Financial Performance - Total revenue for the six months ended June 30, 2020, was HKD 2,370,394, a decrease of 78.9% compared to HKD 11,296,634 for the same period in 2019[7] - Adjusted EBITDA for the same period was a loss of HKD 1,008,386, compared to a profit of HKD 3,076,803 in 2019[7] - The company reported a net loss attributable to shareholders of HKD 2,860,430, compared to a profit of HKD 1,022,392 in the previous year[7] - Basic and diluted loss per share for the period was HKD 75.3, compared to earnings of HKD 26.9 per share in 2019[7] - The company's operating revenue for the six months ended June 30, 2020, was HKD 2.370 billion, a decrease of 79.0% compared to HKD 11.297 billion for the same period in 2019[49] - The adjusted EBITDA for the company was HKD (1.008) billion for the first half of 2020, down from HKD 3.077 billion in the same period of 2019[48] - The company reported an operating loss of HKD 2,395,901, compared to an operating profit of HKD 1,470,453 in the previous year[167] - The total comprehensive loss for the period was HKD (2,861,725,000), reflecting the impact of COVID-19 on operations[174] Impact of COVID-19 - The COVID-19 pandemic led to the suspension of operations at MGM China from February 5, 2020, for 15 days, significantly impacting business performance[12] - MGM China resumed operations on February 20, 2020, but with health protection measures still in place, including limits on gaming tables and social distancing[12] - Total visitor numbers to Macau and mainland Chinese visitors in the first half of 2020 decreased by 83.9% and 83.7% respectively compared to the same period in 2019[14] - Macau's total gaming revenue in the first half of 2020 fell by 77.4% to HKD 32.7 billion compared to the same period in 2019[14] - The company has implemented new health and social distancing measures to address customer safety concerns during the pandemic[26] - The company is focusing on cost management and operational efficiency to navigate the challenging market conditions[167] - The group has taken measures to mitigate the financial impact of COVID-19, including reducing salary expenses and postponing capital expenditures[182] - The group’s performance for the six months ended June 30, 2020, was significantly impacted by travel and operational restrictions due to COVID-19[182] Operational Adjustments - The company implemented several measures to reduce payroll expenses, including limiting on-site staff, pausing hiring, and introducing voluntary unpaid leave[14] - The company postponed several capital expenditures planned to start in the second quarter of 2020[14] - The company has taken measures to reduce expenses due to the COVID-19 pandemic, including deferring capital expenditures and implementing salary reductions[108] - The company has implemented strategies to attract local residents to its non-gaming facilities amid reduced tourism demand due to COVID-19[41] Gaming Operations - The company holds one of the six gaming licenses in Macau, with its license extended until June 26, 2022[11] - MGM China operates two integrated resorts in Macau, MGM Macau and MGM Cotai, focusing on premium gaming and hospitality experiences[11] - The company's gaming revenue composition as of June 30, 2020, was 66% from mass market and 34% from VIP market, compared to 62% and 38% respectively as of June 30, 2019[38] - The mass market gaming business is identified as the most profitable segment, with a focus on enhancing the gaming experience for high-value customers through dedicated gaming areas[37] - The total win amount for VIP gaming tables decreased by 81.1% to HKD 933.693 million compared to HKD 4.938 billion in the previous year[58] - The total win amount for mass gaming tables decreased by 78.2% to HKD 1.545 billion from HKD 7.076 billion in 2019[59] - The total win amount for slot machines decreased by 75.2% to HKD 272.213 million compared to HKD 1.097 billion in the previous year[59] Financial Position and Liquidity - As of June 30, 2020, the company had cash and cash equivalents of HKD 2.277 billion and undrawn credit facilities of HKD 9.12 billion available for operations and development activities[71] - The capital debt ratio increased to 69.5% as of June 30, 2020, compared to 56.0% as of December 31, 2019, reflecting an increase in net debt[73] - The total borrowings as of June 30, 2020, amounted to HKD 18.9013 billion, an increase from HKD 16.6045 billion as of December 31, 2019[83] - The company issued USD 500 million of 5.25% senior notes due in 2025, with proceeds used to repay part of the