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    MGM
    Earnings call· Jun 2026(Q2 FY26)

    MGM Resorts International Q2 FY26 earnings call MGM

    Jul 29, 2026 Source

    Executive summary

    MGM Resorts International Q2 FY26 — Record Revenue & Strategic Luxury Investments

    MGM Resorts delivered a strong second quarter, marked by record consolidated net revenue and robust performance across its Las Vegas, regional, and digital segments. The company is strategically investing in luxury experiences and event-driven demand in Las Vegas, while Macau shows a strong rebound post-World Cup disruption. Digital operations are progressing towards profitability, and the Osaka integrated resort development remains on time and on budget, positioning MGM for continued positive momentum.

    Highlights

    5

    • The company delivered record second quarter consolidated net revenue, driven by strong performance across segments.

    • Regional operations achieved an all-time best same-store quarterly revenue, with record casino revenues and slot win.

    • MGM Digital reported 20% year-over-year revenue growth, making progress towards profitability.

    • Las Vegas Strip Resorts saw a second consecutive quarter of year-over-year revenue growth, with group and convention business delivering a 20% room mix and record Q2 convention ADR and catering/banquet revenue.

    • MGM China outperformed the market, increasing its market share to 16.4% sequentially.

    Concerns

    3

    • Macau volumes were temporarily impacted in June by the World Cup, though an immediate rebound was observed in July.

    • The lower-end leisure segment in Las Vegas, particularly Luxor and Excalibur, remains challenged, despite positive reactions to all-inclusive offers.

    • Las Vegas visitor volume is still down 3.5 million from its all-time peak, with international travel yet to fully recover.

    Guidance & targets

    7
    CategoryTargetConfidence
    Las Vegas Group & Convention Room Mix
    20%
    medium materiality
    High
    MGM Digital EBITDA Losses
    less than last year
    medium materiality
    Medium
    Osaka Funding Commitment
    $125 million to $175 million
    medium materiality
    High
    Osaka Capital Commitments
    approximately $1 billion
    high materiality
    High
    Osaka Capital Commitments
    approximately $1 billion
    high materiality
    High
    Osaka Opening
    Fall 2030
    high materiality
    High
    MGM Digital European Business Operating Leverage
    significant operating leverage and likely substantial levels of profitability
    medium materiality
    Medium

    Segment performance

    4
    SegmentRevenueYoYQoQMargin
    Las Vegas Strip Resorts
    Revenue bolstered by solid group and convention business and strong attendance at city events. Recovery at MGM Grand was a main driver, benefiting from remodeled room inventory and a hold benefit. Luxury segment remains strong, while lower-end properties (Luxor, Excalibur) are challenged but supported by all-inclusive offers.
    Group and convention room mix: 20% in Q2Convention ADR: highest second quarter in historyCatering and banquet revenue: highest second quarter in history
    		record second quarter consolidated net revenue (driven by LV)second consecutive quarter of year-over-year revenue growth—EBITDAR up $25 million
    Regional Operations
    Continued solid performance, with several properties delivering record results. Benefits seen from recent upgrades and improvements in high-limit gaming areas. Results include less than one month of operations from Northfield Park.
    Casino revenues: all-time same-store record quarterlySlot win: all-time same-store record quarterlySlot handle growth (same-store): 4%Slot win growth (same-store): 3%Borgata revenue: record Q2Beau Rivage revenue: all-time record quarterly
    		all-time best same-store quarterly revenue———
    MGM China
    Outperformed the market while maintaining solid market share. Capital investment program (suite conversions, renovated premium gaming areas) continues to yield strong results. Confident in sustaining current margin levels.
    Market share: 16.4% (sequential increase of a full percentage point)Volumes and earnings: solid in April and MayVolumes: dipped in June (World Cup), rebounded in JulyGGR: normalized GGR exceeded Q1 levels in July
    		———Operating margins: mid-20s to high 20s (sustainable)
    MGM Digital
    Drove healthy growth in net revenues and continues to build brand awareness while focusing on disciplined growth. European businesses (LeoVegas and BetMGM branded) are setting up for significant operating leverage and profitability in 2027, which will finance growth in Brazil.
    BetMGM North America iGaming segment growth: 8% in Q2BetMGM North America handle per active growth: 7% (H1 FY26)BetMGM North America NGR per active growth: 9% (H1 FY26)BetMGM North America online sports handle per active growth: 18% (H1 FY26)BetMGM North America online sports NGR per active growth: 17% (H1 FY26)
    		—20%—Segment adjusted EBITDAR losses: $31 million

    Operational metrics

    20
    Share buyback amount
    $164 million
    Q2 FY26

    Amount of shares repurchased during the quarter.

