MGM - Earnings call 3 2023 | MGM Resorts International

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Operator

Good afternoon, and welcome to the MGM Resorts International Third Quarter 2023 Earnings Conference Call.

Joining the call from the company today are Bill Hornbuckle, Chief Executive Officer and President; Corey Sanders, Chief Operating Officer; Jonathan Halkyard, Chief Financial Officer and Treasurer; Hubert Wang, President and Chief Operating Officer of MGM China; and Andrew Chapman, Director of Investor Relations. [Operator Instructions] Please note, this conference is being recorded.

Now I would like to turn the call over to Andrew Chapman. Please go ahead.

Andrew Chapman

to Resorts welcome XXXX Third and Call. Earnings afternoon, the International MGM Quarter Good being on Form broadcast investors.mgmresorts.com, is call This live furnished SEC. press the we've the our release to on X-K also at internet On this statements safe provisions harbor laws. make the securities under federal the of we call, will forward-looking those may from these contemplated results Actual materially statements. in differ

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

we our when will call, non-GAAP discuss talking the performance. financial about measures During also

release website. You available which can find reconciliation GAAP the press investor on and are of our financial our presentation, in measures

this being is to Hornbuckle. turn I now Bill will presentation Finally, it over recorded.

William Hornbuckle

to you Andrew, And Las portfolio, third a record in we Vegas had the and joining record same-store as we Thanks, as net In as our thank us across a today. ADRs our quarter, the off third by disruption consolidated results all fantastic achieved basis. for well To we're evidenced our despite systems. we that a revenues. issue quarter certain on strong cybersecurity to affecting to summarize, issue. cybersecurity same-store of a U.S. XX, regional start least, the record we disclosed And say net prior briefly the September revenues on identified a

at customer of we . proactively which our measure, precautionary certain disruption to risk a down some information, As systems mitigate resulted in shut to properties.

of the and restored end these by we're operational weeks, September. following systematically we systems, the enhance Over of the month fully to

fourth seen business in have our to resiliency start quarter. the Following the issues, we incredible

incurred. incent not operational Going cover anticipate as losses the any the further forward, that insurance we will expected from disruptions do

reimbursements on remarks. detailed the impacts to upcoming provide quarterly expect insurance receive the his Jonathan and information will We quarters financial in more in

during response for by our of and weeks. from showed our of We're of again culture culture feedback appreciation more a our resilience as to taking this One with They our as the service a but our guests I humbled out the both the and to exceptional the a guests express once of on employees. the deep my commitment to been professionalism time the guests challenging many We've who care want a employees received. focus to coming employees. team few a out from stronger other. each they of call and took and last thing culture yes on importantly,

faith for Detroit on both to contracts the continue goal negotiate record that of Vegas in everyone. good with Las unions and agreement in We with work the new reaching

we of Vegas, Las and Entertainment In listening come and we as bargain you agreement will new literally morning, speak, increase in a in collective reduced are just looking session to Caesars the they came today. of union. believe our to are the pay I will largest we'll a that with the to as from increase, as deal a negotiations deal history know, This and result that know pay culinary tenant we announced, this when combat We as among workloads well other employees inflation, do the concerns. in our for

anticipate the As Vegas X remarks quarter, week. to we the shift fourth Formula race our we next inaugural rival Las

record be an in same Cash years, be One indicate had our seats. grandstand guests week an Fontan Club sold event. our Formula of welcome to prepared Bellagio well for money are exciting several We what event. tentpole and casino the are out casino front prior enduring and the that multiples deposits We promises roommates all-time to will have and

launch quarter, Bacara been a 'XX. MGM diligently bookings capital primary completion direct MGM Rewards International to X strength entertainment back into XXX,XXX year, first in a of further the between including refreshes. Las we're meaningful midweek our renovated the bridge first resorts nights connecting existing opportunities on City event the the half deploying high Bellagio. XXXX, see and coming Vegas, room we of of fully and the encouraged the Convention of And the cross-play rate the recent in lost XXXX, by customers, for the calendar into return in improving offerings omnichannel also look Bay play bet as of ways marketing Super demand will numerous and Mandalay restaurant and bookings the year, the which plus of pace we in well of Cosmopolitan As Marriott's regionals to Center, including Bowl a enhance in future our exceptional group tailwinds, of as Center and fall return strong balance and working with Formula hotel We've number

and we these believe we tailwinds in in Beyond York, operating are be of domestic well in BetMGM awarded more path positive on now we moment. license is are Japan, a New a of just those a to commercial gaming underway positioned