outstanding borrowings under revolving credit facilities[88] - The company has a total of HKD 3.75 billion drawn from the revolving credit facilities as of June 30, 2020[91] - The company has significant shareholdings from directors, with various percentages ranging from 0.0054% to 0.7607% across different entities[121] Management and Governance - The company announced the resignation of CEO Grant R. Bowie effective May 31, 2020, with a restructuring of senior executive roles to enhance management expertise[18] - The company appointed Feng Xiaofeng as President, Strategy, and Chief Financial Officer effective June 22, 2020[157] - The company adhered to the corporate governance code during the reporting period from January 1 to June 30, 2020[153] - The company confirmed compliance with its own securities trading code and the standard code during the reporting period[154] Future Outlook - The company is optimistic about long-term growth in the Macau gaming market due to significant investments in new properties and improved infrastructure[28] - The company aims to enhance operational efficiency and customer experience through improved product and service quality, and increased asset utilization[22] - The company plans to attract high-end customers through new offerings and maintain focus on high-margin mass gaming operations[22] - The group anticipates that the ongoing impact of COVID-19 will continue to affect future performance[182]

Financial Performance - Entertainment revenue for the six months ended June 30, 2019, was HKD 10,158,920, an increase of 24.1% from HKD 8,193,851 in the same period of 2018[6] - Adjusted EBITDA for the same period was HKD 3,076,803, representing a 33.3% increase from HKD 2,307,731 in 2018[6] - The company reported a profit attributable to owners of HKD 1,022,392, up 45.0% from HKD 704,580 in the previous year[6] - Basic earnings per share increased to HKD 0.269 from HKD 0.185, reflecting a growth of 45.3%[6] - Total operating revenue for the six months ended June 30, 2019, was HKD 11,296.6 million, up 24.5% from HKD 9,070.034 million in the same period of 2018[31] - For the six months ended June 30, 2019, the total revenue from the casino increased by 24.0% to HKD 10,158.92 million compared to HKD 8,193.85 million in the same period of 2018[39] - The total win from VIP gaming tables grew by 10.5% to HKD 4,938 million, benefiting from the operations of MGM Cotai, which opened in the second half of 2018[44] - The total win from mass gaming tables increased by 35.6% to HKD 7,076 million, with a 10.5% increase in betting volume to HKD 31,611.3 million[45] - Slot machine total win rose by 1.6% to HKD 1,097 million, supported by a 37.9% increase in betting volume to HKD 35,636.6 million[47] - Other revenue, including hotel rooms, dining, retail, and entertainment, increased by 29.8% to HKD 1,137.7 million, primarily due to the opening of MGM Cotai[48] Market Position and Growth - The company's market share increased from 7.6% for the six months ended June 30, 2018, to 9.3% for the same period in 2019, partly due to the opening of MGM Cotai[20] - Visitor arrivals in Macau reached 20.3 million in the first half of 2019, a 20.6% increase compared to the same period in 2018, with 70.6% of visitors coming from mainland China[19] - The mid-market and VIP segments contributed 62% and 38% respectively to the total gaming revenue for the six months ended June 30, 2019[17] - The company aims to enhance customer experience by improving product and service quality, increasing asset utilization, and maximizing operational efficiency[15] - The company is focused on identifying innovative gaming and non-gaming investment opportunities to further strengthen its market position[15] Operational Developments - The company received approval for 100 new gaming tables and 982 slot machines at MGM Cotai, which opened in February 2018[9] - MGM China Holdings Limited is a leading developer and operator of integrated resorts in Macau, with a focus on premium gaming and hospitality experiences[9] - MGM Macau features a gaming floor area of approximately 34,404 square meters, equipped with 1,080 slot machines and 291 gaming tables[10] - MGM Cotai opened on February 13, 2018, featuring a gaming area of approximately 27,696 square meters with 1,203 slot machines and 261 gaming tables[12] - Infrastructure improvements, such as the opening of the Hong Kong-Zhuhai-Macau Bridge, are expected to facilitate easier travel to Macau, supporting long-term growth in the gaming market[19] Financial Management and Capital Structure - The company completed a refinancing transaction by issuing senior notes totaling USD 1.5 billion (approximately HKD 11.7 billion) on May 16, 2019[9] - A revolving credit facility of HKD 9.75 billion was agreed upon with lenders, maturing on May 15, 2024, to support ongoing operational needs[9] - Financing costs increased to HKD 511,190 in 2019 from HKD 265,233 in 2018, reflecting higher debt levels[27] - The company has a leverage ratio of approximately 3.42 as of June 30, 2019, allowing for a maximum dividend payment of HKD 12 billion if the leverage exceeds 4.0 times[84] - The company has maintained compliance with financial covenants, including an interest coverage ratio of no less than 2.5 to 1.0[81] Shareholder Information and Dividends - The board declared an interim dividend of HKD 0.094 per share, totaling approximately HKD 357.2 million, representing 34.9% of the profit attributable to shareholders for the six months ended June 30, 2019[104] - The report highlights the importance of the interim dividend as not being indicative of the full-year profit or dividend levels[104] - The company has sufficient resources post-dividend payment to support its operational and business expansion needs[104] - The interim dividend payment is scheduled for around August 29, 2019, to shareholders listed on August 20, 2019[104] Employee and Corporate Governance - The company employs 10,911 full-time and part-time employees across Macau, Hong Kong, and Zhuhai as of June 30, 2019[102] - The company maintains a competitive compensation system based on market standards to attract and retain a diverse and skilled workforce[102] - The company has implemented a performance-based incentive plan for all management-level employees since 2011 to support its strategic objectives[102] - The company has adopted a more stringent code of conduct for securities trading than the standard code[144] - The company has complied with the corporate governance code during the reporting period from January 1 to June 30, 2019[144] Cash Flow and Liquidity - As of June 30, 2019, cash and cash equivalents were HKD 3.4157 billion, with available credit facilities of HKD 7.0 billion[62] - Net cash generated from operating activities was HKD 2.5434 billion, down from HKD 2.8815 billion in the previous period[67] - Cash used in investing activities was HKD 653.3 million, significantly lower than HKD 2.0659 billion in the prior period, reflecting reduced capital expenditures[68] - The company has sufficient liquidity to meet its financial obligations for the next twelve months, considering its cash, borrowings, and internally generated funds[98] Risks and Legal Matters - The company faces market risks primarily related to foreign currency exchange rates and interest rate fluctuations[95] - The company plans to defend against legal claims related to its operations in Macau, with management believing the outcomes will not significantly impact financial performance[73] Accounting and Reporting Standards - The financial statements were prepared based on the historical cost convention and in accordance with applicable disclosure requirements under the listing rules and international accounting standards[173] - The group has adopted a modified retrospective approach for the application of IFRS 16 without restating comparative information[177] - The group recognized lease liabilities of HKD 2.192 billion and right-of-use assets of HKD 14.095 billion upon the initial application of IFRS 16, which included a reclassification of HKD 11.909 billion related to land use rights[178]

Financial Performance - Total revenue for 2018 reached HKD 19,200,721, an increase of 32.6% compared to HKD 14,480,532 in 2017[7] - Adjusted EBITDA for 2018 was HKD 4,837,180, marking a four-year high[7] - The company reported a net profit attributable to shareholders of HKD 1,068,499, down from HKD 2,320,185 in 2017[7] - Basic earnings per share for 2018 were HKD 0.281, compared to HKD 0.611 in the previous year[7] - Total adjusted EBITDA for the group reached HKD 4,837,180, an increase of 5.4% compared to HKD 4,587,435 in the previous year[56] - Adjusted EBITDA for MGM Macau was HKD 3,983,223, a decrease of 13.2% from HKD 4,587,435 in 2017[56] - The company's profit attributable to owners decreased by 53.9% year-on-year to HKD 1.068 billion, impacted by the operational ramp-up of MGM Cotai and lower gaming win rates[79] Gaming Operations - The total win from table games increased by approximately 34.0%, while slot machine wins grew by 58.8%[15] - The total win for slot machines at MGM