EX-99.1 2 d918825dex991.htm EX-99.1 EX-99.1

Exhibit 99.1

 

LOGO

 

 

MGM RESORTS INTERNATIONAL REPORTS FIRST QUARTER

FINANCIAL RESULTS

MGM Resorts International Strengthens its Financial Position Through Conversion of its

4.25% Convertible Senior Notes and a CityCenter $400 Million Special Dividend

Las Vegas, Nevada, May 4, 2015 — MGM Resorts International (NYSE: MGM) today reported financial results for the quarter ended March 31, 2015.

“I am pleased to report that net income attributable to MGM Resorts increased by 65% and earnings per share increased by $0.13 year over year. MGM Resorts achieved Las Vegas Strip REVPAR growth of 1% over a very robust prior year quarter comparison of 14%. Our regional properties achieved strong EBITDA growth of 10% year over year, while MGM China maintained market share. With the anticipated difficult comparison of the first quarter behind us, we continue to see strong forward trends for the rest of the year in Las Vegas,” said Jim Murren, Chairman & CEO of MGM Resorts International. “We are actively improving our balance sheet with the recent announcement of a special dividend and regular dividend policy from CityCenter, the conversion of approximately $1.45 billion in convertible notes into equity and the agreement to amend and extend MGM China’s credit facility.”

Key results for the first quarter of 2015 include the following:

 

   

Net revenue at the Company’s wholly owned domestic resorts was $1.6 billion, an increase of half a percent compared to the prior year quarter;

   

Slots revenue at wholly owned domestic resorts increased 5% compared to the prior year quarter;

   

Rooms revenue at wholly owned domestic resorts increased 2% with a 1% increase in REVPAR(1) at the Company’s Las Vegas Strip resorts compared to the prior year quarter;

   

The Company’s wholly owned domestic resorts earned Adjusted Property EBITDA(2) of $390 million, a 3% decrease compared to the prior year quarter, partially due to a decrease in table games hold percentage;

   

MGM China’s net revenue was $630 million and Adjusted EBITDA was $148 million, a decrease of 33% and 38% compared to the prior year quarter, respectively; and

   

CityCenter earned Adjusted EBITDA related to resort operations of $82 million, a 14% decrease compared to the prior year quarter, due primarily to a decrease in table games revenues.

First Quarter Consolidated Results

Diluted earnings per share for the first quarter of 2015 was $0.33 compared to diluted earnings per share of $0.20 in the prior year first quarter.

The following table lists certain other items that affect the comparability of the current and prior year quarterly results (approximate EPS impact shown, net of tax, per share; negative amounts represent charges to income):

 

Three months ended March 31,    2015     2014  

Preopening and start-up expenses

   $ (0.02   $ (0.01

Income from unconsolidated affiliates:

    

Harmon-related property transactions, net

     0.09          

 

Page 1 of 11


Wholly Owned Domestic Resorts

Casino revenue related to wholly owned domestic resorts increased 1% compared to the prior year quarter due primarily to a 5% increase in slots revenue as a result of a 9% increase in slots volume at the Company’s regional resorts. Table games hold percentage in the first quarter of 2015 was 20.1% compared to 20.8% in the prior year quarter, which negatively affected Adjusted Property EBITDA by approximately $8 million.

Rooms revenue increased 2% compared to the prior year quarter with Las Vegas Strip REVPAR up 1%. The following table shows key hotel statistics for the Company’s Las Vegas Strip resorts:

 

Three months ended March 31,    2015     2014  

Occupancy %

     90     92

Average Daily Rate (ADR)

   $ 152      $ 147   

Revenue per Available Room (REVPAR)

   $ 136      $ 135   

Food and beverage revenue increased 1% as a result of increased convention and banquet business and the opening of several new outlets. Entertainment revenue decreased 6% due primarily to a decrease in in-house shows and timing of certain arena events. Operating income for the Company’s wholly owned domestic resorts decreased 3% compared to the prior year quarter.

