MGM Resorts International (MGM) 10 Feb 222021 Q4 Earnings call transcript

Good afternoon, and welcome to the MGM Resorts International Fourth Quarter and Full Year 2021 Earnings Conference Call.

Joining the call from the company today are: Bill Hornbuckle, Chief Executive Officer and President; Corey Sanders, Chief Operating Officer; Jonathan Halkyard, Chief Financial Officer; Hubert Wang, President and Chief Operating Officer of MGM China; and Sarah Rogers, SVP of Corporate Finance. [Operator Instructions]. Please note, this conference is being recorded.

Now I would like to turn the call over to Sarah.

to XXXX Resorts Earnings welcome and Fourth and Year Full Call. afternoon, the International MGM Quarter Good This call press is at X-K investors.mgmresorts.com, being the broadcast live we to also on have furnished our SEC. release Form and on the Internet statements we of harbor securities forward-looking federal the safe On this make under call, laws. will provisions the differ those contemplated may these statements. results Actual in materially from

the today's these Additional SEC. obligation periodic forward-looking statements these to differ information from our by required concerning factors as a or to in contained Except that of press in law, could filings no otherwise. and cause information new with statements actual results undertake result release is we as update

we our in will call, non-GAAP discuss talking this performance. financial about measures During also

release website. You available which could find reconciliation GAAP the press investor on and are to our financial our presentation, in measures

this being is to Hornbuckle. turn I now Bill will presentation Finally, it over recorded.

thank you, quarter the had end very strong We Sarah, for highest company. Thank adjusted today. great our and joining history us of a in producing the consolidated a you to all year, ever EBITDAR

Our delivered all-time and record, EBITDA a yet EBITDA regional resorts delivered Las quarterly our fourth another quarter Vegas Strip record.

and regional fourth These very remained experiences overhang we proven the the of are for services very margins strong demand the quarter. sharpened a the provide in and despite talented that operational testament the to country, COVID. across Resorts and efficiency also results team at our Strip on Our focus resiliency MGM of

these family. enough couple I thank without the I world-class to of so company We cannot journeys has MGM I everyone our Simply, We could it have the you not Our grateful guests. employees cornerstone organization, phenomenal years, thank our of appreciative and remain you. the but know results dedication their how for the members. our last achieved am am of in team of say over our and not been and easiest

strategic our to vision simply also leadership gaming plan be propelled to us premier Our the advance base team our and company. employee world's and strong forward long-term entertainment and

allocating of in our X by strategic capabilities, for and reminder, insights investing our following at the planet, plan priorities: customer excellence As responsibly for operational return data-driven and our the our delivered every I people digital a and leveraging and consists delivering the go we yield touched providing into to the unique on more his results guests level, experiences in capital fourth our great highest detail Jonathan briefly shareholders. in will remarks. quarter,

transform highlighting spend like company. I'd time now, we our to significant For 'XX milestones in the to some achieved

our bolstering real took of we cash steps position. assets our complete goal estate monetizing meaningfully to First, our domestic

selling operations transaction We close in fully have to simplified that under the Center a our our structure, bringing is expected control, MGP City months. the to of coming VICI,

announced a strong portfolio and the acquisition operations the are I #X to established and and execution in with player #X the iGaming, with betting U.S. world. the date. brand sports XXXX operator sports the the and finishing has in incredibly excellent venture space, with in joint At overall leaders our as Entain BetMGM's iGaming. pleased Las of We the and MGM, changes position Las in Cosmopolitan iGaming our the our of Mirage. in making Vegas these with the the competitive believe strategic of in one diversify will of offerings enhance of the of transactions destinations and We and most operations desirable Vegas also sale am

world's to allow largest the us in where geographically be to progress Doing world-class markets Osaka new the their one into City continue what chose a gaming believe as will of and build us substantial integrated have so we world. diversify to Japan in will of We resort. partner operate the

Disney. They Mandadi, goals. cash And addition Tilak of the who last team us already executive have long-term vital with year we meaningful returned finally, Jonathan both our from shareholders. been our our and also We execution the to recently to bolstered of joined

the leadership pleased are and sets confident comments, new us how both more we're into its in even investing up position 'XX, to this in for we with excited we've in BetMGM that evidenced by XXXX. all We this remain $XXX anticipate Starting states. accomplished BetMGM, existing And owners with strong sustain and both ability team's million another advance this collectively year. and momentum

and their hear we'll You call, BetMGM Investor Gary during Day heard and from recent in team from the Adam on more May. their

and being organic Orix, be early April. York, are New in development we we We working area U.S. the submit to terms new as encouraged given we're to opportunity positioned growth central awarded progress existing Osaka integrated incremental which our government of resort revenue the to license loyalty believe hopeful the Empire in gaming being premium could In in commercial full this partners, remain continued year by network well City. year. We an of in of entertainment city and opportunity maximizing confident later across garner a in with expansion in our extremely an about venues by MGM build see opportunities, our by awarded the we And plan as deepen finally, properties as the to in is the potential Stateside, think an this license operations and Japan. of business, our share resort made

