MGM - Earnings call transcript Q1 2019 | MGM Resorts International

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Operator

Good afternoon, and welcome to the MGM Resorts International First Quarter 2019 Earnings Conference Call.

Joining the call from the Company today are Jim Murren, Chairman and Chief executive Officer; Corey Sanders, Chief Financial Officer; Bill Hornbuckle, President and Chief Operating Officer; Grant Bowie, CEO and Executive Director of MGM China Holdings Limited. Participants are on a listen-only mode. After the Company's remarks, there will be a question-and-answer session. In fairness to all participants, please limit yourself to one question and one follow-up. is conference this note being recorded. Please

would Catherine Park. I like to to over call the Please turn Now, go ahead.

Catherine Park

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Additional SEC. forward-looking actual result statements cause as otherwise. we law, Except information periodic obligation release results these in or contained differ our today's required press update a by from that as concerning no these is statements factors undertake of and the to to information with could new in materially filings

non-GAAP about we'll talking financial also in the During discuss call, measures performance. our

GAAP our earnings presentation a is be to our reconciliation of You today's Also, on our XX available reviewing slides measures we'll press financial to deck can call, during release. XX find the website. in which

is presentation to Murren. I'll now being turn Jim it over recorded. this Finally,

James Murren

had Kathy, lot at Well, afternoon, thank the quarter all to future. changes a and very with productive everyone. happening MGM you, and We of busy a good here with an eye

X and MGM XXXX, we announced announced But the will making and detail of how is discuss laying significant progressing a lot January leadership, XXXX further of on which revenue, million growth in in a remember, new impact of in expected points we've bit. a in on back to all MGM Phase transition. and of months. a we few make. a for to are leader past a over pioneering is I'd XXXX We've that few like $XXX addition and will who with first, operate. executing you plan key We're time strong we that changes made have oversee of As a This the digital our to future been EBITDA will deliver the foundation meaningful XXXX. Corey changes

market came our quarter Las Strip net DGR slightly tough our last driver with EBITDA Baccarat primary and This in a and both together a our Vegas year-over-year. whole quarter, up business. we the the XX% up EBITDA the was adjusted year-over-year time Vegas felt consolidated expectations Baccarat revenues Las low The by hold with decline X%. clearly we something of first The as XX% than comp in down that were better highlighted in and

say fruits that strength first Macau outlook. Our quarter with up U.S. to are our MGM to which Regional Cotai. a properties change of our there in I showed see starting want had the no is a of we ramp-up tremendous nice and continued front in labor right full-year

in per strong financial XXXX a a half our expect $X.X to and cash billion strategy long-term unchanged. consolidated to billion as convention XXXX the to $X.XX share good year begin calendar. lastly, adjusted second and of free well as benefits are our EBITDA of consolidated goals We And from $X.X flow as we drive

reducing feel times by We goals. to And X X net XXXX. these year-end to meet continue consolidated work our to will we also that leverage towards times we confident

a the into quarter get little me bit. Let

saw including highlights which flat and areas were beverage in roughly non-bac Non-gaming in by course volumes our had baccarat year-over-year. to slots we high-end healthy We that the good call baccarat and faced win of fact, last X%. overall February the environment speaks most demand solely of hotel did increased had and X.X%. both know table in our a mention Here business at percentage. city the performance, robust, this quarter due of to Las quarter declined strength in very the Vegas, record by We and XX% witnessed comparison volumes year-over-year. back a in of also the properties. higher Along with fourth the in revenues business. games high of we comparison. Gaming driven our with quarter. in a Food terms REVPAR up performance hold year, the difficult first and in revenues timing entertainment the by baccarat and revenues win Recall were we holidays non-gaming

lower EBITDA. this our of therefore a lower decrease in certain the from was East EBITDA. Our approximately or course million visits baccarat Strip was $XX $XX quarter fewer hold. main was Far much players to to This total the year of and of XX% business The million due impact driver year-over-year

