Q: What's the hottest city in North America in December?
A: Vegas, baby.
After the bell yesterday, Mandalay Resort Group
Overall, Mandalay's Las Vegas Strip properties reported a 33% increase in EBITDA, as revenue per available room (RevPAR) climbed 18%, and casino revenues -- adjusted for the effect of accounting change -- rose 10%. What's more, each of those properties turned in a record third-quarter result.
The company's flagship Mandalay Bay led the way, as property EBITDA jumped 48% to $66.2 million. The other two hotels on the South end of the Strip -- Luxor and Excalibur -- posted EBITDA growth of 28% to $40.3 million and 22% to $31.6 million, respectively. Even Circus Circus, on the other end of the Strip, saw EBITDA increase 24% to $19.9 million. The Monte Carlo, 50%-owned along with merger partner MGM Mirage
Elsewhere, results were somewhat mixed but mostly positive.
Outside of Las Vegas, the other Nevada properties reported a slight gain in overall EBITDA. The 50%-owned Grand Victoria on the Illinois side of the Chicagoland market posted a 14% gain in EBITDA to $15.4 million, while EBITDA at the Motor City casino in Detroit increased 9.2% to $35.5 million, despite the hike in the gaming tax rate effective Sept. 1. However, the Gold Strike Tunica in Mississippi saw EBITDA fall 15.3% to $6.6 million.
Back in June, Mandalay agreed to merge with MGM Mirage in a deal to create the dominant Strip operator, prompting rivals Harrah's Entertainment
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Fool contributor Jeff Hwang owns none of the companies mentioned above.