Mohegan Sun issued a written statement on Wednesday blaming the modest decline in EBITDA on a decline in group sales and an increase in slot machine taxes in Pennsylvania, the U.S. The company said third-quarter net income fell 1.5% to $344.9 million.
Game sales fell 0.5% to $295.4 million, while total sales of slot machines fell 0.9% to $233.6 million and sales of table games fell 3.8% to $91.6 million. Non-game sales fell 10.2% to $74.1 million.
Mohengan Sun attributed the drop in net income to lower net income, as well as continued increases in promotional activity around Mohengan Sun Pocono, Pennsylvania. Operating costs for the third quarter were similar to a year earlier, the company said.
"Overall fiscal third quarter results were broadly in line with prior year results, driven by effective operating cost containment initiatives that led to impressive margin results for Connecticut Mohegan Sun," said Mario Kontomercos, CEO of Mohegan Sun.
"We continue to make progress on several development efforts in North America, South Korea and wider Asia to diversify and strengthen our revenue streams and credit profiles and ensure the continued long-term success of MGE."
In South Korea, the company is spending $1.6 billion to build a casino resort next to Incheon International Airport in the first phase, which is scheduled to open in 2021. The resort, which will be called Inspire, will house a 15,000-seat indoor entertainment arena, three hotels including 1,000 rooms, more than 11,000 square meters (118,400 square feet) of event space, shops, and more than 25,000 square meters of casinos, open to all but Koreans.
The company said it expects the development near Incheon International Airport to create an international entertainment district in Macau and Las Vegas, Nevada, which can accommodate mainland Chinese athletes in particular.
In May, Mohegan Sun said it had reached a "friendly" agreement to acquire a local partner from its South Korean project. At the time, Mr. Contomercos said the deal would give Mohegan Sun full ownership and further provide "diversification efforts in Asia, the world's fastest-growing major gaming and entertainment market."
Among other investors around Incheon is Caesars Entertainment Co., which is also spending about $750 million to build Asia's first casino resort.
BY: 온라인 슬롯