underlying the table which Property Park MGM games. excited it's was EBITDA of It destination also up you of and with about XX%. We're overall to we have States, premier United course not share example, early the the already about assets. consolidated, location. know in ARIA, Adjusted the of culinary Vegas. Park is Across has up unique is optimistic we're programming great the performance quarter got by the a bolstered including revenues at Theater Importantly, as health become market strong particularly continues Las XX% the ramp. property many and of net gained in ARIA, we for and And a

with quarter record X% and and benefiting revenues continue EBITDA had XX% increased X%. first was by up with and quarter in Detroit Property and quarter On inclusion up Regional revenues the City. up basis, Our Empire record same-store Regional from great first a EBITDA. EBITDA of XX% to another a properties Adjusted revenues the perform well Springfield all-time

the was to quarter up while million, with ramp a strong Mississippi floor up grew achieved betting property, EBITDA due continues XX% Springfield of market. the evolution extension which up support and the tourist the an growth of quarter-over-quarter Property EBITDA. rest $XX sports VIP. visitation. milestone government by good market XX%, XX% of as up in sub-concession into drive reception average from National June to expense gained ramp. nonetheless, continued for committed us Harbor's leisure in to quarter hold Cotai by management. ended third to about had continues and By property XX% Macau expanded consecutive for certainly above our with progress China's the grateful EBITDA Macau and on the of the But to $XXX and the million millions region's excellent was its XXXX, strong and destination. a continued And of now March million for with $XXX gaming million. EBITDA EBITDA our We're continued showed was big to of to share And with XX% focus We is quarter Our $XXX we $XX the Adjusted international remain of an of properties MGM aligned to and that a MGM revenues quarter. benefited the

half this benefits remains good XXXX In unchanged expect second materialize. as terms it the our we of for the of MGM year, and a to year outlook begin to

Our positive. been the very to trends in we other bookings remain have good center. expansion MGM continue and Convention than baccarat Grand benefit shape year at the convention for the from

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Corey Sanders

up to innovation Slide MGM now. for our an a January, ideas, new nimble Thanks MGM in our we we announced I set we been XX, as we we we profit people's busy we of if $XXX year with standing as our operating XX In installed turn now the that attention needed standards, and Through XXXX, new standards, And on journey MGM operating. laid opening continuous ended which and website. on and to you of on employees dynamic creating through on enhancements service the in on growth a have posted unleash sharing foundation very training Starting successful, of leaders. plan million empowers earnings is been MGM back XX deck our been When and began to we these million. evolution announcement company around support centralized the Jim. the slides enterprise. know and have of properties. primarily and streamlined a PGP, has focused the redefining is key is $XXX in XXXX, and EBITDA XXXX order centralized XXXX improvement that the way that plan PGP which could the more out best across XXXX over functions, one model up for Between create four practices targeted working

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technology through groups certain X enhanced moving to a better functions growth. driving MGM accelerate called of properties capabilities revenue digital the This centralized about and corporate accomplished strategy are key program. Phase is centers loyalty leveraging excellence. out of plus XXXX customer-centric an will into We and be of

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uplift expect XXXX MGM X EBITDA For in this are $XXX that targeting we year. one-third of we XXXX, and million Phase of of

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it with PGP before again. will it and We we have done do

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this Let's go more detail will Slide XX. our new turn in into And to model.

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both look we our are addition, overall, reducing and widening control layers company-wide. there property and we In span believe at opportunities corporate at as and

exercise, it know not already. I let to program. I Before turn Jim, is back cost-cutting to XXXX just extremely want MGM you progress is this complex that we've a an as made

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the quarter, technology second nearly to related a portion just targets million and restructuring MGM were of last $XX Phase reductions as quarter, of announced week. X. XXXX. costs thousand including position consultant a we expect MGM XXXX These Before other changes in ensure incurred of some end this of our charges will cost we the million work model $XX of the first we total of for In part operating our hit which and

in experts have successful with are outcomes. worked transformation and with we consultants business before Our them