    Shares repurchased
    4.3 million
    Q2 FY26

    Number of shares bought back in the quarter.

    Average share buyback price
    $37
    Q2 FY26

    Average price paid for shares repurchased in the quarter.

    Share count reduction
    nearly 50%
    Last 5 years

    Cumulative reduction in share count over the past five years.

    All-inclusive offer room nights booked
    over 30,000
    Since launch (4 months ago)

    Volume of room nights booked through the all-inclusive experience at Luxor and Excalibur.

    All-inclusive offer first-time visitors
    nearly half
    Since launch (4 months ago)

    Percentage of guests booking the all-inclusive offer who are first-time visitors to MGM.

    Las Vegas visitor volume vs. peak
    down 3.5 million
    Current vs. all-time peak

    The current visitor volume in Las Vegas compared to its historical peak.

    Osaka funding spent to date
    $600 million
    To date

    Total capital spent on the Osaka project as of the call date.

    Osaka foundation piles completion
    over 60%
    To date

    Progress on the foundation piles for the Osaka project.

    MGM China operating margins
    mid-20s to high 20ssustainable
    Quarterly (since pandemic)

    Consistent operating margin range for MGM China, which management expects to sustain.

    Las Vegas occupancy range
    90%
    Historical

    Historical occupancy range the company has been able to maintain in Las Vegas.

    Las Vegas Strip EBITDAR increase
    $25 millionYoY
    Q2 FY26

    Year-over-year increase in EBITDAR for Las Vegas Strip Resorts, driven by recovery at MGM Grand.

    BetMGM North America iGaming segment growth
    8%
    Q2 FY26

    Growth rate for the iGaming segment of BetMGM in North America.

    BetMGM North America handle per active growth
    7%
    H1 FY26

    Growth in handle per active user for BetMGM North America's iGaming business.

    BetMGM North America NGR per active growth
    9%
    H1 FY26

    Growth in Net Gaming Revenue per active user for BetMGM North America's iGaming business.

    BetMGM North America online sports handle per active growth
    18%
    H1 FY26

    Growth in handle per active user for BetMGM North America's online sports business.

    BetMGM North America online sports NGR per active growth
    17%
    H1 FY26

    Growth in Net Gaming Revenue per active user for BetMGM North America's online sports business.

    MGM Digital segment adjusted EBITDAR losses
    $31 million
    Q2 FY26

    Adjusted EBITDAR losses reported by the MGM Digital segment for the quarter.

    Alberta deposits (total)
    8,500
    Early performance

    Total number of deposits recorded in Alberta since the launch of BetMGM.

    Alberta deposits (prior MGM relationship)
    almost 1,000
    Early performance

    Number of deposits in Alberta from customers who previously had a relationship with MGM, indicating omnichannel benefits.

    Industry KPIs

    2
    MetricValueDetails
    Comparable sales comps4% (handle), 3% (win)%
    Group booking pace booking window20%%

    Product announcements

    9
    ProductTypeDetails
    Bellagio Convention and Public Areasupdate
    ARIA and The Cosmopolitan Room Remodelsroadmap
    Beau Rivage and Borgata Premium Lounge Offeringsupdate
    Borgata Room Remodelupdate
    Alpha Villas at MGM Macaulaunch
    MGM Cotai Renovated Suitesupdate
    MGM Macau 100 Suitesroadmap
    BetMGM In-house Sports Book in Swedenlaunch
    BetMGM Launch in Albertalaunch

    Deals & partnerships

    1
    People IncorporatedUnsolicited offer for MGM Resorts International

    MGM's Board of Directors has formed a special committee of independent directors to evaluate the proposed transaction. Management stated they could not answer questions on this topic.

    Risks & headwinds

    4
    Macau volumes temporarily impacted by World CupJune FY26

    volumes dipped in June

    Mitigation: Volumes rebounded immediately post-tournament in July.

