Las Vegas Sands (NYSE: LVS) is enhancing its shareholder benefits, revealing a rise in its quarterly dividend alongside the introduction of a significant share buyback initiative. 

Alongside the announcement of its third-quarter results, the gaming firm stated on Wednesday that it is raising its quarterly dividend to 25 cents per share from 20 cents, representing the first hike since the casino giant reinstated the dividend in August 2023. The payout was halted for over three years while the gaming firm aimed to preserve funds during the initial phase of the coronavirus pandemic, and as the recovery in Macau took longer than anticipated to occur.

"We look forward to utilizing our share repurchase and dividend programs to continue to return excess capital to stockholders,” said CEO Robert Goldstein in a statement.

Moody’s Investors Service recently stated that Sands has sufficient cash flow to sustain its dividend, and the recently announced increase confirms this. Sands China's division, managing five integrated resorts in Macau, is anticipated to reinstate its payout next year. 

Las Vegas Sands Continues Stock Buyback Spree 

The announcement of the operator's new $2 billion share buyback program is significant for several reasons, notably the fact that Sands introduced a comparable plan for the same amount one year prior. 

In the third quarter, the operator of Venetian Macau repurchased $450 million in its shares. The gaming firm made a wise decision to engage in buybacks from July to September, as the stock struggled for a large part of that time before significantly bouncing back late last month following China's interest rate cuts and stimulus announcements. 

“Our financial strength and industry-leading cash flow continue to support our ongoing investment and capital expenditure programs in both Macao and Singapore, our pursuit of growth opportunities in new markets and our program to return excess capital to stockholders,” added Goldstein.

Sands' increase in its buyback initiatives occurs simultaneously with numerous gaming firms opting for share repurchases to return capital to their investors. 

Sands Profits Fall Short of Projections 

Low hold on rolling play in both Macau and Singapore — the sole regions where Sands currently functions — impacted third-quarter results. LVS reported a profit of 44 cents per share with revenue totaling $2.68 billion for the period. Experts anticipated profits of 53 cents with revenue of $2.69 billion.

"Operating income was $504 million, compared to $688 million in the prior year quarter.  Net income in the third quarter of 2024 was $353 million, compared to $449 million in the third quarter of 2023,” according to the company.

Sands reported having $4.21 billion in cash at the end of the quarter along with $4.47 billion in available borrowing capacity.