technology. strategic a investments leverages our through data advanced fully coordinated opportunity this addressing and effort, analytics, which are We in company-wide

more activating growing BetMGM's that envision properties. progression our of further came our enrollments and Our engage customers be XX% our acquire, customers we to the to the customers. retain motivating business, of between We to in rebranding their benefits Not high-value effort XXXX, for view Rewards. throughout to more key marketing, offerings integral identify experiences several service omnichannel including On the cross-property acquire loyalty improving MGM targeting customers enhancement guests group is seamlessly and and loyalty high-value by and on-property to tier approximately customers non-gaming in of gaming, Resorts customers in the our customer this gaming efficiently name program digital improving only of incentivizing growth and non-gaming proportionate program an optimizing addition us from X, to In opportunities, rapidly goal MGM journey customers. of with align allows from to and and does We database February high-value benefits, Life time, offline the updated will their first BetMGM. high-volume our patronage M announced organic address program and new to better online tier able attract visit. high-value Rewards but retain steps this those new our MGM experiencing to nongaming target status. reverse is and as and to gaming our with over part gaming

to the needed share $X to Over and technology analytics our properties, drive principal engage and advanced our billion we'll service creating platform be several years, market in next markets. experiences in and our and investing addition customer-centric services better over guests the into

over to to our turn future fourth quarter it make and I'd I outlook. high-level results, and Before comments Jonathan current our the on full year to trends discuss some like

As COVID know, the emergence of variant cases. all rise to you Omicron in led in November rapid

on great and Fortunately, we the and this a December. a plans year-end didn't had had -- put damper

most down was group XX%. to headwinds on with COVID the January CES January, heavily short the term on driven a saw Cancellations are later elevated, year. we're group visible beyond mostly business Despite limited January, Vegas across were while normalizing. approximately which cases more in with impact in until the typically However, very and event see significant postpone broader looking volumes U.S. tougher are March. this lead again by the Cancellations downswing to attendance concentrated relies groups mostly year happy Las in the declining in

has COVID we we few are with future, meaningful start Forward restrictions trends other the states. Furthermore, XXXX in very, that Nevada, consistent in remained stable weeks will very book to hotel starting the see weekends positive over outpace been of near very past seen to once given expect I have our have loosening what levels. strong. COVID and in again

In city and Stadium, fight NFL a Michelob T-Mobile Ball, Dolby the at at NHL Arena, arena the game pay-per-view at Live Shine fact, at in East this past West All-Star had the MGM the Park Mandalay. the Brooks Garth Probo-Alleged Ultra weekend,

to MGM demonstrate with now the and months' that Las epicenter, Grand. serving Saturday. continue and entertainment city ever, Super the the types couple very remains a of exceptional host we're Our hotels we in the and -- April, and for as This XX% iconic weekend, of at Friday Vegas resilient expect Las strip as in coming the are is at and NFL turnout, most further destination out hosting the XX% wins strong a Grammys sports. of leading first for and time event on look a further upcoming ran time. its we notably, Resorts MGM These Vegas Bowl also look of this on we to draft

XXXX, respective markets. We with their to EBITDA an Turning properties all-time with record properties. most in our of in leading our delivered regional GGR year shared

Our regional combined premium success spend to rated driven in with gaming to be levels, our higher-worth by our offerings as efforts our well continues customers. as to our yield strength

XXXX teams will us Despite the XX% Emerald measured productivity, longer ability and market's us in at for above in its premium giving driven on an the market strengths high reopening at conclude the levels a Suites I We MGM focused offering end, environment the helping the enhanced nongaming to pace amenities Cotai restrictions China Macau. well MGM given shifts demand of choppiness operating also various share. term. the in share. remains margins by all-time and The allow, are quarter in as some structural grow rebound on their reached remain and We launch is and MGM hospitality resources mass. travel comments eventual believe with sustain our during official positioned record China our confidence labor continued in

We forward future promoting renewals, constructive will the work get gaming the Macau's goals recent our in further ultimately judicious Macau to fair for and and government's Importantly, to government's tourism government an to process. the important of around part we the the to with developments development of our and the supporting diversification industry license region. approach our concession and continue renewed. long-term look the confidence is reaffirm

this you earnings her As Cathy all us. has wish Cathy of she all the Park's company and thank her best. with that of know, for very call done last I cannot enough many is for

it's will Jonathan, Although Las degrees it's it's Vegas, yours. that, today, XX in in not so Boston. and with note I

our like Bill to I'd gratitude join MGM. here lot, Thanks for and team Bill. deep entire a at

have us look efforts And continue to heroic with of outstanding to in XXXX. working success forward you this allowed to quarter deliver results. I another Your

let's Now fourth in detail. more quarter results our discuss bit a

a consolidated revenues sequential quarter over Our third $X.X quarter were results. improvement fourth XX% billion, net our

either our domestic our achieved operations. once by Our sequentially all-time all XX latter records. net $XXX This to low achieved XX broad-based all-time segments, the into $XXX again strong And even reflects or or fourth demand our quarter fourth either across our MGM was led domestic EBITDA is seasonal of adjusted quarter quarter, improved records. and which EBITDA of margin attributable properties performance the Resorts to period. typically million, income XX million, part

the to challenges. chain also supply and We ability operations our cost improve while backdrop demonstrated of workforce maintaining discipline our against

