MGM
$30.71
MGM Resorts International
$.20
.66%
Earnings Details
2nd Quarter June 2017
Thursday, July 27, 2017 8:40:00 AM
Tweet Share Watch
Summary

MGM Resorts International Misses

MGM Resorts International (MGM) reported 2nd Quarter June 2017 earnings of $0.31 per share on revenue of $2.9 billion. The consensus earnings estimate was $0.28 per share on revenue of $2.7 billion. The Earnings Whisper number was $0.34 per share. Revenue grew 17.2% on a year-over-year basis.

MGM Resorts International is a holding company. The Company through its wholly-owned subsidiaries, owns and operates casino resorts. Its offering includes; gaming, hotel, convention, dining, entertainment, retail and other resort amenities.

Results
Reported Earnings
$0.31
Earnings Whisper
$0.34
Consensus Estimate
$0.28
Reported Revenue
$2.87 Bil
Revenue Estimate
$2.66 Bil
Growth
Earnings Growth
Revenue Growth
Power Rating
Grade
Earnings Release

MGM Resorts International Reports Second Quarter Financial And Operating Results

MGM Resorts International (MGM) ("MGM Resorts" or the "Company") today reported financial results for the quarter ended June 30, 2017.

"MGM Resorts continues to drive profitability and operational efficiency, as the Company produced diluted earnings per share of $0.36 in the second quarter and our domestic resorts exhibited Adjusted Property EBITDA and margin growth on a same-store basis. CityCenter reported another quarter of exceptional results driven by Aria. Our results benefited from the addition of MGM National Harbor and Borgata, which continue to lead their respective markets. In Macau, we are excited to bring world-class entertainment and diversified attractions to the marketplace with the opening of MGM Cotai in the fourth quarter," said Jim Murren, Chairman & CEO of MGM Resorts. "We remain squarely on our path to generate the best possible cash flow performance and return value to our shareholders. This quarter’s results clearly demonstrate that."

Financial Highlights:

Diluted earnings per share for the second quarter of 2017 of $0.36, including a benefit of $0.04 related to a Borgata property tax settlement and a benefit of $0.05 from a modification of the 2016 NV Energy exit fee, compared to $0.83 in the prior year quarter, which included $0.57 related to a gain on CityCenter’s sale of Crystals;

Net revenues increase of 22% over the prior year quarter at the Company’s domestic resorts to $2.1 billion, due to the inclusion of MGM National Harbor and Borgata, and a decrease of 1% on a same-store basis primarily due to lower year over year table games hold;

REVPAR(1) growth of 1.2% over the prior year quarter at the Company’s Las Vegas Strip resorts;

Operating income of $520 million at the Company’s domestic resorts, a 33% increase over the prior year quarter, including the impact of $41 million related to the NV Energy exit fee modification and $36 million related to the Borgata property tax settlement;

Net income attributable to MGM Resorts of $211 million, compared to $474 million in the prior year quarter;

Adjusted Property EBITDA(2) growth of 28% over the prior year quarter to $658 million at the Company’s domestic resorts, and an increase of 1% on a same-store basis;

Same-store operating margin of 25.1% in the current quarter at the Company’s domestic resorts, an increase of 205 basis points compared to the prior year quarter;

Same-store Adjusted Property EBITDA margin of 30.8% at the Company’s domestic resorts, an increase of 44 basis points compared to the prior year quarter;

MGM China operating income of $43 million compared to $51 million in the prior year quarter, and Adjusted EBITDA of $116 million, a 2% decrease compared to the prior year quarter; and

CityCenter operating income of $57 million and Adjusted EBITDA of $105 million, a 36% increase in Adjusted EBITDA compared to the prior year quarter.

Certain Items Affecting Second Quarter Results

The following table lists certain other items that affect the comparability of the current and prior year quarterly results (approximate EPS impact shown, net of tax, per share; negative amounts represent charges to income):

Three months ended June 30,
2017
2016
Borgata property tax settlement
$
0.04
$
--
NV Energy exit expense
0.05
--
Preopening and start-up expenses
(0.02)
(0.03)
Property transactions, net
(0.01)
--
Income from unconsolidated affiliates:
Gain on the sale of Crystals
--
0.57

Domestic Resorts

Casino revenue for the second quarter of 2017 increased 41% compared to the prior year quarter, due primarily to the acquisition of Borgata Hotel Casino and Spa ("Borgata") in August 2016 and the MGM National Harbor opening in December 2016, partially offset by a decrease in table games revenue. Casino revenues decreased 5% on a same-store basis compared to the prior year quarter. Same-store table games revenue decreased 20% primarily due to lower year over year table games hold. Same-store slot revenues increased 3%.

The following table shows key gaming statistics for the Company’s Las Vegas Strip resorts:

Three months ended June 30,
2017
2016
(Dollars in millions)
Table Games Drop
$
872
$
905
Table Games Win %
20.9
%
25.6
%
Slot Handle
$
3,053
$
2,953
Slot Hold %
8.7
%
8.8
%

Domestic resorts rooms revenue increased 9% compared to the prior year quarter. On a same-store basis, rooms revenue increased 1% compared to the prior year quarter. Las Vegas Strip REVPAR increased 1.2%.

Mr. Murren added, "The evolution of our continuous improvement strategies have yielded strong profit opportunities with an emphasis on margin growth and maximizing cash flow."

