COVID-19 restrictions part of steep financial troubles

dnrt8765

LAS VEGAS  – A sustained shutdown of MGM Resorts properties in the wake of COVID-19 contributed to a second quarter operating loss of $1 billion, reports the Reno Gazette Journal, which is part of the USA TODAY Network.

That’s a steep drop from the $371 million in operating income recorded in the second quarter of 2019. Those figures refer to income or losses calculated after operating expenses such as payroll and equipment are subtracted.

“As we look ahead, we believe the long term fundamentals of our business and the broader industry remain intact,” said Bill Hornbuckle, who was named MGM Resorts CEO this week. “However, the near term operating environment will remain challenging and unpredictable as COVID-19 case trends, health and safety protocols, and travel restrictions continue to heavily impact our business.”

In this Aug. 3, 2015, file photo, a man rides his bike past the MGM Grand hotel and casino in Las Vegas.

The owner of 10 resorts on The Strip reported net second quarter revenues of $290 million – a 91% decrease. MGM reported a net loss of $857 million compared to last year’s $43 million in net income.

Nevada’s casinos reopened June 4 under new restrictions, including reduced occupancy, more space between gamblers and severely curtailed limits for meeting and convention spaces – factors that contributed to devastated second quarter earnings, the company said.

Next Post

Grand Glenageary home with garden haven for €1.2m

Rhoscolyn is an Edwardian house set well back from the busy Lower Glenageary Road, between the intersections for Silchester Park and the Upper Glenageary Road. Hidden behind a high hedge to the front, which helps to dull the sound of traffic, the double-fronted granite with red-brick property has a welcoming […]
Grand Glenageary home with garden haven for €1.2m