MGM China

Key first quarter results for MGM China include the following:

 

   

MGM China earned net revenue of $630 million, a 33% decrease compared to the prior year quarter;

   

Main floor table games revenue decreased 13% compared to the prior year quarter;

   

VIP table games revenue decreased 45% due to a decrease in VIP table games turnover of 51% compared to the prior year quarter, while hold percentage increased to 3.3% in the current year quarter compared to 3.0% in the prior year quarter;

   

MGM China’s Adjusted EBITDA was $148 million, a decrease of 38% compared to the prior year quarter, including $11 million of license fee expense in the current year quarter compared to $16 million in the prior year quarter; and

   

Operating income was $72 million compared to $165 million in the prior year quarter.

MGM China paid a $400 million dividend in March 2015, of which $204 million was distributed to MGM Resorts and $196 million was distributed to noncontrolling interests.

Income from Unconsolidated Affiliates

In April 2015, CityCenter Holdings, LLC (“CityCenter”) announced a $400 million special dividend and the adoption of an annual distribution policy, pursuant to which it will make annual distributions of up to 35% of excess cash flow subject to approval by the CityCenter board of directors. The special dividend was paid on April 30, 2015. MGM Resorts received $200 million, its 50% share of the special dividend.

 

Page 2 of 11


The following table summarizes information related to the Company’s share of income from unconsolidated affiliates:

 

Three months ended March 31,    2015      2014  
     (In thousands)  

CityCenter

   $ 101,601       $ 14,046   

Borgata

     11,983         3,839   

Other

     3,797         4,730   
  

 

 

    

 

 

 
   $ 117,381       $ 22,615   
  

 

 

    

 

 

 

CityCenter’s results included a $160 million gain related to proceeds received pursuant to a global settlement agreement with Perini Building Company, Inc. (“Perini”) and the remaining Perini subcontractors entered into in December 2014, which resolved all outstanding project lien claims and CityCenter’s counterclaims relating to the Harmon Hotel and Spa (“Harmon”), combined with certain Harmon-related insurance settlement proceeds. Excluding the impact from this gain, the Company’s income from unconsolidated affiliates related to CityCenter was $22 million for the first quarter of 2015, compared to $14 million in the prior year quarter.

Results for CityCenter for the first quarter of 2015 include the following (see schedules accompanying this release for further detail on CityCenter’s first quarter results):

 

   

Net revenue from resort operations decreased by 4% to $300 million compared to $313 million in the prior year quarter;

   

Adjusted EBITDA from resort operations was $82 million, a decrease of 14% compared to the prior year quarter;

   

Aria’s table games hold percentage was 24.3% compared to 26.8% in the prior year quarter, negatively affecting Adjusted EBITDA by approximately $6 million;

   

Slots revenue at Aria increased 6% compared to the prior year quarter;

   

Aria’s REVPAR was a record $219, a 4% increase compared to the prior year quarter;

   

Vdara reported record first quarter Adjusted EBITDA led by record REVPAR of $174; and

   

Crystals reported record Adjusted EBITDA of $12 million, an increase of 6% from the prior year quarter.

CityCenter reported operating income of $182 million, including the gain from the Harmon settlement, for the first quarter of 2015 compared to operating income of $5 million in the prior year quarter.

Financial Position

“Pro forma for the conversion of the convertible notes in April, MGM Resorts consolidated net debt decreased to $10.9 billion, lowering our consolidated leverage ratio to approximately 5 times,” said Dan D’Arrigo, Executive Vice President, CFO and Treasurer of MGM Resorts International. “With the conversion of the convertible notes into equity, distributions from MGM China and CityCenter and continued free cash flow growth, we are confident that we will be able to continue to improve our balance sheet as we execute on our future growth projects.”

The Company’s cash balance at March 31, 2015 was $2.2 billion, which included $469 million at MGM China. At March 31, 2015, the Company had $2.7 billion of borrowings outstanding under its $3.9 billion senior secured credit facility and $953 million outstanding under the $2.0 billion MGM China credit facility. On April 15, 2015, 99.97% of the Company’s $1.45 billion 4.25% convertible senior notes were converted into shares of the Company’s common stock.

