Macau – MGM China Holdings Limited, an investment holding company principally engaged in the development and operation of casino games of chance in Macau, has today spoke out about the recent financial figures for the first quarter of 2020 during the Covid-19 pandemic.
According to MGM Resorts International, there has been a decline in revenues of more than 60% year on year to $272 million to 31st March 2020.
The news comes after MGM Resorts announced a bond offering to the tune of $750 million in order to increase the firm’s liquidity during the ongoing pandemic.
These figures are preliminary with the full complete quarter results being released next week. However, also included was the 88%+ decline in Earnings before interest, taxes, depreciation, and amortization to $22 million for MGM China.
MGM Resorts International stated:
‘Several travel and entry restrictions in Macau, Hong Kong and certain cities and regions in mainland China remain in place, significantly impacting visitation to our Macau properties, which continue to have a material impact on MGM China’s results of operations’.
There are currently two operating casino properties in Macau under the MGM China subsidiary: MGM MACAU, a 35-story, 600-room casino resort in Sé owned and operated as a 50–50 joint venture between MGM Resorts International and Pansy Ho and MGM COTAI, a luxury resort and casino in the Cotai Strip opened in February 2018.
MGM Resorts concluded by stating that its operating expenses was approximately $270 million per month excluding MGM China and MGM Growth Properties; a real estate investment trust that invests in large-scale destination entertainment and leisure resorts.