The following table shows key hotel statistics for the Company’s Las Vegas Strip resorts:

Three months ended June 30,
2017
2016
Occupancy %
94
%
95
%
Average Daily Rate (ADR)
$
161
$
157
Revenue per Available Room (REVPAR)
$
151
$
149

Operating income at the Company’s domestic resorts was $520 million for the second quarter of 2017 compared to $390 million in the prior year quarter and benefited from $36 million related to Borgata’s share of a property tax settlement from Atlantic City, as well as $41 million related to a modification of the 2016 NV Energy exit fee. Domestic resorts Adjusted Property EBITDA increased 28% to $658 million in the second quarter of 2017 and was positively impacted by $101 million of Adjusted Property EBITDA from Borgata, which includes the property tax settlement discussed above, and $37 million of Adjusted Property EBITDA from MGM National Harbor. Same-store Adjusted Property EBITDA increased 1% compared to the prior year quarter.

Mr. Murren concluded, "As we look to the third quarter, we face a challenging comparison at our Las Vegas Strip resorts due to favorable table games hold of 25% and RevPAR growth of 10.7% in the third quarter of 2016. We also continue to see higher than anticipated disruption at Monte Carlo as the property undergoes its transformation to Park MGM. Despite these considerations, given our strong event calendar, we anticipate third quarter revenues to increase slightly, with our Strip REVPAR expected to grow 2%-3%. We anticipate our Adjusted Property EBITDA margins to modestly increase."

MGM China

Key second quarter results for MGM China include:

-- Net revenues of $449 million, a 1% decrease compared to the prior year quarter;

Main floor table games revenue decreased 2% compared to the prior year quarter due to an 8% decrease in volume partially offset by an increase in hold percentage to 19.3% in the current year quarter, from 18.2% in the prior year quarter, and against 22.2% hold percentage in the first quarter of 2017;

VIP table games revenue increased 1% compared to the prior year quarter due to a 3% increase in turnover partially offset by a decrease in hold percentage to 2.9% in the current year quarter, from 3.1% in the prior year quarter, and against 3.4% hold percentage in the first quarter of 2017;

-- Operating income was $43 million compared to $51 million in the prior year quarter;

Adjusted EBITDA decreased 2% to $116 million, compared to $119 million in the prior year quarter, including $8 million of license fee expense in both the current and prior year quarters; and

Operating margin was 9.6% in the current year quarter, and Adjusted EBITDA margin was 25.9% compared to 26.4% in the prior year quarter.

MGM China paid the previously announced $78 million final 2016 dividend in June 2017, of which $44 million was received by MGM Resorts.

Unconsolidated Affiliates

The following table summarizes information related to the Company’s share of income from unconsolidated affiliates:

Three months ended June 30,
2017
2016
(In thousands)
CityCenter
$
37,646
$
416,144
Borgata
--
27,376
Other
2,937
4,789
$
40,583
$
448,309

The Company’s share of CityCenter Holdings, LLC ("CityCenter") operating results for the second quarter of 2017, including certain basis difference adjustments, was $38 million which included $4 million related to our share of CityCenter’s portion of the NV Energy exit fee modification. In the prior year quarter, we recorded a $406 million gain related to the sale of The Shops at Crystals ("Crystals"), and CityCenter’s results included $20 million of accelerated depreciation associated with the April 2016 closure of the Zarkana theatre.

Key second quarter results for CityCenter include the following (see schedules accompanying this release for further detail on CityCenter’s second quarter results):

Net revenues from resort operations were $314 million, a 10% increase compared to the prior year quarter, due primarily to an increase in casino revenues;

Operating income from resort operations was $58 million and included $8 million related to the NV Energy exit fee modification discussed above, compared to operating income of $0.2 million in the prior year quarter, which included $20 million of accelerated depreciation related to the Zarkana theatre closure;

Adjusted EBITDA from resort operations was $106 million, a 36% increase compared to the prior year quarter;

Aria’s table games volume increased 14% and table games hold percentage was 26.8%, compared to 19.5% in the prior year quarter;

-- REVPAR at Aria increased 3% compared to the prior year quarter to $236; and

Vdara reported REVPAR of $188 in the current year quarter, and Adjusted EBITDA increased 23% to $10 million compared to the prior year quarter.

On August 1, 2016 the Company completed the previously announced acquisition of Boyd Gaming Corporation’s interest in Borgata, at which time the entity operating Borgata became a consolidated subsidiary of the Company and the real estate assets associated with Borgata were contributed to MGM Growth Properties LLC ("MGP"). Prior to the acquisition, the Company held a 50% interest in Borgata, which was accounted for under the equity method.

MGM Growth Properties

During the second quarter of 2017, the Company made rent payments to MGP in the amount of $165 million and received distributions of $72 million from MGM Growth Properties Operating Partnership LP (the "Operating Partnership"). On June 15, 2017, MGP’s Board of Directors approved a quarterly dividend of $0.3950 per Class A share totaling $23 million and representing a 1.9% increase over the prior annual dividend rate, which was paid on July 14, 2017 to holders of record on June 30, 2017. The Company concurrently received a $73 million distribution attributable to its ownership of Operating Partnership units.

MGM Resorts Dividend

On July 26, 2017, the Company’s Board of Directors approved a quarterly dividend of $0.11 per share totaling $63 million, which will be paid on September 15, 2017 to holders of record on September 11, 2017.

