MGM Resorts International reported a slight year-on-year revenue decrease of 1% for the third quarter of 2026, totaling $4.2 billion. The company's net loss improved significantly, narrowing to $17 million from $285 million in the same quarter last year, while adjusted EBITDA fell to $403 million compared to $506 million previously.
In contrast to the overall decline, MGM China experienced a 5% revenue increase, reaching $1.1 billion. MGM Digital also saw growth, reporting a 6% rise to $184 million. However, revenues from regional operations fell by 8% to $883 million, though same-store revenue increased by 1% after adjusting for property sales.
Revenue generated from MGM's Las Vegas Strip resorts decreased by 2% to $1.95 billion, attributed largely to a decline in room rates, despite strong performance in the casino segment. Casino revenues climbed by 8% to $488 million, while room revenue dropped by 6% to $622 million. The average daily room rate decreased by 8% to $218, with revenue per available room also falling by 8% to $193. Occupancy, however, held steady at 89%.
Segment adjusted EBITDAR fell by 12% to $531 million. The regional operations also faced a profitability decline, with adjusted EBITDAR down 18%. Similarly, MGM China saw a 7% decrease to $264 million. MGM Digital managed to reduce its adjusted EBITDAR loss, coming down from $23 million a year ago to $4 million this quarter.
Bill Hornbuckle, MGM's President and CEO, mentioned the impact of rising jet fuel prices, which reached a record high in September. Domestic airfare increased by an average of 12% since March 2026, and airline prices to Las Vegas surged by approximately 45% in the third quarter compared to the previous summer. High gas prices are also affecting customers' spending habits. As a result, the company achieved flat occupancy in Q3 but at reduced room rates. Hornbuckle noted that the pricing pressures, especially in air travel to Las Vegas, influenced the overall performance significantly.
He added that early indications for October suggest a positive turnaround, with room-rate trends reflecting improvements akin to those observed in July rather than the weaker months that followed.
Hornbuckle reaffirmed MGM’s commitment to being a global leader in gaming entertainment, emphasizing that the foundation of this leadership begins in Las Vegas.
