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MGM Resorts Q1 Earnings Miss Estimates, Revenues Rise Y/Y
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Key Takeaways
MGM reported Q1 EPS of 49 cents, missing estimates, revenues rose 4% YoY to $4.45B, beating expectations.
MGM China and digital operations drove growth, while Las Vegas Strip posted its first YoY gain since Q3 2024.
Higher costs and margin pressure led to an 8.9% EBITDA decline, with profits falling across key segments.
MGM Resorts International (MGM - Free Report) reported first-quarter 2026 results, with earnings missing and revenues surpassing the Zacks Consensus Estimate. On a year-over-year basis, the top line increased while the bottom line declined.
MGM Resorts’ first-quarter results were supported by solid performance across key segments, particularly MGM China and digital operations. Strength in international markets and interactive gaming, along with improving trends in Las Vegas Strip Resorts, contributed to revenue growth. However, profitability was pressured by higher costs and lower segment-level margins.
MGM’s Q1 Earnings & Revenue Details
MGM Resorts reported adjusted earnings per share of 49 cents, missing the Zacks Consensus Estimate of 56 cents by 12.5%. In the prior-year quarter, it reported an adjusted EPS of 69 cents.
Quarterly revenues of $4.45 billion topped the consensus mark of $4.36 billion by 2.1%. The top line increased 4% on a year-over-year basis. This upside was backed by strong contributions from MGM China and MGM Digital.
MGM Resorts International Price, Consensus and EPS Surprise
In the first quarter, consolidated adjusted EBITDA declined 8.9% year over year to $580 million.
MGM China
During the first quarter, MGM China's net revenues increased 9% year over year to $1.12 billion. This upside was primarily driven by higher casino revenues, supported by an increase in main floor table games drop and win.
MGM China's adjusted property EBITDAR amounted to $273 million, down from $286 million reported in the prior-year quarter, reflecting higher intercompany branding fees.
Domestic Operations
Net revenues at Las Vegas Strip Resorts were $2.18 billion, slightly up year over year. The improvement marked the first year-over-year increase since the third quarter of 2024, supported by stronger monthly trends and convention bookings.
Adjusted property EBITDAR declined 8% year over year to $749 million, reflecting margin pressure despite stable operating trends.
Net revenues from Regional Operations totaled $918 million, up from $900 million reported in the prior-year quarter. This upside was primarily driven by improved casino activity, including higher table games drop and slot handle.
Adjusted property EBITDAR was $259 million compared with $279 million reported in the prior-year quarter.
Net revenues from MGM Digital totaled $183 million, up from $128 million reported in the prior-year quarter. The rise was primarily driven by continued momentum across interactive gaming operations.
Adjusted property EBITDAR loss was $26 million compared with a loss of $34 million reported in the prior-year quarter.
MGM’s Balance Sheet & Share Repurchase
MGM Resorts ended the first quarter with cash and cash equivalents of $2.29 billion compared with $2.06 billion at 2025-end. Long-term debt stood at $6.4 billion compared with $6.23 billion at 2025-end.
The company repurchased approximately 2 million shares for $90 million during the quarter. Additionally, MGM closed the sale of MGM Northfield Park operations for $546 million in April 2026, enhancing liquidity and supporting capital allocation priorities.
MGM’s Zacks Rank & Stocks to Consider
MGM Resorts currently carries a Zacks Rank #3 (Hold).
The company delivered a trailing four-quarter earnings surprise of 262.7%, on average. The consensus estimate for GDEV’s 2026 sales and EPS implies growth of 6.4% and 23.8%, respectively, from the year-ago levels.
Accel Entertainment carries a Zacks Rank #2 (Buy) at present. The company delivered a trailing four-quarter earnings surprise of 23.4%, on average.
The consensus estimate for Accel Entertainment’s 2026 sales and EPS implies growth of 5.1% and 15%, respectively, from the year-ago levels.
Take-Two Interactive carries a Zacks Rank #2 at present. The company delivered a trailing four-quarter earnings surprise of 58.9%, on average.
The Zacks Consensus Estimate for Take-Two Interactive’s 2026 sales and EPS indicates growth of 18.2% and 90.7%, respectively, from the year-ago levels.
