MGM China sees 25% growth, but Golden Week fails to deliver

February 13, 2025

MGM China sees 25% growth, but Golden Week fails to deliver

MGM China has posted record financial results for 2024, driven by strong casino performance and Macau’s ongoing recovery from pandemic-era restrictions.

In its freshly published earnings report, the firm reported a full-year segment adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) to $1.1 billion (€1.02 billion), reflecting a 25 percent increase from the previous year. Annual revenues surged to $4.0 billion (€3.71 billion), up 28 percent compared to 2023, demonstrating a sustained growth in the region’s gaming sector.

For the fourth quarter, MGM China recorded $1.0 billion (€927 million) in revenues, marking a 4 percent year-on-year increase. However, quarterly EBITDA fell by 3 percent to $255 million (€236 million), suggesting a slight margin contraction. The company’s casino revenues reached $885 million (€820 million), a 4 percent improvement from the previous year, bolstered by strong gaming demand.

Golden Week fails to deliver

The key highlight of the performance of main floor table games. Despite a 5 percent drop in total bets placed, winnings from table games rose 5 percent, reaching $918 million (€851 million), with a higher win percentage of 25.6 percent (up from 23.3 percent in 2023). This reflects an improved hold rate, allowing MGM China to maximise returns despite a slight decline in total wagering activity.

However, MGM China executives observed that Golden Week fell short of expectations. Despite this, MGM China’s Chief Operating Officer, Hubert Wang, emphasised the company’s ability to sustain strong performance. He noted that Chinese New Year saw an extended period of high activity, with a significant share of players arriving after the official holiday period—a trend more pronounced than in 2024.

Business volume in the second week of Chinese New Year, he added, remained nearly as strong as the first. Even during Golden Week, MGM China experienced an 18 percent increase in traffic at its two integrated resorts compared to Chinese New Year 2024.

Gaming volume beyond all predictions

Company executives noted that gaming volume also surpassed last year’s Chinese New Year levels, with market share remaining stable.

MGM Resorts CEO and President, Bill Hornbuckle, also highlighted the strong performance during Chinese New Year, pointing to notable gains in market share, visitor numbers, and overall gaming wins.

MGM China also reported an $18 million (€16.7 million) intercompany branding licence fee for Q4, up from $17 million (€15.8 million) in 2023. The company’s strong full-year performance played a significant role in MGM Resorts International’s record-breaking annual revenues of $17.2 billion (€15.95 billion), making MGM China a key driver of growth for the parent company.

With Macau’s gaming industry showing signs of steady stabilisation, MGM China is now setting its sights on further expansion in 2025, aiming to capitalise on the region’s ongoing recovery and growing demand.