Vegas this fourth $X.X Strip Vegas. above was were above on quarter which Strip million million, $XXX now billion. XX% Our fourth a at includes XXXX fourth EBITDAR of $X.X quarter Las net the of Center, had Las positive the the fully Adjusted XXXX. XX% in Hold property EBITDA quarter our quarter impact City revenues, for

was EBITDAR Strip adjusted Hold million. So $XXX

third to were our improvement over the quarter fourth fourth quarter, of a margins X,XXX basis Our equal the XXXX point XX% of the Strip XXXX. in in and quarter margins

We casino quarter games and fourth drop the handle continue increasing Strip, above in table slot XXXX, XX% and drive XX% fourth with of healthy respectively. the quarter to performance

and including Circus excluding when Aria both that's periods. Las Vegas Circus Now in

XX% demographic Vegas for Las began, grew the and XX% or terms XX-and-over XXXX of quarter levels room reached pre-pandemic fourth periods. age the over rated revenues the Circus casino first since quarter fourth our the Aria in its in excluding Notably, when time fourth nights both including Our in quarter. pandemic in

the pandemic driven in third by occupancy weekdays convention hotel improving Strip stronger best by the quarter. anchored This sequentially was began XX% was quarter and in Our weekends. even from XX% our strong quarter, the since fourth

XX% Our fourth same-store above in that fourth of basis. quarter or ADRs were above on XXXX X% the a quarter

quarter XX%. sense why Bill business operating discuss be the help provide have optimistic a it about continue of over magnitude and our Now near we pacing XXXX March the ADRs while drop And last the January was Las in dynamics, also we quarter. are to impact occupancy XX%. January booked our occupancy about here rooms To weekend the are expect presently, finished XXXX, of good XXXX. highest for by will future. current month the January mid-XXs mid-XXs. These feel with March Las than challenging were the we March outlook month levels, first booking in of at ADRs rest and just February first beyond we that with any Vegas. fueled since Vegas pretty month, we better and and Yes, up the in which February But all been the improve Strip single in occupancy of had to the running the was in

levels. regional $X revenues fourth in $XXX the delivered and billion XXXX. was adjusted net were Vegas Our our million with domestic versus quarter of property million, Combined our Las XX% flat EBITDAR delivered quarter. of $XXX quarter We over above XXXX of fourth results, the which businesses EBITDAR

similar third that basis basis over of XXXX. a margins grew margins Our quarter fourth over quarter by points quarter third the our points Recall XXXX fourth the XXX grew XXX of XX%. to quarter regional

regional business during in fourth strong typical business Our remains quarter. the casino seasonality the the despite

and respectively, over our in high-value slots X% per net by and same the about quarter segment. our led cost make structure Our day the XXXX, customers has fourth it games over like PO over some and and comments $XXX in rated XXXX, evolved volumes improved our table time. increased I'd for XX% to how by X%, our quarter

XXXX and And our reinvestment. our have become to last still and Vegas our very pent-up business. throughout we our overall year. the maximizing how increasingly player staff great our to from domestic as to labor benefited stabilize we model continue sustainable Las optimizing demand business, to This larger teams EBITDAR operating the more F&B strategic ranges work casino And into above also and while evidence effectiveness of levels to that and run rethinking remained spend, margins the Our productivity to we contributors expect nongaming elevated well put offerings they margins regional have teams revenues they from consumer our levels. strong our

The in live having launched currently both as to expectations in today. as We're BetMGM. remains growing and XXXX. update that's live Illinois January New busy, understatement team Louisiana $XXX this delivered operations Adam Xx Gary over which the month business with well million Canada in to as Moving as and well York XX go the and of Rico BetMGM markets, later January on announced next in net having in during probably call, they year. of from back provided XX, from a XXXX, nearly Puerto revenue

expect the over to with XXXX continue to net We momentum into BetMGM billion. $X.X expecting deliver of revenue from operations

quarter generate BetMGM's our which XX% believe year in And is the will part Our This attractive fourth earlier, to XXXX. full that continue BetMGM on as the meaningful returns share of one that as for alluded to opportunities Bill unconsolidated $XX most growth for adjusted million reported of losses to share the of to investment. and we our our one company line of losses million, EBITDAR is $XXX brings the affiliates calculation. BetMGM's a our amounted of

