UPDATE: MGM Resorts International has just reported a staggering net loss of $285 million for Q3 2025, shocking investors and triggering a 5% drop in shares during after-hours trading. The disappointing financial results stem from a weak performance on the Las Vegas Strip and substantial one-time charges linked to its exit from the Empire City casino project.
In its earnings report released on July 25, 2025, MGM announced consolidated net revenues of $4.3 billion, a mere 2% increase from last year. This growth was largely driven by a strong recovery in MGM China, where revenues surged 17% to $1.1 billion. However, the overall financial picture was marred by a $256 million non-cash goodwill impairment and an additional $93 million in write-offs related to the company’s decision to withdraw from New York’s casino license bid.
The Las Vegas segment, which is critical to MGM’s operations, reported a 7% decline in net revenues, falling to $2 billion. This downturn was attributed to ongoing renovations at MGM Grand, underperformance in table games, and decreased food and beverage sales. Adjusted EBITDAR for this segment plummeted 18% to $601 million, with budget-oriented properties like Luxor and Excalibur feeling the most significant pressure.
Despite these challenges, MGM CEO Bill Hornbuckle expressed optimism, highlighting the company’s diversification strategy and the strong performance of MGM China and its digital ventures. He anticipates that the BetMGM North American business will continue to thrive, projecting at least $100 million in cash distributions beginning in Q4.
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We delivered another quarter of consolidated net revenue growth as we benefit from our operational scale and diversity,”
said Hornbuckle.
CFO Jonathan Halkyard also shared a positive outlook, noting signs of stabilization on the Strip, supported by the return of convention visitors and the expected completion of hotel renovations. He remarked that the recent divestiture of MGM Northfield Park’s operations aligns with the company’s strategy to focus on premium integrated resorts.
MGM’s decision to withdraw from the contest for the New York downstate casino license was one of the most significant moves of the quarter. The company determined that the planned expansion of Empire City into a full-scale casino was no longer economically viable. Nevertheless, MGM remains committed to enhancing profit margins and expanding its global footprint, with investments in Las Vegas and Macau expected to yield long-term benefits.
As these developments unfold, investors and analysts will be closely monitoring MGM’s next steps, particularly regarding the recovery of the Las Vegas market and the company’s strategic realignment in the evolving casino landscape. Shareholders will be eager for updates on the company’s performance in the coming weeks, especially as the BetMGM joint venture continues to show promise.