Turning Top to regional operations. our trends were solid. line

quarter a XXs. revenues In Macau market, is the business we the clearly record fact, In booming. previously, mentioned despite same-store expected the evident low net as that in disruption. regional third had Margins it were is

fourth over XXXX Golden visitation. revenue EBITDA EBITDAR In adjusted of third off for was an Then an quarter, record fact, mass and month. October to EBITDAR the GGR adjusted share we it XX% a market Week amazing the and adjusted property kick property led for all-time record surpassed a had and property net that quarter and to

outstanding have ingenuity MGM team of the Results of because been and the China. execution the at

will provide changes a early we existing driving international key And planning products care of start yield, Cotai, priorities: mass maximize taking with U.S. Angstrom laser-focused have remodeling for of still sports Macau, now in are the of is MGM we but making not progress. The BetMGM the team to room before our in premium casino Nevada. and wallet our live team to and at BetMGM offered the customers in business platinum has great their integration The the and options At villas. our all a markets. next new launched upgrade merriment mass products X tourism. account, our a we of XX on and will floor forward, completion begun states, update addition year. betting and for X comprehensive of month villa the MGM progress area adding is opportunistic next making single single Looking in on

a of the Specific encouraging ideal than in the to is for an efforts launched initial first U.K. brand campaign. deposits our recognition brand and MGM Resorts LeoVegas, BetMGM leading international market marketing the U.K. customers. Initial much MGM supporting higher the September Chris digital launch its with Rock size the time are and U.K. and very expected. with to with due KPIs multimedia

the games innovative We will acquisition leverage of BetMGM. Push U.K. gaming to to ultimately and our recent bring to

will push We for into look extend further to international also relationships. through markets BXB existing

City and cost front, areas returns have -- the of is by through locking minor exchange progress unchanged at in implementation On in equity the $X by agreement with of and course our the roughly rates. the current impact is costs we MGM's which around of contributions the trillion billion, of September, have project Osaka the of JPY reducing XXX begin approximately that signed our foreign kept budget green very effectively certain total this to we The scope X.XX project expected billion, light the development project. which JPY process inflated not attractive will spot

which strong at our breaking for Japan's within date the the of we're we to answers licenses. X questions. submit recognition those will of round great integrated for community, for days application us and look a ties anchors have the those to to We our making available questions believe be contender We Osaka In submitted and XX Gaming the brand facility, Commission resort. X existing second forward ground Gaming New prepared ever it first our York, RFA Commission

include and In significant first Dubai, is Aria UAE Wassil, the see X,XXX hospitality the do and to our expect of gaming brands we best currently MGM begin relationship rooms in will on when in Marriott strategic have approved. if best XXXX to legalized, And us. capital in significantly early a a said, with the world development, launch have they taking if opportunity could finally, believe hospitality our reservations. and world-class Grand, under component, we management construction We be Dubai Dubai. gaming project with a from in brands. we deal in location begin start a existing do no the our We ultimately hotel with -- the we partner requiring luxury gaming That were including Bellagio to

exciting We we'll its announce loyalty benefits landing page, soon Rewards to numbers. to the we members and and Marriott plan both the Bonvoy XXX MGM offer have million launched official and

the as as focus continues In in BetMGM closing, on domestic by is outsized opportunities Macau earnings stability will and business of margins ramp by to supplemented be profitability the the as well approaching our further. business

connect buyback New have that for York more in We China a reduced long-term in of digital and with with developments together, When with grow our the authorization an confident years, flow less share its are count the XX% have that and additional than fact to then forward. cash drivers and international and our generation cash excluding going sheet we you these fortress billion approximately we considering share positioned debt cash each is strategy current our than it tremendously add flow $X company MGM to X also Board when balance prospects our by Japan LeoVegas. approved free recently

turn I this on and to that, lose With voice over Jonathan the will for completely, quarter. details I before more my

Jonathan Halkyard

Bill. Thanks,

Before our the to witnessed to of cyber efforts I selfless of go I, on care customers. get all I take our teams security colleagues our too, employees above commend and recent of issue. into many would and their people personally beyond the financial like support so during results, our

cybersecurity in likely adjusted impact saw Vegas efforts. from recovery September. $XXX in loss . Most property this you impact was Las highlighted and we approximately event our revenue EBITDAR from estimated room in of service of X-K, from the cancellations a in an million the As

mail part to With bookings be lost Vegas. will expect by be disruption remain the more hotel which our calendar, some the first affects QX in the covered the limited. that regionals of direct to We impact meaningfully losses and confident October cyber the our a insurance. brief We Las cadence than in

to the the results for quarter. turning Now

businesses generated $X.X of net $XXX consolidated and with up contribution China. Our income billion, MGM from year. of $X EBITDAR Net XX% million adjusted from billion revenues significant of last

flow were cash from in flow cash to expenditures the from free China note million and activities was cash to activities that $XXX million $X $XXX quarter. capital net MGM quarter, the and in and in $XXX important During operating related included it's million, was million operating

XXX to In last Las was were which year. X% billion or down compared Vegas, year net excludes revenues net prior the Same-store Adjusted XX% were of $XXX to property from revenues, million. $XXX down $X.X EBITDAR million about Mirage same-store XX%. EBITDAR estimate property was impact was property and Vegas basis X% margins the of adjusted adjusted margin EBITDAR points were Las to Vegas down related down cybersecurity and XX%, in issue. Las And we