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MGM Resorts Q1 Earnings Miss Estimates, Revenues Rise Y/Y
Key Takeaways
MGM Resorts International (MGM - Free Report) reported first-quarter 2026 results, with earnings missing and revenues surpassing the Zacks Consensus Estimate. On a year-over-year basis, the top line increased while the bottom line declined.
MGM Resorts’ first-quarter results were supported by solid performance across key segments, particularly MGM China and digital operations. Strength in international markets and interactive gaming, along with improving trends in Las Vegas Strip Resorts, contributed to revenue growth. However, profitability was pressured by higher costs and lower segment-level margins.
MGM’s Q1 Earnings & Revenue Details
MGM Resorts reported adjusted earnings per share of 49 cents, missing the Zacks Consensus Estimate of 56 cents by 12.5%. In the prior-year quarter, it reported an adjusted EPS of 69 cents.
Quarterly revenues of $4.45 billion topped the consensus mark of $4.36 billion by 2.1%. The top line increased 4% on a year-over-year basis. This upside was backed by strong contributions from MGM China and MGM Digital.
MGM Resorts International Price, Consensus and EPS Surprise
MGM Resorts International price-consensus-eps-surprise-chart | MGM Resorts International Quote
In the first quarter, consolidated adjusted EBITDA declined 8.9% year over year to $580 million.
MGM China
During the first quarter, MGM China's net revenues increased 9% year over year to $1.12 billion. This upside was primarily driven by higher casino revenues, supported by an increase in main floor table games drop and win.
MGM China's adjusted property EBITDAR amounted to $273 million, down from $286 million reported in the prior-year quarter, reflecting higher intercompany branding fees.
Domestic Operations
Net revenues at Las Vegas Strip Resorts were $2.18 billion, slightly up year over year. The improvement marked the first year-over-year increase since the third quarter of 2024, supported by stronger monthly trends and convention bookings.
Adjusted property EBITDAR declined 8% year over year to $749 million, reflecting margin pressure despite stable operating trends.
Net revenues from Regional Operations totaled $918 million, up from $900 million reported in the prior-year quarter. This upside was primarily driven by improved casino activity, including higher table games drop and slot handle.
Adjusted property EBITDAR was $259 million compared with $279 million reported in the prior-year quarter.
Net revenues from MGM Digital totaled $183 million, up from $128 million reported in the prior-year quarter. The rise was primarily driven by continued momentum across interactive gaming operations.
Adjusted property EBITDAR loss was $26 million compared with a loss of $34 million reported in the prior-year quarter.
MGM’s Balance Sheet & Share Repurchase
MGM Resorts ended the first quarter with cash and cash equivalents of $2.29 billion compared with $2.06 billion at 2025-end. Long-term debt stood at $6.4 billion compared with $6.23 billion at 2025-end.
The company repurchased approximately 2 million shares for $90 million during the quarter. Additionally, MGM closed the sale of MGM Northfield Park operations for $546 million in April 2026, enhancing liquidity and supporting capital allocation priorities.
MGM’s Zacks Rank & Stocks to Consider
MGM Resorts currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks from the Zacks Consumer Discretionary sector are GDEV Inc. (GDEV - Free Report) , Accel Entertainment, Inc. (ACEL - Free Report) and Take-Two Interactive Software, Inc. (TTWO - Free Report) .
GDEV presently sports a Zacks Rank of 1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
The company delivered a trailing four-quarter earnings surprise of 262.7%, on average. The consensus estimate for GDEV’s 2026 sales and EPS implies growth of 6.4% and 23.8%, respectively, from the year-ago levels.
Accel Entertainment carries a Zacks Rank #2 (Buy) at present. The company delivered a trailing four-quarter earnings surprise of 23.4%, on average.
The consensus estimate for Accel Entertainment’s 2026 sales and EPS implies growth of 5.1% and 15%, respectively, from the year-ago levels.
Take-Two Interactive carries a Zacks Rank #2 at present. The company delivered a trailing four-quarter earnings surprise of 58.9%, on average.
The Zacks Consensus Estimate for Take-Two Interactive’s 2026 sales and EPS indicates growth of 18.2% and 90.7%, respectively, from the year-ago levels.