X% China's $X declined sequentially from adjusted Finally, market-wide quarter. gaming the million grew X% $XXX gross net partially Travel signs by hold for the our and are debt. we bad clear million, but greatest the the restrictions to by driven offerings. region, in a of remain higher more VIP encouraged meaningful fourth to revenue the grew quarter MGM sequentially third and revenues sequentially overall in bottlenecks EBITDAR property demand recovery in slightly Macau, to still

topics the We quarter excluding for to compensation. visitor additional growth for performance-related recently $X relaunch counts expense recovery. fourth were holiday trading corporate our today New to our share-based believe is the segment healthy the Chinese related prior expenses the run year, result, about one And that in net a total productive and XX% mass we our among tremendous in shareholders. fourth ended that compensation, believe showing our of corporate included expect company that Year of quarter, we transaction that we fact, properties million repurchased true-ups our than In of shares acted the over expense, our will program Unfortunately, And for and in is our with the which to Fourth for value current $XXX was of the most million. some capital. up million, conviction. and period, the run lower -- as there's first important shares, on quarter. we allocation incurred loyalty returning the quarter the XX quarter most fourth In At costs. lower levels, uses we've capital approximately million $XXX it facing will year-over-year

And quarter, so repurchased year. million liquidity world's in over $XXX These repurchased XX.X% working ago, shares structure, funded for have part billion. that across X transactions are our That's our year just over of far portfolio, over our a started improve we been entertainment position we the of have cap. This the simplify year, gaming program the this bring $X.X transformational not Since vision our roughly advance million. for we deals repurchases March, X.X we've finish premier last even shares XX million the last to by announced over these series our be company. to Transactions line. bolster market and

with transaction close in on remains quarter, approvals. the to track Our second subject VICI regulatory to

sell XXXX to of the In expect remain to less XXx operations subject close EBITDAR Mirage a regulatory multiple And to transaction We in year. for acquisition the our expect in the adjusted rent. to Las the second Rock quarter, Cosmopolitan we our representing the half on We December, Hard liquid. $X.XXX of its approvals. this second billion the highly announced of we Vegas operations the agreement also to of close of

$X.X VICI, retirement in as or Mirage Cosmopolitan our for billion coming XX, transactions, billion the As senior notes as and was when the due of the position, Las China next $X excluding Vegas December month. our the and well billion cash $X.X MGP of MGM adjusted

specific clear where to back adequate be And opportunities, Our then have shareholders. and when continues approach then we'll we'll first, it Bill, as advantages our finally, turn assessing with Rewards over just my our before organic plan, a allocation to our the we'll -- Rewards, cash to But delivery customers Vegas, in prospective shareholders; percentage invest in less exercise over Las enabling MGM our enrolled our balance we for XX%. in liquidity; XX% spending, we I'd growth is revenue returns sheet hotel address customers like second, new to measuring maintain capital prudence final I to and over follows: of attribute to relevant with starting loyalty growth to return MGM program. we'll Today strong comments potential personalized to is and to than entertainment that dining that it offers. gaming comes and when of service attributable specific

and these Las revenues for year nongaming For customers I entertainment opportunity most Vegas. our think for the per their This us. best, is to guests experiences receive MGM simplifying in earn billion approximately agree reasons a benefits the return us. share ways And rewards, Las provides MGM, in hotel they in $X all dining alone. we'd diverse Vegas amount that has journeys the compelling huge Expanding with that to

our more our ability As for personalized will guests. our a experience provide and it compelling, understanding enhance grows, to offers

financial shareholders. deeper that, time, customer to it believe grow a closing remarks. As With base and our we will back delivering Bill result, our turn loyalty drive I'll gain his for for over

this as what I virtues I celebrated approximately desire the my believe and just he's by Jonathan, these wonder how transparent serve to served we I X into us service, their ago, all value. their like all drive future us well our to commitment to of over employees anniversary. doing. they of spoke I'd and what expressed close turn it and last the company. as we Together, excited will of this to When first this and in long-term past way, first I'll you lot accomplished for be his to in can and years again couple disciplined believe dedication years, we Jonathan. a that, year run the look CEO Chad, by well further continue thanking we've have years shareholder you the focused, I with I been for Thanks, questions. for back accomplish their do the year, and With about beyond. to company. I'm

come And Instructions]. Joe the with JPMorgan. from Greff first will [Operator question

results. the on Congratulations

that what in experiencing, to you of the sort you've tonight, you, Going that. first as I addressed you're hotel going into quarter, are particularly wanted elasticity pricing ask on weekend

loyalty think, all and a program. just comment, you capture with of what to you I clarify, I Jonathan, I regard to revamped the So wanted said Rewards had didn't MGM

You you at incremental the margins? is come revenues And said loyalty accretive guess, understand XX%. kind XX% would current be got the just margins revenue current of the be? to that blend the Strip program, parity of gaming revenue only would of to that if be that what from EBITDA nongaming I to would opportunity

intending draw really that the revenue was our through of compared revenue nongaming level I the we as gaming to distinction have Sure. to tracked revenue. between

-- guests ours revenue opportunity the is for was it's And hotel, entertainment those generate across opportunity an a spend for relationship us us meant it's who and and within difference restaurants so to massive This MGM for It's customer create grow our opportunity the a with to huge XX% that nongaming closer share to Resorts. areas. venues. business we of a And between Vegas. Las and have in those that here XX% illustrate the the

to be the Rewards success with which program, launch spend the we'll them. rewards guests as of of allows we the course, so to And for detailing year customize and through these that offers and go that us, MGM the

that related CapEx? would What follow-up at my property? What expanding be assuming then be build currently do property? as full-scale New York, And Great. you the to City. and How disruption for you're envision question renovating a would is much to there able you're Empire that

great take where enough environment, done go is a fee be. question. and is Presuming tax to because an great opportunity be, ultimately, will fee the great understand jobs, determine the forward. fortunate say, it, in you do license we to to National have what Harbor, going deal. we the allow property going that. time. what licensing to Obviously, ultimately It is great If a need a we're reasonable Joe, and win to some way will to to great It the the would us enough it tax create do was I a