Financial Position

The Company’s cash balance at June 30, 2017 was $1.8 billion, which included $403 million at MGM China and $377 million at MGP. At June 30, 2017, the Company had $13.3 billion of principal amount of indebtedness outstanding, including $244 million outstanding under its $1.5 billion senior secured credit facility, $2.1 billion outstanding under the $2.7 billion MGP Operating Partnership senior credit facility, $2.2 billion outstanding under the $3.0 billion MGM China credit facility, and $455 million outstanding under the $525 million MGM National Harbor credit facility.

"MGM Resorts continues to strengthen its financial and strategic position," said Dan D’Arrigo, Executive Vice President and Chief Financial Officer of MGM Resorts. "In July, we used excess cash on hand to redeem all of our outstanding $475 million 11.375% senior notes due 2018, which further enhances our capital structure and overall cost of debt. We believe our strong free cash flows will continue to allow us to concurrently return capital to our shareholders, strengthen our balance sheet and prudently grow our business through strategic investments."

Conference Call Details

MGM Resorts will host a conference call at 11:00 a.m. Eastern Time today which will include a brief discussion of these results followed by a question and answer period. The call will be accessible via the Internet through www.mgmresorts.com under the Investors section or by calling 1-888-317-6003 for domestic callers and 1-412-317-6061 for international callers. The conference call access code is 5199705. A replay of the call will be available through Thursday, August 3, 2017. The replay may be accessed by dialing 1-877-344-7529 or 1-412-317-0088. The replay access code is 10110178. The call will be archived at www.mgmresorts.com. In addition, MGM Resorts will post supplemental slides today on its website at www.mgmresorts.investorroom.com for reference during the earnings call.

-- REVPAR is hotel revenue per available room.

"Adjusted EBITDA" is earnings before interest and other non-operating income (expense), taxes, depreciation and amortization, preopening and start-up expenses, NV Energy exit expense, goodwill impairment charges, and property transactions, net. "Adjusted Property EBITDA" is Adjusted EBITDA before corporate expense and stock compensation expense related to the MGM Resorts and MGP stock compensation plans, which are not allocated to each property. MGM China recognizes stock compensation expense related to its stock compensation plan which is included in the calculation of Adjusted EBITDA for MGM China. "Same-store Adjusted Property EBITDA" is Adjusted Property EBITDA related to operating resorts which were consolidated by the Company for both the entire current and prior year periods presented. Adjusted EBITDA information is presented solely as a supplemental disclosure to reported GAAP measures because management believes these measures are 1) widely used measures of operating performance in the gaming industry, and 2) a principal basis for valuation of gaming companies.

Management believes that while items excluded from Adjusted EBITDA, Adjusted Property EBITDA, and Same-store Adjusted Property EBITDA may be recurring in nature and should not be disregarded in evaluation of the Company’s earnings performance, it is useful to exclude such items when analyzing current results and trends compared to other periods because these items can vary significantly depending on specific underlying transactions or events that may not be comparable between the periods being presented. Also, management believes excluded items may not relate specifically to current operating trends or be indicative of future results. For example, preopening and start-up expenses will be significantly different in periods when the Company is developing and constructing a major expansion project and will depend on where the current period lies within the development cycle, as well as the size and scope of the project(s). Property transactions, net includes normal recurring disposals, gains and losses on sales of assets related to specific assets within the Company’s resorts, but also includes gains or losses on sales of an entire operating resort or a group of resorts and impairment charges on entire asset groups or investments in unconsolidated affiliates, which may not be comparable period over period.

In addition, capital allocation, tax planning, financing and stock compensation awards are all managed at the corporate level. Therefore, management uses Adjusted Property EBITDA and Same-store Adjusted Property EBITDA as the primary measure of the Company’s operating resorts’ performance.

Adjusted EBITDA, Adjusted Property EBITDA and Same-store Adjusted Property EBITDA should not be construed as alternatives to operating income or net income, as indicators of our performance; or as alternatives to cash flows from operating activities, as measures of liquidity; or as any other measure determined in accordance with generally accepted accounting principles. We have significant uses of cash flows, including capital expenditures, interest payments, taxes and debt principal repayments, which are not reflected in Adjusted EBITDA, Adjusted Property EBITDA or Same-store Adjusted Property EBITDA. Also, other companies in the gaming and hospitality industries that report Adjusted EBITDA, Adjusted Property EBITDA or Same-store Adjusted Property EBITDA information may calculate Adjusted EBITDA, Adjusted Property EBITDA or Same-store Adjusted Property EBITDA in a different manner.

Reconciliations of GAAP net income (loss) to Adjusted EBITDA and GAAP operating income (loss) to Adjusted Property EBITDA and Same-store Adjusted Property EBITDA are included in the financial schedules in this release.

The Company does not provide reconciliations of Adjusted EBITDA, Adjusted Property EBITDA or Same-store Adjusted Property EBITDA to net income on a forward-looking basis because the Company is unable to forecast the amount or significance of certain items required to develop meaningful comparable GAAP financial measures without unreasonable efforts. These items include gains or losses on sale or consolidation transactions, accelerated depreciation, impairment charges, gains or losses on retirement of debt and variations in effective tax rate, which are difficult to predict and estimate and are primarily dependent on future events, but which are excluded from the Company’s calculations of Adjusted EBITDA, Adjusted Property EBITDA and Same-store Adjusted Property EBITDA.

