Mohegan Tribal Gaming has just released its revenue earnings for the 3rd quarter of the fiscal year, and for the first time in its history, it has achieved a revenue increase of as much as 151% on Mohegan Digital and an over 21% increase in net revenue overall.

The Mohegan Tribal Gaming Authority has just announced its operational results for the third quarter of fiscal year 2024, ending on the 30th of June, showcasing a robust performance across various segments. The company reported a 21.4% increase in net revenue, reaching $504.2 million, driven by significant growth in both its digital and physical properties.

Mohegan Digital posts impressive gains

One of the standout performers in the quarter was Mohegan Digital, the company's online gaming and sports betting platform. Net revenues for Mohegan Digital surged by a staggering 151.3%, reaching $41.8 million. This rapid growth reflects the increasing popularity and demand for online gaming services across the markets where Mohegan operates, including Connecticut, Pennsylvania, Washington, Nevada, and New Jersey.

Mohegan Digital's impressive growth is attributed to its strategic expansion and the continuous enhancement of its offerings. The platform went live in April of 2024, and its strong performance in such a short time proves its potential as a major revenue driver for the company in the future.

Expansion in international markets

The company's international expansion has also played a pivotal role in its growth. Mohegan INSPIRE, the company's flagship integrated resort in Incheon, South Korea, had its grand launch in March of 2024. Since then, the resort has quickly become a key contributor to Mohegan's revenue stream. The ramp-up at INSPIRE, coupled with the resilience and stability of Mohegan's flagship property, the Mohegan Sun Connecticut, has provided a solid foundation for the company's growth. Mohegan's Chief Executive Officer, Raymond Pineault, highlighted the importance of these developments in the company's overall strategy.

Mohegan's financial performance in the third quarter was also bolstered by the continued growth of its Connecticut operations. The company's flagship property, Mohegan Sun, remains a key revenue generator, contributing significantly to the overall results. The digital operations in Connecticut, in particular, have shown strong growth, with an Adjusted EBITDA for Digital reaching $23.1 million, up from $11.5 million in 2023.

Financial strengths

Ari Glazer, the Chief Financial Officer of Mohegan, provided further insights into the company's financial performance. "Consolidated Adjusted EBITDA of $104.7 million decreased $3.9 million compared with the prior-year period, primarily due to operating costs related to the opening of Mohegan INSPIRE and non-controlling interest adjustments at Niagara Resorts, offset by strong growth in our Digital operations," said Glazer. He added that when the adjustment of non-controlling interest at Niagara Resorts is excluded, Adjusted EBITDA would have been $108.3 million or flat to the year prior.

Despite the slight decrease in Adjusted EBITDA, the company's overall performance remains strong, with key segments like Mohegan Digital and INSPIRE showing significant growth. These results accentuate Mohegan's ability to adapt to changing market conditions and capitalize on new opportunities in both the digital and physical gaming spaces.

Leadership transition: Hasson appointed COO

In addition to its strong financial performance, Mohegan announced a key leadership change during the quarter. The company appointed a new Chief Operating Officer, further strengthening its executive team as it continues to execute its growth strategy. The new COO, whose appointment aligns with Mohegan's ongoing expansion efforts, is expected to play a crucial role in overseeing the company's operations across its various properties and ensuring the continued success of its digital and international initiatives.

As Mohegan continues to expand its digital presence and international footprint, the company is very well-placed to capitalize on various emerging trends in the gaming industry. With the successful launch of Mohegan Digital along with the strong performance of Mohegan INSPIRE, the company is poised for continued growth in the coming quarters.