You're billion give $X.X looking the in somewhere or Phase at a to $X.X take. spend X, billion

things acres might put We massive. back XX We have in currently hundred existing could is to We couple there. see want forth, there. quickly we of X,XXX and We go kind environment, what slots, have tables. a the of which

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so really hinges than it a point. But And that's on discussion almost starting else. more anything that

about way I to a good think it. think

from next the Shaun be of question Bank And America. Kelley will with

for were Jonathan, bit you looks if portfolio wonder numbers think $XXX basis. closer on million $XXX a a Obviously, I core the CapEx that domestic think, presentation maybe sort for million the little about a targets of some I XXXX. to thought on could in maybe you bit. historically, above, little maintenance I touch given there your to

a in And you of years. on then maybe spending some think elaborate the couple there's billion help number XXXX. $X So us I of mentioned over next also the could

like So maybe help focus about some project forward? the going could you think us the project of

you that be the when maintenance many were much described: XXXX all target The number during reasons or maintenance the experienced furloughed. the some of XXXX. Two didn't our deferred elevated at closed were employees would CapEx that company during Sure. spend company history against one that for and properties

it So some for making is that. of up

Bellagio course, taking year. We remodels York-New This about, our of also are Grand. at the will some and Bag be New talked on Luxor way, Bora system. and last of a the York year deliberate in the We in beginning hotel MGM rooms on some

think meaningful So really drive and largely and out you that billion going those mentioned, I in in are nice X the categories. we are to pretty experience. The case returns that's And in would next number to investments, put guest $X several years. all every looking improvements it

room of X first program kind next we've across or out for laid now renovations system years. that The is of the X continued the a

The will second most that Tilak growth are we'll technology be to investments is by portfolio within led of our a nice then by experienced team, and capital And our core directly third, going guests. investments very shareholders. his drive our return the which expect for

So that the $X main those billion number. buckets are of

then maybe And follow-up. Great. just as my

sustainability the across on, color build, margin $XX,XXX some and the gave You think I margin I remains think, question the space.

-- you you very So could as look little just you quarter-on-quarter. help were us a bit stable drill down at

from of you mix come relationships in amenities negative bit and protect kind broader you some of do But inflation. on what 'XX. a maybe the little think as seeing and mentioned you I entertainment specifically? food help think actually have front, union the some back you labor beverage might I that some are

pressures in maybe what you'll just some maybe think the few through against of a and you XXXX? the us up walk help of So offsets be are

Okay.

So on of annual experienced the labor X% labor side, an on we're generally X% to inflation basis.

we'll quarter back compared meaningful, It's to we XX% little but were bit us. down XXXX, it's than the is a where were the also fourth that levels. third quarter. FTEs in we XXXX We operating the the that put we with we've the took ago on place, years below at level stabilize that believe we of model in And XX%. FTEs learnings of actions ultimately a it in the sustainable better were to for XX% down So couple

increases that I sale but So -- with that open that's that that employees don't able And some talked for we'll there some right offset, now are we about things has the to an we of open which is back. be have bringing build that back the the I employees when bring million of thing, there's is we've X,XXX we've is of margin reductions, basis X,XXX margin had. the cost of these really the X that the guess, savings. add terms in efficiency cost One points, done, final $XXX improvements point in sources structure basis

X mix that The has as improve a effect margins. the on second past believe over will business customers we'll to that, for But towards a overall, mix which more margins. is that months, to casino the oriented that returns of have a company. normalized of dilutive more EBITDAR And been we accretive

be The will from Katz Jefferies. next question David from

other the And bit et platform? other costs cetera. are. discussions do does that the But moving for I margins -- follow of current couple Jonathan, inherent to we number you and pressures love of in on size what your get for talked labor fairly, it the the of some just is that does Where about circumstance. engage the I that weigh it's I'd because little Where are operating in And it some because a your sense landing up wanted often for on ultimate compare to spot of next help? issues operators, years? different of what the margins does a a reasons. Vegas with just of your

other come activity with ton higher is higher of high-end with Well, volume look, Bill, that this come some a gaming context be they there's with and end, David. margin. cash that tie to business, customers, They made GX of potentially In while the to case. things

and proportionately. building of Gaga, chunks about think you and out revenue all you When right And the of so than about Mars entertainment so in that Bruno the more we think you that large they're about and category, have taking think away. drives Lady

just REA, when platforms you tend about entertainment that add think of matching about think And from what we're the so And some the to here. then particularly doing we margin generally about others. differentiators scale to speaking, you think our

comes percentage additional forward. and expense basis a our being Luxury basis some said XXX that Can XXX, of here sustain point additional before overall real As be at XXX X,XXX Bellagio. increase? with and business or points the looking going believe margin to service. we place, But we're a is we No. that we've case

are real. positions COVID once And has it, out this January discussion. are during we Those come of so But again, and reductions XX% those as clouded very FTE Omicron gone.