July were the third on X Las revenues net of combined same-store months start flat the versus quarter, the were XXXX. essentially trends in Occupancy first up and At August for was a Vegas. basis solid points to percentage points drove said, year-over-year with XX% basis September, in year-over-year. and Vegas. back XXX sharp X XX% That down recovery Las October being in in occupancy up then fell a to we

to a still union, agreement working have June X. with increase collective while negotiate we Importantly, an the for Culinary been bargaining since new accruing we're

we this We in offset will to expect. technology the to negotiations, costs not active time full at incremental labor look accrual details that improvements still we'll we're help given the process that and and provide of

adjusted cybersecurity were had versus EBITDAR up down prior Turning a of revenues, same-store and to to and million. revenues increase down to million $X X% and regional quarter compared In revenues affected event last with adjusted third September, of third property even the Full million $XXX Prior was $XXX the properties. quarter exclude start year, in net incident, also X% cyber with the X% which though X% Goldstrike strong or August just July year. the this impact same-store X% EBITDAR property the down to regions. incident. the to Same-store a was were the

the exceeded XX% a on them was revenues mainly XX% achieved XXXX percentage XXX BetMGM win million shift incentives margins pace from and to a basis well VIP adjusted We discounts operations third Macau, compared billion gross primarily from $X.X in revenues forecast And of XXXX, $X.X hold benefit of points the to achieve of its to compared win. were XXXX. $XX of lower driven due helps to Casino for our by property our levels, floor main increase to mass. a billion EBITDAR net million quarter the quarter third In in to year. what, is from as by the of $XXX quarter.

was quarter compensation in Our year $XXX quarter anticipate million, less XX% profitability now million. approximately corporate share of our quarter to fourth to BetMGM. BetMGM's operating expense expense marking We full million be third corporate roughly at of first $XX bringing income $XXX the share-based

to related well adjustment upward as to the Cosmopolitan. agreement in integration signing incentive issue the and cybersecurity This of IT implementation expenses relates of to fees as the costs Japan related the related

the to X over years. commit we expect On front, the Japan, $X next development in billion approximately

expansion, York project all-in New $X We the projects fully which operations. cash through improvements approved, to fee. for also Our if flow be plan an generated $X.X expected these free invested and billion of license will at be billion, $XXX will our estimated million on by fund

free our flow per of algorithm it's share pretty and growth cash overview straightforward. an with conclude I'll

capital high-return our operational EBITDAR create more leverage operating than and by growing rent by projects performance, escalators. growing We growth and our X% margins. on deploying to we're our First, improving fixed EBITDAR committed focusing by core

Second, we'll evidenced our to our repurchase authorized the back Board. new billion buy by continue as share by shares program $X

In the cash addition is that, have share cash or on we're making to significant the more in growth as we growth With BetMGM, flow you. pipeline. to Bill, exciting horizon And turbocharge our back our cash free progress these with free repurchases per returning there to growth. share shareholders, flow X those and projects --

William Hornbuckle

we a accomplished, Formula about we of questions. company its X. has this in worst And to with through market Thanks, back to to But City what occupancy distress as went this of we've the proud track. ready with importantly, open what fundamentals we've Jonathan. this ago ongoing all as ever I'm back ourselves of before seen on some resiliency from I'm second just in event an our I hell think indicator one put our we of And employees. market, comments the Candidly, the on talk gone in of with month quarter, getting changed. biggest reminded have and in Cybertech. more for biggest We've the ever weekends history event seen went

so And Macau exceptionally proud has to team. fundamentally, of continues this well. do that marketplace changed. Very

long ultimately suite gained market and to we keep. we're going think it things, very development I given correct You've it unleash and to that I And will think have seen that. share midterm, on and about the Japan year, cylinders X% York haul, I in future, to there doing the in Bonvoy New think hopefully, and If that we're look I next I and the the product about about think about right all ability get members has kicking of the in excited. the the XXX million Marriott,

the And balance then sheet. ultimately,

we've fiduciaries. I think very good been

position has Jonathan that, the it. of in job will I invest and for managing And think company, I questions. note, this And the operator, do find great about things a with open a future done ourselves we think to and to up in. great

you. thank So

Operator

JPMorgan. with from is And Greff Instructions] question Joe first [Operator our

Joseph Greff

question mix Bay results. a Congratulations I as wants the the driver who talk for year? but for to as coming for you'll on group underappreciated for where next this next Convention anybody you take is growth kind back Maybe up for Las about Mandalay year for you in think Can of a Vegas? year. the this think for the And end group it. is mix Corey, Center a

Corey Sanders

Corey. is this Joe, Yes,

by it next space the year. is The think fully convention also second We will a of deal. be big renovated quarter

next to pick single-digit that at beauty with we are increase XXX,XXX rooms of We a still it. is extra that's high opportunities up ADR where today. to increase And compared expect to about there year the

