MGM Resorts International Results

MGM Resorts International Reports First Quarter Financial And Operating Results

Increased diluted earnings per share in the first quarter of 2017 by 200% to $0.36 from $0.12 in the prior year quarter - Declared quarterly dividend of $0.11 per share

MGM Resorts International

MGM Resorts International (NYSE:  MGM) today reported financial results for the quarter ended March 31, 2017.

"MGM Resorts had a strong start to the year, as evidenced by our first quarter diluted earnings per share which tripled last year's results, double digit same-store Adjusted Property EBITDA growth at our domestic resorts, record results at CityCenter and solid performance at MGM China. MGM National Harbor and Borgata, our newest additions on the East Coast, are leading their respective markets, and we continue to work toward expanding our footprint in Macau with the opening of MGM Cotai later this year," said Jim Murren, Chairman & CEO of MGM Resorts. "Every year, we take steps to further this Company as an innovative market leader positioned for operational strength, financial flexibility, and prudent growth. We remain focused on building upon this effort as we continue to execute on our strategies to profitably grow our Company and return value to our shareholders."

Financial Highlights:

  • Diluted earnings per share for the first quarter of 2017 increased 200% to $0.36, compared to $0.12 in the prior year quarter; 
  • Net revenues increase of 29% over the prior year quarter at the Company's domestic resorts to $2.1 billion, and a 6% increase on a same-store basis, excluding contributions from Borgata and MGM National Harbor; 
  • REVPAR(1)  growth of 8.6% over the prior year quarter at the Company's Las Vegas Strip resorts; 
  • Operating income of $477 million at the Company's domestic resorts, a 31% increase over the prior year quarter;  
  • Net income attributable to MGM Resorts of $207 million, compared to $67 million in the prior year quarter; 
  • Adjusted Property EBITDA(2) growth of 34% over the prior year quarter to $648 million at the Company's domestic resorts, and a 15% increase on a same-store basis; 
  • Same-store operating margin of 25.0% in the current quarter at the Company's domestic resorts, an increase of 245 basis points compared to the prior year quarter; 
  • Same-store Adjusted Property EBITDA margin of 32.5% at the Company's domestic resorts, an increase of 257 basis points compared to the prior year quarter; 
  • MGM China operating income of $73 million compared to $47 million in the prior year quarter, and Adjusted EBITDA of $143 million, a 25% increase compared to the prior year quarter; and 
  • CityCenter operating income of $57 million and Adjusted EBITDA of $111 million, a 22% increase in Adjusted EBITDA compared to the prior year quarter.

Strategic Highlights: 

  • Distributed $63 million related to the previously announced quarterly dividend of $0.11 per share; 
  • On track to completing Profit Growth Plan goal of $400 million Adjusted EBITDA contribution to the Company's domestic resorts and 50% share of CityCenter results by the second quarter of 2017; 
  • CityCenter completed a $1.725 billion refinancing of its senior credit facilities, which consisted of an upsized $1.6 billion term loan and an upsized $125 million revolving credit facility; 
  • In April 2017, CityCenter paid a $600 million dividend, consisting of a $350 million dividend using proceeds from the upsized senior credit facilities and a $250 million dividend from cash on hand, of which $78 million was part of its annual dividend policy. MGM Resorts received its 50% share, or $300 million; and 
  • Improved MGP's Operating Partnership's term loan B facility pricing to LIBOR plus 2.25%, a 25 basis point decrease from the prior pricing level.

Certain Items Affecting First Quarter Results

The following table lists certain other items that affect the comparability of the current and prior year quarterly results (approximate EPS impact shown, net of tax, per share; negative amounts represent charges to income):

 

Three months ended March 31,

2017

2016

Preopening and start-up expenses

$

(0.02)

$

(0.02)

Property transactions, net

(0.01)

Income from unconsolidated affiliates:

       Crystals related property transaction, net

(0.01)

Domestic Resorts

Casino revenue for the first quarter of 2017 increased 50% compared to the prior year quarter, due primarily to the acquisition of Borgata Hotel Casino and Spa ("Borgata"), the MGM National Harbor opening on December 8, 2016, and an increase in both table games and slots revenue. Casino revenue increased 4% on a same-store basis compared to the prior year quarter. Table games revenues increased 7% on a same-store basis and slots revenue increased 2% on a same-store basis compared to the prior year quarter. 

