MGM Resorts International
For the period ended Jun 30, 2024. Filed Jul 31, 2024.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Jun 30, 2024 · Filed Jul 31, 2024
MGM$32.34-0.6%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2024-03-31; filed 2024-05-01.
0000789570-24-000014
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2024-06-30; filed 2024-07-31.
0000789570-24-000022
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 138 previous paragraphs and 143 current paragraphs.
93 unchanged; 37 reworded; 12 added; 7 removed; 1 previous and 1 current paragraphs rearranged.
Tables are not compared: 13 previous and 12 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (12)
Current report
Consolidated net revenues increased 10% for the three months ended June 30, 2024 compared to the prior year quarter due primarily to a 37% increase at MGM China as a result of the continued ramp up of operations in Macau and an increase at our Las Vegas Strip Resorts of 3%. Net revenues at our Regional Operations were flat.
Current report
Consolidated operating income increased 15% for the three months ended June 30, 2024 compared to the prior year quarter due primarily to the increase in net revenues, as discussed above.
Current report
Regional Operations net revenues for the three months ended June 30, 2024 were flat compared to the prior year quarter. Regional Operations net revenues decreased 2% for the six months ended June 30, 2024 compared to the prior year period due primarily to the disposition of Gold Strike Tunica.
Current report
Las Vegas Strip Resorts Adjusted Property EBITDAR was flat for the six months ended June 30, 2024 compared to the prior year period. Las Vegas Strip Resorts Adjusted Property EBITDAR margin was 36.1% for the six months ended June 30, 2024, compared to 37.3% in the prior year period due primarily to an increase in payroll related expenses and professional services, partially offset by the increase in ADR discussed above.
Current report
Regional Operations Adjusted Property EBITDAR decreased 7% for the six months ended June 30, 2024, compared to the prior year period. Regional Operations Adjusted Property EBITDAR margin was 30.6% for the six months ended June 30, 2024, compared to 32.4% in the prior year period due primarily to an increase in payroll related expenses and the disposition of Gold Strike Tunica.
Current report
MGM China Adjusted Property EBITDAR increased 57% for the six months ended June 30, 2024, compared to the prior year period. MGM China Adjusted Property EBITDAR margin was 28.7% for the six months ended June 30, 2024, compared to 27.8% in the prior year period due primarily to the increase in casino revenues, discussed above.
Current report
During the six months ended June 30, 2024, we had net repayments of debt of $42 million, which primarily consisted of our issuance of $750 million of aggregate principal amount of 6.5% notes due 2032 and the issuance of MGM China’s $500 million of aggregate principal amount of 7.125% notes due 2031, net draws of $208 million on MGM China’s first revolving credit facility, the repayment of $750 million of aggregate principal amount of our 6.75% notes due 2025, and the repayment of MGM China’s $750 million of aggregate principal amount of 5.375% notes due 2024 upon maturity.
Current report
The net proceeds from the issuance of the $750 million 6.5% notes due 2032 were used to fund the early redemption our $750 million in aggregate principal amount of 6.75% notes due 2025 in May 2024. The repayment of MGM China’s $750 million 5.375% notes due 2024 was funded with draws on its first revolving credit facility, which were partially repaid with the proceeds from the issuance of its $500 million 7.125% notes due 2031.
Current report
Share Repurchases and Distributions to Noncontrolling Interest Owners
Current report
We also expect to continue to repurchase shares pursuant to our share repurchase plans. Subsequent to June 30, 2024, we repurchased approximately 1 million shares of our common stock for an aggregate amount of$59 million, excluding excise tax. Repurchased shares were retired.
Current report
Foreign currency risk. Our worldwide operations are conducted in multiple foreign currencies, but we report our financial results in U.S. dollars. We manage the foreign currency risk through normal operating activities and, when deemed appropriate, through the use of derivative instruments. We do not enter into derivative instruments for trading or speculative purposes.
Current report
We hold forward foreign exchange contracts to hedge certain portions of forecasted cash flows denominated in foreign currencies. As of June 30, 2024, the notional amount of forward contracts was $1.1 billion and a 10% adverse change in the exchange rate would result in a foreign currency transaction loss of approximately $107 million.
Removed paragraphs (7)
Previous report
Regional Operations net revenues decreased 4% for the three months ended March 31, 2024 due primarily to the disposition of Gold Strike Tunica and a decrease in casino revenues.
