Digital growth lifts Mohegan’s Q3 amid decline in domestic resort revenue

The Mohegan Tribal Gaming Authority's Q3 2025 results showed a widening gap between its traditional and online operations, with digital revenue climbing 61.2% year-on-year to $67.5 million, offsetting part of the 4.3% decline in domestic resort revenue and contributing to a net loss reduction from $29.9 million to $5.2 million.

For the quarter ending June 30, 2025, net revenue totaled $436.9 million, down 1.6% from $444 million in the prior-year period. Income from operations fell 20% to $73.3 million, while adjusted EBITDA declined 16.3% to $94.1 million. Operating costs and expenses increased 3.2% to $363.6 million.

The company also recorded a $24.4 million loss related to the modification and early extinguishment of debt, an item not present in the same quarter last year.

Domestic and international operations

Revenue from domestic resorts reached $297.3 million, down 4.3% from the prior year. Adjusted EBITDA for this segment declined 14.7% to $70.1 million, while net income decreased 20.1% to $50.8 million. Mohegan attributed part of the year-on-year drop to a particularly high revenue period in Q3 2024 and higher labor costs at Mohegan Sun.

International resort revenue declined 0.3% to $75.1 million. Income from international operations fell 12.6% to $39 million, with adjusted EBITDA down 5.2% to $5.2 million. Net income for this segment increased from $0.7 million to $1.3 million.

Digital segment performance

Mohegan Digital’s Q3 2025 revenue of $67.5 million represented a 61.2% increase compared to the same period last year. Adjusted EBITDA for the segment rose 48.2% to $34.2 million, while net income was up 48.1% to $34.1 million.

The company reported growth in Connecticut, Pennsylvania, and Ontario, with Pennsylvania online casino operations launched in April 2024 contributing to the gains.

Mohegan operates one of Connecticut’s three legal online sportsbooks in partnership with FanDuel. The state’s regulators are currently reviewing the legality of prediction platform Kalshi, which allows wagering on topics including sports and politics.

“The completion of our comprehensive refinancing has placed us in a great position to continue executing our strategy, to be one of the premier omnichannel enterprises,” said Raymond Pineault, chief executive officer of Mohegan.

“This important milestone further supports our opportunities for long-term growth and the evolution of our digital business provides greater strategic flexibility. Now that we’ve addressed our capital structure, we’re singularly focused on executing our plan and increasing value for all our stakeholders.”

Gaming revenue for the quarter totaled $311.7 million, a 4.6% increase year-on-year. Food and beverage revenue grew slightly to $45.4 million, while hotel revenue dipped marginally to $29.3 million. Retail, entertainment, and other revenue fell from $73.4 million to $50.5 million, with the decline partly linked to performance issues at Inspire Entertainment Resort in South Korea.