About MGM Resorts International

MGM Resorts International (MGM) is a global entertainment company with national and international locations featuring best-in-class hotels and casinos, state-of-the-art meetings and conference spaces, incredible live and theatrical entertainment experiences, and an extensive array of restaurant, nightlife and retail offerings. MGM Resorts creates immersive, iconic experiences through its suite of Las Vegas-inspired brands. The MGM Resorts portfolio encompasses 27 unique hotel offerings including some of the most recognizable resort brands in the industry. The company is expanding throughout the U.S. and around the world, developing MGM Springfield in Massachusetts and MGM COTAI in Macau, and debuting the first international Bellagio branded hotel in Shanghai. The 77,000 global employees of MGM Resorts are proud of their company for being recognized as one of FORTUNE? Magazine’s World’s Most Admired Companies?. For more information visit us at www.mgmresorts.com.

Statements in this release that are not historical facts are forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995 and involve risks and/or uncertainties, including those described in the Company’s public filings with the Securities and Exchange Commission. The Company has based forward-looking statements on management’s current expectations and assumptions and not on historical facts. Examples of these statements include, but are not limited to, the Company’s expectations regarding future results and the Company’s financial outlook (including REVPAR and other guidance), the payment of any future cash dividends on the Company’s common stock, the Company’s ability to generate future cash flow growth and to execute on future development and other projects (including the opening of MGM Cotai expected to take place in the fourth quarter of 2017) and the Company’s ability to execute its strategic plan and improve its financial flexibility. These forward-looking statements involve a number of risks and uncertainties. Among the important factors that could cause actual results to differ materially from those indicated in such forward-looking statements include effects of economic conditions and market conditions in the markets in which the Company operates and competition with other destination travel locations throughout the United States and the world, the design, timing and costs of expansion projects, risks relating to international operations, permits, licenses, financings, approvals and other contingencies in connection with growth in new or existing jurisdictions and additional risks and uncertainties described in the Company’s Form 10-K, Form 10-Q and Form 8-K reports (including all amendments to those reports). In providing forward-looking statements, the Company is not undertaking any duty or obligation to update these statements publicly as a result of new information, future events or otherwise, except as required by law. If the Company updates one or more forward-looking statements, no inference should be drawn that it will make additional updates with respect to those other forward-looking statements.