Conference Call Details

MGM Resorts International will host a conference call at 11:00 a.m. Eastern Time today which will include a brief discussion of these results followed by a question and answer period. The call will be accessible via the Internet through www.mgmresorts.com under the Investors section or by calling 1-888-317-6003 for domestic callers and 1-412-317-6061 for international callers. The conference call access code is 1535291. A replay of the call will be available through Tuesday, May 12, 2015. The replay may be accessed by dialing 1-877-344-7529 or 1-412-317-0088. The replay access code is 10064559. The call will be archived at www.mgmresorts.com.

 

3


1             REVPAR is hotel revenue per available room.

2             “Adjusted EBITDA” is earnings before interest and other non-operating income (expense), taxes, depreciation and amortization, preopening and start-up expenses and property transactions, net. “Adjusted Property EBITDA” is Adjusted EBITDA before corporate expense and stock compensation expense related to the MGM Resorts stock option plan, which is not allocated to each property. MGM China recognizes stock compensation expense related to its stock compensation plan which is included in the calculation of Adjusted EBITDA for MGM China. Adjusted EBITDA information is presented solely as a supplemental disclosure to reported GAAP measures because management believes these measures are 1) widely used measures of operating performance in the gaming industry, and 2) a principal basis for valuation of gaming companies.

Management believes that while items excluded from Adjusted EBITDA and Adjusted Property EBITDA may be recurring in nature and should not be disregarded in evaluation of the Company’s earnings performance, it is useful to exclude such items when analyzing current results and trends compared to other periods because these items can vary significantly depending on specific underlying transactions or events that may not be comparable between the periods being presented. Also, management believes excluded items may not relate specifically to current operating trends or be indicative of future results. For example, preopening and start-up expenses will be significantly different in periods when the Company is developing and constructing a major expansion project and will depend on where the current period lies within the development cycle, as well as the size and scope of the project(s). Property transactions, net includes normal recurring disposals, gains and losses on sales of assets related to specific assets within the Company’s resorts, but also includes gains or losses on sales of an entire operating resort or a group of resorts and impairment charges on entire asset groups or investments in unconsolidated affiliates, which may not be comparable period over period.

In addition, capital allocation, tax planning, financing and stock compensation awards are all managed at the corporate level. Therefore, management uses Adjusted Property EBITDA as the primary measure of the Company’s operating resorts’ performance.

Reconciliations of GAAP net income (loss) to Adjusted EBITDA and GAAP operating income (loss) to Adjusted Property EBITDA are included in the financial schedules in this release.

*        *        *

About MGM Resorts International

MGM Resorts International (NYSE: MGM) is 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. The Company is in the process of developing MGM National Harbor in Maryland and MGM Springfield in Massachusetts. The Company also owns 51 percent of MGM China Holdings Limited, which owns the MGM Macau resort and casino and is developing a gaming resort in Cotai, and 50 percent of CityCenter in Las Vegas, which features ARIA Resort & Casino. For more information about MGM Resorts International, visit the Company’s website at www.mgmresorts.com.

Statements in this release that are not historical facts are forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995 and involve risks and/or uncertainties, including those described in the Company’s public filings with the Securities and Exchange Commission. The Company has based forward-looking statements on management’s current expectations and assumptions and not on historical facts. Examples of these statements include, but are not limited to, statements regarding future business trends in the Las Vegas market, the Company’s ability to generate free cash flow growth and execute on future growth projects, dividends the Company will receive from MGM China or CityCenter and future amendments and extensions to MGM China’s credit facility. These forward-looking statements involve a number of risks and uncertainties. Among the important factors that could cause actual results to differ materially from those indicated in such forward-looking statements include effects of economic conditions and market conditions in the markets in which the Company operates and competition with other destination travel locations throughout the United States and the world, the design, timing and costs of expansion projects, risks relating to international operations, permits, licenses, financings, approvals and other contingencies in connection with growth in new or existing jurisdictions and additional risks and uncertainties described in the Company’s Form 10-K, Form 10-Q and Form 8-K reports (including all amendments to those reports). In providing forward-looking statements, the Company is not undertaking any duty or obligation to update these statements publicly as a result of new information, future events or otherwise, except as required by law. If the Company updates one or more forward-looking statements, no inference should be drawn that it will make additional updates with respect to those other forward-looking statements.

