MGM Resorts International kicked off 2026 with record first-quarter revenue of $4.5 billion, up 4 percent from last year. The casino giant saw net income drop to $125 million while Adjusted EBITDA fell to $580 million. Investors stayed calm during Wednesday’s earnings call as leaders highlighted digital wins and China strength, but rising costs cast a shadow.
MGM Resorts posted these standout numbers for the quarter ended March 31. Revenue beat Wall Street hopes and marked the highest ever for a first quarter. Yet profits took a hit from higher expenses.
Net income attributable to the company slid from $149 million a year ago. Adjusted earnings per share came in at $0.49, missing estimates of $0.56. The team bought back 2 million shares for $90 million, signaling faith in the stock.
| Segment | Net Revenue Q1 2026 | Change YoY | Adj. EBITDAR Q1 2026 | Change YoY |
|---|---|---|---|---|
| Las Vegas Strip | $2.18 billion | Flat | $749 million | Down 8% |
| Regional | $918 million | Up 2% | $259 million | Down 7% |
| MGM China | $1.1 billion | Up 9% | $273 million | Down 4% |
| MGM Digital | $183 million | Up 43% | -$26 million loss | Improved |
This table shows balanced growth across units. Las Vegas held steady, a big step after recent slumps.
Las Vegas Strip Edges Toward Rebound
The Las Vegas Strip resorts pulled in flat revenue at $2.18 billion, the first year-over-year gain since late 2024. Occupancy dipped to 92 percent from 94 percent, but average room rates stayed at $257.
Casino play softened with table games drop down 3 percent to $1.46 billion. Slots held even. Monthly revenues picked up in March, thanks to strong conventions and new all-inclusive deals at spots like MGM Grand. Leaders see momentum building into summer.
Regional operations added 2 percent revenue growth. Casino wins rose there, but margins squeezed across both areas.
China and Digital Segments Surge Ahead
MGM China led the pack with 9 percent revenue growth to $1.1 billion. Table games drop climbed 10 percent on the main floor, and win rates improved to 27.1 percent. A new branding fee with the parent company added $23 million in costs, trimming EBITDAR.
MGM Digital exploded with 43 percent revenue gains, cutting its loss to $26 million from $34 million. LeoVegas and other online arms drove this shift.
BetMGM, the U.S. sports betting joint venture, flipped to a $7.4 million profit share for MGM, up from a loss. Online gaming now offsets slower in-person trends.
These areas show MGM’s smart pivot. Travelers still flock to Macau, and apps pull in younger crowds.
Costs and Challenges Loom Large
The earnings call stayed even, with few analyst red flags. Still, headwinds surfaced. Las Vegas EBITDA dropped $62 million from higher self-insurance costs of $37 million and $31 million less in business interruption insurance payouts.
Midweek demand in Vegas felt soft, tied to consumer caution. Foreign currency swings and taxes added noise to profits. Shares fell 3 percent after hours on the EPS miss.
Japan plans call for $200 million to $225 million this year. The Northfield Park sale brought $546 million in April, boosting buybacks with $1.5 billion left authorized.
Leaders expect Q2 strength from bookings and room refreshes. Full-year guidance stays firm, but investors eye cost controls.
MGM Resorts proved resilient in Q1 2026, smashing revenue records through global and digital pushes even as core profits faced headwinds. This mix of wins and worries points to a company adapting fast in a tough world. Vegas lights still shine bright, promising better days for gamblers and shareholders alike.
