MGM Resorts International achieved an all-time consolidated net revenue record in Q2 2023.
The US-based casino giant reported consolidated net revenue of $3.9bn, up 21% on the prior year, primarily due to the lifting of Covid-19 entry restrictions in Macau.
However, it was MGM China that stole the show by outpacing Macau’s market recovery. Revenue from the property surged by 418% to $741m.
Moreover, its adjusted property EBITDAR increased by 21% compared to the second quarter of 2019, reflecting a healthy rebound from the last trading period before the pandemic.
Domestically, the company’s Las Vegas Strip Resorts reported encouraging results, with an uptick in average daily rates (ADR) and occupancy year-over-year.
Touching on the group’s online gambling joint venture BetMGM, MGM Resorts CEO and president Bill Hornbuckle said it had achieved its first positive EBITDA quarter and was on track for profitability in H2 2023.
The quarter also witnessed a strategic manoeuvre as MGM Resorts repurchased approximately 15 million shares for $626m.
In a bid to drive higher profitability, the casino operator announced a long-term licence agreement with Marriott International, tapping into the hotel specialist’s extensive global customer base and combining it with MGM’s loyalty rewards programme.
Despite a dip in operating income to $371m, down from $2.4bn due to a one-off gain related to the sale of MGM Growth Properties in the previous year, MGM Resorts still managed a net income of $201m.
The company’s diluted income per share stands at $0.55, and the adjusted EPS at $0.59.
“We expect to continue to pursue long-term growth opportunities by expanding our global online presence and digital capabilities and through our development efforts in Japan and New York,” said MGM Resorts CFO Jonathan Halkyard.
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