Previous report
Supplemental Information - Same-store Results of Operations
Previous report
The following table presents the financial results of Regional Operations on a same-store basis for the three months ended March 31, 2024 and 2023. Same-Store Adjusted Property EBITDAR is a non-GAAP measure, discussed within “Non-GAAP measures” below.
Previous report
(1)Excludes the net revenues and Adjusted Property EBITDAR of Gold Strike Tunica for the three months ended March 31, 2023.
Previous report
“Same-Store Adjusted Property EBITDAR” is Adjusted Property EBITDAR further adjusted to exclude the Adjusted Property EBITDAR of acquired operating segments from the date of acquisition through the end of the reporting period and to exclude the Adjusted Property EBITDAR of disposed operating segments from the beginning of the reporting period through the date of disposition. Accordingly, for Regional Operations, we have excluded the Adjusted Property EBITDAR of Gold Strike Tunica for the periods prior to its disposition on February 15, 2023, as applicable.
Previous report
During the three months ended March 31, 2024, we had net repayments of debt of $77 million, which consisted ofnet repayments on MGM China’s first revolving credit facility. The net repayments of debt were funded with cash on hand.
Previous report
Share Repurchases
Reworded paragraphs (37)
Previous wording
Consolidated net revenues increased 13% for the three months ended March 31, 2024 compared to the prior year quarter due primarily to a 71% increase at MGM China and a 4% increase at our Las Vegas Strip Resorts, partially offset by a 4% decrease at our Regional Operations.
Current wording
Consolidated net revenues increased 11% for the six months ended June 30, 2024 compared to the prior year period due primarily to a 53% increase at MGM China and a 3% increase at our Las Vegas Strip Resorts, partially offset by a 2% decrease at our Regional Operations.
Previous wording
Consolidated operating income decreased 37% for the three months ended March 31, 2024 compared to the prior year quarter. The decrease was due primarily to the $398 million gain in the prior year quarter related to the sale of the operations of Gold Strike Tunica recorded in property transactions, net, partially offset by the increase in net revenues discussed above.
Current wording
Consolidated operating income decreased 20% for the six months ended June 30, 2024 compared to the prior year period. The decrease was due primarily to the $399 million gain in the prior year period related to the sale of the operations of Gold Strike Tunica recorded in property transactions, net, partially offset by the increase in net revenues discussed above.
Previous wording
Las Vegas Strip Resorts net revenues increased 4% for the three months ended March 31, 2024 due primarily to the increase in rooms revenue in the current year quarter discussed below.
Current wording
Las Vegas Strip Resorts net revenues increased 3% for the three and six months ended June 30, 2024 due primarily to the increase in rooms revenue and food and beverage revenue in the current year quarter and period, partially offset by the decrease in casino revenue, discussed below.
Previous wording
Las Vegas Strip Resorts casino revenue decreased 1% for the three months ended March 31, 2024 compared to the prior year quarter.
Current wording
Las Vegas Strip Resorts casino revenue decreased 2% for the three months ended June 30, 2024 compared to the prior year quarter due primarily to the decrease in slot handle, partially offset by an increase in table games win percentage. Las Vegas Strip Resorts casino revenue decreased 1% for the six months ended June 30, 2024 compared to the prior year period.
Previous wording
Las Vegas Strip Resorts rooms revenue increased 10% for the three months ended March 31, 2024 compared to the prior year quarter due primarily to the increase in ADR as a result of the Super Bowl being hosted in Las Vegas during the quarter, compared to the prior year quarter.
Current wording
Las Vegas Strip Resorts rooms revenue increased 9% for the three months ended June 30, 2024 compared to the prior year quarter and increased 9% for the six months ended June 30, 2024 compared to the prior year period due primarilyto an increase in ADR in the current year periods.
Previous wording
Las Vegas Strip Resorts food and beverage revenue increased 3% for the three months ended March 31, 2024 compared to the prior year quarter due primarily to an increase in catering and banquet revenue and improved restaurant options.
Current wording
Las Vegas Strip Resorts food and beverage revenue increased 4% for the three months ended June 30, 2024 compared to the prior year quarter and increased 4% for the six months ended June 30, 2024 compared to the prior year period due primarily to an increase in catering and banquet revenue in the current year periods.