The following table shows key gaming statistics for the Company's Las Vegas Strip resorts:

 

Three months ended March 31,

2017

2016

(Dollars in millions)

Table Games Drop

$

993

$

972

Table Games Win %

25.2

%

23.7

%

Slot Handle

$

3,003

$

3,001

Slot Hold %

8.6

%

8.4

%

Domestic resorts rooms revenue increased 15% compared to the prior year quarter. On a same-store basis, rooms revenue increased 8% compared to the prior year quarter. Las Vegas Strip REVPAR increased 8.6%. 

The following table shows key hotel statistics for the Company's Las Vegas Strip resorts:

 

Three months ended March 31,

2017

2016

Occupancy %

91

%

91

%

Average Daily Rate (ADR)

$

176

$

162

Revenue per Available Room (REVPAR)

$

161

$

148

Operating income at the Company's domestic resorts was $477 million for the first quarter of 2017 compared to $365 million in the prior year quarter. Domestic resorts Adjusted Property EBITDA increased 34% to $648 million in the first quarter of 2017 and was positively impacted by $59 million of Adjusted Property EBITDA from Borgata and $32 million of Adjusted Property EBITDA from MGM National Harbor. Same-store Adjusted Property EBITDA increased 15% compared to the prior year quarter. 

Mr. Murren added, "The Company's high operating efficiencies, a robust event calendar, and modestly favorable table games hold helped drive a very strong first quarter in Las Vegas contributing to 33% Adjusted Property EBITDA margins at our Strip resorts. As we look to the second quarter, our underlying business remains strong, although we face a challenging comparison due to the Easter holiday shifting back into April as well as favorable second quarter 2016 table games hold. Based on these factors, we anticipate gaming revenues to be lower and our non-gaming revenues to be up year over year. We expect to grow Strip REVPAR by 1.5% to 2.5%. Despite the difficult table games hold comparison, we believe our Adjusted Property EBITDA margins will remain essentially flat at our Las Vegas Strip resorts, compared to the prior year quarter."

Corporate Expense

Corporate expense was $73 million in the first quarter of 2017, an increase of $2 million compared to the prior year quarter. The current year quarter included $2 million related to MGM Growth Properties LLC ("MGP") and $3 million in additional stock compensation costs. The prior year quarter included costs incurred to implement initiatives related to the Profit Growth Plan and costs associated with the initial public offering of MGP totaling $14 million. 

MGM China

Key first quarter results for MGM China include:

  • Net revenues of $502 million, a 7% increase compared to the prior year quarter; 
  • Main floor table games revenue increased 17% due to an increase in hold percentage to 22.2% in the current year quarter, from 18.0% in the prior year quarter; 
  • VIP table games revenue decreased 5% due to a 16% decrease in turnover partially offset by an increase in hold percentage to 3.4% in the current year quarter, from 3.0% in the prior year quarter; 
  • Operating income was $73 million compared to $47 million in the prior year quarter; 
  • Adjusted EBITDA increased 25% to $143 million, compared to $114 million in the prior year quarter, including $9 million of license fee expense in the current year quarter and $8 million in the prior year quarter; and 
  • Operating margin was 14.6% in the current year quarter, and Adjusted EBITDA margin was 28.5%, an increase of 413 basis points compared to the prior year quarter.

Unconsolidated Affiliates

The following table summarizes information related to the Company's share of income from unconsolidated affiliates:

 

Three months ended March 31,

2017

2016

(In thousands)

CityCenter

$

37,319

$

(9,149)

Borgata

19,550

Other

2,384

4,301

$

39,703

$

14,702

Our share of CityCenter Holdings, LLC ("CityCenter") operating results for the first quarter of 2017, including certain basis difference adjustments, was $37 million. Our share of CityCenter's operating income in the prior year quarter was negatively impacted by $31 million due to accelerated depreciation associated with the April 2016 closure of the Zarkana theatre and $9 million due to a charge related to the sale of Crystals.

