Operator News
US – MGM generates best ever Q4 results as Las Vegas Strip bounces back
By Phil - 11 February 2022
The improved performance of its casinos on the Las Vegas Strip helped MGM to its best ever fourth quarter results, generating net revenues of $1.8bn on the Strip, an increase of 277 per cent compared to the prior year quarter, and an increase of 26 per cent compared to the fourth quarter of 2019.
The operator’s consolidated net revenues across the board came in at $3.1bn which included a full quarter of operating results from Aria and Vdara, marking an increase of 105 per cent compared to the prior year quarter.
While the current quarter benefited from the removal of mandated operational and capacity restrictions as well as an increase in travel, the prior year quarter was negatively affected by temporary hotel tower closures at certain properties and operational restrictions;
Table Games Hold Adjusted Las Vegas Strip Resorts Net Revenues came in at $1.8bn, an increase of 272 per cent compared to the prior year quarter, an increase of 24 per cent compared to the fourth quarter of 2019, and an increase of four per cent compared to the fourth quarter of 2019 when excluding Aria in 2021 and excluding Circus Circus Las Vegas in 2019;
Adjusted Property EBITDAR came in at $699m, an increase of 1,196 per cent compared to the prior year quarter, an increase of 84 per cent compared to the fourth quarter of 2019, and an increase of 43 per cent compared to the fourth quarter of 2019 when excluding Aria in 2021 and excluding Circus Circus Las Vegas in 2019.
“Our record fourth quarter results are a testament to our talented team across the globe, our sharpened focus on operational efficiency and the proven resiliency of demand for the service and experiences that we provide at MGM Resorts,” said Bill Hornbuckle, Chief Executive Officer and President of MGM Resorts International. “The strategic milestones we achieved in 2021 position us for further success in 2022, and we remain excited about our long-term opportunities including: leading the U.S. sports betting and iGaming market through BetMGM, pursuing disciplined geographic expansion such as the Japan integrated resort, and reinvesting in our core business to drive sustainable growth. As part of these efforts, we are proud to have recently launched our new loyalty program, MGM Rewards, which offers an enhanced and further streamlined experience to millions of our members worldwide.”
“In 2021, we further bolstered our liquidity position while returning $1.75 billion to shareholders via share repurchases and making strategic investments that align with our vision to be the world’s premier gaming entertainment company,” said Jonathan Halkyard, Chief Financial Officer and Treasurer of MGM Resorts International. “We remain committed to maximizing long-term shareholder value and our capital allocation strategy continues to be anchored in three key priorities: maintaining a strong balance sheet, programmatically returning cash to shareholders, and investing in targeted growth opportunities.”
MGM’s regional casinos brought in net revenues of $900m, an increase of 51 per cent compared to the prior year quarter and flat compared to the fourth quarter of 2019. While the current quarter benefited from the removal of mandated operational and capacity restrictions as well as an increase in travel, the prior year quarter was negatively affected by temporary property closures at certain properties and operational restrictions.
