MGM China Posts 2016 Third Quarter Financial Data
Nov 7, 2016
Adjusted EBITDA Rose 24% Sequentially Margin Grew to 33% Demonstrates Solid Execution and Operational Efficiency
HONG KONG, Nov. 7, 2016 /PRNewswire/ -- MGM China Holdings Limited ("MGM China" or the "Company"; SEHK Stock Code: 2282) today the selected unaudited financial data of the Company and its subsidiaries (the "Group") for the three months ended September 30, 2016 (the "Period").
- During the Period, MGM China recorded total revenue of HK$3.9 billion, increased by 11% from the second quarter. Adjusted EBITDA was up 24% sequentially to HK$1.3 billion. For the Period, Macau's gross gaming revenue (GGR) grew by approximately 7% sequentially.
- The Group's EBITDA margin grew to 33% for the Period as a result of business mix and cost management, a 350bps improvement from in the second quarter. Main floor business accounted for nearly 80% of the Group's profit.
- For the Period, main floor table games win increased by 13% sequentially, compared to Macau mass market growth of approximately 8%. Hotel rooms at MGM MACAU achieved an occupancy rate of 95.7% during the Period with revenue per available room (REVPAR) of HK$2,157.
- VIP table games win increased by 3% sequentially. VIP table games turnover was increased by 5%, in line of the market. VIP table games win percentage was 3.0%, compared to 3.1% in the second quarter.
- The Group continues to see stability in the main-floor business. We are undergoing a remodeling of main floor at MGM MACAU to pursue diversification including creating additional retail space and upgrading our food and beverage experiences.
- We continue to move full steam ahead with the construction of MGM COTAI. The MGM brand resonates with visitors worldwide, and we are highly focused on growing our customer database and infrastructure to ensure success when we open our second resort in this dynamic marketplace in the second quarter of 2017. The budget remains approximately HK$24 billion.
Grant Bowie, Chief Executive Officer and Executive Director of MGM China said: "Operating efficiency is a core strategy as we continue to demonstrate over the years. We focus on customer acquisition both on mass gaming and non-gaming leisure business, continue to drive operational excellence and to develop our shared capabilities.
"We are excited to the opening of MGM COTAI, a first of its kind integrated resort with technology and entertainment offerings. We believe it will be well received by the market and we are confident to capture the growth opportunities of Macau."
About MGM China Holdings Limited
MGM China (HKEx: 2282) is a leading developer, owner and operator of gaming and lodging resorts in the Greater China region. We are the holding company of MGM Grand Paradise, SA which holds one of the six gaming concessions/subconcessions to run casino games in Macau. MGM Grand Paradise, SA owns and operates MGM MACAU, the award-winning premium integrated resort located on the Macau Peninsula and is developing a second resort, MGM COTAI which is expected to more than double our presence in the world's largest gaming market, Macau.
MGM China is majority owned by MGM Resorts International (NYSE: MGM) one of the world's leading global hospitality companies, operating a portfolio of destination resort brands including Bellagio, MGM Grand, Mandalay Bay and The Mirage. For more information about MGM Resorts International, visit the Company's website at www.mgmresorts.com.
For further enquiries, please contact:
MGM China Holdings Limited
Sidney Luk - Vice President of Investor Relations
Tel: (853) 8802 1886 / (852) 2587 8632