MGM Resorts Posts Better-Than-Expected Q1 Results

MGM Resorts International MGM reported its first-quarter financial results after the bell Wednesday. Here's a look at the highlights. 

The Details: MGM Resorts reported quarterly earnings of 74 cents per share which beat the analyst consensus estimate of 56 cents by 32.14%.

Quarterly sales clocked in at $4.383 billion, beating the analyst consensus estimate of $4.236 billion by 3.48% and representing a 13.16% increase over sales of $3.873 billion from the same period last year.

MGM said consolidated net revenues increased 13% compared to the prior year quarter, due primarily to an increase in revenue at MGM China resulting from the continued ramp up of operations after the removal of COVID-19-related entry restrictions in Macau in the prior year quarter.

The company reported $377 million in free cash flow for the quarter.

“Our strategic growth plan to drive sustainable free cash flow from our resort operations, develop free cash flow by investing in international digital and luxury integrated resorts, and return capital to shareholders through share repurchases continued to develop in the first quarter of 2024,” said Bill Hornbuckle, CEO of MGM Resorts International.

“We achieved record consolidated revenues in the first quarter. The January launch of our license agreement with Marriott has surpassed our initial expectations with over 130,000 room nights booked and we expect the strategic relationship will be a growth driver this year,” added Hornbuckle.

MGM Price Action: According to Benzinga Pro, MGM Resorts International shares are up 1.94% after-hours at $40.52 at the time of publication Wednesday.

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Photo: Michelle Raponi from Pixabay