MGM Resorts International has released its Q2 earnings report revealing that the company posted net revenues of $3.3 billion (€3.23 billion) and net income of $1.8 billion (€1.76 billion) for the quarter.
The report also revealed that MGM’s EBITDAR (Earnings before interest, taxes, depreciation, amortization, and restructuring or rent costs) from its Las Vegas Strip operations totaled $920 million (€903 million).
During a conference call to discuss the report, CEO and President Bill Hornbuckle said:
“Our second quarter results were outstanding, representing the best ever Adjusted Property EBITDAR quarter at the Company’s Las Vegas Strip Resorts and best second quarter Adjusted Property EBITDAR at our Regional Operations driven by consistent strong demand from the leisure consumer and a return from our convention customers.”
The purchase of both the Cosmopolitan and the Aria Resort & Casino helped boost revenue to $2.1 billion (€2.06 billion) for the company’s Las Vegas Strip properties in Q2. This marked a 113% increase over the same period in 2021. MGM’s sale of its Gold Strike Tunica property in Mississippi to Cherokee Nation Entertainment Gaming Holdings in June will net the company $450 million (€441 million) once the deal is finalized in early 2023. The company has also agreed to sell the Mirage in Las Vegas to Hard Rock International for $1.08 billion (€1.06 billion). This deal is expected to be finalized by the end of 2022.
Hornbuckle went on to add:
“We’ve been busy this year with our vision to be the world’s premier gaming company. I could not be prouder of the progress we’ve made, but understand that there’s more work to be done.”
In May of this year, MGM made an offer to purchase online gaming company LeoVegas for $607 million (€595.88 million). Meanwhile Hornbuckle reiterated the company’s intent to build a larger presence in the New York casino market.
“We’re hopeful New York will solicit applications by the end of the year for one of three additional casino licenses. We’re eager to respond and expand our existing property at Empire City, which is less than 15 miles from Manhattan, with an attractive footprint for development and growth.”
Hornbuckle also responded to reports that MGM would like to buy out BetMGM’s co-owner Entain.
“We think about it all the time, of course. It would be foolish to think otherwise. But you can’t buy what’s not for sale. We remain keenly focused on BetMGM. We’d like more of it. We have a great partnership (with Entain) and that business is working well, because of what we ultimately all provide: our IP, our database, their technology.”
An experienced iGaming commentator and analyst based in New York City - Jenny reports on regulation and gambling industry news and events.