Key first quarter results for CityCenter include the following (see schedules accompanying this release for further detail on CityCenter's first quarter results): 

  • Net revenues from resort operations were $326 million, an 8% increase compared to the prior year quarter, due primarily to an increase in casino, rooms, and food and beverage revenues partially offset by a decrease in entertainment revenue as the Zarkana show closed on April 30, 2016; 
  • Operating income from resorts operations was $58 million, compared to an operating loss of $27 million in the prior year quarter which included $61 million of accelerated depreciation related to the Zarkana theatre and an $18 million charge associated with the Crystals sale; 
  • Adjusted EBITDA from resort operations was $112 million, a 22% increase compared to the prior year quarter; 
  • Aria's table games volume decreased 5% and table games hold percentage was 25.6%, compared to 23.8% in the prior year quarter; 
  • REVPAR at Aria increased 9.1% compared to the prior year quarter to $251; and 
  • Vdara reported REVPAR of $202 in the current year quarter, and Adjusted EBITDA increased 22% to $11 million compared to the prior year quarter.

On August 1, 2016 the Company completed the previously announced acquisition of Boyd Gaming Corporation's interest in Borgata, at which time the entity operating Borgata became a consolidated subsidiary of the Company and the real estate assets associated with Borgata were contributed to MGP. Prior to the acquisition, the Company held a 50% interest in Borgata, which was accounted for under the equity method. 

MGM Growth Properties 

During the first quarter of 2017, MGP recorded rent income of $163 million and MGM Growth Properties Operating Partnership LP (the "Operating Partnership") paid distributions of $72 million to the Company. On March 15, 2017, MGP's Board of Directors declared a quarterly dividend of $0.3875 per Class A share totaling $22 million, which was paid on April 13, 2017 to holders of record on March 31, 2017. The Company concurrently received a $72 million distribution attributable to its ownership of Operating Partnership units. 

MGM Resorts Dividend

The Company's Board of Directors approved a quarterly dividend on April 26, 2017. The dividend of $0.11 per share will be payable on June 15, 2017 to stockholders of record at the close of business on June 9, 2017, and will equate to approximately $63 million in aggregate. 

Financial Position

The Company's cash balance at March 31, 2017 was $1.4 billion, which included $465 million at MGM China and $368 million at MGP. At March 31, 2017, the Company had $13.2 billion of principal amount of indebtedness outstanding, including $297 million outstanding under its $1.5 billion senior secured credit facility, $2.1 billion outstanding under the $2.7 billion Operating Partnership senior credit facility, $2.0 billion outstanding under the $3.0 billion MGM China credit facility, and $450 million outstanding under the $525 millionMGM National Harbor credit facility. 

"Our commitment to enhancing our financial position continues into 2017 as evidenced by the $300 million distribution from CityCenter and further deleveraging of the MGM Resorts balance sheet," said Dan D'Arrigo, Executive Vice President and Chief Financial Officer of MGM Resorts. "We continue to focus on maximizing our cash flows and improving our capital structure, while supporting a disciplined approach to capital allocation and ultimately returning MGM Resorts to investment grade."

About MGM Resorts International 

MGM Resorts International (NYSE:  MGM) is one of the world's leading global hospitality companies, operating a portfolio of destination resort brands including Bellagio, MGM Grand, Mandalay Bay and The Mirage. The Company opened MGM National Harbor in Maryland on December 8, 2016, and is in the process of developing MGM Springfield in Massachusetts. MGM Resorts controls and holds a 76 percent economic interest in the operating partnership of MGM Growth Properties LLC (NYSE: MGP), a premier triple-net lease real estate investment trust engaged in the acquisition, ownership and leasing of large-scale destination entertainment and leisure resorts. The Company also owns 56 percent of MGM China Holdings Limited (SEHK: 2282), which owns MGM MACAU and is developing MGM COTAI, and 50 percent of CityCenter in Las Vegas, which features ARIA Resort & Casino. MGM Resorts is named among FORTUNE® Magazine's 2017 list of World's Most Admired Companies®. 