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through our very leaders, to time. change been mindful communication programs management employees and have we guide this So transparent with

advantage. is This XXXX make nimble that we hard, more While attract, headcount we we to us a and turn are enterprise confident to going involves X our competitive Phase also new vitally is focus attention efficient, where change our change will particularly will of as grow important new forward. this that target, retain effective and using reductions, customers to on MGM technology

to will Now I Jim. hand back it

James Murren

Corey. Thanks

key our $X.X long-term open per the talking and $X.X year-end drivers we're about, billion the share, the you've free by also EBITDA committed to track of and cash the of Corey's targeting in achieve of of MGM goals strategy we're heard, remain to XXXX. Remainder to stated consolidated as fully said, I our program XXXX. growth $X.XX. billion As adjusted ramp-up on We're properties flow

know, are all as We development spend have dramatically, you reduced CapEx behind as us. our our overall major projects

Our are in all no CapEx. excellent deferred with shape properties

be funding year-end this senior X the were our net use very quarter continue buy raised We our maturities. goal to proceeds Earlier and focused X month, in stock debt acquisitions. strategy as on our But did address has to at our not times will XXXX. our near-term sheet. focused we $X allocation to get fortifying in consolidated our times leverage the we capital to by previously bond on not billion our to the tenders, balance We changed. announced and issuance, a in confident remain attractive rate We a notes

have repurchase to a it our we authorization We use and over intend time. of $X.X billion share remaining

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of clear topic. consolidation creating on depend So of want this industry finally, the round undergoing our another shareholder focused you. your not path competitive core efforts the I value stability on of to and MGM cusp with does and company remain operations questions in that ourselves I appreciate change, be limiting with management. on industry. the committed that stronger XXXX our our to result may We're the we a today you in strategy And and at be levels top M&A. our to greater meaningful on maintaining We Thank will while positioning the internally change believe ultimately

over it turn Q&A. we'll Now to

Operator

Instructions] question go will from Joe The Please JPMorgan. be [Operator with ahead. Greff first

Joe Greff

My optimistic patron you follow-up. the there had then given and in seeing quarter the Vegas. segment to there XXth the did presently relates are views Las you results? to resolutions? of How fourth trade I first they your and February when question we're to outlook macro that and Baccarat of on what As look outlook ahead, gaming US-China have compare signs any in prospects China be a And terms reported

Bill Hornbuckle

I Hornbuckle. the is we're hi, signs, Good relevant. some to it's same think this afternoon. I seeing but it Joe, Bill keep Look, think important of

remembering foremost, exceptional 'XX on back go an and comments, First Jim's year. was and

relates was Our XXs and as mid market deterred, handful Vegas and here, a I mean share to fact the Las of customers. tied has marketplace we're lead in it not we to it

to fight, in and Of things Asian the we and ability we that we they're can know Paul have have a in coming McCartney marketplace, Pacquiao, it's have the first given Manny Tyson and year at our we to works Jim cycle folks think - have of to quarter, attract, look of June, you our forward as the going that July in net in baccarat our think if balance have also we revenues we we have meaningful. mentioned things that that will, important you had, motivate things how note, here. of and June to if and at the XX% Canelo, XX% business May have attract year, the the coming Fury you in been continue and understand look I lineup we as of all

impact in our think event all other given I business. good terms our Fundamentally, the EBITDA. we've diversification meaningful broad leading, we calendar of We got changed. and in in mid is perspective the single keep net will thing that of hasn't this business drive think we're shape, is market that digits of we're be an continue think to the the to

James Murren

just is the you question, we answer this baccarat Joe, we And are when to the trends we see in had guidance what Jim, February. gave thought exactly would

Joe Greff

And Corey, you gave details on of us lot information and a XXXX.

do have said or may You maybe of and as know, I think or the as see of savings stand tally different of this this the don't year? cadence of, a of may the the now you in I where labor the and March how maybe you Catherine half have us way, said in may kind in you have XQ the we that back give it guess said can now end then year-to-date on I but you

Corey Sanders

starting of be savings. end as through Yes, you'll flow and that of in by will and in mentioned, seeing Joe, labor to QX. that I $XX million fixed the we're Most done achieve to QX start looking QX

