MGM Resorts International released an earnings update amid the growing coronavirus (Covid-19) pandemic, revealing that its revenue has decreased in the first two months of 2020. However, the operator also said that net income has increased by 500 times more because of the sale of the MGM Grand and Mandalay Bay venues.
The coronavirus pandemic has resulted in the closure of all commercial casinos in the USA this month. All casinos in Macau were also ordered to shut down for 15 days last February.
MGM Resorts saw revenue go down by 10% year-on-year over the first two months of 2020, mostly due to the closure of casinos and general slowdown of incoming customers in Macau. This closure has led to MGM declining to release an earning guidance for 2020, with its 2019 results.
Earnings before interest, tax, depreciation, amortization, and restructuring (EBITDAR) went up by 24%, or 27% of Circus Circus, which was sold on December last year, is removed from 2019’s figures.