MGM China on track for US$1.1bn in GGR in 4Q24

According to the banking group Jefferies, revenue is expected to increase 7 per cent in the fourth quarter of 2024. 

Macau.- Investment bank Jefferies shared a memo Tuesday (January 14) indicating it expected MGM China to report a 7 per cent quarter-on-quarter GGR increase to HKD8.5bn (US$1.1bn) in its fourth-quarter 2024 results.

The institution added this would be “higher” than the Macau industry’s anticipated 3 per cent sequential GGR expansion. “We believe (MGM China) gained market share thanks to strong performance from the VIP segment,” wrote Jefferies analysts Anne Ling and Jingjue Pei.

According to the note, MGM China should report Adjusted EBITDA of around HK$2bn (US$250m) for the quarter ending December 31, 2024, representing a 5 per cent quarter-on-quarter increase.

Such quarter-on-quarter Adjusted EBITDA growth would be slower than MGM China’s GGR growth as they budget for more operating expenses such as the Poly MGM Museum at MGM Macau that opened November 24 and the ‘Macau 2049′ show, launched in December 2024, said Jefferies.

They forecast MGM China’s fourth-quarter GGR market share to reach 15.8 per cent, up 1.0 percentage points from the third quarter’s 14.8 per cent.

The company’s results are due for release on February 13, 2025.

Last report

In October, MGM China shared its financial results for the third quarter of the year. Net revenue was HK$7.25bn (US$929m), up 14 per cent year-on-year but down 9 per cent sequentially.

Casino revenue was up 12 per cent year-on-year to US$800m. The main floor table games drop was US$3.4m, reflecting a 4 per cent increase when compared to the third quarter of 2023. The main floor table games win was US$858m, up 21 per cent year-on-year.

The casino operator reported record property earnings before interest, taxes, depreciation, amortisation and restructuring (EBITDAR) of HK$1.98bn (US$237m), up 8 per cent year-over-year but down 19 per cent on the second quarter of the year.

According to the company, the current quarter was “positively affected by the recovery of operations after the removal of Covid-19 related travel and entry restrictions in the first quarter of 2023″.

According to the banking group Jefferies, revenue is expected to increase 7 per cent in the fourth quarter of 2024.  Macau.- Investment bank Jefferies shared a memo Tuesday (January 14)…