About Circus Circus Casinos, Inc.
MGM Resorts International is one of the world's largest gaming firms. The company's properties include some of the biggest names on the Las Vegas Strip, including MGM Grand, The Mirage, and the Monte Carlo, as well as Luxor, Bellagio, Mandalay Bay, and the new T-Mobile Arena. MGM Resorts International also owns or has a stake in other casinos in Nevada, as well as in Michigan (MGM Grand Detroit) and Mississippi (Beau Rivage). Internationally, it operates in Macau, an autonomous Chinese territory famed for gambling. MGM Resorts has a controlling stake in MGM Growth Properties, which it spun off in 2016 to hold 11 hotel and casino properties, including several in Las Vegas.
MGM Resorts International's hotels boast a combined 47,900 rooms, of which 41,400 are held by its domestic hotels, 5,900 by its CityCenter joint venture, and 600 by its Macau operations. It also has more than 2 million square feet of casino space, more than 27,000 slot machines, and nearly 1,900 gaming tables.
MGM's casino operations generate around half its total revenue, its hotel rooms generate 20%, and food and drink brings in 15%.
MGM Resort Internationals' two main reportable segments are based on the regions in which it operates: Domestic Resorts and MGM China. MGM Resorts' China operations consist of two sites in Macau: MGM Macau resort and casino and MGM Cotai, a casino, hotel, and entertainment resort on the Cotai strip. Domestic Resorts accounts for more than 75% of sales, while MGM China accounts for 20% (a Corporate segment occupies the remainder).
Sales and Marketing
MGM Resorts International advertises on the radio, television, internet, billboards, and in newspapers and magazines in selected cities throughout the US and overseas. MGM Resorts also uses direct mail and social media to reach out to past guests and potential customers. The company advertises through regional marketing offices located in major cities.
MGM Resorts International has struggled to meaningfully grow its revenue over the last five years -- up one year and down the next -- while profits are slim. However fiscal 2017 could be something of a breakthrough, with acquisitions fueling record revenue figures.
In 2017 revenue increased 14% to $10.8 billion on the back of full-year contributions from the acquired Borgata and MGM National Harbor businesses, as well as higher revenue from casinos, rooms, and valet and parking.
MGM Resorts posted exceptional profits in both 2016 and 2017 (compared to a $1.0 billion loss in 2015), but each year benefited from an exceptional item; underlying profitability remains low. In 2016 the IPO of MGM Growth Properties resulted in a $1.2 billion gain and in 2017 the company recorded a $1.4 billion tax benefit relating to the 2017 US Tax Cuts and Jobs Act. Overall, MGM Resorts' 2017 net income was $2.1 billion, a 70% increase on 2016.
Cash from operations increased 45% to $2.2 billion due to higher operating income at MGM Resort's domestic resorts, partially offset by an increase in cash paid for taxes.
MGM Resorts International continues to make significant investments in its resorts through newly remodeled hotel rooms, restaurants, entertainment and nightlife offerings, as well as other new features and amenities. In Macau, the company spent $2.5 billion on developing its operations in Macau between 2015-17, largely on the construction of MGM Cotai, an integrated casino, hotel, and entertainment complex. It has also made large investments in its US operations, including $269 million on constructing MGM Springfield, $221 million on rebranding the Monte Carlo hotel and casino, and $195 million on finalizing the construction of MGM National Harbor. It also carried out various resorts’ room remodels, constructed additional convention space at MGM Grand Las Vegas, the parking garage at Excalibur, a waterpark at Circus Circus, and various restaurant and entertainment venue remodels. MGM Resorts International has also been actively pursuing development opportunities in markets such as Maryland and Massachusetts.
In 2016 MGM Resorts International opened the new 20,000 seat T-Mobile arena in Las Vegas. The company hopes to attract a large number of high-profile concerts and sporting events. The long-term plan is to lure a NHL or NBA team to Las Vegas.
The company also spun off its MGM Growth Properties subsidiary during 2016 as a real estate investment trust. MGM Resorts retains a controlling stake in the company that was spun off to unlock additional value in 11 hotels and casinos (it has since added a 12th).
Mergers and Acquisitions
In 2016 MGM Resorts International acquired Borgata Hotel Casino & Spa in Atlantic City, New Jersey, from Boyd Gaming Corporation for about $900 million. The acquisition added to the company’s growing presence in the mid-Atlantic and Northeast United States.
2880 LAS VEGAS BLVD S
Las Vegas, NV 89109-1138
Phone: 1 (702) 734-0410
Employer Type: Privately Owned
Director: Amy Brillantes
VICE PRESIDENT CASINO MARKETING PLANET HOLLYWOOD: Benjamin Kott
Vice president: Joanne Kraly
Employees (This Location): 9
Employees (All Locations): 2,800
Las Vegas, NV
Las Vegas, NV