MGM RESORTS INTERNATIONAL AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATIONS

(In thousands, except per share data)

(Unaudited)

Three Months Ended

March 31,

March 31,

2017

2016

Revenues:

Casino

$

1,505,389

$

1,134,356

Rooms

562,267

489,486

Food and beverage

444,469

377,105

Entertainment

130,347

118,326

Retail

47,976

45,473

Other

140,575

117,525

Reimbursed costs

100,215

101,049

2,931,238

2,383,320

Less: Promotional allowances

(223,059)

(173,634)

2,708,179

2,209,686

Expenses:

Casino

804,595

640,569

Rooms

154,836

144,742

Food and beverage

249,845

221,296

Entertainment

99,939

92,288

Retail

23,108

22,001

Other

89,624

79,768

Reimbursed costs

100,215

101,049

General and administrative

388,835

308,543

Corporate expense

73,173

71,248

Preopening and start-up expenses 

15,066

21,960

Property transactions, net

1,696

5,131

Depreciation and amortization

249,769

199,839

2,250,701

1,908,434

Income from unconsolidated affiliates

39,703

14,702

Operating income

497,181

315,954

Non-operating income (expense):

Interest expense, net of amounts capitalized

(174,059)

(184,669)

Non-operating items from unconsolidated affiliates

(6,921)

(18,212)

Other, net

(817)

(565)

(181,797)

(203,446)

Income before income taxes

315,384

112,508

Provision for income taxes

(62,375)

(21,310)

Net income

253,009

91,198

Less: Net income attributable to noncontrolling interests

(46,162)

(24,399)

Net income attributable to MGM Resorts International

$

206,847

$

66,799

Per share of common stock:

Basic:

Net income attributable to MGM Resorts International

$

0.36

$

0.12

Weighted average shares outstanding

574,403

565,056

Diluted:

Net income attributable to MGM Resorts International

$

0.36

$

0.12

Weighted average shares outstanding

580,165

569,455

 

MGM RESORTS INTERNATIONAL AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(In thousands, except share data)

(Unaudited)

March 31,

December 31,

2017

2016

      ASSETS

Current assets:

           Cash and cash equivalents

$

1,395,444

$

1,446,581

           Accounts receivable, net

493,765

542,924

           Inventories

100,502

97,733

           Prepaid expenses and other

183,007

142,349

 

                                  Total current assets

2,172,718

2,229,587

Property and equipment, net

18,619,666

18,425,023

Other assets:

           Investments in and advances to unconsolidated affiliates

1,252,432

1,220,443

           Goodwill 

1,814,028

1,817,119

           Other intangible assets, net

4,033,756

4,087,706

           Other long-term assets, net

410,492

393,423

 

                                  Total other assets

7,510,708

7,518,691

$

28,303,092

$

28,173,301

LIABILITIES AND STOCKHOLDERS' EQUITY

Current liabilities:

           Accounts payable

$

204,835

$

250,477

           Construction payable

214,861

270,361

           Income taxes payable

77,348

10,654

           Current portion of long-term debt

-

8,375

           Accrued interest on long-term debt

112,096

159,028

           Other accrued liabilities

1,515,624

1,594,526

 

                                  Total current liabilities

2,124,764

2,293,421

Deferred income taxes, net 

2,541,746

2,551,228

Long-term debt, net

13,099,190

12,979,220

Other long-term obligations

340,906

325,981

Redeemable noncontrolling interest

55,769

54,139

Stockholders' equity:

           Common stock, $.01 par value: authorized 1,000,000,000 shares, 

              issued and outstanding 574,466,085 and 574,123,706 shares 

5,745

5,741

           Capital in excess of par value

5,674,057

5,653,575

           Retained earnings

689,476

545,811

           Accumulated other comprehensive income 

7,217

15,053

 