Luxor, fills all, building the fills strategically, of South in benefit the all it which goes, a is to Excalibur, as as Strip us think I company. which that So

Joseph Greff

think might I then know to And going this Great. how I you're answer Bill. one,

expectations and night, quarterly have guys come isolation, that the expecting directionally FX. thought they internal of talk an expectations any what FX in recently. down I ratcheted EBITDAR. be down been incremental Red certain FX thought the would at least Caesars in Regarding Rock know said Can internal past that Last operator X% FX, for had you if casino for more about you're

of And end for the kind for you stab, where up being you you in think Las a all for that's FX to If could want me. Vegas? contribution take guys maybe

William Hornbuckle

question anyways. going someone I a if FX. Thanks, the it the appreciate ask experience to Club. We was sold Joe. wasn't I XX,XXX it, out because answer tickets Fountain to to sold going really cool over Bellagio We've with

location. in given unique anywhere I particularly think its sport, but extremely something whole the

Our for million average event in win. $XXX above hotel terms We're other above XX% theoretical we've rate over for revenue the weekend. do is the in over any of going it company. is And XX% incremental had to $XX

know is wood. has all happen and long to could quite But there's it understand understand the and long company going we to winner. a in opportunity weekend it been on Believe employees think, the for not I'm what be like get that the big traffic. our I knock incredible going me, But to we ultimately challenges. placed the nothing local, is, to I through. city it Now a I theoretical, it's have what without going been an are it. be term. for term, I think its It

something I back here. learn We week. It been money some for deal think to time Liberty going figure invested ultimately, long we're the it cherished great be only but "Yes, But it's not all things. by say, and to properties will to and be will a ultimately an of on There's by FX. out. look And exciting going a

Corey Sanders

database right to a event add event, company. our is our geared have location, for are that. premium for completely this truly a make is would up I and the what properties So, we luxury The this

Operator

Bank. from Carlo is Deutsche with question next The Santarelli

Carlo Santarelli

and drivers. obviously, about talked the of year Bill, outlook for lot lot a of favorable a next kind you

today the look kind of cyber and looking the it and quarter, get stuff nonevent whatnot. a the of business last from lot disruption at at and those do how periods year? do times, say, relative in the those to, -- As look how you I obviously, But

William Hornbuckle

how works, better you Look, most. Carlo and this know than

in We FIT, but short know have of terms window a we do events.

or Super when that's fact to least cetera. guarantee about we NFL it X a And is back It in so Formula that going haven't to for at to coming -- that fundamentally think continues And et business games, have the question, we back, had. I the think X I grow. town us team further around Bowl, going an foundation Carlos think about I forward convention, about prior

the We to to XX%, rate. that in base about convention obviously the get back continue of market XX% mix premium we're which our is

through so We, excited by learned And we're a that. of lot. COVID all

I XX%. market but know about our market this, share casino think you mix up, our generally, is

we so And continue I do we into Marriott to And make into can will lean a that heavily. that, at difference. believe lean scale

us, on I early the while and so that of for be wage other kind that, particularly of are feel pressures And real, forward but you are overcome in push the premiums to expect. here they Las hope or whether can confidence results tell I with insurance that bit Vegas or we every all

Carlo Santarelli

the I Nevada throughout That's Vegas baccarat super hold, table just in very if And industry for filings the side. was Obviously, the quarter helpful. saw we follow up. then Las on the high could which

of there in of the a period long And held numbers where guys reevaluating is, should be a ago, is quantifying And Game so hold? is from of time that's kind Any higher higher impact something for was outside well to kind holds driving the that's going forward? in second part changed X-part what the math, EBITDA theoretical You kind which there guys seems thought those question. -- of be? the any you consistently help

William Hornbuckle

on bets have we although and take over domestic But turn we it baccarat now the But taking give exciting. are bets on house. first I'll that want one, having in Corey there. couple and or every basically ever the lost. look, one surprise bets advantage they're the because to game don't Well, people There's said the fun I the had. of XX% There out Jonathan than to baccarat are business because advantage we want broader X we've second it no because of that, house more behalf of are

of market domestic. And little so in terms in play, versus shift shift definite in international a

very number there's think customers up I the quantum seen swing a more way historically of bounces out. all high some I've seen And mid-tier that a customers than high-end of thing we've all is through the other way versus who of very very, balance end. the itself the really this and to

that quarter I so you're well, of favor. as think some And in this obviously, our seeing volatility

Jonathan Halkyard

we've noted hold. takes relates, least out financial business, of the these domestic domestically get around tried the the detail. you that it We related going impact to to But the in and my as of Carlo of prepared as at to giving swings, did, to get we're And not puts business into remarks Macau. in

