MGM Resorts International on Monday reported a fourth quarter loss as the oversupply of hotel rooms on the Las Vegas Strip caused a drop in occupancy and its CityCenter joint venture posted a big loss.
MGM Resorts, the biggest operator of Strip hotel rooms and casinos, said it lost $139 million, or 29 cents per share in the quarter, an improvement from the loss of $434 million, or 98 cents per share in the prior-year quarter.
The 2009 quarter included impairment charges of $548 million, or 73 cents per share, related to MGM Resorts’ undeveloped land in Atlantic City.
MGM Resorts’ share of quarterly losses from CityCenter increased by $37 million in 2010′s fourth quarter, partially offset by its share of profits from the MGM Macau joint venture increasing by $49 million.
For the 2010 fourth quarter, the half-owned CityCenter lost $169 million, including a $27 million impairment charge for the Veer tower residential inventory.
MGM Resorts said overall room revenue decreased 5 percent from the prior-year quarter, not including resort fees.