Mohegan Sun at 25: The numbers are up, and that’s before sports betting begins

0


These are heady times for Mohegan Sun. Not only is the casino nearing its 25th anniversary on Oct. 12, it’s gearing up for the long-awaited rollout of iGaming and sports betting legalization that same month, while apparently bouncing back from the effects of Covid-19 – and even more .

“We have taken every necessary step to ensure our visitors are safe,” Ray Pineault, president and CEO of Mohegan Gaming & Entertainment, told the Business Journal, saying the Uncasville Casino has those from the CDC and state and local authorities set protocols surpassed governments to restore visitor confidence.

“We continue to implement protocols and maintain a culture that focuses on the safety of our guests,” he said, “and we are happy with the results.”

So should the company. For the quarter ended June 30, Mohegan Gaming & Entertainment (MGE) – which operates Mohegan Sun Poconos in Pennsylvania in addition to its flagship Connecticut location; Fallsview in Niagara Falls, Canada; Mohegan Sun Casino at Virgin Hotels Las Vegas, which officially opened on March 25; and the Inspire Entertainment Resort in Incheon, South Korea, slated for 2023 – achieved net sales of $ 328.2 million, up 206% from Q3 2020; Operating profit of $ 64 million versus a loss of $ 20.5 million in the prior third quarter; and adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) of $ 101.7 million, an increase of 1,111.2 percent.

The upcoming 25th anniversary of Mohegan Sun, Pineault calls “proof of the hard work and dedication of our team members” – many of them have been with the organization since the opening – “as well as the confidence shown”. from the tribe in building such a fantastic organization. “

The casino will allow members of its Momentum loyalty program to take part in a “collect and win” promotion throughout October, where cardholders at the kiosks can get $ 25,000 to $ 50,000 in cash.

It also offers a $ 250,000 Anniversary Slot Sweepstakes where guests can compete for a share of $ 250,000 in cash by playing their favorite slots, as well as high-rolling private blackjack, slot and baccarat tournaments also organized for VIP players.

On the weekend of October 22nd to 24th, Harry Styles and Blake Shelton will each headline the 10,000-seat Mohegan Sun Arena, while Run-DMC will play in the 300-seat Wolf Den. In the latest addition to the resort, the TAO Asian Bistro & Lounge, celebrities to be named will take part in a VIP party.

While sports betting is slated to begin October 7 in Connecticut, Pineault said Mohegan Sun may not be participating on that date.

“We’d rather roll it out right than too fast,” he said. “We want to make sure that the experience is good for our guests.”

Even so, he said, “Of course, NFL football is huge for sports betting.”

According to an August article In the Washington Post, the league and its teams expect approximately $ 270 million in revenue from their sports betting and gambling businesses this year. It also quoted NFL Chief Strategy and Growth Officer Christopher Halpin as saying, “You can definitely see the market growing to over $ 1 billion in league opportunities this decade.”

Legal Sports Betting website estimates the total number of sports bets to be played at $ 150 billion per year, “and this is taken as a conservative estimate.”

Gambling news website PlayCT has reported that Nutmeg State could grow into a market generating more than $ 1.5 billion in annual sports betting and more than $ 100 million in operator revenue, while online casinos generate up to could generate $ 350 million in gross gaming revenue.

“Connecticut is a relatively small state, but the market has a handful of characteristics that should help it get a little above its weight,” said Eric Ramsey, an analyst for the PlayUSA.com network, which includes PlayCT.com . “The state is in a good geographical position with the potential to draw significant outside of the state business from New York and Massachusetts. And Connecticut has one of the highest median household incomes in the United States. “

Connecticut legislation imposes a tax of 18% on new online or iGaming games of chance for the first five years and a tax rate of 20% for at least the next five years. A tax rate of 13.75% is levied on sports betting.

This market “represents a huge opportunity for us and tax revenue for the state,” affirmed Pineault. “We think the state will be happy with the results we see.”

In the meantime, MGE has seen some sort of C-suite shuffle over the past few months. Pineault was appointed Chief Operating Officer of MGE by Mohegan Sun’s President and General Manager in August 2020 and then became Interim President and CEO in March 2021 following the sudden departure of Mario Kontomerko; in May he was awarded the permanent title.

Also in March, Carol Anderson, previously Senior Vice President – Treasury, Capital Markets and Associate General Counsel at Scientific Games in Las Vegas, took over the position of CFO of MGE, replacing Kelly McKinnon, who had only held the position since October 2020.

In early September, Jody Madigan, former general manager of the Paragon Casino Resort in Marksville, Louisiana, took over the COO role at MGE.

Pineault said the many changes, despite the appearance of upheaval, were nothing to worry about.

When asked about further expansion, he said: “As a company, we are always looking for opportunities. There is currently nothing to announce, but we have several irons in the fire. “


Share.

About Author

Leave A Reply