 

MGM RESORTS CONTACTS:   

Investment Community

   News Media

SARAH ROGERS

   CLARK DUMONT

Vice President Investor Relations

   Senior Vice President of Corporate Communications

(702) 693-8654

   (702) 692-6888 or cdumont@mgmresorts.com

 

Page 4 of 11


MGM RESORTS INTERNATIONAL AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATIONS

(In thousands, except per share data)

(Unaudited)

 

     Three Months Ended  
     March 31,
2015
    March 31,
2014
 

Revenues:

    

Casino

   $ 1,278,502      $ 1,583,432   

Rooms

     459,425        452,386   

Food and beverage

     384,101        383,392   

Entertainment

     125,968        133,777   

Retail

     45,037        44,616   

Other

     126,550        125,427   

Reimbursed costs

     101,060        94,975   
  

 

 

   

 

 

 
     2,520,643        2,818,005   

Less: Promotional allowances

     (188,399     (187,607
  

 

 

   

 

 

 
     2,332,244        2,630,398   
  

 

 

   

 

 

 

Expenses:

    

Casino

     782,808        990,834   

Rooms

     141,313        134,238   

Food and beverage

     221,521        220,058   

Entertainment

     96,999        98,937   

Retail

     24,096        23,476   

Other

     84,323        87,577   

Reimbursed costs

     101,060        94,975   

General and administrative

     328,173        319,246   

Corporate expense

     50,356        53,351   

Preopening and start-up expenses

     15,871        5,636   

Property transactions, net

     1,589        558   

Depreciation and amortization

     206,412        207,655   
  

 

 

   

 

 

 
     2,054,521        2,236,541   
  

 

 

   

 

 

 

Income from unconsolidated affiliates

     117,381        22,615   
  

 

 

   

 

 

 

Operating income

     395,104        416,472   
  

 

 

   

 

 

 

Non-operating income (expense):

    

Interest expense, net of amounts capitalized

     (216,262     (209,387

Non-operating items from unconsolidated affiliates

     (19,011     (22,215

Other, net

     (3,490     (1,434
  

 

 

   

 

 

 
     (238,763     (233,036
  

 

 

   

 

 

 

Income before income taxes

     156,341        183,436   

Benefit for income taxes

     56,305        2,664   
  

 

 

   

 

 

 

Net income

     212,646        186,100   

Less: Net income attributable to noncontrolling interests

     (42,796     (83,448
  

 

 

   

 

 

 

Net income attributable to MGM Resorts International

   $ 169,850      $ 102,652   
  

 

 

   

 

 

 

Per share of common stock:

    

Basic:

    

Net income attributable to MGM Resorts International

   $ 0.35      $ 0.21   
  

 

 

   

 

 

 

Weighted average shares outstanding

     491,422        490,542   
  

 

 

   

 

 

 

Diluted:

    

Net income attributable to MGM Resorts International

   $ 0.33      $ 0.20   
  

 

 

   

 

 

 

Weighted average shares outstanding

     575,312        513,144   
  

 

 

   

 

 

 

 

Page 5 of 11


MGM RESORTS INTERNATIONAL AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(In thousands, except share data)

(Unaudited)

 

     March 31,
2015
     December 31,
2014
 
ASSETS   

Current assets:

     

Cash and cash equivalents

   $ 2,195,535       $ 1,713,715   

Cash deposits - original maturities longer than 90 days

     —           570,000   

Accounts receivable, net

     461,751         473,345   

Inventories

     103,286         104,011   

Income tax receivable

     7,725         14,675   

Prepaid expenses and other

     188,310         151,414   
  

 

 

    

 

 

 

Total current assets

     2,956,607         3,027,160   
  

 

 

    

 

 

 

Property and equipment, net

     14,561,951         14,441,542   

Other assets:

     

Investments in and advances to unconsolidated affiliates

     1,661,444         1,559,034   

Goodwill

     2,898,127         2,897,110   

Other intangible assets, net

     4,309,206         4,364,856   

Other long-term assets, net

     411,112         412,809   
  

 

 

    

 

 

 

Total other assets

     9,279,889         9,233,809   
  

 

 

    

 

 

 
   $ 26,798,447       $ 26,702,511   
  

 

 

    

 

 

 
LIABILITIES AND STOCKHOLDERS’ EQUITY   

Current liabilities:

     

Accounts payable

   $ 187,325       $ 164,252   

Construction payable

     125,720         170,439   

Current portion of long-term debt

     —           1,245,320   

Deferred income taxes, net

     70,552         62,142   

Accrued interest on long-term debt

     184,205         191,155   

Other accrued liabilities

     1,327,959         1,574,617   
  

 

 

    

 

 

 

Total current liabilities

     1,895,761         3,407,925   
  

 

 

    

 

 

 

Deferred income taxes, net

     2,547,150         2,621,860   

Long-term debt

     14,551,810         12,913,882   

Other long-term obligations

     150,691         130,570   

Stockholders’ equity:

     

Common stock, $.01 par value: authorized 1,000,000,000 shares, issued and outstanding 491,335,813 and 491,292,117 shares

     4,913         4,913   

Capital in excess of par value

     4,192,684         4,180,922   

Retained earnings (accumulated deficit)

     61,941         (107,909 ) 

Accumulated other comprehensive income

     13,580         12,991   
  

 

 

    

 

 

 

Total MGM Resorts International stockholders’ equity

     4,273,118         4,090,917   

Noncontrolling interests

     3,379,917         3,537,357   
  

 

 

    

 

 

 

Total stockholders’ equity

     7,653,035         7,628,274   
  

 

 

    

 

 

 
   $ 26,798,447       $ 26,702,511   
  

 

 

    

 

 

 

 

Page 6 of 11


MGM RESORTS INTERNATIONAL AND SUBSIDIARIES

SUPPLEMENTAL DATA - NET REVENUES

(In thousands)

(Unaudited)

 

     Three Months Ended  
     March 31,
2015
     March 31,
2014
 

Bellagio

   $ 301,936       $ 319,856   

MGM Grand Las Vegas

     264,826         261,664   

Mandalay Bay

     226,935         219,384   

The Mirage

     142,505         148,248   

Luxor

     86,955         83,693   

New York-New York

     75,884         72,968   

Excalibur

     67,261         67,573   

Monte Carlo

     71,867         68,611   

Circus Circus Las Vegas

     51,384         48,725   

MGM Grand Detroit

     133,315         133,148   

Beau Rivage

     86,940         82,426   

Gold Strike Tunica

     39,835         36,919   

Other resort operations

     28,252         27,019   
  

 

 

    

 

 

 

Wholly owned domestic resorts

     1,577,895         1,570,234   
  

 

 

    

 

 

 

MGM China

     630,087         941,448   

Management and other operations

     124,262         118,716   
  

 

 

    

 

 

 
   $ 2,332,244       $ 2,630,398   
  

 

 

    

 

 

 

MGM RESORTS INTERNATIONAL AND SUBSIDIARIES

SUPPLEMENTAL DATA - ADJUSTED PROPERTY EBITDA

(In thousands)

(Unaudited)

 

  

  

  

  

     Three Months Ended  
     March 31,
2015
     March 31,
2014
 

Bellagio

   $ 89,167       $ 105,149   

MGM Grand Las Vegas

     65,206         62,233   

Mandalay Bay

     53,988         56,000   

The Mirage

     30,520         35,419   

Luxor

     17,299         17,978   

New York-New York

     24,593         25,627   

Excalibur

     16,542         18,890   

Monte Carlo

     20,056         19,895   

Circus Circus Las Vegas

     7,833         5,309   

MGM Grand Detroit

     33,612         33,366   

Beau Rivage

     18,390         14,641   

Gold Strike Tunica

     11,550         9,567   

Other resort operations

     1,123         (1,228 ) 
  

 

 

    

 

 

 

Wholly owned domestic resorts

     389,879         402,846   
  

 

 

    

 

 

 

MGM China

     148,456         240,725   

Unconsolidated resorts(1)

     117,381         22,615   

Management and other operations

     16,317         19,852   
  

 

 

    

 

 

 
   $ 672,033       $ 686,038   
  

 

 

    

 

 

 

 

(1)

Represents the Company’s share of operating income (loss), adjusted for the effect of certain basis differences.