                                  Total MGM Resorts International stockholders' equity

6,376,495

6,220,180

           Noncontrolling interests

3,764,222

3,749,132

 

                                  Total stockholders' equity

10,140,717

9,969,312

$

28,303,092

$

28,173,301

 

MGM RESORTS INTERNATIONAL AND SUBSIDIARIES

SUPPLEMENTAL DATA - NET REVENUES

(In thousands)

(Unaudited)

Three Months Ended

March 31,

March 31,

2017

2016

Bellagio

$

341,254

$

329,739

MGM Grand Las Vegas

267,526

268,454

Mandalay Bay

253,033

230,181

The Mirage 

172,331

144,595

Luxor

101,627

92,872

New York-New York 

89,939

81,371

Excalibur

78,980

74,288

Monte Carlo

72,533

69,720

Circus Circus Las Vegas

58,721

56,957

MGM Grand Detroit

144,232

140,865

Beau Rivage

89,177

89,437

Gold Strike Tunica

42,822

40,744

Borgata

201,081

-

National Harbor

173,159

-

  Domestic resorts

2,086,415

1,619,223

MGM China

502,374

469,029

Management and other operations

119,390

121,434

$

2,708,179

$

2,209,686

MGM RESORTS INTERNATIONAL AND SUBSIDIARIES

SUPPLEMENTAL DATA - ADJUSTED PROPERTY EBITDA

(In thousands)

(Unaudited)

Three Months Ended

March 31,

March 31,

2017

2016

Bellagio

$

129,107

$

116,651

MGM Grand Las Vegas

73,650

80,894

Mandalay Bay

78,117

58,122

The Mirage 

62,095

38,330

Luxor

32,804

25,391

New York-New York 

33,912

30,903

Excalibur

28,798

23,877

Monte Carlo

22,454

21,300

Circus Circus Las Vegas

15,958

13,293

MGM Grand Detroit

44,604

40,042

Beau Rivage

20,487

22,799

Gold Strike Tunica

14,726

13,329

Borgata

58,923

-

National Harbor

32,140

-

  Domestic resorts

647,775

484,931

MGM China

142,982

114,123

Unconsolidated resorts (1)

39,703

14,702

Management and other operations

10,916

4,115

$

841,376

$

617,871

 

 

(1) Represents the Company's share of operating income (loss), adjusted for the effect of certain basis differences. 

 

MGM RESORTS INTERNATIONAL AND SUBSIDIARIES

RECONCILIATION OF OPERATING INCOME (LOSS) TO ADJUSTED PROPERTY EBITDA AND ADJUSTED EBITDA

(In thousands)

(Unaudited)

Three Months Ended March 31, 2017

Operating 

income 

(loss)

Preopening 

and start-up 

expenses

Property 

transactions, 

net

Depreciation 

and 

amortization

Adjusted 

EBITDA

Bellagio

$

106,876

$

-

$

85

$

22,146

$

129,107

MGM Grand Las Vegas

55,822

7

233

17,588

73,650

Mandalay Bay

53,490

-

-

24,627

78,117

The Mirage 

52,760

-

-

9,335

62,095

Luxor

23,083

-

(1)

9,722

32,804

New York-New York 

24,600

(8)

129

9,191

33,912

Excalibur

24,541

-

55

4,202

28,798

Monte Carlo

8,817

610

31

12,996

22,454

Circus Circus Las Vegas

11,718

-

239

4,001

15,958

MGM Grand Detroit

38,825

-

-

5,779

44,604

Beau Rivage

14,450

-

-

6,037

20,487

Gold Strike Tunica

12,413

-

(28)

2,341

14,726

Borgata

38,884

35

804

19,200

58,923

National Harbor

10,608

74

-

21,458

32,140

  Domestic resorts

476,887

718

1,547

168,623

647,775

MGM China

73,190

9,824

149

59,819

142,982

Unconsolidated resorts (1)

