Ge Long Hui·2025-08-05 02:57Core Viewpoint - MGM China outperformed its peers in Q2, with gross gaming revenue increasing by 12% year-on-year to $1.26 billion, recovering to 154% of the same period in 2019, compared to the industry average recovery level of 83% [1] Company Performance - Adjusted EBITDA margin was 29%, a decline from 30.7% in the same period last year and 29.6% in the previous quarter, attributed to increased marketing expenses and rising customer acquisition costs due to intensified market competition [1] Industry Outlook - Future prospects are expected to benefit from policies such as the "one license for multiple banks" in Zhuhai and cross-border payment initiatives in Hong Kong, as well as major events like the National Games and the Grand Prix, indicating a continued recovery in Macau's gaming industry [1] - The company is optimistic about the upward trend of gaming stocks in the second half of the year, driven by favorable policies, wealth effects, and non-gaming synergies [1] Investment Rating - The firm reiterated a "Buy" rating for MGM China, raising the target price from HKD 18 to HKD 19.3 [1]