 

Page 7 of 11


MGM RESORTS INTERNATIONAL AND SUBSIDIARIES

RECONCILIATION OF OPERATING INCOME TO ADJUSTED PROPERTY EBITDA AND ADJUSTED EBITDA

(In thousands)

(Unaudited)

Three Months Ended March 31, 2015

 

     Operating
income (loss)
    Preopening and
start-up
expenses
    Property
transactions, net
    Depreciation
and
amortization
     Adjusted
EBITDA
 

Bellagio

   $ 66,337      $ —        $ 197      $ 22,633       $ 89,167   

MGM Grand Las Vegas

     46,726        —          (10 )      18,490         65,206   

Mandalay Bay

     35,321        —          259        18,408         53,988   

The Mirage

     17,874        54        (1 )      12,593         30,520   

Luxor

     7,762        (1 )      50        9,488         17,299   

New York-New York

     19,672        (307 )      264        4,964         24,593   

Excalibur

     12,909        —          (19 )      3,652         16,542   

Monte Carlo

     14,314        —          517        5,225         20,056   

Circus Circus Las Vegas

     3,802        231        —          3,800         7,833   

MGM Grand Detroit

     27,739        —          —          5,873         33,612   

Beau Rivage

     11,859        —          —          6,531         18,390   

Gold Strike Tunica

     8,622        —          —          2,928         11,550   

Other resort operations

     893        —          —          230         1,123   
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

 

Wholly owned domestic resorts

     273,830        (23 )      1,257        114,815         389,879   
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

 

MGM China

     72,366        3,071        332        72,687         148,456   

Unconsolidated resorts

     116,708        673        —          —           117,381   

Management and other operations

     14,114        267        —          1,936         16,317   
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

 
     477,018        3,988        1,589        189,438         672,033   
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

 

Stock compensation

     (7,579 )      —          —          —           (7,579 ) 

Corporate

     (74,335 )      11,883        —          16,974         (45,478 ) 
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

 
   $ 395,104      $ 15,871      $ 1,589      $ 206,412       $ 618,976   
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

 
Three Months Ended March 31, 2014   
     Operating
income (loss)
    Preopening and
start-up
expenses
    Property
transactions, net
    Depreciation
and
amortization
     Adjusted
EBITDA
 

Bellagio

   $ 81,851      $ —        $ (21 )    $ 23,319       $ 105,149   

MGM Grand Las Vegas

     40,932        197        (8 )      21,112         62,233   

Mandalay Bay

     34,411        802        (2 )      20,789         56,000   

The Mirage

     22,592        —          147        12,680         35,419   

Luxor

     8,807        3        (1 )      9,169         17,978   

New York-New York

     20,887        55        244        4,441         25,627   

Excalibur

     15,455        —          (1 )      3,436         18,890   

Monte Carlo

     14,014        915        3        4,963         19,895   

Circus Circus Las Vegas

     1,537        —          (11 )      3,783         5,309   

MGM Grand Detroit

     27,654        —          —          5,712         33,366   

Beau Rivage

     8,166        —          —          6,475         14,641   

Gold Strike Tunica

     6,365        —          —          3,202         9,567   

Other resort operations

     (1,769 )      —          —          541         (1,228 ) 
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

 

Wholly owned domestic resorts

     280,902        1,972        350        119,622         402,846   
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

 

MGM China

     164,589        2,408        (104 )      73,832         240,725   

Unconsolidated resorts

     22,596        19        —          —           22,615   

Management and other operations

     16,961        —          —          2,891         19,852   
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