39,703

-

-

-

39,703

Management and other operations

9,114

-

-

1,802

10,916

598,894

10,542

1,696

230,244

841,376

Stock compensation

(13,363)

-

-

-

(13,363)

Corporate 

(88,350)

4,524

-

19,525

(64,301)

$

497,181

$

15,066

$

1,696

$

249,769

$

763,712

Three Months Ended March 31, 2016

Operating 

income 

(loss)

Preopening 

and start-up 

expenses

Property 

transactions, 

net

Depreciation 

and 

amortization

Adjusted 

EBITDA

Bellagio

$

94,168

$

-

$

1

$

22,482

$

116,651

MGM Grand Las Vegas

62,262

-

763

17,869

80,894

Mandalay Bay

34,855

14

874

22,379

58,122

The Mirage 

27,994

-

-

10,336

38,330

Luxor

15,885

-

287

9,219

25,391

New York-New York 

25,487

-

3

5,413

30,903

Excalibur

16,969

-

2,766

4,142

23,877

Monte Carlo

16,777

-

91

4,432

21,300

Circus Circus Las Vegas

9,089

-

134

4,070

13,293

MGM Grand Detroit

34,031

-

-

6,011

40,042

Beau Rivage

16,190

-

10

6,599

22,799

Gold Strike Tunica

10,831

-

97

2,401

13,329

  Domestic resorts

364,538

14

5,026

115,353

484,931

MGM China

47,452

5,908

(10)

60,773

114,123

Unconsolidated resorts (1)

12,420

2,282

-

-

14,702

Management and other operations

1,064

1,150

-

1,901

4,115

425,474

9,354

5,016

178,027

617,871

Stock compensation

(9,869)

-

-

-

(9,869)

Corporate 

(99,651)

12,606

115

21,812

(65,118)

$

315,954

$

21,960

$

5,131

$

199,839

$

542,884

 

 

(1) Represents the Company's share of operating income (loss), adjusted for the effect of certain basis differences.

 

MGM RESORTS INTERNATIONAL AND SUBSIDIARIES

RECONCILIATION OF NET INCOME ATTRIBUTABLE TO MGM RESORTS INTERNATIONAL TO ADJUSTED EBITDA

(In thousands)

(Unaudited)

Three Months Ended

March 31,

March 31,

2017

2016

Net income attributable to MGM Resorts International

$

206,847

$

66,799

  Plus: Net income attributable to noncontrolling interests

46,162

24,399

Net income

253,009

91,198

  Provision for income taxes

62,375

21,310

Income before income taxes

315,384

112,508

Non-operating (income) expense:

  Interest expense, net of amounts capitalized

174,059

184,669

  Other, net

7,738

18,777

181,797

203,446

Operating income

497,181

315,954

  Preopening and start-up expenses

15,066

21,960

  Property transactions, net

1,696

5,131

  Depreciation and amortization

249,769

199,839

Adjusted EBITDA

$

763,712

$

542,884

MGM RESORTS INTERNATIONAL AND SUBSIDIARIES

RECONCILIATION OF DOMESTIC RESORTS ADJUSTED PROPERTY EBITDA TO DOMESTIC RESORTS SAME-STORE ADJUSTED PROPERTY EBITDA

(In thousands)

(Unaudited)

Three Months Ended

March 31,

March 31,

2017

2016

Domestic resorts Adjusted Property EBITDA

$

647,775

$

484,931

  Adjusted Property EBITDA related to Borgata

(58,923)

-

  Adjusted Property EBITDA related to National Harbor 

(32,140)

-

Domestic resorts same-store Adjusted Property EBITDA

$

556,712

$

484,931

MGM RESORTS INTERNATIONAL AND SUBSIDIARIES

SUPPLEMENTAL DATA - HOTEL STATISTICS - LAS VEGAS STRIP

(Unaudited)

Three Months Ended

March 31,

March 31,

2017

2016

Bellagio

   Occupancy %

93.0%

91.5%

   Average daily rate (ADR)

$294

$281

   Revenue per available room (REVPAR)

