By now you should know that MGM Resorts chairman and CEO, Jim Murren, informed the company’s board of directors that he will step down from his positions before his contract expires.
This week in Vegas news was dominated by casino operators reporting earnings. Sometimes these calls offer insight into future plans for the businesses. Other times these casino earnings calls offer financial information that helps explain the Vegas experience. This earnings period has a combination of both without any major breaking news.
I knew there was big news coming from Wynn Resorts today. On top of a massive revenue increase, Steve Wynn dropped a Las Vegas news bomb.
Most casino operators in Las Vegas prefer to have a revenue split close to MGM than Caesars. In fact, Caesars wants to have a revenue split closer to MGM Resorts. The two casino operators have different approaches to their companies. MGM Resorts is expanding with new casinos and a massive profit growth plan. Meanwhile, Caesars Entertainment is looking elsewhere to generate revenue.
First quarter earnings were great for the largest Las Vegas casino operators. New Year’s Eve bled into the first quarter. The extra day of revenue was helpful for casino operators. The year always starts with a bang. The Consumer Electronics Show (CES) is the largest convention and expo of the year with well over 100,000 attendees.