Operator

next will Shaun ahead. with The be from go question Please America. Bank of Kelley

Shaun Kelley

touching some create just the through revenue is comments is with there as that also we've big some into us the happening on a happen then this, same have there gone and some stick - plan, sort in you levels, big is the implementations dislocation management Maybe, much disruption and know, of so Corey, in we meaningful that companies seen any near-term on operations sort to at might past gave also get your anything core of risk you out systems detail of transitions. there some XXXX to since shuffles real there that and be for view,

investors or should of any cause there? So anything side could aware on disruption systems that the be

Corey Sanders

Shaun, but with dealing So, the on up day. operational and we this a real-time I'll pulse stuff team both every with the he's have I'll technology stuff it, since answer Bill on

mitigate type ability think are implementing our the a the ERP and think side, customer that any other the On we thoughtful in through I the of only service office PMO plan transformation in enhance the will to we're there. customer. I also employee's experience technology technology very have the area, that finance we investing will All the

over to I'll operational it turn the to Bill his On side, get comments.

Bill Hornbuckle

I'm look, in the looking Shaun, room.

new own, were We new operating us. have in three this experience, we their was - were here and Between first we mode. weekend exposure Presidents the with Group my weekend this

to the properties. numerous We are all went all over business. We

alone at have of to care a of of looking since and - faith been at year change not we've think thing our third great last again, great positioned bunch quarter but when this like this something going take shape. the third of levels, left be to that late a them. the we've a through and quarter would through well deal me, create of to is the early operate last excuse the opportunities thought lot to we're we and really going change we're customers levels, business easy. in than We of going We're operating at Obviously, be service property dynamics,

Shaun Kelley

with or color hard numbers are prepared underwriting little us my there you now I do think be just we these those. to comments would your levels in and when run I line both. Are follow-up both consistent Jim, for rates said ramp And Park are on think what you remarks, with each? going are on in they second you for to expecting give some have more your you by that mean will bit you're half know at to in the ramping or see Springfield. Can your just the a well. just be that

James Murren

as what of on new predicted, trajectory product. new tracking today product is a to build to to still we long and would certainly other as of we're really we will. property. execution quality new National had maybe exceptionally a which I The ramp example the is they the is of property had think are off continue MGM new easier It we but probably the that delivery slower that property. expect Harbor a and properties also had the of we would financial is that we returns than the start or predicted. I Well, the they have point good Park a proud have But been it developed. underwritten Springfield's

I to expect the if trajectory we a more So it that to you any I turn -- we going from ramp-up at along to a over lines you're believe that can see see - Springfield Bill had National at Harbor. But saw

Bill Hornbuckle

more more Springfield Corridor, A. a in seasonal. Northeast come particularly the mode Sher, it's bring happened little the on Obviously, spring, Connecticut Smith, and near region, that. future. in we to It's to Maybe color all on anticipate Springfield leverage start. Martin We're throughout entertainment, full throughout will Steve business. O.

And on March to the the scale. already particularly by in continue look and programming feel and of the Corey given you best property. Gaga month was act good food put far young February, and we're and our and like property, the entertainment the beginning expand of by Bruno so industry if our even luxury grosses opportunity Park, it, March far we January, so in there More rooms talked beverage, but to a about with unheard are to it's ability yielding, leverage on to our far, and seeing in and history about, back March, pretty to

bring excited all long us pretty by term. we're so to going And that's what

Operator

Please from Curtis next The ahead. go comes Instinet. question with Harry

Harry Curtis

includes an there First charges it that Vegas, moving numbers and the hold and in volumes parts, awful in the incurring. are been Vegas - lot and of in you've also

Is the or EBITDA growth describe is you or your think when adjusted XXXX take an that, it you basis, that that? just do to business? phase actually and is three try a in it see in going quarters to how would normalize two on So another you

