Mohegan reports highest-ever annual revenue, up 13% to $1.9bn

Key points:

– Mohegan achieved the highest net revenue in its company history, up 13% annually to $1.9bn

– FY2024 net income fell from $22.9m to ($234.5m)

– Management attributes this to the cost of opening Inspire, low table holds and a customer contract asset at Niagara Resorts

Mohegan has published its Q4 and FY2024 reports for the periods ending September 30, 2024.

Q4 report

Net revenue for the Q4 period totalled $497.7m, an increase of 12% when compared to the same period in 2023.

However, this was accompanied by a 30% dip in income from operations down to $33.5m, which management has attributed to costs related to Mohegan Inspire.

The net loss was ($63.3m), compared to the ($18.9m) figure from last year.

Finally, adjusted EBITDA also fell 8% down to $81.3m.

Domestic revenue increased 12% to $327.1m and adjusted EBITDA grew 33% to $88.9m.

Income from operations in US properties grew 45% to $66.4m, while net income jumped up 51% to $66.7m.

For its international operations, revenue increased 41%, but operating losses almost doubled to ($36.1m).

Net loss for these properties was ($48.1m), almost double again from last year, while adjusted EBITDA deepened from $23.3m to ($11.5m).

Ari Glazer, Chief Financial Officer of Mohegan, said: “Net revenues of $497.7m increased $53.4m compared with the prior-year period, primarily due to continued growth in Mohegan Digital and revenue from Mohegan Inspire.

“Consolidated adjusted EBITDA of $81.3m decreased $6.8m compared with the prior-year period, primarily due to operating costs related to the opening of Mohegan Inspire, low table hold at Mohegan Inspire, an $11.9m non-cash adjustment to the value of a customer contract asset at Niagara Resorts, and a full quarter of ilani management fees earned in the prior-year period, partially offset by strong growth in our Digital operations.”

FY2024 report

For the full year, Mohegan’s net revenue was $1.9bn, which represented a 13% increase year over year.

Income from operations dipped 36% to $169.1m while net income fell from $22.9m in 2023 to ($234.5m) this year. Adjusted EBITDA fell 13% to $349m.

Full-year figures from the domestic properties faired slightly better.

Net revenue grew 3% to $1.2bn, net income increased 5% to $225.5m and adjusted EBITDA rose 3% to $318.8m.

Good to know: Mohegan’s US properties can be found in Connecticut, Pennsylvania, New Jersey, and Nevada; Canadian operations are in Niagara Falls, Ontario; and Asian operations are based in Incheon, South Korea

The international resorts saw a wider swing in results.

While net revenue this year increased 42% to $448.2m, net loss deepened from ($32.8m) to ($180.5m) and adjusted EBITDA went from $43.5m to ($36.1m).

Mohegan Digital reported positive results for the year, with net revenue growing 60% to $160.7m.

Both net income and adjusted EBITDA went up by 61% to $79.2m.

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