MGM RESORTS INTERNATIONAL AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share data)
(Unaudited)
Three Months Ended
Six Months Ended
June 30,
June 30,
June 30,
June 30,
2017
2016
2017
2016
Revenues:
Casino
$
1,405,063
$
1,127,404
$
2,910,452
$
2,261,760
Rooms
542,470
498,904
1,104,737
988,390
Food and beverage
466,546
412,766
911,015
789,871
Entertainment
138,361
121,853
268,708
240,179
Retail
56,830
52,432
104,806
97,905
Other
161,367
134,120
301,942
251,645
Reimbursed costs
99,293
100,795
199,508
201,844
2,869,930
2,448,274
5,801,168
4,831,594
Less: Promotional allowances
(228,193)
(178,772)
(451,252)
(352,406)
2,641,737
2,269,502
5,349,916
4,479,188
Expenses:
Casino
763,259
620,305
1,567,854
1,260,874
Rooms
152,735
142,252
307,571
286,994
Food and beverage
261,495
239,452
511,340
460,748
Entertainment
108,618
98,827
208,557
191,115
Retail
27,278
24,085
50,386
46,086
Other
96,265
87,253
185,889
167,021
Reimbursed costs
99,292
100,795
199,507
201,844
General and administrative
354,463
321,407
743,298
629,950
Corporate expense
79,408
81,803
152,581
153,051
NV Energy exit expense
(40,629)
-
(40,629)
-
Preopening and start-up expenses
21,093
24,824
36,159
46,784
Property transactions, net
13,243
854
14,939
5,985
Depreciation and amortization
244,754
206,899
494,523
406,738
2,181,274
1,948,756
4,431,975
3,857,190
Income from unconsolidated affiliates
40,583
448,309
80,286
463,011
Operating income
501,046
769,055
998,227
1,085,009
Non-operating income (expense):
Interest expense, net of amounts capitalized
(174,058)
(180,352)
(348,117)
(365,021)
Non-operating items from unconsolidated affiliates
(10,556)
(15,885)
(17,477)
(34,097)
Other, net
(751)
(49,840)
(1,568)
(50,405)
(185,365)
(246,077)
(367,162)
(449,523)
Income before income taxes
315,681
522,978
631,065
635,486
Provision for income taxes
(74,061)
(8,480)
(136,436)
(29,790)
Net income
241,620
514,498
494,629
605,696
Less: Net income attributable to noncontrolling interests
(31,009)
(40,145)
(77,171)
(64,544)
Net income attributable to MGM Resorts International
$
210,611
$
474,353
$
417,458
$
541,152
Per share of common stock:
Basic:
Net income attributable to MGM Resorts International
$
0.37
$
0.84
$
0.73
$
0.96
Weighted average shares outstanding
574,931
565,459
574,668
565,257
Diluted:
Net income attributable to MGM Resorts International
$
0.36
$
0.83
$
0.72
$
0.95
Weighted average shares outstanding
582,056
570,762
581,112
570,108
MGM RESORTS INTERNATIONAL AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(In thousands, except share data)
(Unaudited)
June 30,
December 31,
2017
2016
ASSETS
Current assets:
Cash and cash equivalents
$
1,757,062
$
1,446,581
Accounts receivable, net
469,126
542,924
Inventories
103,119
97,733
Income tax receivable
7,362
-
Prepaid expenses and other
148,462
142,349
Total current assets
2,485,131
2,229,587
Property and equipment, net
18,896,912
18,425,023
Other assets:
Investments in and advances to unconsolidated affiliates
980,885
1,220,443
Goodwill
1,807,772
1,817,119
Other intangible assets, net
3,972,046
4,087,706
Other long-term assets, net
400,185
393,423
Total other assets
7,160,888
7,518,691
$
28,542,931
$
28,173,301
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable
$
206,144
$
250,477
Construction payable
254,324
270,361
Income tax payable
-
10,654
Current portion of long-term debt
472,590
8,375
Accrued interest on long-term debt
147,438
159,028
Other accrued liabilities
1,599,072
1,594,526
Total current liabilities
2,679,568
2,293,421
Deferred income taxes, net
2,560,127
2,551,228
Long-term debt, net
12,725,268
12,979,220
Other long-term obligations
289,630
325,981
Redeemable noncontrolling interest
57,341
54,139
Stockholders’ equity:
Common stock, $.01 par value: authorized 1,000,000,000 shares,
issued and outstanding 575,008,760 and 574,123,706 shares
5,750
5,741
Capital in excess of par value
5,677,966
5,653,575
Retained earnings
836,840
545,811
Accumulated other comprehensive income (loss)
(9,148)
15,053
Total MGM Resorts International stockholders’ equity
6,511,408
6,220,180
Noncontrolling interests
3,719,589
3,749,132
Total stockholders’ equity
10,230,997
9,969,312
$
28,542,931
$
28,173,301
MGM RESORTS INTERNATIONAL AND SUBSIDIARIES
SUPPLEMENTAL DATA - NET REVENUES
(In thousands)
(Unaudited)
Three Months Ended
Six Months Ended
June 30,
June 30,
June 30,
June 30,
2017
2016
2017
2016
Bellagio
$
312,722
$
332,812
$
653,976
$
662,551
MGM Grand Las Vegas
298,289
300,232
565,815
568,686
Mandalay Bay
245,295
237,980
498,328
468,161
The Mirage
147,620
153,041
319,951
