Profit Maximization: TR - TC $1,800 1,700 Break-even point 1.600 Total revenue (normal profit) $ 1.500 (TR) 1.400 MR= ML 21.300 Total cost 2 1,200 Maximum 1,100 economic (FC) 61,000 profit 900 $299 Total Total revenue and to 800 P = $131 economic 700 profit 600 Quantity demanded (sold) 500 $500 Break-even point $299 400 400 (normal profit) Total economic profit 300 300 200 200 100 100 0 1 2 3 4 5 6 7 8 9 10 11 1213 14 0 1 2 3 4 5 6 7 8 9 1011 1213 14 Quantity demanded (sold) Quantity demanded (sold)Average, Total, and Marginal Revenue Firm's demand schedule Firm's $1,179 TR (average revenue data 1,048 revenue) P QD TR MR 917 0 $131 $01-$131 786 1 131 131 1 131 131 262 655 131 Price and revenue 3 131 3931 131 524 4 131 524 131 5 131 655 393 131 6 131 7861 131 262 7 131 9171 D = MR = AR 131 8 131 1,048 1 131 131 9 131 1,179 IT' 131 10 131 1,310 2 4 6 8 10 12 Quantity demanded (sold)MGM RESORTS INTERNATIONAL AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands, except per share data) Year Ended December 31, 2021 2020 2019 Revenues Casino $ 5,362,912 $ 2,871,720 $ 6,517,759 Rooms 1,690,037 830,382 2,322,579 Food and beverage 1,391,605 696,040 2,145,247 Entertainment, retail and other 1,009,503 518,991 1,477,200 Reimbursed costs 226,083 244,949 436,887 9,680, 140 5,162,082 12,899,672 Expenses Casino 2,551,169 1,701,783 3,623,899 Rooms 600,942 419,156 829,677 Food and beverage 1,034,780 674,118 1,661,626 Entertainment, retail and other 617,635 412,705 1,051,400 Reimbursed costs 226,083 244,949 436,887 General and administrative 2,507,239 2,122,333 2,101,217 Corporate expense 422,777 460,148 464,642 Preopening and start-up expenses 5,094 84 7,175 Property transactions, net (67,736) 93,567 275,802 Gain on REIT transactions, net (1,491,945) (2,677,996) Gain on consolidation of CityCenter, net (1,562,329) Depreciation and amortization 1,150,610 1,210,556 1,304.649 7,486,264 5,847,454 9,078,978 Income from unconsolidated affiliates 84,823 12,938 1 19,521 Operating income (loss) 2,278,699 (642,434) 3,940,215 Non-operating income (expense) Interest expense, net of amounts capitalized (799,593) (676,380) (847,932) Non-operating items from unconsolidated affiliates (83,243) (103,304) (62,296) Other, net 65,941 (89,361) (183,262) (816,895) 869,045) (1,093,490) Income (loss) before income taxes 1,461,804 (1,511,479) 2,846,725 Benefit (provision) for income taxes (253,415) 191,572 (632,345) Net income (loss) 1,208,389 (1,319,907) 2,214,380 Less: Net (income) loss attributable to noncontrolling interests 45,981 287,183 (165,234) Net income (loss) attributable to MGM Resorts International 1,254,370 (1,032,724) 2,049,146 Earnings (loss) per share Basic 2.44 $ (2.02) $ 3.90 Diluted 2.41 $ (2.02) $ 3.88 Weighted average common shares outstanding Basic 481,930 494,152 524,173 Diluted 487,356 494,152 527,645 The accompanying notes are an integral part of these consolidated financial statements.Year Ended December 31. 2021 2020 2019 Occupancy() 74 % 55 % 91 % Average Daily Rate (ADR) $ 173 $ 161 $ 167 Revenue per Available Room (REVPAR)() $ 128 $ 88 $ 153 (1) Rooms that were out of service, including full and midweek closures, during the years ended December 31, 2021 and 2020 due to the COVID-19 pandemic were excluded from the available room count when calculating hotel occupancy and REVPAR