 
     485,048        4,399        246        196,345         686,038   
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

 

Stock compensation

     (6,699 )      —          —          —           (6,699 ) 

Corporate

     (61,877 )      1,237        312        11,310         (49,018 ) 
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

 
   $ 416,472      $ 5,636      $ 558      $ 207,655       $ 630,321   
  

 

 

   

 

 

   

 

 

   

 

 

    

 

 

 

 

Page 8 of 11


MGM RESORTS INTERNATIONAL AND SUBSIDIARIES

RECONCILIATION OF ADJUSTED EBITDA TO NET INCOME ATTRIBUTABLE TO MGM RESORTS INTERNATIONAL

(In thousands)

(Unaudited)

 

     Three Months Ended  
     March 31,
2015
    March 31,
2014
 

Adjusted EBITDA

   $ 618,976      $ 630,321   

Preopening and start-up expenses

     (15,871 )      (5,636 ) 

Property transactions, net

     (1,589 )      (558 ) 

Depreciation and amortization

     (206,412 )      (207,655 ) 
  

 

 

   

 

 

 

Operating income

     395,104        416,472   
  

 

 

   

 

 

 

Non-operating income (expense):

    

Interest expense, net of amounts capitalized

     (216,262 )      (209,387 ) 

Other, net

     (22,501 )      (23,649 ) 
  

 

 

   

 

 

 
     (238,763 )      (233,036 ) 
  

 

 

   

 

 

 

Income before income taxes

     156,341        183,436   

Benefit for income taxes

     56,305        2,664   
  

 

 

   

 

 

 

Net income

     212,646        186,100   

Less: Net income attributable to noncontrolling interests

     (42,796 )      (83,448 ) 
  

 

 

   

 

 

 

Net income attributable to MGM Resorts International

   $ 169,850      $ 102,652   
  

 

 

   

 

 

 

MGM RESORTS INTERNATIONAL AND SUBSIDIARIES

SUPPLEMENTAL DATA - HOTEL STATISTICS - LAS VEGAS STRIP

(Unaudited)

 

     Three Months Ended  
     March 31,
2015
    March 31,
2014
 

Bellagio

    

Occupancy%

     88.2 %      92.3 % 

Average daily rate (ADR)

   $ 268      $ 262   

Revenue per available room (REVPAR)

   $ 236      $ 242   

MGM Grand Las Vegas

    

Occupancy%

     91.9 %      95.2 % 

ADR

   $ 171      $ 160   

REVPAR

   $ 157      $ 152   

Mandalay Bay

    

Occupancy%

     90.2 %      92.3 % 

ADR

   $ 210      $ 202   

REVPAR

   $ 189      $ 186   

The Mirage

    

Occupancy%

     90.0 %      94.6 % 

ADR

   $ 173      $ 170   

REVPAR

   $ 155      $ 161   

Luxor

    

Occupancy%

     92.2 %      93.3 % 

ADR

   $ 105      $ 102   

REVPAR

   $ 97      $ 95   

New York-New York

    

Occupancy%

     97.6 %      97.9 % 

ADR

   $ 134      $ 126   

REVPAR

   $ 131      $ 124   

Excalibur

    

Occupancy%

     89.9 %      91.2 % 

ADR

   $ 85      $ 82   

REVPAR

   $ 77      $ 75   

Monte Carlo

    

Occupancy%

     95.1 %      96.0 % 

ADR

   $ 122      $ 116   

REVPAR

   $ 116      $ 111   

Circus Circus Las Vegas

    

Occupancy%

     76.8 %      74.8 % 

ADR

   $ 69      $ 63   

REVPAR

   $ 53      $ 47   

 

Page 9 of 11


CITYCENTER HOLDINGS, LLC

SUPPLEMENTAL DATA - NET REVENUES

(In thousands)

(Unaudited)

 

     Three Months Ended  
     March 31,
2015
     March 31,
2014
 

Aria

   $ 238,855       $ 253,689   

Vdara

     27,842         26,250   

Crystals

     17,357         16,752   

Mandarin Oriental

     16,011         16,441   
  

 