297,636
Luxor
101,573
95,144
203,200
188,016
New York-New York
88,729
83,056
178,668
164,427
Excalibur
82,793
78,453
161,773
152,741
Monte Carlo
65,318
71,208
137,851
140,928
Circus Circus Las Vegas
62,102
61,235
120,823
118,192
MGM Grand Detroit
142,675
140,462
286,907
281,327
Beau Rivage
94,393
99,388
183,570
188,825
Gold Strike Tunica
42,189
41,480
85,011
82,224
Borgata
209,427
-
410,508
-
National Harbor
177,788
-
350,947
-
Domestic resorts
2,070,913
1,694,491
4,157,328
3,313,714
MGM China
448,743
451,951
951,117
920,980
Management and other operations
122,081
123,060
241,471
244,494
$
2,641,737
$
2,269,502
$
5,349,916
$
4,479,188
MGM RESORTS INTERNATIONAL AND SUBSIDIARIES
SUPPLEMENTAL DATA - ADJUSTED PROPERTY EBITDA
(In thousands)
(Unaudited)
Three Months Ended
Six Months Ended
June 30,
June 30,
June 30,
June 30,
2017
2016
2017
2016
Bellagio
$
110,953
$
117,538
$
240,060
$
234,189
MGM Grand Las Vegas
94,074
97,489
167,724
178,383
Mandalay Bay
68,272
63,203
146,389
121,325
The Mirage
38,374
35,848
100,469
74,178
Luxor
32,911
26,054
65,715
51,445
New York-New York
33,224
30,478
67,136
61,381
Excalibur
28,653
24,954
57,451
48,831
Monte Carlo
16,784
21,820
39,238
43,120
Circus Circus Las Vegas
16,239
13,172
32,197
26,465
MGM Grand Detroit
45,413
43,790
90,017
83,832
Beau Rivage
21,105
28,036
41,592
50,835
Gold Strike Tunica
13,261
12,701
27,987
26,030
Borgata
101,419
-
160,342
-
National Harbor
36,980
-
69,120
-
Domestic resorts
657,662
515,083
1,305,437
1,000,014
MGM China
116,320
119,196
259,302
233,319
Unconsolidated resorts (1)
40,583
448,309
80,286
463,011
Management and other operations
9,097
4,372
20,013
8,487
$
823,662
$
1,086,960
$
1,665,038
$
1,704,831
(1) Represents the Company’s share of operating income (loss), adjusted for the effect of certain basis differences.
MGM RESORTS INTERNATIONAL AND SUBSIDIARIES
RECONCILIATION OF OPERATING INCOME (LOSS) TO ADJUSTED PROPERTY EBITDA AND ADJUSTED EBITDA
(In thousands)
(Unaudited)
Three Months Ended June 30, 2017
Operating
NV Energy exit
Preopening and
Property
Depreciation
Adjusted
income (loss)
expense
start-up
transactions,
and
EBITDA
expenses
net
amortization
Bellagio
$
95,886
$
(6,970)
$
-
$
38
$
21,999
$
110,953
MGM Grand Las Vegas
82,456
(7,424)
-
611
18,431
94,074
Mandalay Bay
52,255
(8,524)
-
(10)
24,551
68,272
The Mirage
32,495
(4,043)
-
117
9,805
38,374
Luxor
25,819
(3,394)
-
1,165
9,321
32,911
New York-New York
28,845
(2,025)
-
54
6,350
33,224
Excalibur
26,521
(2,658)
-
203
4,587
28,653
Monte Carlo
(2,082)
(2,461)
439
9,959
10,929
16,784
Circus Circus Las Vegas
14,264
(3,130)
450
496
4,159
16,239
MGM Grand Detroit
39,719
-
-
-
5,694
45,413
Beau Rivage
15,148
-
-
5
5,952
21,105
Gold Strike Tunica
10,983
-
-
6
2,272
13,261
Borgata
80,093
-
1,242
416
19,668
101,419
National Harbor
17,991
-
153
-
18,836
36,980
Domestic resorts
520,393
(40,629)
2,284
13,060
162,554
657,662
MGM China
43,039
-
13,334
183
59,764
116,320
Unconsolidated resorts (1)
40,583
-
-
-
-
40,583
Management and other operations
7,307
-
-
-
1,790
9,097
611,322
(40,629)
15,618
13,243
224,108
823,662
Stock compensation
(12,046)
-
-
-
-
(12,046)
Corporate
(98,230)
-
5,475
-
20,646
(72,109)
$
501,046
$
(40,629)
$
21,093
$
13,243
$
244,754
$
739,507
Three Months Ended June 30, 2016
Operating
NV Energy exit
Preopening and
Property
Depreciation
Adjusted
income (loss)
expense
start-up
transactions,
and
EBITDA
expenses
net
amortization
Bellagio
$
95,085
$
-
$
-
$
60
$
22,393
$
117,538
MGM Grand Las Vegas
79,293
-
-
(263)
18,459
97,489
Mandalay Bay
40,629
-
15
284
22,275
63,203
The Mirage
26,132
-
-
(413)
10,129
35,848
Luxor
15,161
-
1,444
86
9,363
26,054
New York-New York
25,006
-
372
97
5,003
30,478
Excalibur
20,741
-
-
203
4,010
24,954
Monte Carlo
9,494
-
145
61
12,120
21,820
Circus Circus Las Vegas
9,199
-
-
(4)
3,977
13,172
MGM Grand Detroit
37,815
-
-
-
5,975
43,790
Beau Rivage
21,460
-
-
(72)
6,648
28,036
Gold Strike Tunica
10,273
-
-
(4)
2,432
12,701
Domestic resorts
390,288
-
1,976
35
122,784
515,083
MGM China
51,453
-
6,540
1,281
59,922
119,196
Unconsolidated resorts (1)
447,504
-
805
-
-
448,309
Management and other operations
2,521
-
-
-
1,851
4,372
891,766
-
9,321
1,316
184,557
1,086,960
Stock compensation
(10,440)
-
-
-
-
(10,440)
Corporate
(112,271)
-
15,503
(462)
22,342
(74,888)
$
769,055
$
-
$
24,824
$
854
$
206,899
$
1,001,632
(1) Represents the Company’s share of operating income (loss), adjusted for the effect of certain basis differences.
MGM RESORTS INTERNATIONAL AND SUBSIDIARIES
RECONCILIATION OF OPERATING INCOME (LOSS) TO ADJUSTED PROPERTY EBITDA AND ADJUSTED EBITDA