Previous wording
Las Vegas Strip Resorts entertainment, retail and other revenues decreased 3% for the three months ended March 31, 2024 compared to the prior year quarter due primarily to a decrease in theater revenue and attrition revenue.
Current wording
Las Vegas Strip Resorts entertainment, retail, and other revenues decreased 6% for the three months ended June 30, 2024 compared to the prior year quarter and decreased 4% for the six months ended June 30, 2024 compared to the prior year period due primarily to a decrease in theater and attrition revenue in the current year periods.
Previous wording
Regional Operations casino revenue decreased 4% for the three months ended March 31, 2024 compared to the prior year quarter due primarily to the disposition of Gold Strike Tunica discussed above as well as a decrease in volume.
Current wording
Regional Operations casino revenue increased 1% for the three months ended June 30, 2024 compared to the prior year quarter. Regional Operations casino revenue decreased 2% for the six months ended June 30, 2024 compared to the prior year period due primarily to the disposition of Gold Strike Tunica.
Previous wording
Regional Operations rooms revenue decreased 2% for the three months ended March 31, 2024 compared to the prior year quarter due primarily to the disposition of Gold Strike Tunica discussed above.
Current wording
Regional Operations rooms revenue increased 2% for the three months ended June 30, 2024 compared to the prior year quarter due primarily to an increase in occupied room nights. Regional Operations rooms revenue was flat for the six months ended June 30, 2024 compared to the prior year period due primarily to the disposition of the Gold Strike Tunica.
Previous wording
Regional Operations food and beverage revenue decreased 4% for the three months ended March 31, 2024 compared to the prior year quarter due primarily to the disposition of Gold Strike Tunica discussed above.
Current wording
Regional Operations food and beverage revenue for the three months ended June 30, 2024 was flat compared to the prior year quarter. Regional Operations food and beverage revenue decreased 2% for the six months ended June 30, 2024 compared to the prior year period due primarily to the disposition of the Gold Strike Tunica.
Previous wording
Regional Operations entertainment, retail and other revenue increased 2% for the three months ended March 31, 2024 compared to the prior year quarter primarily driven by an improved event calendar compared to prior years.
Current wording
Regional Operations entertainment, retail, and other revenue decreased 10% for the three months ended June 30, 2024 compared to the prior year quarter and decreased 4% for the six months ended June 30, 2024 compared to the prior year period due primarily to a stronger event calendar in the prior year periods.
Previous wording
MGM China net revenues increased 71% for the three months ended March 31, 2024 due primarily to an increase in casino revenue discussed below.
Current wording
MGM China net revenues increased 37% for the three months ended June 30, 2024 compared to the prior year quarter and increased 53% for the six months ended June 30, 2024 compared to the prior year period, due primarily to an increase in casino revenue in the current year periods, discussed below.
Previous wording
MGM China casino revenues increased 66% for the three months ended March 31, 2024 compared to the prior year quarter due primarily to the continued ramp up of operations after the COVID-19 related restrictions were removed in the first quarter of 2023 in Macau.
Current wording
MGM China casino revenues increased 33% for the three months ended June 30, 2024 compared to the prior year quarter and increased 48% for the six months ended June 30, 2024 compared to the prior year period due primarily to the continued ramp up of operations after the COVID-19 related restrictions were removed in the first quarter of 2023 in Macau.
Previous wording
Corporate and other revenue primarily includes revenues from LeoVegas, other corporate operations, and management services.
Current wording
Corporate and other revenue primarily includes revenues from LeoVegas, other corporate operations, and management services. The increase in the three and six months ended June 30, 2024 compared to the comparative prior year periods is due primarily to the increase in LeoVegas revenues.
Previous wording
Las Vegas Strip Resorts Adjusted Property EBITDAR decreased 1% for the three months ended March 31, 2024 compared to the prior year quarter. Las Vegas Strip Resorts Adjusted Property EBITDAR margin was 36.7% for the three months ended March 31, 2024, compared to 38.4% in the prior year quarter due primarily to an increase in payroll related expenses.
Current wording
Las Vegas Strip Resorts Adjusted Property EBITDAR increased 1% for the three months ended June 30, 2024 compared to the prior year quarter. Las Vegas Strip Resorts Adjusted Property EBITDAR margin was 35.5% for the three months ended June 30, 2024, compared to 36.2% in the prior year quarter due primarily to an increase in payroll related expenses and professional services, partially offset by the increase in ADR discussed above.
