Statemes by CEO Jim Murren

MGM "excited" about 2017 outlook as company releases improved 4Q earnings

In a press release announcing the company's earnings, Jim Murren (pictured) highlighted the "full year contributions from MGM National Harbor and Borgata, the continued favorable Las Vegas dynamics supported by our investments.”

United States 
| 17/02/2017

Paced by revenue generated by its new National Harbor casino near Washington, D.C., and the improving performance of its 10 Las Vegas properties, MGM Resorts International on Thursday reported improved fourth-quarter earnings from last year.

MGM Chairman and CEO Jim Murren said the companywide improvements shown in the quarter that ended Dec. 31 bode well for 2017.

“We are excited about the outlook for 2017, including the full year contributions from MGM National Harbor and Borgata, the continued favorable Las Vegas dynamics supported by our investments, including T-Mobile Arena and the Park Theater, the opening of MGM Cotai in Macau, and our persistent drive for continuous improvement throughout all aspects of our company,” Murren said in a release announcing the company’s earnings.

Murren and other executives were scheduled to speak with investors in a conference call later Thursday.

The company opened National Harbor on Dec. 8 to stellar reviews and on Aug. 1 it completed the acquisition of Boyd Gaming’s 50 percent share of ownership of Borgata, considered Atlantic City’s top property

The company also pushed back the opening of its new MGM Cotai property in Macau from the first half of the year to later in 2017.

MGM maintained an 89 percent occupancy rate at its Las Vegas properties through the fourth quarter, while the average daily room rate climbed $5 to $157.

With more than 38,000 rooms in its Las Vegas inventory, MGM has the largest resort presence in Southern Nevada and is the state’s largest employer.

The company reported net income of $69.9 million, 4 cents a share, on revenue of $2.46 billion, compared with a net loss of $1.47 billion, $1.38 a share, on revenue of $2.19 billion a year ago. For the year, the company showed net income of $1.24 billion, $1.94 a share, compared with a net loss of $1.05 billion, 82 cents a share, in 2015.

MGM on March 10 will pay an 11-cent-per-share dividend to shareholders of record on March 10.

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