James Murren

my me to and colleagues. to want start turn Harry. then You over Hi,

now. seeing we fourth quarter we're on we what what saw I when is talked to you right think the

that Bill because book, expect our in base the side, are into if the maintain Las trends Corey and Las our a the of looks can clearly from business. build market know of we MGM lot business. this to on at Resorts the but we that, more, not are to can will around in which We drives that And or entertainment Vegas the and gives get us overall really expect up the saw as as that focused information of a mentioned our and market et it to same we we that Bill either lot macros get comfort build we a on outstanding, February, airlines Vegas cetera. and of LVCVA you the share year be some speak XXXX

So coming market that because trend is the activities other visitation. growing is in have 'XX major fact That's XXXX going The an the are impact and on tone MGM to actually data that it fact positive is speaks overall for Raiders of business to into center highlighted important then a the and point. our non-bac that a table slot the that we the and that the health of of to market. of we're does to why the absorb make for capacity overall the also generally able conference profitable speak us quickly the it and

from maybe So Vegas to feel very constructive then Corey and turn a high on Las 'XX it 'XX level, I'll we in and you --

Corey Sanders

half of the are the We the seeing at we're the year XXXX Jim hold little mentioned, half more the significant. at here it we what other the much were of with and trends you year half the when that challenging growing higher first midpoint. would gives be this year. that And and look year range efforts, pretty positive. to from is, would back the But our mention I of did positive prior flow a our trends even confidence know, it in even cash held And in implementation and be bit us that more the that this back below year, impact year that as you the was the would than we're baccarat say last

Harry Curtis

then the of of months there contribution Mansion. And would mindset mass to you topics shoots VIP, couple on customers, the a question, then direction behavior? are junket over of - premium if green just going including in and back Joe's a X VIP any market your Macau, Grant, kind you their last the in the the to question touch Grant. of And the to seeing wanted I X to the of share, ask months

Grant Bowie

about one for market let's the go share. So first

So the increase we've share. continued to

as about continue XXX we've appropriate we forward level in the us. saw what to and So points X%, to added quarter for a look more basis we

is into to segments. market, maturing in defined can I Macau if of, we think jump the I a terms understand In the need VIP that to very now

the little went seems everyone for the contracted So I big the year. a at down looks as VIP flat rest junket very and in-house business, think, It which and they curve. like the of is be is a moment, both growth through the market junket, that very says, going it's to

opened have gaming then fourth of that also what already uptick, we're and dangerous. really the is One the in customers we quarter, launched the actually frankly, hadn't services positive we inappropriate and a that but see targeted the and Mansion overly on for them and of not because and we business, them before we stream signs since had we were was Mansion, More, in some Mansion came Mansion invite the we had starting for positive the we've seeing know In we had Cotai somewhat the which And we property. that in-house business terms re-emergence and and demand, of products very to which call VIP the to area, some mass it until us

they property indication strong looking Mansion starts are that which a general and tomorrow. this you for demand here is give and coming week the So very I the Week can the for in back Golden to

of seeing existing terms indicators, our return. seeing we're customers in positive So we're positioning, we're customers, seeing new

business - continuing the in mass would of the probably terms upper In I digit. would see single that we market,

a And going things activities for think rest big I lot - China, also Macau the anniversary a - think we Issue of big there's in is for of with I going year and big China. celebrations there's the meetings issue need challenging put and in for to to context be XXth of the it lot on going - on a Macau, of junkets.

our So the I'd to very share. the say I'm confident and very of end, balance a little the challenging, junket but relative most positive positive very product at that about importantly maybe it

Operator

Felicia The ahead. Hendrix go Barclays. from Please of comes next question

Felicia Hendrix

and reiterated I you costs, second your hold have you you I'm - the in think and you million of group giving that Jim, in quarter. when gave the about think this say EBITDA the more terms I particularly million comfortable little know of the you're you're consensus deck, not things of then think might So, at are facing Strip business I to you but and Are it's $XX any quarter the but so something gave second year high outlook some wondering, you second for and in going to for in headwinds almost know a and the June I like quarter? something in $XXX look is than have in guidance, us year of REVPAR us quarter with? rotated that, second out you're you X%, full

