NYSE$MGM

MGM Resorts International · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

MGM Resorts International reported a strong second quarter, driven by robust demand and productivity efforts across its domestic portfolio.

MGM Resorts International reported a significant increase in consolidated net revenues, reaching $2.3 billion, a 683% increase compared to the prior year quarter. Consolidated operating income was $264 million, a substantial improvement from the prior year's operating loss of $1.0 billion. Net income attributable to MGM Resorts was $105 million, compared to a net loss of $857 million in the prior year quarter.

  • Las Vegas Strip and Regional Operations Adjusted Property EBITDAR margins reached all-time records.
  • Regional Operations delivered an all-time quarterly record in Adjusted Property EBITDAR.
  • Strategic transactions, including the monetization of MGP Operating Partnership units and real estate assets, bolstered liquidity and simplified corporate structure.
  • Company returned capital to shareholders through share repurchases and expects to remain programmatic in its approach.

Headline financials

Total Revenue

$2.27B

Previous: $290M+682.6%
EPS (adj)

-$0.13

Previous: -$1.52+91.4%
LV RevPAR

$115.00

Previous: $66.00+74.2%
LV ADR

$149.00

Previous: $154.00-3.2%
LV Occupancy

77.0%

Previous: 43.0%+79.1%
LV Table Games Drop

$777M

Previous: $149M+421.5%
LV Table Games Win %

22.3%

Previous: 32.5%-31.4%
LV Slot Handle

$3.64B

Previous: $524M+594.8%
LV Slot Win %

9.6%

Previous: 9.3%+3.2%
Regional Table Games Drop

$972M

Previous: $58M+1575.9%
Regional Table Games Win %

20.9%

Previous: 21.9%-4.6%
Regional Slot Handle

$6.51B

Previous: $485M+1243.1%
Regional Slot Win %

9.6%

Previous: 10.0%-4.0%
MGM China Main Floor Table Games Drop

$1.26B

Previous: $66M+1806.1%
MGM China Main Floor Table Games Win %

20.1%

No prior period
Capital Expenditures

-$183M

Previous: -$140M-30.8%
Free Cash Flow

-$78.6M

Previous: -$997M+92.1%
Net Income

$105M

Previous: -$857M+112.2%
Operating Income

$264M

Previous: -$1.03B+125.5%
Gross Profit

$1.12B

Previous: -$84.6M+1427.2%
Cash & Equivalents

$5.63B

Previous: $4.84B+16.4%
Total Assets

$36.8B

Previous: $37.5B-1.9%
Stock-Based Comp

$10.9M

Previous: $18.8M-42.4%

Revenue & EPS history

MGM · Revenue · Quarterly

$2.27B

Q2 2021+682.6%vs Q2 2020
Beat estimate in 7 of 16 quarters(44%)
ActualEstimate

Revenue by segment

MGM · $2.27B total across 4 segments · Q2 2021

  • Las Vegas Strip Resorts
    $1B+566.1%
  • Regional Operations
    $856M+859.3%
  • MGM China
    $311M+835.7%
  • Management and Other Operations
    $96.5M+483.5%

Forward guidance

MGM Resorts did not provide specific forward guidance in this earnings report. The report highlighted strategic transactions aimed at bolstering liquidity and streamlining the company's structure. The company expects to remain programmatic in its approach to returning capital to shareholders through share repurchases.

Tailwinds

  • Expected closing of the VICI Properties, Inc. acquisition of MGP.
  • Expected closing of the purchase of the remaining ownership interest in CityCenter.
  • Expected closing of the acquisition of the real estate assets of Aria and Vdara by a fund managed by Blackstone Group Inc.
  • Expected closing of the acquisition of the real estate assets of MGM Springfield by MGP.
  • Continued growth and success of BetMGM.

Headwinds

  • Continued impact of COVID-19 on business.
  • Economic conditions and market conditions in the markets in which the Company operates.
  • Competition with other destination travel locations.
  • Design, timing and costs of expansion projects.
  • Risks relating to international operations.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2021

Historical avgQ2 2021

-0.2%

Avg return

Earnings day

-1.1%

Avg return

5 days after

-0.2%

Avg return

30 days after

49%

33 / 68 earnings

Positive

+17.5%

Q4 2024

Best reaction

-14.0%

Q1 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+1.3%-3.5%+11.1%
Q4 2025-1.8%+1.2%-3.7%
Q3 2025-1.7%+2.1%+13.1%
Q1 2025-1.9%-0.1%+0.6%
Q4 2024+17.5%+10.8%-7.6%
Q3 2024-12.2%-13.3%-8.7%
Q2 2024-12.8%-20.4%-12.1%
Q1 2024+3.6%+4.0%+1.9%
Q4 2023-9.0%-9.5%-9.0%
Q3 2023-0.2%-0.9%+8.2%
Q2 2023-8.5%-8.7%-11.4%
Q1 2023+2.3%-4.0%-12.5%
Q4 2022+5.0%+5.1%+1.6%
Q3 2022-12.6%-4.9%+3.2%
Q2 2022+7.2%+4.4%-0.6%
Q1 2022-0.5%-6.7%-16.7%
Q4 2021-0.3%-5.4%-15.0%
Q3 2021-1.0%+1.4%-16.1%
Q2 2021+7.4%+6.1%+15.1%
Q1 2021-4.2%-2.2%+1.6%
Q4 2020-1.5%+0.3%+8.8%
Q3 2020+2.3%+8.2%+42.4%
Q2 2020-1.0%+2.9%+46.8%
Q1 2020-14.0%-18.3%-1.6%
Q4 2019-2.8%-3.6%-52.8%
Q3 2019-0.1%+4.3%+12.0%
Q2 2019+2.6%+2.8%-6.5%
Q1 2019-5.9%-8.2%-10.4%
Q4 2018-5.2%-2.3%-9.9%
Q3 2018+10.1%+16.3%+12.8%
Q2 2018+0.1%+3.9%+1.7%
Q1 2018-11.5%-11.1%-11.0%
Q4 2017-0.2%+2.6%+0.2%
Q3 2017+4.1%+5.1%+5.5%
Q2 2017-2.2%-4.3%-6.0%
Q1 2017+3.1%+3.9%+6.8%
Q4 2016-10.1%-9.0%-6.8%
Q3 2016+6.0%+4.1%+13.4%
Q2 2016+2.8%+4.7%+3.4%
Q1 2016+2.5%
Q4 2015-10.0%
Q3 2015+6.6%
Q2 2015+12.6%
Q1 2015-5.9%
Q4 2014+3.9%
Q3 2014+1.6%
Q2 2014-5.0%
Q1 2014+9.6%
Q4 2013+3.8%
Q3 2013-4.9%
Q2 2013+4.4%
Q1 2013+6.2%
Q4 2012-2.9%
Q3 2012-1.1%
Q2 2012+4.7%
Q1 2012+0.7%
Q4 2011-0.7%
Q3 2011-0.9%
Q2 2011-6.8%
Q1 2010+2.6%
Q1 2011+0.7%
Q4 2008-3.4%
Q4 2010-3.4%
Q3 2009+4.9%
Q3 2010+4.9%
Q4 2009+1.5%
Q2 2010+1.5%
Q2 2009+1.5%

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