us we to very where and we from be will so And started were accretive. it where

type versus And competitor. New Corey. property is would a New of Bellagio versus add, or David, what Wynn York, properties, legacy Like I a York this

better. Our not margins if are equal,

not of Understood. not as game it's in a Las But bit. the And events it there? great. sporting managing great? and great. great. that's a one just I that number All-Star I us But I may some there's and those? all the Vegas these ago. better -- my relationship years hosting -- being date at follow-up, improved Why days being the are not is Is the that seemingly these little particularly particularly outcomes recall that And NBA And are recall being you're you're

A event recall. that was time, of showed with as we was it, hosted of California remembering Mandalay I Look, down Southern I crowd. It time. at lot awkward an the because at part that up

so, wasn't. And community a stoic event just It no, it for the properties. for was not or the

of out licenses Half are If at though, the town went as to by people their happened seats, remember there. you a the Raiders selling example, other folks look visits. seat those in town. way, now to The of simple what

-- seats those not in their Raiders ours. of a numbers, XX% have on pickup about counters, the to are talked millennials. So of game added XX day big

the it. head we that Knights, around around the the case around Raiders, travels gotten so activity around And with lot the big-time Golden fan college between have of a activity base, our

and and a think do not anything, do a job community, X finals. Arguably, it it's around we We're the we've 'XX. sports our not during of a company. someday. from become better most destination we're without what as what part Bowl about We about a X-day much the a talking we it. regional lot got event. popular because And doubt, X-hour Final to just in And not much the here learned become, it's world's We're a to just doing Super like we Americas, that doing have I the we're NCAA talking event. game, isn't

Allegiant, that all that, with Allegiant, us. of is starting all so And enjoying we're Strip with particularly on obviously, to and South the T-Mobile and

the we really of so And some sandwiched are exciting in right middle stuff.

with Deutsche Carlo question Bank. come from next The will Santarelli

just Jonathan, year, that When facing and nongaming gaming about you you guys be you other of kind as look Bill, obviously, come well, a the those obviously, as you entertainment entertainment. back. into this back out comparisons. half F&B bit you second towards little touched of and more this half transition historic but of some referenced will revenues on some And it talked the

hold the do non-gaming about second build think the feel you you time think As on more but some lower half? you will comment degradation, that side? of made earlier do and that will margin? a in be margin transition you like at Or true time, Could the about over to take that it the EBITDAR,

A kick the speak this margin, normal. normal. in quarter had broad of in to nothing. international appreciable and returned catering to off Clearly, quarter we year, We third no to convention even it I'll business. banquet business of. And and the in Corporate return business did huge fourth that have particularly thoughts. had to not play last and not Jon. Almost couple turn

was play, of there's nonevent believe With exception back. afraid Las And Vegas to gentleman a had I here hadn't loves night, I was guy a Europe that years, just last been with business. a come still had segment the in general comes -- but tourism we Asia dinner just multi some of internationally. X and the

of disposable not the there's So that market seen real spend that I segment to return. think have yet a we to has

we've for question. those high broader get general so And at remain reasons, a I I X pretty optimistic put bar, us the

to and in to in still Yes. note normal X points that we're just lower third important it's I that occupancy. fourth XX than add quarter, would running the

we're largely business mix to business of talking is business. this This this we've that current So gentleman the had. additive about, the mentioned, Bill group

business, will we the to although the come another back. can as reason earnings mix that's why the so that believe And different these be grow of continue customers we

would And second lower-end should international segment, is that we returning And the -- casino the probably hopefully, business. the displace would first start beginning of add, -- it the with the of look, that what Carlo, down, first here end quarter. including strength slowing business quarter, I second additional we see fact don't leisure business package

talked makes then know great. month. booking And about tremendous you That a obviously I That's Right. January guys being sense. just

there and about that stuff the maybe outlook the I'm a quarter, shifted sit anything first was for waiting good in you in some the XXXX? think today you pacing provide of this be quarter year? presuming the back that half first of group guys is we with may the group for in chunk And next could about As choppy year of sitting or where second of half

this of that X much comment, room years in them say in most follows tried is probably a and we've And terms space. make COVID. quarter or this lost about of we try, I'd But broad remember, look, up rebook XXX,XXX rebooked. nights I closer. have Corey to when been

the back lot so and when we general I next 'XX. in at quarter a view by is space really a respects. some not look will October, begin of there's of will to at end And My fourth long come end by left normalize way

that I way us. to 'XX, And the full think by back normal. are to back some be accretive is half things real to the about this, we've the think end of of we'll got

it margin on leisure, -- up if turn around the helpful. that's Our are end cancellation and XX% with bottom fees that refill can that to And we line margin that. highly

particularly quarter. demand So in second the back up, leisure picks

little think that. I a upside of all to there's

with Chad Beynon The next from be Macquarie. question will

seen fluid ask related thinking in at kind rooms? of wanted shoots it just certainly positioned transition a of what that on it's How junkets and and terms you're temperature and least of this about the market timing numbers given with business some green VIP is the some about could I And to a maybe your to just to Macau changes and that, or we've keep then in-house? take Chinese New recovery opine situation. you Year