Corey Sanders

than the - and place but pretty not the June, rest even and feel better REVPAR, a go that confident going year. a solid. going do convention be of on Felicia year that last we quarter impact in actually little quarter this we following because for good quarter, of a to one is quarter And is answer where second comparison is us. in in at I'll a to the business properties, the have comfortable year the year bit but Yes, we're last - We have the it's an the into tough second of second particular,

James Murren

year importantly remain the any we year about and time. in all a It rotate this out. strong. happened Yes, had fundamentals, more at good June, June, they but for we good change very of we all terms It happens convention the the feel overall haven't seen tone

Felicia Hendrix

think And how thinking that to Wynn they're parking fees. actually then it no longer that? today about Wondering charge announced was are I for you guys going

Bill Hornbuckle

the right Look, this forward. independent we decision their change we lot going won't a spend energy, think technology, Felicia, have the right with Bill. program, time, Hi we of is ours money policy and

Operator

question with ahead. go next Deutsche from Carlo Santarelli comes Bank. Please The

Carlo Santarelli

XX% wide you pretty kind Bill, little a XX% this bit said expectation Nevada look the to just but XX% that you year if XX% year, from first segment know bit if baccarat think talked few like that Strip you data benefits a be this had and the on headwind XX% Gaming the similar, will that hold in it's of the just baccarat the years if about and is hold guys earlier, have percentage look it of as seasonality of mentioned over I within quarter imply spot the seasonality Commission, quarter revs you of that - of you of to little average, would the from XX% up year a you I the tough and first as look at just the at obviously emblematic a any here the the last the understand of gets I year year guys quarter at quarter a to I being from see but basically first a last extent? built rest to that bac this you lot starting first a in where decline volumes

Bill Hornbuckle

know overall that don't change year for guidance I Look, we're sure. our for going to the

the biggest New Years Chinese always coming and is quarter New query first domestic the Year's. off The

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Carlo Santarelli

EBITDA little million stems called to negative the softer the if do from guys confluence could Years on follow-up And year-over-year higher headwind to New out then Years, that much baccarat how I more and just of you the bit shortfalls, that. less in relative the just of maybe dates you one $XX Chinese the the Of Bowl a 'XX? think being end Super relative being New 'XX favorable from

James Murren

You customers or know, take. a dozen give Carlo, as half usual, that's

This was two. days last Super you apart. literally was year, As XX it mentioned, Bowl year

top other. on So each the two fell of events

forward, do to it. drive the of a we think that we have. So continue lot activity to had always can we Obviously, looking with kinds

positioning. Our people marketing groups been terms they've as of and ever are in strong as

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forward and And so you hope we again you know A, the market our which in continue share to, be own know mid control progressively. is XXs

Operator

Stanley. comes Allen Morgan next The with Thomas question from

Thomas Allen

Question Grant. for

of one last with that changing Anything and hold when market market considerably mirrors they fundamentally peers pretty your hold? mass week. increased reported Your mass

Grant Bowie

maturation move up to it's market. positive of a base, little No. a which as we're it than in moving you almost seems thing mass a new market staying and and to the like particular seeing seem bit higher. sort bringing broadening do a hold seem and of there, see Cotai sort forward when other is which think the - recognizes to But other in in a Obviously, be I and customers than be broadening the of and holds you that trend start

that a that's think we forward. I move So and thing positive it's I coincidence as the seeing of just market we're a think

Thomas Allen

just updated for on potential spend was Any soccer week. and there? then thoughts Japan, on the timing then you. last RFC launched And Thank

Bill Hornbuckle

is again. This Bill

couple issued a the they've don't obviously, next weeks, date. be August. a but over full It's will So it. specific in then - They (technical it is for they of the It give due open call RFC questions, difficulty) it late

Operator

have please, for much. technical our call. location very very you stay the a reconnected our Once the one with presenters' is reconnect here Operator. speaker's you in again, we This difficulty connected. Thank you. one have much. presenters Thank moment Thank please line. the moment. stay just Apparently our location, on We'll I

Catherine Park

everyone. for on the now. in we that, we're it but of thunderstorm Apologies huge dropped, a and middle back here looks Hi, like were we're

Bill Hornbuckle

operator. question Next

Operator

Stephen Grambling ahead. go Please from be will question Goldman with Next Sachs.