Macau was HKD 1,504,785, an increase from HKD 1,406,587 in the previous year[59] - Total gaming revenue for VIP tables increased by 13.0% to HKD 9,682,345,000 in 2018, driven by an 18.2% increase in turnover to HKD 318,195,300,000[66] - Overall casino revenue rose by 26.7% to HKD 17,176,050,000 in 2018, compared to HKD 13,557,440,000 in 2017[64] - The company faced challenges with table win rates and slot machine win rates, which negatively impacted reported gaming revenue despite overall market growth[58] Market Expansion - The company opened its second property, MGM Cotai, in February 2018, which contributed to market share growth[15] - The overall market share of the company increased from 7.0% as of December 31, 2017, to 7.9% as of December 31, 2018[53] - The company plans to continue expanding its market presence and enhance customer experiences through innovative entertainment offerings[15] - The company aims to leverage improved transportation infrastructure to attract more visitors from Guangdong Province and beyond[16] - The opening of the 55-kilometer bridge connecting Hong Kong, Macau, and Zhuhai in October 2018 significantly reduced travel time and is anticipated to boost visitor numbers to Macau[16] Employee and Talent Development - The workforce exceeded 10,000 employees, with nearly 20% having been with the company since its inception, highlighting the importance of employee retention for future success[15] - The company has a strong focus on local talent development to enhance the overall talent pool in the region[16] - The local leadership talent development program has graduated over 160 participants since its launch in 2014, with a retention rate of 90%[116] - The company has provided over 200 training courses and more than 917,000 hours of training in 2018, averaging 85 hours per team member[115] Corporate Governance - The company is committed to maintaining strong corporate governance through its various committees, including audit and remuneration[34] - The board consists of 11 members, including 5 executive directors, 3 non-executive directors, and 3 independent non-executive directors, with no significant relationships among them[175] - The company has established a code of conduct applicable to all employees, covering anti-corruption, confidentiality, and conflict of interest[113] - The company has complied with the covenants in the fifth, fourth, and third supplemental agreements as of the end of 2018[94] Community Engagement and Sustainability - In 2018, the company conducted 106 community activities, contributing over 10,000 hours, marking the highest record in its history[110] - The company is committed to reducing its operational impact on the environment, focusing on areas such as waste management and greenhouse gas emissions[106] - The company aims to align its sustainability goals with the United Nations' Sustainable Development Goals, specifically targeting Goal 8 (Decent Work and Economic Growth), Goal 11 (Sustainable Cities and Communities), and Goal 12 (Responsible Consumption)[109] - The company has committed to providing a quality work environment for employees and actively giving back to the community[106] Environmental Management - The company’s environmental management system complies with ISO 50001, and it was the first integrated resort operator in Macau to receive this certification in 2016[146] - In 2018, MGM China's total greenhouse gas emissions amounted to 159,024.35 tons of CO2 equivalent, an increase of 89% from 2013, primarily due to the addition of MGM Cotai[147] - The company aims to stop using single-use plastics in all dining establishments by early 2019, becoming the first operator in Macau to provide plastic straws only upon request[160] - The waste management strategy focuses on reduction, reuse, and recycling, with new initiatives including a coffee capsule recycling program in partnership with Nespresso[161] Financial Management - As of December 31, 2018, the company had cash and cash equivalents of HKD 3.99 billion and undrawn credit facilities of HKD 2.78 billion available for operations and development activities[80] - The capital debt ratio rose to 62.5% in 2018 from 59.6% in 2017, indicating a higher level of leverage[82] - The company plans to utilize its revolving credit facilities to repay term loans within the next twelve months, with a total of HKD 15.6 billion in term loans fully drawn as of December 31, 2018[91] - The company has significant collateral for its loans, including most of its assets and shares of MGM Cotai and its subsidiaries[95]