Las Vegas financials dip even as regional casinos and online gaming post gains.
Photo By – Imagn Images. MGM Grand Hotel & Casino on the strip in Las Vegas.
MGM’s Las Vegas properties suffered year-over-year revenue declines in multiple key metrics during the second quarter, the latest indicator of softening demand after years of explosive growth.
- MGM sees Las Vegas revenue drop: MGM’s Las Vegas revenue fell 4% in Q2 2025, with declines in hotel occupancy, room revenue, and adjusted EBITDAR.
- Regional and digital growth offset Vegas dip: MGM reported strong gains in its regional casinos and BetMGM digital arm, with BetMGM EBITDA surging from $8M to $86M.
- Vegas struggles tied to wider trends: Visitor declines, higher fees, and reduced international travel have hit Las Vegas hard, even as other markets continue to grow.
MGM’s second-quarter financial disclosure on Wednesday came a day after rival Caesars reported similar second-quarter declines in the nation’s most lucrative gambling market. MGM and Caesars operate roughly two-thirds of casino properties on the Las Vegas Strip.
The Strip revenue declines come as both MGM and Caesars reported solid year-over-year financial growth in both their respective digital and regional assets.
MGM key metrics
In Las Vegas, MGM’s net revenue declined from $2.2 billion in Q2 2024 to $2.1 billion in Q2 2025, a 4% dip. MGM President and CEO Bill Hornbuckle attributed the decline primarily to the multimillion-dollar remodel of MGM Grand and an accompanying decline in table game hold.
The company’s segment adjusted EBITDAR dropped 9%, from $782 million to $710 million during the same time frame.
MGM’s room revenue dropped from $767 million in 2024’s second quarter to $735 million, a 4% decline. Revenue Per Available Room fell 2%, from $240 million to $235 million, while the company’s hotel occupancy rate fell from 97% to 93%.
These figures mirror Las Vegas Convention and Visitors Authority (LVCVA) data that shows visitor volume has declined in each of the first six months of 2025. A LVCVA report released Wednesday showed visitor volume, room inventory, hotel occupancy, and total room nights occupied all declined in June 2025 compared to June 2024.
Decreasing international visitation, particularly from Canada, is among the most significant factors in the decline, Caesars CEO Tom Reeg said during his company’s earnings call Tuesday. Reeg said he didn’t see any other significant macro-level trend altering Vegas visitation and was bullish on stronger returns near year’s end.
MGM’s Hornbuckle also said his company’s visitation figures were ticking up in Q4 2025 and full year 2026, largely driven by traffic from major conventions along the Strip. Hornbuckle said Vegas is “not replicable” and that major sporting events and concerts would continue to drive visitation.
“Vegas is as solid as ever,” Hornbuckle said in a conference call announcing the company’s earnings on Wednesday.
More background
The dwindling Vegas financial and visitation figures come as the Strip’s major operators are seeing continued success from their regional casino properties and online gaming platforms.
MGM’s regional properties in Maryland, Massachusetts, Michigan, Mississippi, New Jersey, and Ohio combined to generate $965 million in combined net revenues in 2025’s second quarter, a 4% increase from Q2 2024. Segment adjusted EBITDAR grew 7% from $288 million to $309 million during that same period.
The company’s North American online division via BetMGM increased total net revenue by 36% year-over-year from Q2 2024 to Q2 2025. BetMGM’s EBITDA grew from $8 million in Q2 2024 to $86 million in Q2 2025.
Caesars reported similar gains in its regional and digital divisions, accompanied by dips in Las Vegas. Boyd Gaming, which operates Downtown Las Vegas casinos but none along the Strip, announced last week that its regional properties improved year-over-year revenues while Downtown gaming revenues declined.
Las Vegas casinos posted strong year-over-year financial gains from 2021 through 2024 following the end of COVID-19 restrictions.
International visitation declines since the start of the second Trump Administration are among a host of factors attributed to the declines in Vegas, even as other brick-and-mortar and online casinos have continued to grow. Increasing Strip property fees, as well as rising airfare and hotel costs, have been among the other major factors attributed to the decline.
Despite year-over-year drops in hotel occupancy and room revenue during 2025’s second quarter, MGM’s average daily hotel room rate increased from $248 to $252.