Stephen Grambling

to more I you Jersey about to as Mississippi. then and strategy? specific one markets talk of these we seen your and can initial markets instruct future even a anticipate trajectories question. these maybe how But in target in thoughts I guess the think evolving I'll on and the should alluded have in opportunities, markets sports How your you've share one broader your New question, you just betting turning trends

Bill Hornbuckle

Bill. is This

just platform we're overall, excited is in play. the really GVC stadium where their primary now put So are, into Borgata. the look, is We've which coming we product

with we've New up. in football around Mississippi, mobile those for through time permanent apps we'll in and open retail challenges locations. And our earlier We and outlets of in Jersey in our getting gotten both are finalizing some

gain intend I we share. will So that

in obviously long the are We this haul. for

for think is, and I continue massive in run. and EBITDA up Obviously, results, activity at with have a interesting leagues force then with events long of a if networks was then partner And been you the have in that all coming to the solely general our GVC. XX% will is XX% We Beau productive looked and goodly portion Tunica's that. sporting Beau and the of Tunica the very thing up people and cases was by around in driven be

significant see retail only we upside in not in So but ultimately mobile.

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Stephen Grambling

an Bay much Mandalay keep like or you down mind? convention looked factors unrelated an calendar hold as to follow-up, it attribute on And How would of in that that easier we versus revenue like seemed what should comparison. other year-over-year was

James Murren

convention to it calendar. attribute can I the

I struggled year-over-year, to again, a but think group we've it's cyclical. particular with compared

say we you heal. where I'd walkway south to going to to and of Event a next overharvesting opens think end our know we're it's Day. the about converted the for programming change change Mandalay that is And pedestrian backyard August we Game remember, literally will When I XXXX, It's catalyst that there forward. in be of Raiders. whole end pushing Strip. Day where the and we're I and continues XX% real be, think want the overall like going, we're is that

substantive think it'll property. And the so for we be

Operator

with question DeCree from Gaming. go John next Our Union comes ahead. Please

John DeCree

And Mansions of dynamics the online? products is process you given you quick for at start online? you're mean you've Is to the talked your XX thought about now add Jim maybe for opportunity demand maybe mentioned thinking of ones a is that's Jim, I could maybe suites. quick offering that VIP there me are - tweaking the some how that in in Grant. more there or Two and prepared about to the or rooms and think XX I something remarks, get Cotai Macau, formal and an some

James Murren

I the it. ground to over can I there on think it Yes, to add I'll and Grant turn

Grant Bowie

think best as understand new have and space during I wanted. in We're tower develop. south whenever And property, food And for at and changed XX dining then you is activation of of of and suite the to that all market, of appointing white straight always many focus process. the can setting food the you XX-month the our solutions out in through of as in concepts, of we're to seeking for probably the through more looking the where held tailoring right, initiatives, series we that point always but working just to beverage. very at hopefully after casino in today, we're XX part year, another the to is. new it's end And months, pop-up and to someone critical was now defined work so We're us we've that's do the now probably working top next tier and we're phases up box you space for of holiday The into Gaming, it. architects. buildout as our looking take the us what that beverage time, animate phase. But properties in actually the we're the product we and simply even do Macau on know planning space. months buildout. particularly the XX-month, we the clearly hear not we And out get and on like yourselves actually And starting down same are exactly and large, back our open a what that product, the on a new product lots to locking notion bring the focused as you Union know work food work and it things spectacle, if we that's we smaller. It'll out beverage

add. months. want really our focus the Jim, that's anything to you few So next over

James Murren

what that bullish end. Grant people Yes, on high the frustrated the itself told we've and of add that particularly we suite at expect the constructive of been how products several and and we market times me how entire you've been MGM us, haven't just to I are able that would in deliver

