{"id":5701,"date":"2018-05-03T22:37:56","date_gmt":"2018-05-03T22:37:56","guid":{"rendered":"https:\/\/www.pokerscout.com\/?p=5701"},"modified":"2018-05-06T21:19:37","modified_gmt":"2018-05-06T21:19:37","slug":"mgm-resorts-revenue-hurting-thanks-to-casino-with-no-front-door","status":"publish","type":"post","link":"https:\/\/www.pokerscout.com\/mgm-resorts-revenue-hurting-thanks-to-casino-with-no-front-door\/","title":{"rendered":"MGM Resorts Revenue Hurting Thanks To Casino With No Front Door"},"content":{"rendered":"<p><a href=\"http:\/\/investors.mgmresorts.com\/investors\/news-releases\/press-release-details\/2018\/MGM-Resorts-International-Reports-First-Quarter-Financial-And-Operating-Results\/default.aspx\">First quarter revenues<\/a> were down at one of Southern Nevada\u2019s<strong> Big Six c<\/strong>asino companies and the rebuilding and re-branding of one of its <strong>Las Vegas Strip<\/strong> properties may be to blame. <strong>MGM Resorts International<\/strong> reported net revenues of <strong>$2.1 billion<\/strong> on its first quarter earnings call last week. A number that was <strong>down one percent<\/strong> from the same period last year.<\/p>\n<p>In fact, <strong>MGM Resorts CEO Jim Murren<\/strong> said the companies Las Vegas Strip revenues were actually down <strong>two percent<\/strong> compared to the first quarter of 2017.<\/p>\n<p>MGM did manage to do better than the three to five percent drop it projected in its <strong>fourth-quarter<\/strong> earnings call. However, Murren said matching 2017\u2019s numbers was impossible because of issues surrounding the ongoing rebuilding and re-branding of MGM\u2019s <strong>Monte Carlo<\/strong> property into <strong>Park MGM<\/strong>.<\/p>\n<h2><span id=\"unlike_anything_mgm_has_done_before\">Unlike anything MGM has done before<\/span><\/h2>\n<p>Murren said the project has been unlike anything MGM has done before and the organization <strong>completely underestimated<\/strong> the financial impact it would cause:<\/p>\n<blockquote><p>\u201cIt\u2019s worth noting we\u2019ve never undertaken anything like this before, and when it\u2019s all said and done we will have literally changed every square inch of the property while keeping it open.\u201d<\/p><\/blockquote>\n<p>According to Murren, the major issues at the new Park MGM have been a<strong> lack of vehicle access<\/strong> to the main entrance and<strong> direct pedestrian access<\/strong> from the Las Vegas Strip during the rebuild:<\/p>\n<blockquote><p>\u201cIt\u2019s kind of a tough thing when you go to a resort and can\u2019t drive up to the front door.\u201d<\/p><\/blockquote>\n<div class=\"pnv-table cta\">\n<div class=\"sr-header\">\n<p>Play Online Poker With A Free Bonus From WSOP<\/p>\n<\/div>\n<ul class=\"pnv-list\">\n<li>\n<ul class=\"pnv-item\">\n<li class=\"pnv-logo\"><a href=\"https:\/\/www.playnevada.com\/go\/wsop-nv\/\"><br \/>\n<img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/www.playnevada.com\/wp-content\/uploads\/2016\/08\/wsop648-169-300x78-300x78.png\" alt=\"wsop648-169-300x78\" width=\"177\" height=\"46\" \/><\/a>Visit WSOP.com<\/p>\n<p>&nbsp;<\/li>\n<li class=\"pnv-bonus\">$10 No Deposit100% up to $1000<\/li>\n<li class=\"pnv-details\">WSOP ReviewOverall Grade A-\n<ul class=\"pnv-item-checklist-alt\">\n<li><i class=\"fa fa-check\"><\/i>Games A<\/li>\n<li><i class=\"fa fa-check\"><\/i>Support B<\/li>\n<li><i class=\"fa fa-check\"><\/i>Banking A+<\/li>\n<li><i class=\"fa fa-check\"><\/i>Player Value A-<\/li>\n<\/ul>\n<\/li>\n<li class=\"pnv-button\">PLAY NOW<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<\/div>\n<h2><span id=\"lowered_expectations\">Lowered expectations<\/span><\/h2>\n<p>Murren added that MGM has also lowered expectations for the second quarter of the year.