Previous wording
Regional Operations Adjusted Property EBITDAR decreased 12% for the three months ended March 31, 2024, compared to the prior year quarter. Regional Operations Adjusted Property EBITDAR margin was 30.1% for the three months ended March 31, 2024 compared to 33.1% in the prior year quarter due primarily to a decrease in casino revenues and an increase in payroll related expenses.
Current wording
Regional Operations Adjusted Property EBITDAR decreased 2% for the three months ended June 30, 2024, compared to the prior year quarter. Regional Operations Adjusted Property EBITDAR margin was 31.1% for the three months ended June 30, 2024 compared to 31.7% in the prior year quarter due primarily to an increase in payroll related expenses.
Previous wording
MGM China Adjusted Property EBITDAR increased 78% for the three months ended March 31, 2024 compared to the prior year quarter. MGM China Adjusted Property EBITDAR margin was 28.5% for the three months ended March 31, 2024 compared to 27.4% in the prior year quarter due primarily to the increase in casino revenues, discussed above.
Current wording
MGM China Adjusted Property EBITDAR increased 40% for the three months ended June 30, 2024 compared to the prior year quarter. MGM China Adjusted Property EBITDAR margin was 28.9% for the three months ended June 30, 2024 compared to 28.3% in the prior year quarter due primarily to the increase in casino revenues, discussed above.
Previous wording
Gross interest expense was $111 million and $131 million for the three months ended March 31, 2024 and 2023, respectively. The decrease from the prior year quarter is due primarily to a decrease in debt outstanding as a result of the repayment of the $1.25 billion 6% senior notes in March 2023, the decrease in the debt outstanding under MGM China’s first revolving credit facility, and the repayment of the LeoVegas senior notes in August 2023. See Note 5 to the accompanying consolidated financial statements for discussion on long-term debt and see “Liquidity and Capital Resources” for discussion on issuances and repayments of long-term debt and other sources and uses of cash.
Current wording
Gross interest expense was $113 million for each of the three months ended June 30, 2024 and 2023, and $224 million and $243 million for the six months ended June 30, 2024 and 2023, respectively. Gross interest expense for the six months ended June 30, 2024 is due primarily to a decrease in debt outstanding as a result of the repayment of the $1.25 billion 6% senior notes in March 2023, the redemption of the $750 million 6.75% senior notes in May 2024, the repayment of MGM China’s $750 million 5.375% senior notes in May 2024, the decrease in the average debt outstanding under MGM China’s first revolving credit facility, and the repayment of the LeoVegas senior notes in August 2023, partially offset by the issuance of $750 million 6.5% senior notes in April 2024 and the issuance of MGM China’s $500 million 7.125%% senior notes in June 2024. See Note 5 to the accompanying consolidated financial statements for discussion on long-term debt and see “Liquidity and Capital Resources” for discussion on issuances and repayments of long-term debt and other sources and uses of cash.
Previous wording
Other, net was expense of $5 million and income of $46 million for the three months ended March 31, 2024 and 2023, respectively. Other expense, net for the three months ended March 31, 2024 was primarily comprised of a loss related to foreign currency contracts of $38 million, a loss related to debt and equity investments of $21 million, partially offset by foreign currency transaction gain of $33 million and interest and dividend income of $23 million. Other income, net for the three months ended March 31, 2023 was primarily comprised of interest and dividend income of $57 million, partially offset by a foreign currency transaction loss of $16 million.
Current wording
Other, net was expense of $48 million and income of $70 million for the six months ended June 30, 2024 and 2023, respectively. Other expense, net for the six months ended June 30, 2024 was primarily comprised of a loss related to foreign currency contracts of $100 million, a loss related to debt and equity investments of $44 million, partially offset by a foreign currency transaction gain of $37 million and interest and dividend income of $44 million. Other income, net for the six months ended June 30, 2023 was primarily comprised of interest and dividend income of $97 million, partially offset by a foreign currency transaction loss of $21 million.
Previous wording
Our effective income tax rate was 12.7% and 25.7% for the three months ended March 31, 2024 and March 31, 2023, respectively. The effective rate for the three months ended March 31, 2024 was favorably impacted primarily by an increase in Macau gaming profits which are exempt from complementary tax.
