MGM Resorts International, a leading casino operator, has unveiled its financial results for the fourth quarter and full year ended December 31, 2023, demonstrating robust growth and strategic initiatives driving positive outcomes across its portfolio.
Bill Hornbuckle, Chief Executive Officer and President of the US-based MGM Resorts International, in its earnings report, has attributed the casino giant’s success to its premium positioning and offerings in Las Vegas, which enabled it to capitalize on major events such as the inaugural Formula 1 race and the Super Bowl.
Looking ahead to 2024, Bill Hornbuckle expressed optimism about the company’s prospects, highlighting the launch of its Marriott relationship and opportunities to expand convention room nights and international business.
In the fourth quarter of 2023, MGM Resorts has reported total revenues of $4.4 billion, marking an increase of 22 percent compared to the prior year quarter. This growth was driven by improved performance at MGM China following the removal of COVID-19 related entry restrictions in Macau. However, the company experienced a decrease in casino revenues at its Regional Operations segment and the disposition of The Mirage and Gold Strike Tunica.
Operating income for the quarter amounted to $419 million, a substantial improvement compared to the operating loss of $2 million reported in the same period last year. Net income reached $313 million, up from $284 million in the prior year quarter.
The Las Vegas Strip Resorts segment reported revenues of $2.4 billion, representing a 3 percent increase from the previous year quarter. This growth was attributed to higher average daily rates (ADR) and increased casino revenues, partially offset by the disposition of The Mirage.
In contrast, Regional Operations saw a decline in net revenues to $873 million, down 12 percent from the prior year quarter. Factors contributing to this decrease included a decline in casino revenues due to a union strike at MGM Grand Detroit and reduced high-end table volume at MGM National Harbor, as well as the disposition of Gold Strike Tunica.
MGM China reported a remarkable revenue increase to $983 million in the fourth quarter, up 462 percent from the prior year quarter and 35 percent compared to the fourth quarter of 2019. This growth was fueled by the lifting of COVID-19 related entry restrictions in Macau and an uptick in visitation.
For the full year 2023, MGM Resorts reported total revenues of $16.2 billion, up 23 percent from the previous year, primarily driven by improved performance at MGM China and increased non-gaming revenues at Las Vegas Strip Resorts. Net income for the year totaled $1.1 billion, compared to $1.5 billion in the prior year.
