Key points:
- MGM Resorts International posted record full-year revenue of $17.2bn, a 7% increase from the prior year
- MGM China’s adjusted EBITDAR surged 25% year-on-year, reaching a record $1.1bn
- MGM share price post-earnings stands at $34.37
MGM Resorts International has posted its financial results for full-year 2024.
MGM China emerged as a key driver of the company’s success, with the subsidiary outperforming market trends in Macau. The city’s overall gross gaming revenue increased by 24% year-on-year, while MGM China’s net revenue surged by 27% year-on-year to HK$31.4bn (US$4bn), outperforming 2019's pre-pandemic net revenue.
Market share also reached an all-time high of 15.8%, up from 15.2% in 2023 and a significant increase from 9.5% in 2019.
The company’s mass gaming revenue, including slots, grew by 33%, reaching 179% of pre-pandemic levels.
Daily property visitation increased by 54%, surpassing 2019 levels by 63%. Hotel occupancy at MGM’s Macau properties rose to 94%, up from 92.5% in the previous year.
Kenneth Feng, President and Executive Director of MGM China, credited the growth to the company’s focus on operational efficiency, a mass-market gaming approach and ongoing diversification efforts beyond traditional casino offerings.
Las Vegas Strip revenue faces challenges as regional operations grow
While MGM’s international business posted strong results, its Las Vegas Strip properties struggled to maintain momentum. Revenue for its Strip resorts stood at $8.8bn for the year, remaining flat compared to 2023 with an increase of just 0.2%. Adjusted EBITDAR stood at $3.11bn, down from the $3.19bn reported for FY23.
Looking specifically at Q4, revenue for the segment declined by 6% to $2.2bn, impacted by a drop in casino and room revenue following the prior year’s boost from the Formula 1 event in Las Vegas. Although slot revenue improved, table game revenue saw a decline, contributing to weaker performance across MGM’s flagship properties.
MGM’s regional operations in the United States showed more resilience, with FY revenue up 1.4% to $3.72bn. Unlike the Strip, adjusted EBITDAR also increased year-on-year, though this was only by a margin of $10m, totalling $1.14bn.
Q4 revenue increased by 7% to $932m. The rebound was supported by growth in casino revenue and the absence of the prior year’s labour disruptions at MGM Grand Detroit.
BetMGM and digital growth continue despite losses
MGM’s digital gaming segment, including BetMGM, recorded a 28% increase in full-year revenue, reaching $552m. However, the business remained unprofitable, reporting an EBITDAR loss of $77m. The company expects BetMGM to achieve profitability in 2025 as it continues expanding its presence in new markets.
MGM Resorts also focused on returning capital to shareholders, repurchasing over 33 million shares in 2024. This move reduced the company’s outstanding shares by more than 40% since 2021.
Good to know: Following the earnings report, MGM’s share price settled at $34.37
Expansion plans and strategic investments
Looking ahead, MGM Resorts is pursuing expansion in key international markets, including Japan and New York, while continuing its digital growth strategy. In Macau, the company is diversifying beyond gaming, with major cultural and entertainment initiatives designed to position the region as a global tourism hub.
In 2024, MGM China opened the Poly MGM Museum in collaboration with the Poly Culture Group, featuring over 200 historical artefacts. Other large-scale events, such as Bruno Mars’ concert, Oktoberfest Macau and the Chef Nic Gastronomusic Fest, reportedly helped drive visitation to its properties.
The company also partnered with filmmaker Zhang Yimou to launch the Macau 2049 residency show, reinforcing Macau’s cultural tourism appeal.
Previous financial reports
MGM Resorts’ latest financial results follow a strong Q3 performance in 2024, when revenue reached $4.18bn, up 5.3%. The company also reported significant growth in its Macau business during that period, with MGM China posting $929.5m in Q3 revenue, a 14.4% increase.
MGM’s ongoing share buyback strategy has played a key role in reshaping its financial structure, with a reduced share count benefiting long-term free cash flow per share.
With MGM China leading the company’s growth, the focus remains on capitalising on international expansion while navigating challenges in its US market. While Las Vegas faces near-term pressures, the strength of its digital and international segments provides a foundation for continued growth.
