Melco Announces Unaudited Third Quarter 2025 Earnings

Core Insights - Melco Resorts & Entertainment Limited reported a total operating revenue of US$1.31 billion for Q3 2025, marking an 11% increase from US$1.18 billion in Q3 2024, driven by improved gaming and non-gaming performance [2][4] - The company's operating income rose to US$184.5 million in Q3 2025 from US$138.6 million in Q3 2024, indicating strong operational efficiency [2][4] - Adjusted Property EBITDA increased to US$380.4 million in Q3 2025, up from US$322.6 million in the same quarter of the previous year, reflecting enhanced profitability [3] Financial Performance - Net income attributable to Melco for Q3 2025 was US$74.7 million, or US$0.19 per ADS, compared to US$27.3 million, or US$0.06 per ADS, in Q3 2024 [4] - The company reported a net loss attributable to noncontrolling interests of US$12.6 million in Q3 2025, down from US$14.6 million in Q3 2024 [4] - Total cash and bank balances as of September 30, 2025, were US$1.61 billion, including US$125.2 million of restricted cash [32] Gaming Operations - Rolling chip volume increased to US$5.58 billion in Q3 2025 from US$3.30 billion in Q3 2024, with a win rate of 3.68% compared to 3.97% in the previous year [7] - Mass market table games drop rose to US$1.66 billion in Q3 2025 from US$1.40 billion in Q3 2024, with a hold percentage of 29.8% [8] - Gaming machine handle for Q3 2025 was US$1.04 billion, up from US$0.94 billion in Q3 2024, maintaining a win rate of 3.2% [8] Non-Gaming Revenue - Total non-gaming revenue at City of Dreams was US$94.8 million in Q3 2025, compared to US$78.7 million in Q3 2024 [9] - Non-gaming revenue at Studio City was US$85.9 million in Q3 2025, slightly down from US$89.3 million in Q3 2024 [12] - Non-gaming revenue at City of Dreams Mediterranean and Other increased to US$30.4 million in Q3 2025 from US$25.0 million in Q3 2024 [28] Regional Performance - In the Philippines, Property EBITDA grew 45% quarter-over-quarter, while in Cyprus, City of Dreams Mediterranean and satellite casinos achieved a 53% year-over-year increase in Property EBITDA [6] - City of Dreams Manila reported total operating revenues of US$110.7 million in Q3 2025, down from US$118.9 million in Q3 2024, with a decrease in both gaming machine and non-gaming operations [20][23] - Studio City saw total operating revenues of US$375.3 million in Q3 2025, compared to US$364.7 million in Q3 2024, with Adjusted EBITDA rising to US$104.7 million [10] Capital Expenditures and Debt Management - Capital expenditures for Q3 2025 were US$67.6 million, focusing on enhancement projects at City of Dreams and Studio City [37] - Total debt at the end of Q3 2025 was US$7.35 billion, with significant repayments made during the quarter [32][34] - Available liquidity, including cash and undrawn revolving credit facilities, was approximately US$2.60 billion as of September 30, 2025 [36]