MGM China saw its net revenues increase 26% year-on-year in the three months to 30 June 2019, driven by ongoing ramp at MGM Cotai and the addition of new supply in both the VIP and mass market segments.
MGM reported net revenue of US$706.1 million in 2Q19, including US$315.9 million at MGM Cotai – up from US$184.7 million 12 months earlier. The uptick was aided by the addition of 50 new-to-market gaming tables at the start of the year, helping push mass volume up 5% to US$2.04 billion and win by 36% to around US$458.3 million thanks to a 508-basis point increase in win percentage. MGM said that 80% of its profit for the period was accrued from mass gaming.
The launch of VIP operations at MGM Cotai also aided the high-end segment, with VIP turnover increasing 6% year-on-year to US$10.96 billion and win by 22% to around US$285 million.
While MGM Cotai comprised the majority of MGM’s improved performance, MGM Macau also enjoyed a slight increase in net revenues for the period to US$390.2 million, up from US$376.6 million.
MGM China’s Adjusted Property EBITDA grew 43% to US$171 million with an Adjusted Property EBITDA margin of 24.2% compared with 21.4% in 2Q18.
The Macau results helped MGM Resorts achieve a group-wide 13% increase in net revenues to US$3.2 billion, with Consolidated Adjusted EBITDA up 9% to US$756 million.
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