Current wording
Our effective income tax rate was (4.3%) and 5.2% for the three and six months ended June 30, 2024, respectively, compared to 13.8% and 22.1% for the three and six months ended June 30, 2023, respectively. The effective rate for the three and six months ended June 30, 2024 was favorably impacted by an increase in Macau gaming profits which are exempt from complementary tax. The effective rate for the three months ended June 30, 2024 was also driven by a decrease in the valuation allowance for Macau deferred tax assets.
Previous wording
As of March 31, 2024, all of our principal debt arrangements are guaranteed by each of our wholly owned material domestic subsidiaries that guarantee our senior credit facility. Our principal debt arrangements are not guaranteed by MGM Grand Detroit, MGM National Harbor, Blue Tarp reDevelopment, LLC (the entity that owns the operations of MGM Springfield), MGM Sports & Interactive Gaming, LLC (the entity that owns our 50% interest in BetMGM), and each of their respective subsidiaries. Our foreign subsidiaries, including LeoVegas, MGM China, and each of their respective subsidiaries, are also not guarantors of our principal debt arrangements. In the event that any subsidiary is no longer a guarantor of our credit facility or any of our future capital markets indebtedness, that subsidiary will be released and relieved of its obligations to guarantee our existing senior notes. The indentures governing the senior notes further provide that in the event of a sale of all or substantially all of the assets of, or capital stock in a subsidiary guarantor then such subsidiary guarantor will be released and relieved of any obligations under its subsidiary guarantee.
Current wording
As of June 30, 2024, all of our principal debt arrangements are guaranteed by each of our wholly owned material domestic subsidiaries that guarantee our senior credit facility. Our principal debt arrangements are not guaranteed by MGM Grand Detroit, MGM National Harbor, Blue Tarp reDevelopment, LLC (the entity that owns the operations of MGM Springfield), MGM Sports & Interactive Gaming, LLC (the entity that owns our 50% interest in BetMGM), MGM Live Dealer Streaming, LLC, and each of their respective subsidiaries. Our foreign subsidiaries, including LeoVegas, MGM China, and each of their respective subsidiaries, are also not guarantors of our principal debt arrangements. In the event that any subsidiary is no longer a guarantor of our credit facility or any of our future capital markets indebtedness, that subsidiary will be released and relieved of its obligations to guarantee our existing senior notes. The indentures governing the senior notes further provide that in the event of a sale of all or substantially all of the assets of, or capital stock in a subsidiary guarantor then such subsidiary guarantor will be released and relieved of any obligations under its subsidiary guarantee.
Previous wording
The guarantees provided by the subsidiary guarantors rank senior in right of payment to any future subordinated debt of ours or such subsidiary guarantors, junior to any secured indebtedness to the extent of the value of the assets securing such debt and effectively subordinated to any indebtedness and other obligations of our subsidiaries that do not guarantee the senior notes. In addition, the obligations of each subsidiary guarantor under its guarantee is limited so as not to constitute a fraudulent conveyance under applicable law, which may eliminate the subsidiary guarantor’s obligations or reduce such obligations to an amount that effectively makes the subsidiary guarantee lack value.
Current wording
The guarantees provided by the subsidiary guarantors rank senior in right of payment to any future subordinated debt of ours or such subsidiary guarantors, junior to any secured indebtedness to the extent of the value of the assets securing such debt and effectively subordinated to any indebtedness and other obligations of our subsidiaries that do not guarantee the senior notes. In addition, the obligations of each subsidiary guarantor under its guarantee are limited so as not to constitute a fraudulent conveyance under applicable law, which may eliminate the subsidiary guarantor’s obligations or reduce such obligations to an amount that effectively makes the subsidiary guarantee lack value.
Previous wording
Operating activities. Trends in our operating cash flows tend to follow trends in operating income, excluding non-cash charges, but can be affected by changes in working capital, the timing of significant interest payments, and tax payments or refunds. Cash provided by operating activities was $549 million in the three months ended March 31, 2024 compared to $704 million in the prior year period. The decrease from the prior year period was due primarily to a decrease in working capital primarily related to payroll liabilities, partially offset by the increase in Adjusted Property EBITDAR at MGM China discussed within the Results of Operations section above and a decrease in cash paid for interest.
