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Wynn Resorts Ltd. (WYNN) posted a surprise second-quarter profit as the casino operator effectively controlled costs amid a challenging industry environment.

The positive results boosted the company's share price 14.56% to $50.76 in recent trading Thursday. The stock has more than tripled from a six-year low in March but is still down nearly two-thirds from last August.

"Their margins at the casinos were (much) better than expected," said Dennis Forst, an analyst at KeyBanc Capital Markets, noting the quarterly revenue numbers also came in better than he expected.

However, Forst said he didn't think Wynn would prove to be a barometer for the other major casinos like Las Vegas Sands Corp. (LVS) and MGM Mirage (MGM) given the company outperformed mostly on controlling costs rather than an improvement in the gaming industry.

Nonetheless, in the wake of Wynn's results, Las Vegas Sands, which reports later Thursday traded up about 7% in recent trading to $11.02. MGM Mirage, reporting quarterly results next week, rose 7% to $7.39.

Casinos, especially those in tourist destinations such as Las Vegas and Atlantic City, continue to suffer from a sharp drop in revenue and visitors, but plans by Wynn and Las Vegas Sands to take their Macau assets public reflect a revival of optimism about the Chinese gambling enclave's prospects.

Wynn, which has a stronger balance sheet than most of its rivals, reported a profit of $25.5 million, or 21 cents a share, compared with earnings of $272 million, or $2.42 a share, a year earlier. Excluding items such as a foreign-tax credit and debt-extinguishment gains, earnings fell to 9 cents from $1.11.

"Things seem to be stabilizing in Las Vegas and China," said Wynn Chief Executive Steve Wynn during the company's conference call, noting there was still continued weakness in those markets. "We're feeling a little optimistic."

Net revenue dropped 12% to $723.3 million.

Analysts' estimates were for a 1-cent loss on revenue of $739.3 million, according to a poll by Thomson Reuters.

Overall casino revenue slid 18%, and food and beverage revenue climbed 15%, while other revenue fell 4.8%.

In Las Vegas, casino revenue climbed 3% on Wynn's new Encore resort, which opened in December, also helped to push hotel revenue up 13%.

Meanwhile, Wynn had a 23% revenue drop at its Macau operations, which was hurt by a 24% slump in table-game winnings and amid scaled down visitation related to the swine-flu virus concerns.

-By A.D. Pruitt, Dow Jones Newswires; 212-416-2197; angela.pruitt@dowjones.com

(John Kell and Kathy Shwiff contributed to this report)