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Sep 30, 2023

MGM Q3 2023 Earnings Report

MGM reported Q3 2023 financial results, showing revenue increase driven by MGM China, offset by Las Vegas Strip Resorts and Regional Operations declines due to dispositions and a cybersecurity issue.

Key Takeaways

MGM Resorts International reported consolidated net revenues of $4.0 billion, a 16% increase compared to the prior year quarter. This growth was primarily driven by increased revenue at MGM China, offset by decreased revenues at Las Vegas Strip Resorts and Regional Operations. The company's operating income was $370 million, and net income attributable to MGM Resorts was $161 million.

Consolidated net revenues increased by 16% year-over-year to $4.0 billion.

Operating income reached $370 million, a significant improvement from the prior year's operating loss of $1.0 billion.

Net income attributable to MGM Resorts was $161 million, compared to a net loss of $577 million in the prior year.

Adjusted diluted earnings per share was $0.64, compared to a loss of $1.39 in the prior year.

Total Revenue
$3.97B
Previous year: $3.42B
+16.3%
EPS
$0.64
Previous year: -$1.39
-146.0%
Las Vegas REVPAR
$216
Previous year: $210
+2.9%
Las Vegas ADR
$236
Previous year: $227
+4.0%
Las Vegas Occupancy
92%
Previous year: 93%
-1.1%
Gross Profit
$1.88B
Previous year: $1.7B
+10.6%
Cash and Equivalents
$3.32B
Previous year: $5.3B
-37.4%
Free Cash Flow
$485M
Previous year: $181M
+168.3%
Total Assets
$42.6B
Previous year: $47.3B
-10.1%

MGM

MGM

MGM Revenue by Segment

MGM Revenue by Geographic Location

Forward Guidance

MGM is optimistic about upcoming events like Formula 1 in Las Vegas and the debut of the MGM Collection with Marriott Bonvoy, as well as the Super Bowl. MGM China is performing well, and there are development opportunities in New York and Japan.

Positive Outlook

  • Formula 1 race in Las Vegas expected to drive revenue.
  • Debut of the MGM Collection with Marriott Bonvoy anticipated to attract new customers.
  • Super Bowl event expected to generate significant revenue.
  • MGM China's performance is strong due to the removal of COVID-19 restrictions.
  • Potential development opportunities in New York and Japan could expand the company's footprint.

Challenges Ahead

  • No negative forward guidance mentioned in the provided text.

Revenue & Expenses

Visualization of income flow from segment revenue to net income