<\/p>\n<p>This, as the Park MGM project continues and the <strong>Saul \u201cCanelo\u201d Alvarez-Gennady Golovkin <\/strong>boxing match scheduled for next month at <strong>T-Mobile Arena<\/strong> has been canceled. Plus, Las Vegas tourism continues to recover slowly following the mass shootings outside <strong>Mandalay Bay<\/strong> on October 1, 2017.<\/p>\n<p>Southern Nevada\u2019s Big Six casino companies also include:<\/p>\n<ul>\n<li><strong>Wynn Resorts<\/strong><\/li>\n<li><strong>Las Vegas Sands<\/strong><\/li>\n<li><strong>Caesars Entertainment<\/strong><\/li>\n<li><strong>Boyd Gaming<\/strong><\/li>\n<li><strong>Red Rock Resorts<\/strong><\/li>\n<\/ul>\n<p>Earnings have been down at most of the companies\u2019 Las Vegas properties for a variety of reasons, including the slow rebound in tourism after the mass shootings.<\/p>\n<p>However, Murren said the decrease in revenue at MGM is isolated to the factors he described. As a result, they\u00a0should start <strong>turning around by the end of the year<\/strong>.<\/p>\n<h2><span id=\"the_monte_carlo-park_mgm_switch\">The Monte Carlo-Park MGM switch<\/span><\/h2>\n<p>In fact, he said the switch from Monte Carlo to Park MGM should be <strong>completed in December 2018<\/strong>. In turn, that will improve the outlook for 2019 substantially:<\/p>\n<blockquote><p>\u201cIt\u2019s looking now like its more intended final product. We are finally coming to the completion on that at the end of this year.\u201d<\/p><\/blockquote>\n<p>According to Murren, <strong>90 percent<\/strong> of the rooms are already finished at Park MGM. Plus, amenities including restaurants and the sports book are already performing well:<\/p>\n<blockquote><p>\u201cWhen we do release things to the public, we are seeing very high returns. It\u2019s just been brutal in this process.\u201d<\/p><\/blockquote>\n<div class=\"us_posts_bottom\">\n<div class=\"us_wrapper tal us_skin_default\">\n<div class=\"us_facebook us_no_count us_button\">\n<p>&nbsp;<\/p>\n<div class=\"us_share\"><\/div>\n<p>&nbsp;<\/p>\n<\/div>\n<div class=\"us_twitter us_no_count us_button\">\n<p>&nbsp;<\/p>\n<div class=\"us_share\"><\/div>\n<p>&nbsp;<\/p>\n<\/div>\n<div class=\"us_googleplus us_no_count us_button\">\n<p>&nbsp;<\/p>\n<div class=\"us_share\"><\/div>\n<p>&nbsp;<\/p>\n<\/div>\n<\/div>\n<\/div>\n<p>The post MGM Resorts Revenue Hurting Thanks To Casino With No Front Door appeared first on Play Nevada.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>First quarter revenues were down at one of Southern Nevada\u2019s Big Six casino companies and [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"link","meta":{"_acf_changed":false,"_lmt_disableupdate":"","_lmt_disable":"","vebbtech_seo_disable_yoast":false,"vebbtech_seo_hide_author":false,"vebbtech_seo_hide_date":false,"vebbtech_seo_hide_factchecker":false,"vebbtech_seo_fact_check_enabled":false,"vebbtech_seo_post_reviewer":0,"vebbtech_seo_post_review_date":"","footnotes":""},"categories":[6],"tags":[],"class_list":{"0":"post-5701","1":"post","2":"type-post","3":"status-publish","4":"format-link","6":"category-news-category","7":"post_format-post-format-link"},"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v24.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>MGM Resorts Revenue Hurting Thanks To Casino With No Front Door -<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, 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