Current wording
Operating activities. Trends in our operating cash flows tend to follow trends in operating income, excluding non-cash charges, but can be affected by changes in working capital, the timing of significant interest payments, and tax payments or refunds. Cash provided by operating activities was $1.0 billion in the six months ended June 30, 2024 compared to $1.3 billion in the prior year period. The decrease from the prior year period was due primarily to changes in working capital primarily related to payroll liabilities, gaming taxes, payables, and receivables, partially offset by the increase in Adjusted Property EBITDAR at MGM China discussed within the Results of Operations section above and a decrease in cash paid for interest and taxes.
Previous wording
Cash used in investing activities was $108 million in the three months ended March 31, 2024 compared to cash provided by investing activities of $212 million in the prior year period. In the three months ended March 31, 2024, we made payments of $172 million in capital expenditures, as further discussed below, contributed $10 million to unconsolidated affiliates, and received $105 million related to net short-term investments in debt securities. In comparison, in the prior year period we received $439 million in net cash related to the sale of the operations of Gold Strike Tunica, received $153 million in cash related to the principal portion of the Circus Circus Las Vegas note receivable that was repaid, and made payments of $140 million in capital expenditures, as further discussed below, contributed $25 million to BetMGM, and made $218 million in net short-term investments in debt securities.
Current wording
Cash used in investing activities was $385 million in the six months ended June 30, 2024 compared to $59 million in the prior year period. In the six months ended June 30, 2024, we made payments of $410 million in capital expenditures, as further discussed below, contributed $41 million to unconsolidated affiliates, and received $122 million related to net short-term investments in debt securities. In comparison, in the prior year period we received $447 million in net cash related to the sale of the operations of Gold Strike Tunica, received $153 million in cash related to the principal portion of the Circus Circus Las Vegas note receivable that was repaid, made payments of $393 million in capital expenditures, as further discussed below, contributed $50 million to BetMGM, and made $216 million in net short-term investments in debt securities.
Previous wording
We made capital expenditures of $172 million in the three months ended March 31, 2024, of which $15 million related to MGM China and is inclusive of capital expenditures relating to the gaming concession investment. Capital expenditures at our Las Vegas Strip Resorts, Regional Operations, and corporate and other entities of $157 million primarily related to information technology and room remodels.
Current wording
We made capital expenditures of $410 million in the six months ended June 30, 2024, of which $40 million related to MGM China and is inclusive of capital expenditures relating to the gaming concession investment. Capital expenditures at our Las Vegas Strip Resorts, Regional Operations, and corporate and other entities of $370 million primarily related to information technology and room remodels.
Previous wording
We made capital expenditures of $140 million in the three months ended March 31, 2023, of which $6 million related to MGM China, for which the MGM China amount is inclusive of capital expenditures related to the gaming concession investment. Capital expenditures at our Las Vegas Strip Resorts, Regional Operations and corporate entities of $134 million primarily related to expenditures in information technology, room remodels, and convention center remodels.
Current wording
We made capital expenditures of $393 million in the six months ended June 30, 2023, of which $20 million related to MGM China and is inclusive of capital expenditures related to the gaming concession investment. Capital expenditures at our Las Vegas Strip Resorts, Regional Operations and corporate and other entities of $373 million primarily related to expenditures in information technology, room remodels, and convention center remodels.
Previous wording
Financing activities. Cash used in financing activities was $629 million in the three months ended March 31, 2024 compared to $2.4 billion in the prior year period. In the three months ended March 31, 2024, we had net repayments of debt of $77 million, as further discussed below, paid $507 million for repurchases of our common stock as further discussed in Note 10, and distributed $12 million to noncontrolling interest owners. In comparison, in the prior year period, we had net repayments of debt of $1.8 billion, as further discussed below, distributed $18 million to noncontrolling interest owners, and repurchased $484 million of our common stock.
Current wording
Financing activities. Cash used in financing activities was $1.1 billion in the six months ended June 30, 2024 compared to $3.3 billion in the prior year period. In the six months ended June 30, 2024, we had net repayments of debt of $42 million, as further discussed below, paid $915 million for repurchases of our common stock as further discussed in Note 10, and distributed $95 million to noncontrolling interest owners. In comparison, in the prior year period, we had net repayments of debt of $2.0 billion, as further discussed below, distributed $162 million to noncontrolling interest owners, and repurchased $1.1 billion of our common stock.
Previous wording
During the three months ended March 31, 2023, we had net repayments of debt of $1.8 billion, which consisted of the repayment of $1.25 billion of aggregate principal amount of our 6% senior notes due 2023 upon maturity, and aggregate repayments of $586 million on MGM China’s revolving credit facilities.
