Macau (MNA) – Net revenues for MGM China Holdings Limited increased 31 per cent for the nine months ended September 2018 year-on-year totalling US$1.76 billion (MOP14.22 billion), the latest filing of MGM Resorts International, MGM China’s parent company, in the United States Securities and Exchange Commission (SEC) revealed.
The company has attributed the revenue increase primarily to the opening of MGM Cotai on February 13, 2018, which contributed US$441 million in net revenue, the filing from Wednesday stated.
Main floor table games win increased 34 per cent when compared to the prior year period also due to the opening of MGM Cotai, while VIP table games win increased 10 per cent yearly owing primarily to an increase of 7 per cent in VIP table games win at MGM Macau.
MGM Resorts has nearly 56 per cent controlling interest in MGM China, which owns MGM Grand Paradise, S.A., which in turn owns and operates the MGM Macau resort and casino and the related gaming sub-concession and land concessions as well as MGM Cotai.
On October 31, MGM China had reported third quarter revenues of HK$606 million (US$77.39 million), representing a 37 per cent increase when compared to the prior year quarter, while total revenue of the company amounted to HK$4.75 billion.
MGM China’s Adjusted Property EBITDA for the nine months ended September 30 reached US$402 million, marking an increase from the US$385 million registered in 2017. The company noted additionally that, excluding license fees of US$31 million in the current year period and US$25 million in the prior year period, Adjusted Property EBITDA increased 5 per cent.
Overall, MGM Resorts posted revenues of US$8.71 billion for the nine months under review, slightly up from the US$8.19 billion posted during the same period in 2017. Net income attributed to the parent company dropped to US$578.13 million from US$669.19 million a year earlier.
In the report, the company also indicated a total of US$1.2 billion of capital expenditures for the nine months ended September 30, of which US$327 million were related to MGM China – excluding development fees and capitalized interest on development fees eliminated in consolidation.