$274

$257

MGM Grand Las Vegas

   Occupancy %

91.2%

90.9%

   ADR

$201

$186

   REVPAR

$184

$169

Mandalay Bay 

   Occupancy %

91.0%

90.4%

   ADR

$238

$223

   REVPAR

$217

$201

The Mirage

   Occupancy %

91.9%

92.8%

   ADR

$193

$180

   REVPAR

$178

$167

Luxor 

   Occupancy %

93.2%

94.1%

   ADR

$127

$110

   REVPAR

$118

$104

New York-New York

   Occupancy %

95.4%

96.8%

   ADR

$155

$144

   REVPAR

$148

$140

Excalibur 

   Occupancy %

90.4%

91.6%

   ADR

$110

$96

   REVPAR

$99

$88

Monte Carlo 

   Occupancy %

95.5%

96.0%

   ADR

$133

$126

   REVPAR

$127

$121

Circus Circus Las Vegas

   Occupancy %

80.5%

78.9%

   ADR

$90

$79

   REVPAR

$73

$62

 

CITYCENTER HOLDINGS, LLC

SUPPLEMENTAL DATA - NET REVENUES

(In thousands)

(Unaudited)

Three Months Ended

March 31,

March 31,

2017

2016

Aria

$

274,883

$

254,725

Vdara

32,256

29,788

Mandarin Oriental

18,453

17,028

$

325,592

$

301,541

CITYCENTER HOLDINGS, LLC

RECONCILIATION OF NET INCOME (LOSS) TO ADJUSTED EBITDA

(In thousands)

(Unaudited)

Three Months Ended

March 31,

March 31,

2017

2016

Net income (loss)

$

44,437

$

(59,726)

 Less: Income from discontinued operations

-

11,557

Income (loss) from continuing operations

44,437

(48,169)

Non-operating (income) expense:

  Interest expense, net of amounts capitalized

12,760

17,444

  Other, net

(618)

3,582

12,142

21,026

Operating income (loss)

56,579

(27,143)

  Property transactions, net

(410)

(1,438)

  Depreciation and amortization

55,135

119,596

Adjusted EBITDA

$

111,304

$

91,015

CITYCENTER HOLDINGS, LLC

SUPPLEMENTAL DATA - HOTEL STATISTICS

(Unaudited)

Three Months Ended

March 31,

March 31,

2017

2016

Aria

   Occupancy %

91.4%

90.4%

   ADR

$275

$255

   REVPAR

$251

$230

Vdara

   Occupancy %

90.1%

89.7%

   ADR

$224

$209

   REVPAR

$202

$188

 

CITYCENTER HOLDINGS, LLC

RECONCILIATION OF OPERATING INCOME (LOSS) TO ADJUSTED EBITDA

(In thousands)

(Unaudited)

Three Months Ended March 31, 2017

Operating 

income 

(loss)

Preopening and 

start-up 

expenses

Property 

transactions, 

net

Depreciation 

and 

amortization

Adjusted 

EBITDA

Aria

$

54,114

$

-

$

(411)

$

45,119

$

98,822

Vdara

3,894

-

1

6,928

10,823

Mandarin Oriental

(392)

-

-

3,088

2,696

 Resort operations

57,616

-

(410)

55,135

112,341

General and administrative

(1,037)

-

-

-

(1,037)

$

56,579

$

-

$

(410)

$

55,135

$

111,304

Three Months Ended March 31, 2016

Operating 

income

(loss)

Preopening and 

start-up 

expenses

Property 

transactions, 

net

Depreciation 

and 

amortization

Adjusted 

EBITDA

Aria

$

(28,327)

$

-

$

109

$

109,561

$

81,343

Vdara

2,263

-

(336)

6,936

8,863

Mandarin Oriental

(1,238)

-

-

3,099

1,861

 Resort operations

(27,302)

-

(227)

119,596

92,067

General and administrative

159

-

(1,211)

-

(1,052)

$

(27,143)

$

-

$

(1,438)

$

119,596

$

91,015



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