Vegas News February 14, 2023

Casino Earnings

The casino biz was abuzz with casino earnings last week, with MGM Resorts, Red Rock, and Wynn reporting. As expected, all had very good financial results for the fourth quarter and the full year in 2022.

Focus: Most Profitable Customers

One thing continues to stand out as it has for the past four or five years. Casinos are still reducing promotions and focusing on the most profitable customers. 

During their earnings call, Red Rock reiterated that the company has “gotten out of the promotional business from 2019.” Some casinos have been out of that business longer, but that’s another story.

Properties Almost At Capacity

During the MGM call, the company mentioned that its Las Vegas properties are almost at capacity during the weekend. Lower rollers might start seeing offers moving to the weekdays instead of the weekends they prefer.

This isn’t new, but it’s something to be aware of as casino corporations continue to do well financially. 

I’ll share some notes from the individual earnings calls.

MGM Resort Earnings Quick Hits

• You can see the MGM Resorts earnings presentation here.  
• You’ll find a concise recap of MGM’s earnings here.
• The company didn’t announce a date for when Cosmopolitan will become an MGM Rewards property. Look for this to happen in late spring or mid-summer.
• I’m happy to report my last visit to Cosmopolitan felt “normal” besides the constant barrage of massage people walking around the casino at night like zombies looking for brains. 
• MGM announced it will renovate hotel rooms at the Spa Tower at Bellagio. The company mentioned something about Borgata but I zone out when they leave Las Vegas.
• There are no plans to buy new properties in Las Vegas or anywhere else. That said, the company says they’re always listening.
• Aria, Bellagio, Cosmo, and MGM Grand were the standout properties for MGM in 2022.
• The average daily hotel room rate for MGM Las Vegas properties in 2022 was $260. That’s up 30% over last year and higher than before the Covid-19 pandemic. 
• Hotel occupancy at MGM Resorts Las Vegas casinos was 91% for the year. 

Wynn earnings Quick hits

• Wynn had a record-breaking year in 2022. You can see an overview here. 
• You can see the Wynn earnings press release here.  
• The average hotel room rate at Wynn Las Vegas last year was $492. Hotel rooms were at 89% occupancy.
• Wynn didn’t have any new Las Vegas information to share, so let’s move on.

Red Rock Earnings Quick Hits

• Red Rock was happy with earnings, but much of the call discussed future plans. You can see a recap of earnings here.  
• You can see the Red Rock earnings press release here.  
• The company says the Durango casino will be fully enclosed by April and is on target to open in the fourth quarter. 
• Unrelated to the earnings call, Station Casinos shared info on the food hall at Durango. I’m stoked it will include one of my favorite local coffee roasters, Vesta. Read more here.   
• There was no announcement about the next new Station Casinos property after Durango is finished. The company is prepping entitlements for multiple properties so they can start construction ASAP when Durango is completed.
• Wildfire on Fremont opened last week. It’s a nice little neighborhood casino. You can see some pics here. 
• Interesting note that bowling, salon, and spa revenue was up double-digit percentage points last year.
• Red Rock is seeing overflow from Vegas Strip customers looking for other options.

Let’s get to the rest of the news in and around Las Vegas!

Las Vegas Quick Hits

Last Earnings Note From MSG

One last earnings note from MSG. During its earnings call, the builders of the MSG Sphere at The Venetian said the entertainment venue will open in September. 

MSG Teased Residencies

MSG teased possible four to six residencies per year. On a related note, did you see this website?  It’s been updated with info on U2’s Las Vegas shows. You can read the press release here.

You can see MSG’s earnings press release here.  

• The Undertaker is performing a one-man show at the Cosmopolitan the same weekend WWE Smackdown is in Las Vegas. Read more here.
• It looks like the Las Vegas Grand Prix will be around for 10 years instead of three. Read more here.  
• Van Morrison is doing a few shows at PLANET HOLLYWOOD Las Vegas Resort in September. Read more here.   
• The Virgin sportsbook is finally open. Read more here. 
• Speaking of openings, the Ojos locos Sports Cantina y Casino is now open. 
• Psycho Las Vegas is on pause in 2023 and will supposedly return in 2024. Read more here.
• There’s a new Jazz bar downtown. Read more here.   
• Curious about Las Vegas visitation last year? Read this.  
• Hard Rock changed some blackjack rules at the Mirage. Read the breakdown here.
• More land across from Mandalay Bay was purchased. Read more here.   
• Boyd announced a partnership with the Las Vegas Raiders. Read more here.
• Caesars has a new hotel and airline booking engine. Prices may be good if you log in with the Caesars Rewards Loyalty Program. My non-rewards searches were more than Aria’s for the same dates. Read more here.   
• Retro by Voltagio is replacing a restaurant I haven’t heard about in at least five years at Mandalay Bay. Read more here.