Mohegan Digital Drives Q2 Revenue to $429 Million

(AsiaGameHub) –   Mohegan announced an increase in its second-quarter revenue, driven by record performance in its digital gaming operations, though a decline in table game performance at Mohegan Sun tempered the overall growth.

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Key Takeaways

• Mohegan’s net revenue for the second quarter increased by 2.4% to $429 million.
• Mohegan Digital saw its revenue surge by 40.2% to $79.3 million.
• Net income experienced a decrease of 69.9%, falling to $14.1 million.

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Digital Segment Fuels Mohegan’s Quarterly Performance

The Mohegan Digital division was the standout performer for the quarter. This segment achieved record net revenue, Adjusted EBITDA, and average revenue per monthly active user for the period concluding on March 31.

Digital net revenue climbed to $79.3 million, up from $56.56 million in the previous year. Adjusted EBITDA saw a rise of 47.9% to $39.7 million, and the average revenue per monthly active user in Connecticut reached an all-time high of $470.

Overall group revenue also showed improvement. Mohegan Tribal Gaming Authority reported total net revenue of $429 million, an increase from $418.8 million in the same quarter last year. Income from operations grew by 1.3% to $60.5 million, while Adjusted EBITDA increased by 1.8% to $85.4 million. Adjusted EBITDAR climbed by 4.0%.

Conversely, profitability declined. Net income dropped to $14.1 million from $46.9 million, marking a 69.9% decrease.

Mohegan Sun in Connecticut experienced a mixed performance. The resort captured over 60% of the state’s slot market share in March, its highest monthly share in five years. However, weaker table game performance and reduced table game volumes offset this strength in slots.

International Resorts also saw a downturn. Revenue decreased by 0.9% to $66.5 million, and Adjusted EBITDA fell by 33.1% to $1.8 million, attributed to lower revenue and increased contractual lease obligations. Previous financial figures were restated to exclude Inspire Integrated Resort Co., Ltd., MGE Korea Limited, and certain subsidiaries from continuing operations.

In other news, Mohegan has agreed to sell the Connecticut Sun WNBA team for $300 million. The company concluded the quarter with $126.9 million in cash and $228.5 million in available borrowing capacity.