    Lower-end leisure segment in Las Vegas challengedQ2 FY26

    Luxor and Excalibur remain challenged

    Mitigation: Deploying all-inclusive offers to support occupancies and forward bookings, which has shown positive reaction and attracted new customers.

    Las Vegas visitor volume below peak

    down 3.5 million visitors from all-time peak

    Mitigation: Focus on attracting international travel, leveraging events, and driving demand through packages and new experiences.

    Competitive pressure in sports betting

    unrestrained spending and legally burdened predictive market participants

    Mitigation: BetMGM's online sports strategy focuses on player management and disciplined acquisition, resulting in growth per handle and NGR per active.

    What to watch in Q3 FY26

    5

    Macau Volume Rebound

    next quarter
    Currentvolumes rebounded post tournament throughout the month of July
    TargetContinued strong GGR and visitation

    Why it matters

    Indicates sustained recovery in a key international market and validates management's view of the World Cup impact as transitory📎.

    While the World Cup temporarily impacted June volumes in Macau, this was a transitory📎 event rather than a secular shift. Our confidence is reinforced by the immediate and encouraging rebound in volumes observed post tournament throughout the month of July.

    Q&A highlights

    8

    Can you provide more color on the cadence of Las Vegas performance in Q2 and July, and how recent initiatives are helping?

    April and May were strong, with May being exceptionally strong due to events. June was more challenged, but July has been good. Healthy group business, major events, and all-inclusive packages (for Luxor/Excalibur) have contributed to stability and positive momentum, though the company acknowledges work is needed for Q4.

    “April and May were strong. May was exceptionally strong, driven by events and other activity. In April, we had our $10 million baccarat tournament, which was extremely successful. June was more challenged. I think it's the summer heat picked up and we got into the real throes of summer. July, on the other hand, has been good.”

    asked by Dan Politzer · answered by William Hornbuckle

    2 min read6 chapters

    Detailed Narrative

    01

    People Incorporated Offer Evaluation

    MGM Resorts' Board of Directors has formed a special committee of independent directors to evaluate the unsolicited offer received from People Incorporated. The committee is consulting with independent outside advisers to determine the best course of action for the company and its shareholders. Management stated they could not answer further questions on this topic during the call.

    02

    Las Vegas Strategic Investments & Market Dynamics

    The company is elevating its commitment to luxury by investing growth capital into reimagining customer experiences and convention areas, including the Bellagio. Room remodels for ARIA and The Cosmopolitan are also planned. Las Vegas is seen as the world stage for premier hospitality and entertainment, with MGM leveraging events like the Players Era basketball tournament in November to drive demand. The market benefits from a healthy group business and a robust event calendar, though the lower-end segment and international visitation still present challenges.

    03

    Regional Operations & Capital Deployment

    Regional operations continued their strong performance, achieving an all-time best revenue quarter on a same-store basis. Targeted capital investments are being made across the regional portfolio, including enhancing premium lounge offerings at Beau Rivage and Borgata, and a room remodel beginning at Borgata. These investments have already driven record revenues at properties like Borgata and Beau Rivage, contributing to overall regional success.

    04

    MGM China Outperformance & Investment

    MGM China continued to outperform the Macau market, maintaining a solid market share of 16.4%. Despite a temporary dip in June due to the World Cup, volumes rebounded strongly in July. The company's capital investment program, including the debut of ultra-luxury Alpha Villas at MGM Macau, expanded premium mass offerings, and newly renovated suites at MGM Cotai, continues to yield strong results. Design work has commenced on approximately 100 new suites at MGM Macau to further cater to evolving consumer preferences.

    05

    MGM Digital Growth & Profitability Path

    MGM Digital reported double-digit revenue growth and is making progress towards profitability. The European LeoVegas and BetMGM branded businesses are expected to achieve significant operating leverage and profitability in 2027, which will help finance growth in Brazil. The company successfully launched its in-house sports book in Sweden and saw encouraging early performance from its launch in Alberta, Canada, leveraging its omnichannel presence.

    06

    Osaka Integrated Resort Development

    Construction of the Osaka integrated resort continues to reach milestones on a timely basis, remaining on time and on budget for a Fall 2030 opening. Underground work is over 60% complete, and the main structure is taking shape. MGM views this as the greatest greenfield opportunity globally and is the only licensee in Japan.

    AI-generated summary of the company’s earnings call. Not investment advice.