In the second quarter of 2025, MGM Resorts announces an unprecedented $4.4 billion in consolidated income.
In a significant move, MGM Resorts International reported record consolidated net revenues of $4.4 billion for the second quarter of 2025, marking a 1.8% increase year-over-year. This growth was primarily driven by strong EBITDA growth in MGM China, Regional Operations, and its BetMGM joint venture.
Despite the revenue growth, the company experienced a significant net income decline of 58.2% to $118.09 million, and earnings per share (EPS) dropped sharply by 70% to $0.18. The decline was primarily caused by a $208 million foreign currency transaction loss tied to USD-denominated debt held by a foreign subsidiary.
Growth Drivers
MGM China achieved an all-time record segment Adjusted EBITDAR and increased market share to 16.6%. The company's Regional Operations posted record net revenues, while the BetMGM joint venture delivered strong revenue and EBITDA growth, progressing towards its $500 million EBITDA goal.
The BetMGM joint venture rebounded with significant momentum, producing $21.8 million in operating income for MGM Resorts compared to a $38.4 million loss in Q2 2024. MGM China's casino revenue grew by 10% to $977 million, driven by growth in main floor table game activity and higher win percentages in VIP play.
Las Vegas Operations
While the overall company saw growth, Las Vegas revenues declined about 4% year-over-year due primarily to the ongoing MGM Grand room remodel and a decrease in table game revenues. The MGM Grand, which is undergoing renovations, saw a decline in revenue in the Las Vegas Strip Resorts.
Financial Details
Casino revenue reached $2.33 billion. Rooms segment revenue was $860.4 million. Food and beverage contributed $778.2 million. Entertainment, retail, and other revenues added $436.5 million. Consolidated adjusted EBITDA rose 2% to $647.5 million year-over-year. Long-term debt reduced slightly to $6.21 billion.
Share Buyback
The repurchase of 8 million shares in Q2 reflects MGM’s strategy to return capital to shareholders and reduce share count substantially since 2021. MGM Resorts still has $2.1 billion authorized for future share repurchases.
CFO Jonathan Halkyard reaffirmed the company’s $150 million EBITDA enhancement target for 2025 and emphasized robust convention bookings and capital investments, including the completion of MGM Grand's room remodel, as catalysts for growth.
MGM Resorts International expects continued strength in Las Vegas later in 2025 and into 2026, supported by these capital investments and solid convention bookings. The company also anticipates future profitability from its MGM Digital segment.
Despite the challenges, MGM Resorts International's pragmatic approach, as highlighted by Halkyard, seems to be guiding the company towards a promising future.
Casinos, both within MGM Resorts International and the BetMGM joint venture, contributed to growth, with the latter delivering strong revenue and EBITDA growth, aiming to reach a $500 million EBITDA goal. The casino revenue in MGM China specifically increased by 10%. On the other hand, the Las Vegas operations saw a decline in casino revenues due to the ongoing MGM Grand room remodel and a decrease in table game revenues.
