Casino operator Mohegan Gaming & Entertainment (MGE) saw its Q4 revenue jump by one-quarter thanks to its new Canadian contract and its Pennsylvania sports betting and online gambling operations.
Figures released this week show MGE’s net revenue hitting $399m in the final three months of 2019, up 24.9% year-on-year. Earnings rose a more modest 4.5% to $75m as margins fell 3.7 points to 18.8%.
The bulk of the revenue gain came via MGE Niagara Resorts, the casino operations on the Canadian side of Niagara Falls owned by the Ontario provincial government and for which MGE won the management contract in September 2018 (but only started running last summer).
These operations added revenue of $85m and earnings of $3.8m to MGE’s Q4 results, although MGE said earnings would have been $6m higher were it not for a lower than expected table games hold. The results were also impacted by “especially challenging weather.” Sure, blame Canada.