Operator

Bank question Shaun from Next is with of America. Kelley

Shaun Kelley

that in regional wondering, that and I across either the was kind at helped business? isolate fit some inflationary about just offset And sort if think improvements adjust the looks hold, what When like I does the what accrual, just versus kind we I were the impact including we it talked of between to this But look lot about, pressure cyber domestic kind margins margin do there union very a hear want else. with everything And a in to any out, expense operating last it was we going directionally on the for some the dig on into of if these, more we Obviously, if which good, stripped of were or both possible. we you're little or broad was us things of that seeing? Vegas. bit performance try there quarter. the you just able it just and to of of out happened and

Jonathan Halkyard

impact on flat up to in year-over-year quarter The in Vegas from cyber the for in about I market anticipated Shaun, both it's was impact Las markets Jonathan. when points. to and the regional related adjusting costs. third some of basis at mentioned the that sequentially in We it the or look Vegas impact agree. the quarter to was in labor We think those second whether the the XXX were incident margins margins third from comparisons. There accrual Las the in quarter our that increases you

correcting margin. margin good. the the sequentially So those, thought performance when year-over-year pretty for I and was

cybersecurity severe, margin than was from XXX it's less the impact less basis the regions, incident points. The

For continued But pretty increases that with in our a you number and of both business. reasons. more labor even adjustment, some that in margins labor low see compared actually can cost year-over-year some in that the XXs despite well, modest sequentially the regions and content

Shaun Kelley

Great.

As are, really premium on if more share just be more little But could. Macau. levels disclosed Hubert's well a We've if based just are the more what in if about It line for just seems around there. doing up you prepared a talk climate I the highest and on was yourselves quickly, on you what that you the promotional number that October don't of maybe bit remarks, my wondering like part seeing really comment the would there? I end structure or could somebody know bit mass, just bit follow-up, you about, and helpful? little guys and you're competitive picking about I the over margin Bill, talked a heard And in

William Hornbuckle

kick to why Hubert, don't since it you. we you up, we have

Zhi Qi Wang

I Shaun, Yes. Bill. promotion remain in you, Thank part, for the most pretty programs the think programs, the marketing Sure. rational. market

stable at level. after operators. of mass even reinvestment, own in the all terms And the premium pretty irrational quarter our stays We haven't behavior quarter seen it among

to the So the lot well. it's perspective, incremental that's that in what only of There events think not And also draw that into to a market a concerts and see town. people I lot of the as that from to general. are but us I

that. at it leave I So

Operator

The is question Katz from David with Jefferies. next

David Katz

I updated would you capital. context wanted about love discussions where returning to some of plus be, leverage adjusted just they'd And about have thoughts that than it's on just the We whether many and just in X, talk most -- with think a like how to that. cases, your lower cases, lease on perspective? management X I lower in X to teams about basis

Jonathan Halkyard

appreciate Sure. we deal the a question. It's Jonathan. lease I now basis, think of payments lease-adjusted about a great multiple by on the right something a Xx. It's suggesting And

Our leverage about It's turn below leverage a cap. talked we've X.Xx. what our as about is full

EBITDAR full for is So on a turn us $X over billion.

net We trading We've in that there. have and leverage aggressive enable . We would will the consider our order value additional that right repurchases. debt in these we I repurchases to been share say think now. in shares levels of at taking some is shares. certainly X further financial of on

we've and reason to we at the are higher more because we to we cash the in up seen level. in New Now just that be coming we that very some levels potentially increased resiliency of comfortable we that one course, have of depending And that flows with investments of and including But revenues is the here. Japan, of going of, have think, feel timing. mindful, in the leverage 'XX, diversification York, our upon the of

David Katz

importance too. dividends Understood. And follow-up, around among your we management love relevance. teams discussions and And if how I have how should can, sized just and with thoughts there, their also I'd they're and about my a number they as of peers be your thinking

Jonathan Halkyard

the at Yes. that the And best cash to our as through and doing do I think opposed returning repurchases right made made -- be to We've is way being, least predominant to the the it the us to dividends. has for XXXX our that's and of determination probably going shareholders method that now for Board share time into that that.

next see months. changing to in policy don't XX the ultimately. next the certainly expect dividend But in I So our will -- the Board

Operator

Politzer Wells with is question Fargo. next Dan The from

Daniel Politzer

your labor are be should aware about that should incident thinking next And about the investments mean, be to we or any anything plan the you think that in with any the next related IT a cybersecurity OpEx about following cost just think that way along First, as I of? just there then in uptick, it's else we guys property to that costs as quarter, to infrastructure we other updated for structure. follow-up this or year? than whether other insurance offset year,

William Hornbuckle

Dan, kick off. me let it

to the obviously, designed But go lot whole look now. forward. it a and systems at how As down we going lock and we've we're done relates how we're to to -- architecture

looking And at $XX sometime into next probably year so million million we're a capitalization. $XX or

of terms hardware and that into Cap In it. IT goes

are and overly OpEx, will know of of that couple range a meaningful. year. got to a ] by that they're of to XX the go we'll lot capital million do, is of captured things next generally find get there in CapEx, big XX% terms terms fresh, that don't remodels we [ fund, I in year $XXX The In A around XX% we've operating. but to general place this while keep

