MGM Resorts International Full Year 2024 Earnings: EPS Beats Expectations

MGM Resorts International (NYSE:MGM) Full Year 2024 Results

Key Financial Results

• Revenue: US$17.2b (up 6.7% from FY 2023).
• Net income: US$743.7m (down 35% from FY 2023).
• Profit margin: 4.3% (down from 7.1% in FY 2023). The decrease in margin was driven by higher expenses.
• EPS: US$2.42 (down from US$3.22 in FY 2023).

All figures shown in the chart above are for the trailing 12 month (TTM) period

MGM Resorts International EPS Beats Expectations

Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 7.1%.

The primary driver behind last 12 months revenue was the Las Vegas Strip Resorts segment contributing a total revenue of US$8.82b (51% of total revenue). Notably, cost of sales worth US$9.39b amounted to 54% of total revenue thereby underscoring the impact on earnings. The largest operating expense was General & Administrative costs, amounting to US$4.97b (70% of total expenses). Explore how MGM's revenue and expenses shape its earnings.

Looking ahead, revenue is forecast to grow 1.9% p.a. on average during the next 3 years, compared to a 9.9% growth forecast for the Hospitality industry in the US.

Performance of the American Hospitality industry.

The company's shares are up 12% from a week ago.

Valuation

Following the latest earnings results, MGM Resorts International may be undervalued based on 6 different valuation benchmarks we assess. Click here to find out what a fair price for the stock might be and where analysts see the share price heading over the next year.

New: Manage All Your Stock Portfolios in One Place

We've created the ultimate portfolio companion for stock investors, and it's free.

• Connect an unlimited number of Portfolios and see your total in one currency
• Be alerted to new Warning Signs or Risks via email or mobile
• Track the Fair Value of your stocks


Try a Demo Portfolio for Free

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.