The operator’s casinos in Macau generated $812.5m in revenue compared to just $87.5m in Covid-affected Q3 2022, representing a year-on-year increase of more than 800% as casinos in the region continue to recover.
Elsewhere, MGM found less to celebrate as revenues dropped year-on-year in both its Las Vegas Strip and Regional operations.
Drops in reveune came as the result of the disposition of the operator’s Mirage and Gold Strike Tunica properties, as well as costs relating to a cyberattack which took place in September 2023, it said.
MGM’s Las Vegas Strip resorts continued to bring in the lion’s share of revenue at $2.11bn, however, despite an 8.5% year-on-year drop.
Regional operations generated a further $925m in revenue, down 5% year-on-year.
In addition to its core business segments, MGM generated a further $129.9m in revenue from “management and other operations”, up from $53.6m in the prior year.
Those figures brought MGM’s total revenue for the first nine months of 2023 to $11.79bn, up 23.6% on the same period last year.
Final results and commentaryThe business declared an operating income from its operations of $369.9m for Q3, representing a significant turnaround from Q3 2022, when it declared a $1.05bn operating loss.
Net income for the quarter was $161.1m, compared to a $576.8m net loss in Q3 2022.
During Q3, MGM repurchased around 13 million shares of its common stock for an aggregate amount of $572m, pursuant to a previously agreed repurchase plan.
Under that plan, agreed in February 2023, approximately $806m worth of shares are still available to be bought by the company.
Alongside its latest earnings report, the operator also announced a new share repurchase plan worth $2bn, which has been agreed in addition to the existing February 2023 repurchase plan.
“We continue to view share repurchases as an attractive opportunity to return value to our shareholders,” said MGM CFO and treasurer Jonathan Halkyard.
“Year-to-date, we have repurchased approximately $1.7bn in stock. Our buyback program totals $6.2bn since the beginning of 2021, reducing our share count by over 30%,” he concluded.
MGM president and CEO Bill Hornbuckle added: “We started the quarter with great momentum across our businesses.
“Going forward we have much to be optimistic about with Formula 1’s inaugural Las Vegas race next week and early next year the debut of the MGM Collection with Marriott Bonvoy followed by the Super Bowl.
“Beyond these catalysts, MGM China is performing exceptionally well, and we have a pipeline of development opportunities including New York and Japan alongside the growth and development of our international digital business and BetMGM.”