Current wording
During the six months ended June 30, 2023, we had net repayments of debt of $2.0 billion, which consisted of the repayment of $1.25 billion of aggregate principal amount of our 6% senior notes due 2023 upon maturity, and aggregate net repayments of $758 million on MGM China’s revolving credit facilities.
Previous wording
During the three months ended March 31, 2024, we paid $507 million relating to repurchases of our common stock pursuant to our stock repurchase plans. See Note 10 for further information on the stock repurchases. In connection with those repurchases, the February 2023 $2.0 billion stock repurchase plan was completed. The remaining availability under the November 2023 $2.0 billion stock repurchase plan was $1.7 billion as of March 31, 2024.
Current wording
During the six months ended June 30, 2024, we paid $915 million relating to repurchases of our common stock pursuant to our stock repurchase plans. See Note 10 for further information on the stock repurchases. In connection with those repurchases, the February 2023 $2.0 billion stock repurchase plan was completed. The remaining availability under the November 2023 $2.0 billion stock repurchase plan was $1.3 billion as of June 30, 2024.
Previous wording
During the three months ended March 31, 2023, we repurchased and retired $484 million of our common stock pursuant to our stock repurchase plans.
Current wording
During the six months ended June 30, 2023, we repurchased and retired $1.1 billion of our common stock pursuant to our stock repurchase plans.
Previous wording
In March 2024, MGM China’s Board of Directors declared a special dividend for 2023 of $51 million, which was paid in April 2024, of which we received approximately $29 million and noncontrolling interests received approximately $22 million. A final dividend for 2023 was also declared in March 2024, subject to shareholders’ approval, which is expected in May 2024. If approved, MGM China would pay approximately $118 million in June 2024, of which we would receive approximately $66 million.
Current wording
In March 2024, MGM China’s Board of Directors declared a special dividend for 2023 of $51 million, which was paid in April 2024, of which we received approximately $29 million and noncontrolling interests received approximately $22 million. A final dividend for 2023 of $118 million was declared in March 2024, approved by the shareholders in May 2024, and paid in June 2024, of which we received approximately $66 million and noncontrolling interests received approximately $52 million.
Previous wording
As of March 31, 2024, we had cash and cash equivalents of $2.7 billion, of which MGM China held $622 million, and we had $6.3 billion in principal amount of indebtedness, including $3.0 billion related to MGM China. No amounts were drawn on our revolving credit facility or MGM China’s second revolving credit facility and, as of March 31, 2024, there was $294 million outstanding under MGM China’s first revolving credit facility.
Current wording
As of June 30, 2024, we had cash and cash equivalents of $2.4 billion, of which MGM China held $668 million, and we had $6.3 billion in principal amount of indebtedness, including $3.1 billion related to MGM China. No amounts were drawn on our revolving credit facility or MGM China’s second revolving credit facility and, as of June 30, 2024, there was $579 million outstanding under MGM China’s first revolving credit facility.
Previous wording
In February 2024, we amended our senior secured credit facility to increase the facility to $2.3 billion and extend the maturity date to February 2029. In April 2024, we issued $750 million in aggregate principal amount of 6.5% senior notes due 2032. In May 2024, we used the net proceeds to fund the redemption of our $750 million in aggregate principal amount of 6.75% notes due 2025.
Current wording
In February 2024, we amended our senior secured credit facility to increase the facility to $2.3 billion and extend the maturity date to February 2029. In May 2024, MGM China further exercised the option to increase the amount of the second revolving facility to its full capacity, as further discussed in Note 5.
Previous wording
Our expected cash interest payments over the next twelve months, based on principal amounts of debt outstanding, contractual maturity dates, and interest rates, each as of March 31, 2024, are approximately $185 million to $195 million, excluding MGM China, and approximately $345 million to $355 million on a consolidated basis, which includes MGM China.
Current wording
Our expected cash interest payments over the next twelve months, based on principal amounts of debt outstanding, contractual maturity dates, and interest rates, each as of June 30, 2024, are approximately $180 million to $200 million, excluding MGM China, and approximately $370 million to $390 million on a consolidated basis, which includes MGM China.
