MGM Resorts International is a popular gaming operator worldwide, and it recently reported its 2023 first-quarter financial results. The gaming company raked in $3.9 billion in revenue by March 31, 2023.
This is 36 percent more than the revenue it generated in the same duration last year. It made a $467 million net income, unlike the $18 million loss it got in 2022.
A Promising Future
Bill Hornbuckle, MGM Resorts’ President and CEO, stated on its web page that the gaming operator set a new Q1 revenue record. It consistently makes a high Regional Operations profit, and BetMGM is expected to post positive results in a few months.
The CEO added that their expansion goals and future growth are promising. Their New York application process is ongoing, and they are determined to grow the global MGM digital brand and LeoVegas.
How Is Its Balance Sheet?
Jonathan Halkyard, MGM Resorts’ Treasurer and Chief Financial Officer, said that the companies’ operating activities generated $704 million in net cash flow and $564 in free cash flow in the first quarter. Its balance sheet is steadily improving as it got $450 million in gross cash proceeds after selling the Gold Strike Tunica Resort and settled its $1.25 billion debt.
The CFO added that the company’s balance sheet has $4.5 billion as cash and added that its assets will provide shareholders with the capital return. The financial base will promote stock repurchases and international acquisitions.
Its Sharp Revenue Increase
MGM Resorts International recorded a 36 percent year-over-year increase as it had $3.9 billion in net revenue at the end of Q1 2023. It included The Cosmopolitan of Las Vegas resort’s operating results for May 2022, which increased its revenue. Also, it used part of its profit to sell Gold Strike Tunica and The Mirage Resorts.
The increased revenue resulted from the Las Vegas Strip Resort’s high traffic and more activity in the MGM China Resort after the coronavirus pandemic. MGM Resorts got $731 million operating income in Q1 2023, including the $398 it generated after the offset. These helped it make $467 million in net income during that period.
A High Adjusted EBITDAR
The gaming operator’s share prices soared as the $1.24 diluted income per share benefited it compared to the $0.06 diluted loss per share it incurred in Q1 2022. It got a record $1.1 billion in earnings before interest and other non-operating income, taxes, depreciation, and amortization (EBITDAR) that helped it launch financing, investing, and operating activities worth $2.4 billion.
More Details About its Performance on the Vegas Strip
Vegas Strips resorts made $2.2 billion in net revenues in Q1 2023, 31 percent higher than their Q1 2022 revenue. The accelerated growth was due to the company’s inclusion of The Cosmopolitan Resort in its operations and the termination of the global pandemic’s restrictions.
100% up to $3,000 Bonus
Bovada is our most recommended ONLINE CASINO and POKER ROOM for US players with excellent deposit options. Get your 100% signup bonus today.
Leave a Reply
You must be logged in to post a comment.