MGM Resorts Posts Loss for Fourth Quarter 2012


MGM Grand, Las Vegas StripMGM Resorts International reported financial results for the fourth quarter and full year ended Dec. 31, 2012. Loss per share for the fourth quarter of 2012 was $2.50 compared to a loss per share of $0.23 in the prior year fourth quarter.

"2012 was a transformational year for MGM Resorts International highlighted by major improvements in our financial position, significant progress on future growth opportunities and strengthening of our company culture.  We closed the year with strong fourth quarter results driven by a 5 percent increase in wholly owned domestic resorts EBITDA," said Jim Murren, MGM Resorts International Chairman and CEO. "We are off to a great start in 2013, with our Cotai land recently gazetted, a $500 million special dividend announced by MGM China, and solid events thus far in Las Vegas including Super Bowl and Chinese New Year."

Key results for the fourth quarter of 2012 include the following:

Consolidated net revenue was $2.3 billion in both the current and prior year quarter;

Consolidated casino revenue increased 1 percent compared to the prior year quarter;

Rooms revenue at wholly owned domestic resorts increased 2 percent with a 1 percent increase in hotel revenue per available room at the Company's Las Vegas Strip resorts;

Adjusted Property earnings before interest and other non-operating income (expense), taxes, depreciation and amortization was $505 million compared to $482 million in the prior year quarter;

The Company's wholly owned domestic resorts earned Adjusted Property EBITDA of $334 million, a 5 percent increase compared to the prior year quarter;

MGM China's Adjusted EBITDA was $176 million, a 1 percent increase compared to the prior year quarter;

CityCenter's Adjusted EBITDA related to resort operations was $68 million, a 17 percent increase compared to the prior year quarter; and

Consolidated operating loss was $425 million compared to operating income of $91 million in the fourth quarter of 2011, impacted by significant impairment charges in each period.

"We achieved several financial milestones in 2012, culminating with the refinancing transactions in December which allowed us to lower interest expense by over $200 million annually," said Dan D'Arrigo, MGM Resorts International Executive Vice President, CFO and Treasurer.