MGM China Posts Record-Breaking Quarterly Earnings
In the vibrant city of Macau, MGM China has made history with its best-ever quarterly results in the April-June period of 2022. This significant achievement is attributed to a robust growth in visitation and gaming revenue, the city's wider recovery, and the expansion of premium offerings.
The daily number of visitor arrivals in Macau during the second quarter was 19% higher compared to 2024, reaching 102,812. This surge in tourism contributed to a 12% year-on-year increase in MGM China's visitor numbers, currently standing at 175% of 2019's levels.
The daily gross gaming revenue also saw a notable uptick, topping Q1's average of MOP100.4 million (US$12.4 million) and reaching MOP671.6 million (US$83 million) in the second quarter, signifying an 8% year-on-year growth.
MGM's flagship resort, MGM Cotai, led the charge with a 12% revenue increase and a 5% rise in adjusted EBITDA. This growth was primarily driven by a 39% surge in VIP table game turnover and a near doubling of gross win in that segment.
The company's net revenue for the quarter grew by 9% to HK$8.67 billion (US$1.10 billion), while its market share in Macau reached an all-time high of 16.6%. The rise in premium main-floor table gaming volume by 7% and the expansion of non-gaming offerings also contributed to this success.
MGM reiterated its commitment to bringing unique and quality experiences to visitors, aligning with the Macau Government's vision for turning the city into a global tourist destination. This commitment was evident in events such as the MGM x RR1HK Culinary Masters Macau and the Artistic Swimming Elite Extravaganza, which aimed to embrace Macau's diversification goals.
One of the highlights at MGM was the 100th performance of Zhang Yimou's residency show Macau 2049. The show, which drew 30% of its audience from overseas visitors, celebrated its milestone with a resounding success.
MGM China has a solid financial cushion, boasting HK$22.5 billion (US$2.86 billion) in available liquidity. The 28 Alpha Villas at MGM Macau, designed for high-end guests, are now fully operational and have been well-received. Furthermore, MGM Cotai now offers 60 new suites targeted at luxury travelers.
Despite some margin pressure from rising costs or reinvestment, the overall adjusted EBITDA margin improved to around 29%, marking a historical high for the company. As Macau continues its tourism recovery, MGM China is poised to maintain its momentum and deliver more exceptional experiences for its visitors.
[1]: Source for the information about the key factors contributing to MGM China's best-ever quarterly results can be found at [link to the source]. [2]: Source for the information about the 28 Alpha Villas at MGM Macau can be found at [link to the source]. [3]: Source for the information about the 60 new suites at MGM Cotai can be found at [link to the source]. [4]: Source for the information about MGM China's best-ever quarterly results can be found at [link to the source]. [5]: Source for the information about the adjusted EBITDA margin can be found at [link to the source].
With the surge in tourism and an increase in daily visitor arrivals, the city of Macau witnessed a 12% year-on-year rise in MGM China's visitor numbers, reaching 175% of 2019's levels. Amidst this vibrant atmosphere, citizens and tourists alike can enjoy a variety of sports offered in the city, especially during the warm, dry weather of summer afternoons.
