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MGM Resorts International reported a third-quarter loss as casino revenue declined in the U.S.
MGM, the largest owner of casinos on the Las Vegas Strip, said its net loss shrank to $20.2 million, or 4 cents a share, from $22.3 million, or 5 cents a year earlier. Excluding one- time items, the loss was 2 cents a share. Analysts had projected profit of 6 cents, the average of 17 estimates. Revenue rose less than 1 percent to $2.49 billion, beating analysts’ estimates for $2.47 billion.
Casino revenue at wholly owned domestic resorts declined 4 percent, with both table games and slots performing worse than a year earlier, MGM Resorts said.
Las Vegas-based MGM fell 4.3 percent to $21.90 at 8:34 a.m. New York time. The shares had dropped 2.7 percent this year through yesterday.
The company, founded by billionaire Kirk Kerkorian, relies less on its current Macau operations than some of its peers, according to Cameron McKnight, an analyst at Wells Fargo Securities. Chief Executive Officer Jim Murren said in September that the company was considering investing in fantasy sports leagues.
Wynn Resorts Ltd., also based in Las Vegas, reported earnings on Oct. 28 that beat analysts’ estimates, as a surge in revenue at the company’s Las Vegas properties offset a drop in Macau.
On Oct. 15, billionaire Sheldon Adelson’s Las Vegas Sands reported profit that topped projections. Revenue in Macau and in Singapore fell, while Las Vegas posted a 5.5 percent gain.
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