financeHotel Dive··1 min·For: Owner, GM, Investor, Revenue
MGM Amends Shareholder Pact as Q3 Profits Drop
MGM Resorts reported declining third-quarter earnings while formalizing a standstill agreement with top shareholder People Inc. following abandoned buyout talks. The operator saw Las Vegas RevPAR fall 8% amid leisure travel headwinds, though group bookings show fourth-quarter promise.
Key Takeaways
- 1Consolidated adjusted EBITDA dropped 20% year over year as Las Vegas RevPAR and ADR fell 8%.
- 2Top shareholder People Inc. capped its MGM ownership at 29.9% and agreed to support the board on future change-of-control deals.
- 3Performance showed early signs of rebound in October, led by strong group and convention business in Las Vegas.
Source: Hotel Dive
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