MGM China posts revenue of US$618m for Q1

The casino operator returned to positive EBITDA of US$169m in the first quarter.

Macau.- MGM China has shared its financial results for the first quarter of the year, posting net revenue of US$618m, compared to US$268m last year. The figure was up 130 per cent in year-on-year terms but down 167 per cent when compared to pre-pandemic levels. The company said the quarter was positively affected by the removal of Covid-19-related travel restrictions in Macau.

Average occupancy was 90.5 per cent, compared to 49.2 per cent same period a year ago. The company reported that its market share reached a historical high of 15.4 per cent during the quarter, compared to 13.3 per cent a year ago and 9.4 per cent in the first quarter of 2019. MGM Macau’s market share was 7.5 per cent and MGM Cotai’s market share was 7.9 per cent.

The casino operator reported positive adjusted EBITDA of approximately US$169m, compared to a loss of US$26m recorded a year prior. That’s a 12 per cent drop compared to the first quarter of 2019.

The annual drop for table games on the main floor was up 99 per cent at US$2.17bn. Casino revenue also increased 140 per cent to US$555m. The group’s Cotai property generated HK$2.49bn, which contributed to the overall HK$1.42bn EBITDAR. The Macau peninsula property achieved revenue of HK$2.34bn.

Both properties saw a rise in turnover for main table games, while VIP games also experienced a rebound. Table game turnover reached HK$11.26bn at MGM Cotai and HK$7.43bn in Macau. Mass gaming revenue amounted to HK$9.29bn for Macau and HK$7.77bn in Cotai.

Kenneth Feng, president, strategic and chief financial officer of MGM China said: “Our remarkable performance in Macau is a direct result of the meticulous preparation and well-executed plan put together by our team who ensured that we were ready to capture market share and drive results upon market reopening.

“The recovery in Macau has been encouraging. We will stay dedicated to fulfilling our commitments to the Macau Government. We look forward to working alongside them as we support Macau’s positioning as a World Center of Tourism and Leisure.”

See also: MGM China’s mass market share to rise by 3% in 2024, analysts say