Sands China's Renovation Disrupts Near-Term Performance, but Strengthens Long-Term Outlook

Sands China is a strong contender in the Macao gaming sector with a robust presence in mass, retail, and nongaming facilities, particularly in Cotai. The firm has the majority of its gaming tables in Cotai, a popular tourist spot in Macao. Cotai also has a critical mass of world-class integrated resorts that continue to take market share from casinos in the peninsula. Sands China used to place lower priority on the lower-margin VIP segment, which better positions it amid its regulatory risk. To catch up to the rising demand from the premium mass segment, Sands Cotai Central was renovated, expanded, and rebranded to the Londoner in phases through the second quarter of 2025. This will help defend its market share from its competitors.