So expected to the the that strike we're and that request wage in greatly. all which program know about is talked add. with I Detroit, a increase you culinary, is being in that's think not similar Ultimately, I now Obviously, similar change might

you regional be insurance up has a in and In -- otherwise, percentage. 'XX since Those up in we'll it it's things be terms terms play. twofold. well, of and Las X the in up gone And fourfold our play is 'XX, cyber has in insurance, are percentage, biggest insurance will casinos. staggering thing probably of go to the even a the since But understand to gone for continued Vegas since

and So it, here and the we we closely. Las is number we overall minimis, in it's still watch of Vegas. what we're about particularly the de But overcome something think can pretty talking scale

Daniel Politzer

to game bigger Dubai, and I or deck, any timing, picture I the CapEx, be legalized And ownership there's Got full but as longer would any way have just path term, a just ownership, path the the back structure along with you level see then you do think there? then high And it. to in if mean, that, -- rendering obviously to getting realistic about to guess, way think That's of helpful? turning about helpful.

William Hornbuckle

mean, we I look, we've Yes. think Obviously, boots the on got so. ground.

think all very our Chair Commission I CEO the is is which you Gaming real. now understand former of there,

taken it. swag they've And so at a

into current we XX-odd Dubai visitors, the for obviously casino. We hotel all obvious You casino, we what That all it's familiar. million hospitality the they've The get To extent Wynn rooms. for know There's not doing. management only. is company we're like sounds XXX,XXX a have is management structure actually got a reasons.

just discussion. we potentially We somebody what casino. our today literally a existing but wants will that and to in know. do, on partner the to on know Or don't have equity. will lease the It ground look depends invest we partner We

so We And like and very participate be could and company with frankly, we're we'd for so meaningful the us. industry, front center in. to the something It's it's at and scale. there it think very

Operator

is Robin with question next The UBS. from Farley

Robin Farley

the a if understanding correctly. about, had question I I'm slides

And Vegas, said million, total we're $XX EBITDA have you about anything out I was because some -- would the was $XX it's other if little would like, so $XX same-store and that -- call would hold. else You thinking you decline we it down if a looks without even but issue. is guess, EBITDA there talked [ more guess is cyber to that due the quantify, you bit have ] I know cyber been been million -- about and won't issue. down the in million I without maybe

else you'd there? anything just call So out

Jonathan Halkyard

only year-over-year just that in occur. Not particular, differences

Sometimes it's gaming results. in

nothing would. called we Sometimes than particular things it's that in the we other elements, in out, cost that other but

William Hornbuckle

Programming. think quarter. I an obviously, was And particularly quarter XXXX, third all-time

just perspective. you've that got so to keep equal in And as an comparative,

Robin Farley

slides call Should of will a interested used to then an third just if iGaming maintain I you at you year just the as of follow-up, international the kind have potentially Great. hundred can that down level times if the looking in million we about of given of during we And opportunities. sort repurchase. of something end you a you a your Okay. repurchase liquidity saw different at think rate that I with know looking in should that you of And same repurchase, the couple by will iGaming be you're of here. about we up or continue this making acquisition it in at that I less that, think of conclude sign maybe, excess as amount kind think internationally? quarter, the the Helpful. rate, talked

William Hornbuckle

think, do. of brand, developed our think I and some Well, we've some about our they not and you If say We've good I got opportunity excited we've see highly look, what if brings. meaningful against, we go and to the that are, you're a but platform, share. up changed. can market, obviously, aggressive the referencing iGaming team position it's gotten in a and which by we're Entain, think LeoVegas best has Obviously, U.K. taken it's all

We're for look acquired gaming, now, had ourselves, or We We're push that and when to business of content the advent closely. other hopefully both to them. we're closely. countries other for We at places. Brazil take other European BetMGM looking that the for looking at purchase the obviously, they customers -- in we with

Gary so we'll LeoVegas leading is mostly expand to continue effort. we'll where and it -- to And through all goes. our that see enterprise, internationally. Fritz look

Robin Farley

last more expect XX%, necessarily you something BetMGM. talking invest same In week though positive. out, invest year would And guys doing you you talked about that assume words, other the venture they maintain have about that didn't we in you're even that the about then would said for I might you and they're you thinking call next And thing being And if to thought joint he but -- equally. how that about that that's would more, it? investing EBITDA

William Hornbuckle

Okay. Thanks, than more way love to I'd look, going it's us, to invest work. the that's Robin. not them And but

for with very side it not set, great product can our purpose that there. odds, that which a We months wallet single seen deal So we be and is, yes, for you've we'll that the will ads needed work as we by becoming will side. of business, be And think -- recognize, to do Parley we product bought we last very believe Angstrom, to put single be. account, the the quantum us of amount Tan out that relates and push in it over where invest XX around particularly wasn't us good a a sports

