the parent of Macau casino licensee Wynn Macau Ltd. The parent is also developing with local partners the Wynn Al Marjan Island resort in the United Arab Emirates (UAE). Wynn Resorts additionally runs a casino complex in Las Vegas, Nevada, and one in Massachusetts, both in the United States.
Fitch said in a Friday note: “Wynn Resorts Ltd’s ratings reflect its high-quality gaming portfolio, strong positions in Macau and Las Vegas that target high-valued customers and robust liquidity to fund near-term capital projects.”
The institution added: “These strengths are balanced against modest diversification and sizable capital needs for current and potential projects, which could slow credit improvement.”
It said the ‘stable’ outlook “reflected Fitch’s view that the Macau market will keep growing, despite potential headwinds in the Chinese economy, Wynn’s strong market position in the Las Vegas market and strong free cash flow generation”.
The Wynn group subsidiaries Fitch also covers are: Wynn Resorts Finance LLC; Wynn Las Vegas LLC; Wynn Macau Ltd, and WM Cayman Holdings Ltd II. Fitch also affirmed Wynn’s senior secured and unsecured debt at ‘BB+’.
The Wynn group’s third-quarter results filed in November, said that as of September 30 Wynn Resorts’ current and long-term debt outstanding was US$10.57 billion. It comprised US$5.81-billion of Macau-related debt.; US$876.0-million of Wynn Las Vegas debt; US$3.28-billion of Wynn Resorts Finance debt, and US$598.1-million of debt held by a retail joint venture which the parent consolidates in its accounts.
Fitch noted in its latest memo that Wynn Resorts has a 40-percent equity interest in the entity building Wynn Al Marjan Island in Ras Al Khaimah, in the UAE.
The UAE complex is due to open in 2027. The project’s estimated cost is US$5.1 billion, with the Wynn group’s contribution, “excluding the Janu project, of about US$1.1 billion”, observed Fitch.
In November, Wynn Resorts announced the Janu Al Marjan Island project by Aman Group, as the “first development on the Marjan land bank” adjacent to the casino resort complex.
Strong liquidity, Macau outlook
Fitch expects Wynn Resorts to receive cash distributions, management and licence fees of about US$260 million a year from Wynn Al Marjan Island, “at steady state in our base case, consistent with Wynn’s guidance”.
Fitch added: “The project is seen as an attractive opportunity given limited local competition, strong demographics and high-value customer appeal. Risks include higher-than-expected costs, delayed opening and slower-than-expected visitation growth.”
In early December, a number of brokerages said they were bullish on the UAE venture, following a site visit.
Fitch said in its Friday update that the Wynn group had “strong liquidity”. The ratings house stated: “Wynn holds US$1.49 billion in cash and a further US$475 million of short-term investments.
“Availability on the Wynn Resorts revolver [loan] is US$1.23 billion and US$1.36 billion on the Wynn Macau [Ltd] revolver.”
The rating agency anticipates the company to remain free cash flow positive through 2026 as it completes several major capital expansion projects.
The institution added: “In 2027, Fitch expects free cash flow to grow as no major capital expansion projects are anticipated.”
Fitch said it did “not expect material debt reduction”, but earnings before interest, taxation, depreciation, and amortisation (EBITDA) “growth from those projects, including cash flow from Al Marjan through dividends and management fees,” which would “lead to improved debt metrics”.
The institution said in commentary on the Macau performance that it expected – in terms of 2025 for Wynn Macau on the city’s peninsula, and Wynn Palace in the Cotai district – it would “come in below 2024, due to a slower than expected rebound in Macau and more intense competitive pressures”.
Though Fitch also noted: “Gross gaming revenues have shown strong improvement in the second half of 2025, which is expected to continue into 2026 given easier comparisons.”
Fitch forecasts modest growth through 2026 to 2028 for Wynn’s Macau properties “due to the continued uncertainty of the Chinese economy and continued promotional pressure”.
In mid January, banking group JP Morgan cut its Macau-market 2026 adjusted EBITDA forecast, citing play mix and operating costs.