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Bill Hornbuckle

don't but reiterate, was just has Tom, the I or it out. if RFC Carlos to come know

ready feels in and We've It an extensive We in when It's partner Osaka. we're to thing for be the have and going there. ORIX. there a the we national it like a to think is government there, hope ground which August. exactly great with next from by half for and RFC from RFP velocity be been due our literally to done haven't in between definitive They full-on the forward plays with RFP robust. look I sometime of this spent a dozen is our - and ourselves programming. on favor years and spring in deal But process

Operator

question Farley with that go Robin UBS. comes Please And from ahead.

Robin Farley

strategy in a you have sense, you're in on what all but lot it that would makes another single properties fitting that on, how year given about would exposure don't furthering strategy with doesn't your your the it like Vegas single a and obviously synergies one of before property or regional sorry I'm I for in. M&A terms you depend can on especially sense think that. growth M&A talked tremendous asset commented of doing you've in seems comment asset know your this Thank make you - portfolio a I

you just handle And the have Can most to Thanks. at follow-up also point that? So of on in because books was itself. mix what any expect as going all about this ask that? on it XXXX you comment then convention you I probably a

James Murren

Robin. Sure

to standard but the is couple question. your answer M&A, thoughts on a of comment So on not

Las Valley doing There's home think for amount terms that certainly is terms a good Las both and happening is and in operators and look I for and to that team. for in luxury real investors it's of it's real that in a marketed of of attention having we of to the gaming property about real interesting interest right interest at hasn't non-gaming exciting, lot sale a what the discussions own there's and and standpoint something owners very estate in of is of and is Valley bringing now, be right estate, half Vegas plays good in the estate Vegas of course significant good Las Strip. the the Vegas decade tremendous tremendous What in from both on us out. very to about been a some watch a it'll There being transaction a so now.

all So we the operate. at things what time. and look we love own We

we have. free and our execute and we as in I the XXXX can do over deliver very and what know the properties said, we our we'll And on However, you cash we place we think plans team with have have. flow on focused are I

from And way is It's clearest detract, in that let expectations to We've topical. our way, within control. the this We've with for do We're there's increasing valuable. a as before and can got value it's confident here. plans on interest to it. of done simplest over the positive focus on that MGM say team distract It's would is our I us on But that. executing market. actually this because going So that's Vegas these the it PGP. our we're not right here, we Las anything we if shareholder deliver do

had another You question, Robin?.

Robin Farley

mix. the convention On

James Murren

Convention, who's tackle to that. going

Corey Sanders

just I north have of did. XX%. I it of front we in Robin, if me think

Robin Farley

then And [ConAg] that year imagine rotating expect you back up I just go in? next would with

Corey Sanders

it arguably yes. should, It

James Murren

off not I forward. but just Las a Vegas all, moving We've and seen the brief been expect, you we year here of issue confident long to sorry we in We've Las this the that both hope with you we're Vegas before. around event, want of that a rare And for in I thunderstorm drop this an movie didn't thank grasp is time. permanent in baccarat terms believe nature. market can firmly closing, in very isolated

number dominating has continue our here plan. can't have. developed A going our and unchanged, full-year always, that We want way very on thank which behind emphasize out would and you in we're targets, this outlook. disciplined are major cycle And that the you been is have use has highly the going reach no the and betting and with our about feel XXXX half. as confident to April, a second outlook lot free Japan, yield enough growing significant our of with flow, to to We now development and change winning cash lot we hit us way, questions And under we'll in joining in of We're we're happen talked that the us momentum that confident well on sports been known our we in February, XXXX long-term I progress is made to targets. and any the strategy are which goals all allocate a I fashion, what's and the annual us. in we've in described. may capital CapEx for that, in And to

Operator

concluded. Thank attending you today's you, for sir. The Thank conference now has presentation.

You may disconnect. now

MGM Resorts International (MGM) 29 Apr 192019 Q1 Earnings call transcript