And so to we're business. what that's by acquisition excited and the that brought

$XX single get wallet then clearly dollars account. see wallet you We as product our we quantum think of and we've that goal. think we shooting to you expect believe, said therefore, talk will much another the where advantage and all is long-term how be? not But think do. really of the understood, you Las I of accomplished, scheme will thing we need of are it our your throughout be then in meaningful. won't to of begun network, like think been 'XX about omnichannel will when and kinds available And somebody Vegas about decisive invest. overall hoping be for more we end million a It's value to what's if sure going a principally invest once with the things which Where and make in first is to Nevada, been. single make quarter. this will large. But there. we Has to to here attained do as Ultimately, a I'm

invest and still guys noted purpose #X, and appropriately year -- I we to continue in we're Kings we've this Draft We're and we'll #X out, month. so although believe look, in these because And accordingly been iGaming. But still with year #X.

so very want got a to so. do we'll we've we to And big and position protect continue

Operator

mute. your question next is Barry Jonas on with from is perhaps The Securities. Jonas, phone Mr. Truist

Barry Jonas

Bowl color but up? curious on how if I appreciate any metrics FX, the shaping or provide Super is on commentary additional can you

William Hornbuckle

is we've seen Yes, where visitation great It's it on I'll of not single to about Bowl, America. off, interesting, deal a corporate surprise maybe Super FX, kick international with your Corey.

And so groups if taking it take in is terms you in a deal multiple just of Corey, great multiples showing up of inventory.

Corey Sanders

Yes.

Super programs actually large have booked for about we're the that at look the groups for you -- If double Bowl. FX, in

there. Bowl some casino Super seeing side. we're pretty and about leisure from ADR. driving optimistic strong a really us bring will what demand It's So for We're

Barry Jonas

Great. just And a Great. then as follow-up.

other database, across seeing look noticeable in? impact you the parts, of environment any your the markets from macro you or maybe are we're As parts

Corey Sanders

those the rated values ultimately trips been Barry, in in ADRs, top to line they've where be No, bottom seeing discussion line the to customer and -- past. continue we're come we book days necessarily to think down regionals, regional we any not as what seem wait And Detroit at really the I the strong. we'll at but regional margin. I anything will the but not And bottom keeping least then elevated and to things than in come about just we we'll always think, margins, line will see out of do. can happens that line, see more be suggest obviously, that. top it like going here, in

Operator

question with is next The John from CBRE. DeCree

John DeCree

shift one Macau. to to Maybe more back

Macau discussion as If the a the recovery you in us. in with trends macroeconomic along issues nicely lot are for whole. There's about tracking still of a were still market in obviously China.

on your Hong we see to as the leg forward. get But the then and recovery China be And of to leg Macau differences seems Kong and back specifically, thoughts more then consumer on is of of the there So that. in curious [indiscernible] recovery. Curious recovery still to you airlift and Obviously, Macau place next the views playing your broadly how the a next out? more march

Unknown Executive

Go ahead, Hubert.

Zhi Qi Wang

Yes. Thanks, Jon, for question. your

consistent GGR year a for their the is government is this I year. with going consensus market all, And well. as USD around we entire Macau, year, of for at XX and number And for quite The looking next first billion issued that, session. think their the I own our the belief, budget expectation I our next recovery believe think continue. are during forecast that to

average visitation year. visitations in in very scheme spending China. population reflection town, GDP about in trough, macroeconomic half less million window the at long-term X% Yes. some of In GDP or of at than believe softness is I it's the which . We, pattern think growth -- I if the to a of as number that. small period. X%, is cater to unique China, is the still The probably grand overall growth Now Macau is China. look there situation. average a XX around The in is its that But the not you of a

if the, China, the in in in consumption really and So class and upper mass to the we China, report group you class. the talk team cater the refer can to different. would base say, middle very there I recent of the even is a the about is economic And high-income middle also

the mass continued income seen see goods have at group, you high purchase growth You on luxury a the decline. while

to to capture what do is So market. is into I trying is there, concession the the that government think with cater the spending. Macau along and high group to think group their to I with And positioned visitation that every this

think I So question, answers that I -- Jon. your hope

John DeCree

labor, have of helpful. and inflation borne been excluding kind ahead, looking of already? like a from feel about, on the one which Yes. commented insurance Couple But it about, talked forward? impacts appreciate Does months U.S. we've Jonathan visibility of guess, inflation great. maybe Or OpEx? property I a for the your that. what questions next Maybe you just cost Bill, couple expect back where big on is have visibility? Hubert very I that's do over folks inflationary of your have being it Bill a the going OpEx commentary, lot or as you on and you've for follow-up. that talked that one different outlook

