Lucror Analytics

Lucror Analytics is a leading credit and ESG research specialist and a provider of technology solutions for differentiated fixed income strategies. Our roots are in bottom-up fundamental credit analysis with a specialization in high yield corporate credits from Europe, Asia and Latin America. We are one of few research specialists integrating ESG considerations with fundamental credit research through a dedicated ESG platform. Our ESG assessment covers five key criteria: Disclosure, E,S, & G Pillars, Controversies, ESG Impact on Credit and ESG Momentum.

Recognizing the importance and value-add of Factor Investing in fixed income, Lucror developed the Smart Quant Navigator (SQN), an intuitive platform that helps clients devise and implement factor-based strategies ranging from pure quant to active fundamental, with integrated ESG.

Our company has been at the forefront of developments in the fixed income markets, identifying opportunities and consistently delivering new products and value-adding solutions to clients. Lucror has close relationships with the largest and most reputable asset managers, family offices, hedge funds, investment and wealth managers globally.

High Yield Experts

Senior Credit Analyst, Lucror Analytics

Leonard Law, CFA

Senior Credit Analyst

Credit

Wynn Macau’s H1/22 earnings continued to underperform those of peers, with the trend persisting since Q4/21. This could be owing to stiffer competition from newer properties (e.g. MGM Cotai and SJM Holdings’ Grand Lisboa Palace), particularly in the premium mass segment. We highlight that Wynn Macau has sufficient liquidity to sustain 15 months of operating cash burn in a zero-revenue scenario. This does not factor in the company’s USD 500 mn loan from its parent, which we assume would be used to meet the government’s requirement for all operators to raise share capital by MOP 5 bn. Wynn Macau's next debt maturity will be in October 2024, when the USD 600 mn WYNMAC 4.875 24 will come due. Given that the WYNMAC bonds are yielding 9-12%, we believe it could be very difficult for the company to issue new bonds for refinancing. Hence, Wynn Macau might face serious refinancing risk if the industry fails to recover meaningfully beyond 2023.

  Wynn Macau’s H1/22 earnings continued to underperform those of peers, with the trend persisting since Q4/21. This could be owing to stiffer competition from newer properties (e.g. MGM Cotai and SJM Holdings’ Grand Lisboa Palace), particularly in the premium mass segment.   We highlight that Wynn Macau has sufficient liquidity to sustain 15 months of operating cash burn in a zero-revenue scenario. This does not factor in the company’s USD 500 mn loan from its parent, which we assume would be used to meet the government’s requirement for all operators to raise share capital by MOP 5 bn.   Wynn Macau's next debt maturity will be in October 2024, when the USD 600 mn WYNMAC 4.875 24 will come due. Given that the WYNMAC bonds are yielding 9-12%, we believe it could be very difficult for the company to issue new bonds for refinancing. Hence, Wynn Macau might face serious refinancing risk if the industry fails to recover meaningfully beyond 2023. 

Wynn Macau - Earnings Flash - H1 FY 2022 Results - Lucror Analytics

Wynn Macau Ltd

Wynn Macau - Earnings Flash - H1 FY 2022 Results - Lucror Analytics