Yes.

us call the up -- stayed you know I maybe try me late. Let and Hubert is with on

you of this here. give me opportunity let us. if could Hubert, So moment help me

Yes.

for So Chad, thanks, question. the

In recovery, past -- seen have generally terms that we the in in I the the play timing recovery speaking, of of think year.

at If number driven higher obviously, speaking, than by you -- mass the the the XXXX, XXXX. was it's look by overall segment. But

we're Chinese example. you actually on satisfied Chinese, the Amgen, mentioned Year with New mass You performance, pretty We'll for side. particularly take the

table level by we of I reached a have XX% of in that measure that pre-pandemic mass think volume we drop. if the terms

speaking, So where customers that's which But is a the they basically different see overall from prevention in majority come in policy, COVID that policy U.S. ones encouraging. of of you our China, Their very is from. vast

So X call case. dynamic the they

areas. in and and be areas. there acquisition the really -- that are getting the to or as we it's the quarter quarantine. more in the precise soon case as through so intact is or restrictions allowed China, to China, precise. they But like a Macau have is past every So there won't place in to that Macau strict popping travelers areas can They travel that to these come Shenzhen restriction happening as even And in northern year, seen up now go travel certain to have in close markets But almost Zhuhai more somewhere for see of sometimes as target barrier.

with that still And is that XXXX I So coupled things will this test. year. believe in also happen these the NAT

will enter typically, test when be regions presented So hours in results these if to Macau. they China, require XX there are cases

travelers. So it's these an inconvenience to

to recovery, of in really restrictions, lifted. at policies, we to broad be travel when need look that's going eventually terms these So all

policy mass, again the confident think also world. overall a the pretty about Question and national that I'm conversion be particularly what's XXXX the I rates. junket is will that that the by at upon So point end year asked vaccination to better high than mass. driven But happened ties in the the you between XXXX, the last of

Macau. the think in now, by operation have all basically ceased junket operators that sense in traditional So I the

trying down. place to the So settle working the to previous agents junket find or for are players the operators

as marketplace So quite in-house former far junket in players, and as well. players players conversion of it's the to extent, the mass still as premium to dynamic the to some

is, working on we on are So mass. what of all, first focusing

future at as possible. note, resides. to much mass mass table are to the is junket in-house I reallocating to capture support second, that And think where the also on as the that's And that think I looking units conversion we resources, the to particularly growth from eventually.

the reallocate -- VIP in quarters. to going more tables coming to to are we mass from So

question? does answer your So Chad, that

it. appreciate Really Hubert. Yes,

be will from Politzer question next the Wells with Dan And Fargo.

the hit buyback. allocation to share capital wanted I So on

been have guys there. You pretty active

quarters and the for think back past I said first so quarter. million XXX, in buying the I of think or you $XXX couple

expectation So left? as basis how of is kind to this given $XXX have have million forward Or should a return that going go-forward on to I reasonable think million shareholders? you maybe level about a to -- I is this mean, -- capital look we $XXX your think you

we December. that do we of take do the we quarter to able of like the one able fourth Well, At are was And to time, in softness during advantage particularly shares. of the in same consistent. be things to opportunities the were

of our and As thought thing I be right given do the was to that we we the the of value able aggressive, view company. to were recall,

So several it was I the would but the suggest that we've in in the value merited certainly, was the that years, highest shares. had I fourth quarter it was by think was quarter,

because though in to stock. And forward, any use driven it be we'll about of we I this, so a trading programmatic specific good amount to going wouldn't commit the part simply by it's value is and continue think capital. the of dollar

Got cash it. when you'll full be remind just taxpayer? a could And you us then

XXXX. a be full We'll in cash taxpayer

be question from Stanley. Thomas Allen will Morgan next the from And

have So with had in past. BetMGM integrating M you the Life guys success

just What's on new you can rewards And a program? BetMGM the as changed there? elaborate So opportunity? what you do see big

the for thanks question. Thomas, Well,

BetMGM, individualized as retail I phone think, recognized, and a the X-step want particularly we in of onto tranche trying to or some of an get will, process see millions to if where We're The to relates way, tier, integration. point. clunky. recognizing robust, more BetMGM spend the form property. as extend Frankly, with and recognizing people business, it it's to change and for more for do take and It's transition fully company, get -- amazing as little as end. advantage take Rewards key gaming it guest away. get the to be recognizing that There's broad is brick-and-mortar smooth on think their needs a on next job at service, it's high an just is this transaction people with MGM industry a a We something big the making customer to down a a a It a opportunity that. transition. to I go personalized in that shape activity though further rewarded integrated, collectively an you

for So going offer, the I the Las we of recognized destinations, I things of Vegas some to getting at to MGM of the think all it's of to whether regional value rewards our think going and highly is we're the have really once more be it. properly But about our we're understood BetMGM rewarded it's -- or expense. simple. program and driving nonretail about be the is technology itself play reformat pure of platform in Rewards terms linkage The and

of clear. FIT about think like on today? remember group do in were the long talk Very guys earlier like? I mix. casino the an you XXXX, kind split Can And will just you following about and term then about up group what And look question mix. you between at XX%

