By Las Vegas, NV – MGM Resorts International reported a significant increase in revenue for the fourth quarter of the year, largely driven by the company’s recovering business in China. Despite facing challenges in regional operations, the hotel and casino operator managed to post a profit of $313 million, or 92 cents per share, compared to $284 million, or 69 cents per share, in the same period last year. This exceeded the expectations of analysts, who had predicted per-share earnings of 69 cents.
After adjusting for certain one-time items, the adjusted per-share earnings reached $1.06, surpassing the analysts’ forecast of 71 cents. The company’s revenue also saw an impressive growth of 22%, amounting to $4.38 billion, exceeding the anticipated $4.14 billion projected by analysts.
The revenue surge can be attributed to MGM China, which experienced a nearly six-fold increase due to the easing of Covid-19 restrictions in Macau and a rise in visitation. However, MGM’s regional operations faced a 12% decline in revenue, primarily as a result of a union strike at MGM Grand Detroit and decreased high-end table volume at MGM National Harbor. On a positive note, Las Vegas Strip Resorts saw a 3% increase in revenue during this period.
Despite the challenges faced in regional operations, MGM Resorts International has demonstrated resilience and success through its recovering business in China. With strong revenue growth and exceeding earnings expectations, the company shows promising prospects for the future.
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