(In thousands)
(Unaudited)
Six Months Ended June 30, 2017
Operating
NV Energy exit
Preopening and
Property
Depreciation
Adjusted
income (loss)
expense
start-up
transactions,
and
EBITDA
expenses
net
amortization
Bellagio
$
202,762
$
(6,970)
$
-
$
123
$
44,145
$
240,060
MGM Grand Las Vegas
138,278
(7,424)
7
844
36,019
167,724
Mandalay Bay
105,745
(8,524)
-
(10)
49,178
146,389
The Mirage
85,255
(4,043)
-
117
19,140
100,469
Luxor
48,902
(3,394)
-
1,164
19,043
65,715
New York-New York
53,445
(2,025)
(8)
183
15,541
67,136
Excalibur
51,062
(2,658)
-
258
8,789
57,451
Monte Carlo
6,735
(2,461)
1,049
9,990
23,925
39,238
Circus Circus Las Vegas
25,982
(3,130)
450
735
8,160
32,197
MGM Grand Detroit
78,544
-
-
-
11,473
90,017
Beau Rivage
29,598
-
-
5
11,989
41,592
Gold Strike Tunica
23,396
-
-
(22)
4,613
27,987
Borgata
118,977
-
1,277
1,220
38,868
160,342
National Harbor
28,599
-
227
-
40,294
69,120
Domestic resorts
997,280
(40,629)
3,002
14,607
331,177
1,305,437
MGM China
116,229
-
23,158
332
119,583
259,302
Unconsolidated resorts (1)
80,286
-
-
-
-
80,286
Management and other operations
16,421
-
-
-
3,592
20,013
1,210,216
(40,629)
26,160
14,939
454,352
1,665,038
Stock compensation
(25,409)
-
-
-
-
(25,409)
Corporate
(186,580)
-
9,999
-
40,171
(136,410)
$
998,227
$
(40,629)
$
36,159
$
14,939
$
494,523
$
1,503,219
Six Months Ended June 30, 2016
Operating
NV Energy exit
Preopening and
Property
Depreciation
Adjusted
income (loss)
expense
start-up
transactions,
and
EBITDA
expenses
net
amortization
Bellagio
$
189,253
$
-
$
-
$
61
$
44,875
$
234,189
MGM Grand Las Vegas
141,555
-
-
500
36,328
178,383
Mandalay Bay
75,484
-
29
1,158
44,654
121,325
The Mirage
54,126
-
-
(413)
20,465
74,178
Luxor
31,046
-
1,444
373
18,582
51,445
New York-New York
50,493
-
372
100
10,416
61,381
Excalibur
37,710
-
-
2,969
8,152
48,831
Monte Carlo
26,271
-
145
152
16,552
43,120
Circus Circus Las Vegas
18,288
-
-
130
8,047
26,465
MGM Grand Detroit
71,846
-
-
-
11,986
83,832
Beau Rivage
37,650
-
-
(62)
13,247
50,835
Gold Strike Tunica
21,104
-
-
93
4,833
26,030
Domestic resorts
754,826
-
1,990
5,061
238,137
1,000,014
MGM China
98,905
-
12,448
1,271
120,695
233,319
Unconsolidated resorts (1)
459,924
-
3,087
-
-
463,011
Management and other operations
3,585
-
1,150
-
3,752
8,487
1,317,240
-
18,675
6,332
362,584
1,704,831
Stock compensation
(20,309)
-
-
-
-
(20,309)
Corporate
(211,922)
-
28,109
(347)
44,154
(140,006)
$
1,085,009
$
-
$
46,784
$
5,985
$
406,738
$
1,544,516
(1) Represents the Company’s share of operating income (loss), adjusted for the effect of certain basis differences.
MGM RESORTS INTERNATIONAL AND SUBSIDIARIES
RECONCILIATION OF NET INCOME ATTRIBUTABLE TO MGM RESORTS INTERNATIONAL TO ADJUSTED EBITDA
(In thousands)
(Unaudited)
Three Months Ended
Six Months Ended
June 30,
June 30,
June 30,
June 30,
2017
2016
2017
2016
Net income attributable to MGM Resorts International
$
210,611
$
474,353
$
417,458
$
541,152
Plus: Net income attributable to noncontrolling interests
31,009
40,145
77,171
64,544
Net income
241,620
514,498
494,629
605,696
Provision for income taxes
74,061
8,480
136,436
29,790
Income before income taxes
315,681
522,978
631,065
635,486
Non-operating (income) expense:
Interest expense, net of amounts capitalized
174,058
180,352
348,117
365,021
Other, net
11,307
65,725
19,045
84,502
185,365
246,077
367,162
449,523
Operating income
501,046
769,055
998,227
1,085,009
NV Energy exit expense
(40,629)
-
(40,629)
-
Preopening and start-up expenses
21,093
24,824
36,159
46,784
Property transactions, net
13,243
854
14,939
5,985
Depreciation and amortization
244,754
206,899
494,523
406,738
Adjusted EBITDA
$
739,507
$
1,001,632
$
1,503,219
$
1,544,516
MGM RESORTS INTERNATIONAL AND SUBSIDIARIES
RECONCILIATION OF DOMESTIC RESORTS ADJUSTED PROPERTY EBITDA TO DOMESTIC RESORTS SAME-STORE ADJUSTED PROPERTY EBITDA
(In thousands)
(Unaudited)
Three Months Ended
Six Months Ended
June 30,
June 30,
June 30,
June 30,
2017
2016
2017
2016
Domestic resorts Adjusted Property EBITDA
$
657,662
$
515,083
$
1,305,437
$
1,000,014
Adjusted Property EBITDA related to Borgata
(101,419)
-
(160,342)
-
Adjusted Property EBITDA related to National Harbor
(36,980)
-
(69,120)
-
Domestic resorts same-store Adjusted Property EBITDA
$
519,263
$
515,083
$
1,075,975
$
1,000,014
MGM RESORTS INTERNATIONAL AND SUBSIDIARIES
SUPPLEMENTAL DATA - HOTEL STATISTICS - LAS VEGAS STRIP
(Unaudited)
Three Months Ended
Six Months Ended
June 30,
June 30,
June 30,
June 30,
2017
2016
2017
2016
Bellagio
Occupancy %
94.3%
94.8%
