URGENT UPDATE: MGM Resorts International has just reported a staggering $285 million net loss for the third quarter of 2025, causing shares to plunge over 5% in after-hours trading. The disappointing results stem from ongoing weakness on the Las Vegas Strip and substantial one-time charges linked to the company’s exit from its Empire City project.
In a recent earnings report, MGM revealed consolidated net revenues of $4.3 billion, a mere 2% increase compared to the prior year. However, the company attributed its downturn to a $256 million non-cash goodwill impairment and $93 million in write-offs due to its withdrawal from the New York casino license bid.
Operating results in Las Vegas, MGM’s primary revenue source, were particularly grim. Net revenues at Strip resorts decreased by 7% to $2 billion, driven by ongoing renovations at MGM Grand, underperformance in table games, and softer revenue from food and beverages. Segment adjusted EBITDAR fell 18% to $601 million, with analysts noting that budget-oriented properties like Luxor and Excalibur faced the most significant pressure.
On a positive note, MGM China recorded a 17% revenue surge to $1.1 billion, bolstered by strong performance in mass-market table games. EBITDAR in the region rose by 20% to $284 million, highlighting Macau as one of the few bright spots amid the downturn.
MGM Digital also showed promising results, posting a 23% revenue increase to $174 million, while narrowing its adjusted loss to $23 million.
Despite the troubling figures, CEO Bill Hornbuckle expressed optimism about the company’s diversification strategies and growth in Asia and digital sectors. He projected that the BetMGM business would contribute at least $100 million in cash distributions beginning in Q4.
MGM CFO Jonathan Halkyard echoed this sentiment, noting signs of stabilization on the Strip, especially with the return of convention visitors and the nearing completion of room renovations at MGM Grand. The recent sale of MGM Northfield Park’s operations reflects a strategic realignment towards premium integrated resorts, he added.
Notably, MGM’s decision to withdraw from the New York downstate casino license contest marked a significant strategic shift, as the company assessed that expanding Empire City into a full-scale casino was no longer economically viable.
As the company navigates these challenges, it remains committed to improving profit margins and investing in Las Vegas and Macau. Investors and stakeholders will be closely watching future developments as MGM works to turn these results around.
Stay tuned for more updates on this developing story.