Corey?

we've Thomas, Sure. group given it. the mix, never Yes, thanks.

and would side, seeing leisure to XX% this was by bit pretty we'd package. to increases little We'd shift we're X% quarter. general, in we've And great. be see considering bad be think and increase, period. about to fourth end not our which transient, probably with our in a during that I some the like XX%, it percentage the been some where convention would able mix away we're to to like the goal. also our see in everything. casino from in about good back 'XX/'XX taking That see that's -- Look, convention On

is question CBRE. from John DeCree Next with

far. on BetMGM any question with a you're if rewards if be curious more Obviously, rewards customers follow-up sounded Or could program. like you anecdotes bricks-and-mortar yet? operation seeing to through comp. revamp, acquired it of to us program significant that But number the your curious cross-sell so I'm rewards maybe year. the have meaningful that BetMGM just the this Bill, data on Thomas' and a any with share might you've or

Vegas omnichannel and Michigan. best that, Las the seen on And more destination. have the bit the is we Having of little in a remember, Look, comp, the said particularly have because here Yes. been -- distance example worth to out an proven customer. a a a lot And play. what proven case be customer it's literally the shouldn't of Xx, this surprise, regular X.Xx is be but is has omnichannel cross we and

motivated So is go that have this We've a mail so and where just forth. was to. opportunities exactly they presents of Over online that's link get brick-and-mortar shares. We not we'll time, obviously some do pure database advantage and It's the BetMGM customers. Life, and direct of where that database. and after some on back of what take it -- with

it I just note. in whole there's think I see here so a you'll real getting going, -- opportunities Europe the think is of we're of and essence And

relates more That's gaming. could and lot you've a environment marketing impact a... it betting good was or Is your and Curious of curious marketing that or promotional obviously to there clarity. environment if in behavior? promotional on of at on any There's a the one I going the digital And environment. Las had if it little sports seen regional of spend on because Vegas as really a any operations, bit Omicron. But demand changes dip if ask

God, can it Corey this, aggressive all I Look, BetMGM I'll It's side, you over. an know market. openly doesn't answer tell it. hope transition We in the but

million competitive fourth the more the maintain spend what share in that BetMGM. or the of the versus have. one the about X:X, we quarter think heard mean, It's disciplined. market lost we been set. spend is in you million -- know about we've we $X cash the I I we yet I number $XX about in

So I it's think compelling.

does So the job ahead, not will a that, with impact its it good really Corey. has way it nor Go into but team regionals.

that. some regards Coast, you shut to especially readjust seen to saving slowdown was may the the January, related on in of we weather. Yes. the our was we've of investment customers, with when would and the been in markets maintain East Omicron to have those properties, been in able The have opportunities that to into and that down, especially And the regionals, one

question Sachs. today Grambling for with come our And Goldman last will Stephen from

Two follow-up questions actually.

app could year? users active to many First, on are just monthly BetMGM, the end maybe on you the how disclose

database this at over for close keep that rather I'd $X now. No. million the in point. well That's

And know, think in that an you Investor there time, think sharing I I Day they're May. the team as will having detail at probably -- be more

Awesome. margins is in apples-to-apples can same kind and And second contrast then another an way and you in compare in share on XXXX, to it the your I property modeling what in. sneak Vegas were one the so basis? regions follow-up. Any we had can of

the so Yes, XXs, kind a those XX margins were high basis or a like-for-like XXXX. of kind around of in in on

gentlemen, back closing the this our and would like for Ladies concludes question-and-answer I remarks. session. to to turn over Bill conference any Hornbuckle

know late We Thank us, thank it's a for couldn't back tremendous I our particularly, again be you, I'll team I year. more be been excited. Again, Chad. it's enough. can't look, obviously, quick. us

domestically got and I for a whether amount beyond. both XX% York amazing good We've substantive job New a to Japan, presents done sheet company, think them. the we've returned all over by of balance ultimately very that shareholders. of digital, We've it's back an diversification fortress or into opportunities kinds

Canada into BetMGM stretching we're know probably in April. You

so by excited present possibilities we're may growth And its themselves. and that other

we're with be and And so XXXX -- case and of now programs you some to we're back again, obviously, excited at full that just properties to beyond. think growth activity about had rolling And rolling if because refocused getting our we're of getting programs sports, get COVID, where we just on in steam. remodel with returning some like them to our we'd our

Many of stay accretive throughout and Vegas here. I'm not excited go be the because so by they again, this decided will course and year. of it the tours of in residencies, be us balance robust out programming Las COVID, year And this will to did entertainment and the there. do to

involvement. in and company. Appreciate rest So time again, appreciate your your your the

all. So thank you

concluded. The attending has Thank you, for Thank sir. today's you now conference presentation.

disconnect. now may You

Cheers.