93.7%
93.2%
Average daily rate (ADR)
$281
$275
$287
$278
Revenue per available room (REVPAR)
$265
$261
$269
$259
MGM Grand Las Vegas
Occupancy %
93.9%
94.8%
92.6%
92.8%
ADR
$188
$184
$195
$185
REVPAR
$177
$175
$180
$172
Mandalay Bay
Occupancy %
93.9%
94.1%
92.5%
92.3%
ADR
$212
$209
$225
$216
REVPAR
$199
$197
$208
$199
The Mirage
Occupancy %
96.7%
96.9%
94.3%
94.9%
ADR
$173
$171
$183
$176
REVPAR
$168
$166
$173
$167
Luxor
Occupancy %
96.1%
97.6%
94.7%
95.9%
ADR
$114
$110
$120
$110
REVPAR
$110
$107
$114
$106
New York-New York
Occupancy %
97.1%
98.7%
96.2%
97.8%
ADR
$143
$134
$149
$139
REVPAR
$138
$132
$143
$136
Excalibur
Occupancy %
95.5%
96.9%
93.0%
94.3%
ADR
$97
$94
$103
$95
REVPAR
$93
$91
$96
$90
Monte Carlo
Occupancy %
94.4%
98.7%
95.0%
97.3%
ADR
$119
$122
$126
$124
REVPAR
$112
$120
$120
$121
Circus Circus Las Vegas
Occupancy %
85.7%
84.8%
83.1%
81.8%
ADR
$79
$76
$85
$77
REVPAR
$68
$64
$70
$63
CITYCENTER HOLDINGS, LLC
SUPPLEMENTAL DATA - NET REVENUES
(In thousands)
(Unaudited)
Three Months Ended
Six Months Ended
June 30,
June 30,
June 30,
June 30,
2017
2016
2017
2016
Aria
$
267,074
$
240,800
$
541,957
$
495,525
Vdara
30,955
29,846
63,211
59,634
Mandarin Oriental
16,135
16,191
34,588
33,219
Resort operations
314,164
286,837
639,756
588,378
Other
-
2,149
-
2,149
$
314,164
$
288,986
$
639,756
$
590,527
CITYCENTER HOLDINGS, LLC
RECONCILIATION OF NET INCOME TO ADJUSTED EBITDA
(In thousands)
(Unaudited)
Three Months Ended
Six Months Ended
June 30,
June 30,
June 30,
June 30,
2017
2016
2017
2016
Net income
$
37,845
$
397,042
$
82,282
$
337,316
Less: Income from discontinued operations
-
(411,592)
-
(400,035)
Income (loss) from continuing operations
37,845
(14,550)
82,282
(62,719)
Non-operating (income) expense:
Interest expense, net of amounts capitalized
15,066
14,560
27,826
32,004
Other, net
4,323
(429)
3,705
3,153
19,389
14,131
31,531
35,157
Operating income (loss)
57,234
(419)
113,813
(27,562)
NV Energy exit expense
(8,250)
-
(8,250)
-
Property transactions, net
636
(574)
226
(2,012)
Depreciation and amortization
54,882
78,100
110,017
197,696
Adjusted EBITDA
$
104,502
$
77,107
$
215,806
$
168,122
CITYCENTER HOLDINGS, LLC
RECONCILIATION OF OPERATING INCOME (LOSS) TO ADJUSTED EBITDA
(In thousands)
(Unaudited)
Three Months Ended June 30, 2017
Operating income
NV Energy exit
Property
Depreciation
Adjusted EBITDA
(loss)
expense
transactions, net
and amortization
Aria
$
56,903
$
(8,250)
$
636
$
44,921
$
94,210
Vdara
3,218
-
-
6,845
10,063
Mandarin Oriental
(1,713)
-
-
3,116
1,403
Resort operations
58,408
(8,250)
636
54,882
105,676
Other
(1,174)
-
-
-
(1,174)
$
57,234
$
(8,250)
$
636
$
54,882
$
104,502
Three Months Ended June 30, 2016
Operating income
NV Energy exit
Property
Depreciation
Adjusted EBITDA
(loss)
expense
transactions, net
and amortization
Aria
$
769
$
-
$
(581)
$
68,028
$
68,216
Vdara
1,197
-
7
6,972
8,176
Mandarin Oriental
(1,748)
-
-
3,100
1,352
Resort operations
218
-
(574)
78,100
77,744
Other
(637)
-
-
-
(637)
$
(419)
$
-
$
(574)
$
78,100
$
77,107
CITYCENTER HOLDINGS, LLC
RECONCILIATION OF OPERATING INCOME (LOSS) TO ADJUSTED EBITDA
(In thousands)
(Unaudited)
Six Months Ended June 30, 2017
Operating
NV Energy exit
Property
Depreciation and
Adjusted EBITDA
income (loss)
expense
transactions, net
amortization
Aria
$
111,017
$
(8,250)
$
225
$
90,040
$
193,032
Vdara
7,112
-
1
13,773
20,886
Mandarin Oriental
(2,105)
-
-
6,204
4,099
Resort operations
116,024
(8,250)
226
110,017
218,017
Other
(2,211)
-
-
-
(2,211)
$
113,813
$
(8,250)
$
226
$
110,017
$
215,806
Six Months Ended June 30, 2016
Operating
NV Energy exit
Property
Depreciation and
Adjusted EBITDA
income (loss)
expense
transactions, net
amortization
Aria
$
(27,559)
$
-
$
(472)
$
177,589
$
149,558
Vdara
3,460
-
(329)
13,908
17,039
Mandarin Oriental
(2,984)
-
-
6,199
3,215
Resort operations
(27,083)
-
(801)
197,696
169,812
Other
(479)
-
(1,211)
-
(1,690)
$
(27,562)
$
-
$
(2,012)
$
197,696
$
168,122
CITYCENTER HOLDINGS, LLC
SUPPLEMENTAL DATA - HOTEL STATISTICS
(Unaudited)
Three Months Ended
Six Months Ended
June 30,
June 30,
June 30,
June 30,
2017
2016
2017
2016
Aria
Occupancy %
94.3%
93.8%
92.9%
92.1%
ADR
$250
$243
$262
$249
REVPAR
$236
$228
$243
$229
Vdara
Occupancy %
90.6%
93.0%
90.3%
91.3%
ADR
$207
$201
$216
$205
REVPAR
$188
$187
$195
$187

View original content:http://www.prnewswire.com/news-releases/mgm-resorts-international-reports-second-quarter-financial-a

SOURCE MGM Resorts International

https://rt.prnewswire.com/rt.gif?NewsItemId=LA49561&Transmission_Id=201707270840PR_NEWS_USPR_____LA49561&DateId=20170727