Previous wording
We have planned capital expen ditures expected over the remainder of 2024 of approximately $675 million to $725 million domestically, which is inclusive of the capital expenditures required under the triple-net lease agreements, each of which requires us to spend a specified percentage of net revenues at the respective domestic properties, and an estimate of approximately $150 million to $200 million at MGM China, which is inclusive of the estimated amount of the gaming concession investment for 2024 that relates to capital projects.
Current wording
We have planned capital expen ditures expected over the remainder of 2024 of approximately $475 million to $525 million domestically, which is inclusive of the capital expenditures required under the triple-net lease agreements, each of which requires us to spend a specified percentage of net revenues at the respective domestic properties, and an estimate of approximately $130 million to $180 million at MGM China, which is inclusive of the estimated amount of the gaming concession investment for 2024 that relates to capital projects.
Previous wording
We continue to explore potential development or investment opportunities, such as expanding our global online gaming presence and pursuing a commercial gaming facility in New York, which may require cash commitments in the future. If our pursuit of a commercial gaming facility in New York is successful, we expect the project cost to be approximately $2 billion, inclusive of a $500 million license fee, with the amount and timing of costs dependent upon progress of the project and selection process. Additionally, we have cash commitments to fund Osaka IR KK relating to the development of an integrated resort in Osaka, Japan for our proportionate share of the unfinanced portion of Osaka IR KK’s development project. We currently expect our share to be 306 billion yen (approximately $2.0 billion as of March 31, 2024), which we anticipate funding over the next five years, subject to changes in the progress and scope of the development. Refer to Note 8 to the accompanying consolidated financial statements for further discussion regarding our commitments and guarantees.
Current wording
We continue to explore potential development or investment opportunities, such as expanding our global online gaming presence and pursuing a commercial gaming facility in New York, which may require cash commitments in the future. If our pursuit of a commercial gaming facility in New York is successful, we expect the project cost to be approximately $2 billion, inclusive of a $500 million license fee, with the amount and timing of costs dependent upon progress of the project and selection process. Additionally, we have cash commitments to fund Osaka IR KK relating to the development of an integrated resort in Osaka, Japan for our proportionate share of the unfinanced portion of Osaka IR KK’s development project. We currently expect our share to be 306 billion yen (approximately $1.9 billion as of June 30, 2024), which we anticipate funding over the next five years, subject to changes in the progress and scope of the development. In July 2024, we funded 22.2 billion yen (approximately $138 million) to Osaka IR KK, as mentioned in Note 4. Refer to Note 8 to the accompanying consolidated financial statements for further discussion regarding our commitments and guarantees.
Previous wording
As of March 31, 2024, variable rate borrowings represented approximately 5% of our total borrowings. The following table provides additional information about our gross long-term debt subject to changes in interest rates:
Current wording
As of June 30, 2024, variable rate borrowings represented approximately 9% of our total borrowings. The following table provides additional information about our gross long-term debt subject to changes in interest rates:
Rearranged current paragraphs (1)
Current report — wording carried from elsewhere
Other, net was expense of $43 million and income of $24 million for the three months ended June 30, 2024 and 2023, respectively. Other expense, net for the three months ended June 30, 2024 was primarily comprised of a loss related to foreign currency contracts of $62 million, a loss related to debt and equity investments of $23 million, partially offset by interest and dividend income of $22 million. Other income, net for the three months ended June 30, 2023 was primarily comprised of interest and dividend income of $40 million, partially offset by a loss related to foreign currency contracts of $16 million.
Rearranged previous paragraphs (1)
Previous report — wording carried elsewhere
Same-Store Adjusted Property EBITDAR is a non-GAAP measure and is presented solely as a supplemental disclosure to reported GAAP measures because management believes this measure is useful in providing meaningful period-to-period comparisons of the results of our operations for operating segments that were consolidated for the full period presented to assist users of the financial statements in reviewing operating performance over time. Same-Store Adjusted Property EBITDAR should not be viewed as a measure of overall operating performance, considered in isolation, or as an alternative to our reportable segment GAAP measure or net income, or as an alternative to any other measure determined in accordance with generally accepted accounting principles, because this measure is not presented on a GAAP basis, and is provided for the limited purposes discussed herein. In addition, Same-Store Adjusted Property EBITDAR may not be defined in the same manner by all companies and, as a result, may not be comparable to similarly titled non-GAAP financial measures of other companies, and such differences may be material. A reconciliation of our reportable segment Adjusted Property EBITDAR GAAP measure to Same-Store Adjusted Property EBITDAR is included herein.