MGM Resorts Celebrates Record-Breaking $4.83 Billion Revenue in Q1 of 2024
MGM Resorts International has reached unprecedented success, with record-breaking revenue reported in the first quarter of 2024. The company’s Las Vegas property delivered exceptional results, while its casino in China also achieved record-breaking performance during this period.
Successful quarter:
The total revenue MGM Resorts generated was $4.4 billion, representing an increase of 13% compared to the same period in 2023, mainly due to a revenue surge in China in January 2023, followed by a continued ramping up of operations. The primary factor driving these results was the lifting of COVID-19 entry restriction measures in Macau, resulting in tens of thousands of tourists and visitors flocking to the gaming hub.
MGM China earned $1.1 billion, 71% more than in the same quarter in 2023, when revenue was $618 million.
The Las Vegas venture generated $2.3 billion; in the first quarter of 2023, the revenue was $2.2 billion. This 4% increase occurred mostly due to an increase in ADR.
The regional markets collectively generated $909 million in gambling revenue, which is a decrease of 4% compared to 2023 results of $946 million. This decrease was primarily due to the disposition of Gold Strike Tunica in February 2023 and the resulting drop in casino revenue.
CEO & President of MGM Resorts International, Bill Hornbuckle, said in an official press release: “Our strategic growth plan to drive sustainable free cash flow from our resort operations, develop free cash flow by investing in international digital and luxury integrated resorts, and return capital to shareholders through share repurchases continued to develop in the first quarter of 2024. We achieved record consolidated revenues in the first quarter. The January launch of our license agreement with Marriott has surpassed our initial expectations with over 130,000 room nights booked and we expect the strategic relationship will be a growth driver this year.”
Jonathan Halkyard, Chief Financial Officer & Treasurer, added: “We achieved record results in the first quarter of 2024 driven by strong performance at MGM China and in Las Vegas specifically at our luxury resort properties. We repurchased 12 million shares at attractive valuations, providing our shareholders with incremental future benefits from the free cash flow growth of our resort operations, digital profitability, and the development opportunities of Japan and New York.”
Bringing more tourists to popular destinations:
The next step for MGM is further development of its Japan and New York properties. The resort in Osaka, Japan, will be the first integrated resort in the entire country.
One of the growth drivers was a successful partnership made in January, when the company joined forces with Marriott International, Inc., signing a long-term strategic marketing agreement. The outcome surpassed expectations with over 130,000 room nights booked.
In February of this year, MGM received seven Five-Star awards by Forbes Travel Guide 2024, underscoring the company’s dedication to delivering unparalleled hospitality service.
In the first three months of 2024, MGM China brought various non-gaming events to Macau, a part of the city’s plan to boost its tourist-dependent economy. Bruno Mars held his famous The One & Only Night in January. The event occurred at MGM Cotai, putting Macau on the map for popular tourism and leisure destinations worldwide.
On top of that, the company joined forces with famous musician Tan Dun, and MGM Cotai welcomed its symphonic masterpiece Buddha Passion. The event was enriched by an LED screen with 28 million pixels, representing the fusion of the newest technology and musical masterpieces, all while paying homage to vast Chinese culture.
The company plans to host additional similar events, attracting more tourists and customers to its various locations worldwide, with a particular focus on Macau.