 

    

 

 

 

Resort operations

     300,065         313,132   

Residential operations

     18,174         23,285   
  

 

 

    

 

 

 
   $ 318,239       $ 336,417   
  

 

 

    

 

 

 

CITYCENTER HOLDINGS, LLC

RECONCILIATION OF ADJUSTED EBITDA TO NET INCOME (LOSS)

(In thousands)

(Unaudited)

 

     Three Months Ended  
     March 31,
2015
    March 31,
2014
 

Adjusted EBITDA

   $ 85,140      $ 95,058   

Preopening and start-up expenses

     —          —     

Property transactions, net

     159,689        (2,575 ) 

Depreciation and amortization

     (63,223 )      (87,520 ) 
  

 

 

   

 

 

 

Operating income

     181,606        4,963   
  

 

 

   

 

 

 

Non-operating income (expense):

    

Interest expense - other

     (18,178 )      (22,852 ) 

Other, net

     173        (2,313 ) 
  

 

 

   

 

 

 
     (18,005 )      (25,165 ) 
  

 

 

   

 

 

 

Net income (loss)

   $ 163,601      $ (20,202 ) 
  

 

 

   

 

 

 

CITYCENTER HOLDINGS, LLC

SUPPLEMENTAL DATA - HOTEL STATISTICS

(Unaudited)

 

     Three Months Ended  
     March 31,
2015
    March 31,
2014
 

Aria

    

Occupancy%

     89.8 %      92.0 % 

ADR

   $ 244      $ 229   

REVPAR

   $ 219      $ 211   

Vdara

    

Occupancy%

     91.1 %      89.5 % 

ADR

   $ 190      $ 185   

REVPAR

   $ 174      $ 165   

 

Page 10 of 11


CITYCENTER HOLDINGS, LLC

RECONCILIATION OF OPERATING INCOME (LOSS) TO ADJUSTED EBITDA

(In thousands)

(Unaudited)

Three Months Ended March 31, 2015

 

     Operating
income (loss)
    Preopening
and start-up
expenses
     Property
transactions,
net
    Depreciation
and
amortization
    Adjusted
EBITDA
 

Aria

   $ 14,767      $ —         $ 287      $ 45,706      $ 60,760   

Vdara

     (195     —           —          7,835        7,640   

Crystals

     4,849        —           4        6,822        11,675   

Mandarin Oriental

     (1,407     —           —          3,040        1,633   
  

 

 

   

 

 

    

 

 

   

 

 

   

 

 

 

Resort operations

     18,014        —           291        63,403        81,708   

Residential operations

     4,149        —           —          35        4,184   

Development and administration

     159,443        —           (159,980     (215     (752
  

 

 

   

 

 

    

 

 

   

 

 

   

 

 

 
   $ 181,606      $ —         $ (159,689   $ 63,223      $ 85,140   
  

 

 

   

 

 

    

 

 

   

 

 

   

 

 

 
Three Months Ended March 31, 2014  
     Operating
income (loss)
    Preopening
and start-up
expenses
     Property
transactions,
net
    Depreciation
and
amortization
    Adjusted
EBITDA
 

Aria

   $ 7,556      $ —         $ 1,307      $ 65,629      $ 74,492   

Vdara

     (2,951     —           —          10,225        7,274   

Crystals

     4,233        —           79        6,742        11,054   

Mandarin Oriental

     (2,710     —           —          4,719        2,009   
  

 

 

   

 

 

    

 

 

   

 

 

   

 

 

 

Resort operations

     6,128        —           1,386        87,315        94,829   

Residential operations

     2,607        —           1,114        205        3,926   

Development and administration

     (3,772     —           75        —          (3,697
  

 

 

   

 

 

    

 

 

   

 

 

   

 

 

 
   $ 4,963      $ —         $ 2,575      $ 87,520      $ 95,058   
  

 

 

   

 

 

    

 

 

   

 

 

   

 

 

 

 

Page 11 of 11