Jonathan Halkyard

couple insurance, Jonathan. setting it's in a our Yes, and more -- businesses. than it pronounced way, setting moment a labor Thanks, Jonas. is even properties regional in is of in a which aside cost our Vegas for Las it's

the in team be so Corey range low overall single for in of they've our cost digits. can in -- quarters. inflation our . expect Vegas that same his been our against and but have several past maintain and at business We our impact core dozens the And of margins to inputs time, the -- initiatives the Las that that is on structure we some minimize

can we So use of is the quite impact offset that. thing to in that we levers have few Las Vegas, the a

that the other costs. can confident hold on we those again, line setting we're labor So aside, the

Operator

is with next Macquarie. question from Beynon Chad The

Chad Beynon

that to where not full this Marriott getting for now to lower-yielding us guys? thinking a spent I see delayed replacing you a busy it 'XX in rooms about enough start just it few Marriott we just customers. we're the right just of city impact that Or about ago, maybe of Bill, of update does terms launches. we're positive for direct when know be the benefit, of should beyond in since benefit overall an And a we you that kind a as real more slightly that appear will lot calls Can 'XX. partnership. talked give was those how you on If the and time that is 'XX strategic catalyst and

William Hornbuckle

No.

pretty the we've window with they make this because clear they sure 'XX think because it's even much can of a over want there's They cetera. next months. to obviously little I everything in But else. et Vegas, think with booking mirrored seen it because I go cycle Cosmopolitan the points, their group is earlier line a couple for use Las

for we by we'll it, little fourth launch $XX have remember, ramps think million cycle group that feel real we're year, third and what take business. is of year, that And this -- think think it to I and quickly. time it's given and discussion part a activity the good of be once first year, a more it different to in will the time be obvious looking $XX The So we of for the ought nature incremental. million fairly quarter going next And I next to we provide.

to believe And the nothing even there's candidly, that. there's won't despite delay recognize believe or we to nothing realize

Chad Beynon

Okay. Great.

terms one bookings -- periods. Lunar and that that that same Year seen of the and event in terms of to Lunar you 'XX of come Super coinciding a that play in time, positive Bowl is respect in Have we [ that? over lower I the ]? New little Another Bowl any just same from international with Super Year. box bit New closer are around believe to some indication given Does a from should expect

William Hornbuckle

up. line Well, do yes, they

the few it's But that. years change that can't I they do. So one of

gone continue international XXXX. and play has see think what I believe seen So and you'll we'll into think increasing as see, ] will tear it [ on, it we've back I hopefully

going game very a spectacle. or who see want a don't folks guests well think lot football know football inviting or whether at a of I necessarily we're to see to

And some overlap there's it. yes, to so

minute guess we positive. period, But holiday a pretty fairly frankly say react coming. this they feel of and tell. the than too customers I'm last Most other those just I early It's but at to quickly which is,

about case so the know like. more And days ] XX activity [ what days, look XX really will out, we'll

Corey Sanders

a for expand over does it little week. holiday, that for bit And a

that maximize we to the we separate So sure Bowl party make Super the will both opportunities.

Chad Beynon

appreciate compounding Hopefully, effect. it. there's I a

Operator

last Jordan is from with Securities. question And Bender JMP the today

Jordan Bender

calls on maybe But past given just the CapEx if about talked maybe and of a it requirement, base in to make part expand position? end just the -- the relocation sense is there asset is that. potentially your strip south liquidity does of on We've the

William Hornbuckle

them their I yesterday. through team to here So in important. won the they literally was that. and coming. And The get There Nevada their to with on their for the be obviously, think, update, vote excited petition week, have a to was down. They which are owner court They slow XXth case this I was is, owners.

and so which the spectacular, actually And me was I add. they design, -- showed might

Tropin by I legacy excited this Las and see think the is, MGM needs at the Look, Vegas the all about it of end brand. attention, old corner It's rethink years Boulevard. we're It's front particularly of particularly, some So on our you'll mentioned XX briefly, It's of note. that. I've intersection.

us you'll And so there. see I invest think

will. of this I our us think connected architect the yesterday. with it corner see invest about the you'll in with in make up people saw I in already really concert theirs move that. going to see thing and design the we the we extent to talk think And I air, synergistic that all way around and kind We've and of

over not if the time, to Vegas things of I we'd foolish it's continues think Las doing, to. do be kinds been

Operator

any back our remarks. to for closing session. Bill Hornbuckle like Ladies I to turn and gentlemen, question-and-answer conference would the this concludes over

William Hornbuckle

the I Thanks, you next coming I your appreciate getting I let's this. week, in patience our just I to all. because [indiscernible] and to fun anyone appreciate ultimately, operator. cyberattack. I everyone's have for want us. out made trust at here my Thank call us Again, racing with earlier. us for want comments to Talker through staff go some

Operator

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

You may disconnect. now

MGM Resorts International (MGM) 8 Nov 232023 Q3 Earnings call transcript