MGM MIRAGE earnings below analysts' forecasts

Aug 3, 2009 7:26 PM
by Ray Poirier |

Despite reasonably good revenues during the second fiscal quarter of this crawling economy, MGM MIRAGE Inc. lost $212.6 million or $0.60 per share compared to last year’s profit of $113.1 million or $0.40 per share.

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Those numbers, however, included an impairment charge of $0.34 a share and a loss of $0.11 a share due to debt retirement. Excluding those one-time charges, the company had a loss of $0.15 per share. Analysts had expected a loss of $0.09 per share.

However, analysts had underestimated the company’s quarterly revenues. The company said revenues reached $1.49 billion, or slightly more than the $1.48 billion forecast by analyst.

The company blamed the quarterly short fall on its efforts to attract more convention business by discounting hotel rooms.

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