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-- all we are looking at the business and it is a big business obviously of travel.
If you like gambling in Vegas does come to mind but recently large casinos have been popping up in states like.
Connecticut just look at original gambling -- -- affected Las Vegas my next guest is Jim -- and chairman and CEO of MGM resorts.
This available live via the MGM grand the barrage of this morning the company reported stronger than expected first.
Quarter earnings -- here and here in the first on fox this is it to be just think this video.
Thank you for having me thank you remain here at first on fox let's talk about these numbers because obviously a big surprise the profit a nice surprise.
-- for the street revenues as well what do you think was the main driver of strength for the quarters.
Well we're very proud of how we did we tripled our profits at city center which is our largest new beautiful development here in Las Vegas.
We had strong revenue growth in even better profit growth because we've been able to drive some higher margin business into our properties.
A lot of capital investments we've made is bringing more people here in the -- and a bit more money so.
We're back in the black we're making quite a bit of money here -- off to a good start in the second quarter.
I'd I'd just say get my side this -- you saying hitter roulette table and betting on black hat -- And they get that that public unless tidy again in the best quarterly that you patent five years so obviously the economy as it gets better is better.
Four companies like yourself and militants -- I have expressed concerned about GDP.
Just in general but that's gonna have an impact on the gambling sector companies.
Like -- all when you see first quarter GDP not come -- as strong as we'd like to see it are you concerned about your next few quarters for the year.
Well Las Vegas is a little bit different in the rest of the country it's such a value destination that we just need a little bit just very small incremental revenue increases visitation increases.
And the operating leverage -- so great we get great profit growth that's what happened in the first quarter.
That's what we see happening here in the second quarter and it looks like this summer's going to be very robust in Las Vegas so I understand -- GDP issue.
For us it's about tourism in value.
And about things were open we just we have Michael Jackson coming in on -- show with circus away.
This quarter we have Floyd Mayweather fighting at the MGM this weekend The Rolling Stones next weekend.
Beyond C Justin Bieber and people coming in and -- in June so a lot going on here that people want to see and I think that bodes well for the second quarter into the summer.
What would give you you mentioned some very inching pieces of the business that maybe we don't -- governor again that those big you know.
Blockbuster best they have whether it's music or is the boxing -- and -- -- mean how crucial are those.
To -- it because that might -- is -- -- be China but domestically.
How crucial are those big blockbuster events in Vegas to use the bottom line.
Whether they're -- it -- our business models very different than OS-X years ago 75%.
Of our revenue here in Las Vegas is outside of the casino it's all about.
Rooms entertainment food and beverage retail so when we can drive big events like that price fight this weekend are big concert next weekend.
Or opening up a great new show at Mandalay.
We drive an awful lot of tourism.
And we make a lot of money doing it and that's the future of Las Vegas it's expanding the -- Having more people come over forty million people will visit Las Vegas this year.
We own most of the rooms 42000 hotel rooms in Las Vegas and it took to get little increases in revenue.
And you can raise prices a little bit still pretty great value proposition for the consumer you make a lot more money and that's what's happening here and.
There's also although boardwalk expansion is happening along the strip which I think we'll be extinct for -- traffic for you I'm.
I do in the modern China obviously you are you get -- construction project a look at -- stretch you've also got into the property there's well.
And -- China that piece the quarter again another record setting.
Number four MGM China there is more competition Steve what in particular has got more properties there.
Do you got do you find that -- is more of -- challenge -- is that -- secondary market to you at this point as you focus on.
Of the -- us.
Well -- it's.
38 almost forty billion dollar gaming market that's larger.
-- entire commercial gaming market in the United States.
And are only six company's second operate there were one of the six so it's a classic supply and demand.
Benefit to the incumbents the ones that are there.
When is doing very well sands is doing very well.
The other operators also are doing well but so is MGM which -- had a record quarter right we're building a two and a half billion dollar resort now that opens and -- fear and Jim my.
Have to ask you before I let you go quickly about.
Regional gambling and gaming we're seeing casinos pop up across the country is a growth area for him.
It is in certain markets.
-- talk about jobs earlier do what I'm -- I'm building a new arena here in Las Vegas and a park.
That's can employ 2000 people and we -- that -- year and a half.
We want to open a casino in Springfield Massachusetts.
That'll employs 3000 people.
We want to open a casino outside resort outside -- Washington DC and Maryland.
Now we'll employ over 3000 people so if you find the right markets not every market but the ones that can grow.
You can make a lot of money doing that and create great economic benefit for the community.
-- -- always a pleasure to see MGM resorts chairman and CEO it was a record congratulations on the numbers Jim thanks yet.
Thank you very much -- close and -- --
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