Core Points - MGM China has been actively repurchasing its shares, with a total of 570,200 shares bought back since September 10, amounting to HKD 9,097.36 million [2][3] - The stock price has shown a slight increase of 0.95% during this repurchase period, closing at HKD 15.980 on September 17, which is a 3.43% rise on that day [2][3] - Year-to-date, MGM China has conducted 24 share repurchase transactions, totaling 22,704,200 shares and an aggregate repurchase amount of HKD 353 million [3][4] Repurchase Details - On September 17, 2025, MGM China repurchased 502,000 shares at prices ranging from HKD 15.460 to HKD 15.840, with a total expenditure of HKD 787.30 million [2][3] - The highest and lowest prices for the shares repurchased on September 17 were HKD 15.840 and HKD 15.460, respectively [3] - The detailed repurchase history shows consistent activity, with multiple transactions occurring in September, including 120,000 shares on September 16 and 100,000 shares on September 15 [3][4]

Core Insights - The Macao gaming industry is showing signs of recovery in 2024, with total revenue expected to increase by 23.1% year-on-year to MOP 231.45 billion [1] - Total expenditure in the industry is projected to rise by 18.0% year-on-year to MOP 94.37 billion, indicating a positive trend in operational costs and employee spending [1] Revenue Summary - Total revenue, including gaming and other income, is forecasted to reach MOP 231.45 billion, reflecting a significant year-on-year growth of 23.1% [1] - The industry's earnings before tax are expected to increase by 24.7% year-on-year to MOP 143.12 billion [1] Expenditure Summary - Total expenditure, excluding taxes, is anticipated to rise by 18.0% year-on-year to MOP 94.37 billion [1] - Operating expenses are projected to increase by 28.0% to MOP 40.58 billion, while purchases, commissions, and customer rebates are expected to rise to MOP 23.20 billion, also reflecting a 28.0% increase [1] - Employee spending is forecasted to grow by 7.0% to MOP 21.48 billion [1] - Non-operating expenses, including interest and depreciation, are expected to decline by 9.6% to MOP 9.10 billion [1] Business Operations Overview - The gaming industry survey indicates that there are 9 enterprises engaged in gaming activities, with 1 enterprise ceasing operations during the reference year [2] - At the end of the period, there are 6 licensed gaming enterprises and 2 lottery-operating enterprises [2] - The data does not include information from hotels and retail businesses operating within these enterprises [2]

Group 1 - The core viewpoint is that Macau's gaming industry is expected to maintain strong momentum due to various factors such as major events, wealth effects from the stock market, relaxed visa policies, and ongoing security concerns in Thailand and the Philippines, leading more mainland tourists to choose Hong Kong and Macau as destinations [1][2] - The overall industry anticipates strong growth momentum to continue for the remainder of the year, with a projected 9% year-on-year increase in Macau's total gaming revenue (GGR) for 2025, translating to a 14% year-on-year growth from September to December this year, and a 7% growth in 2026 [1] - The company Goldman Sachs has a "buy" rating for Sands China (01928), citing that the stock price has not fully reflected its ability to regain market share and potential for dividend growth, with a target price set at HKD 24.8 [1] Group 2 - Galaxy Entertainment (00027) is also favored by the company, with expectations of increased market share driven by the new hotel Capella and numerous major events, and a target price of HKD 55.9 with a "buy" rating [2] - MGM China (02282) is noted for its attractive valuation, with expectations to maintain a market share of 15% to 16% and a dividend yield of 5.1%, also anticipated to absorb some gaming volume from the upcoming closure of satellite casinos, with a target price of HKD 20.4 and a "buy" rating [2]

Core Viewpoint - Goldman Sachs reports that Macau gaming companies attribute the recent strong performance in Gross Gaming Revenue (GGR) to a combination of major events, wealth effects driven by the stock market, relaxed visa policies, and ongoing security concerns in Thailand and the Philippines, leading more mainland travelers to choose Hong Kong and Macau as destinations [1] Group 1: Industry Performance - The overall industry anticipates strong growth momentum to continue for the remainder of the year, with hotel bookings nearly full for the Golden Week [1] - Goldman Sachs projects that Macau's total gaming revenue will grow by 9% year-on-year in 2025, implying a year-on-year growth of 14% from September to December this year, and a growth of 7% in 2026 [1] Group 2: Company Recommendations - Sands China is the top pick for Goldman Sachs, as the stock price has not fully reflected its ability to regain market share and potential for dividend growth, despite short-term risks from recent promotional adjustments and reinvestment rates affecting third-quarter profit margins, with a target price of HKD 24.8 and a "Buy" rating [1] - Galaxy Entertainment is also favored, with expectations of increased market share driven by the new hotel Capella and major events, receiving a target price of HKD 55.9 and a "Buy" rating [1] - MGM China is noted for its attractive valuation, expected to maintain a market share of 15% to 16%, with a dividend yield of 5.1%, and potential to absorb some gaming volume from the upcoming closure of satellite casinos, assigned a target price of HKD 20.4 and a "Buy" rating [1]

Group 1 - MGM China announced a share buyback plan, intending to repurchase 1 million shares at a cost of approximately HKD 16.4249 million [1]

Group 1: Financial Performance - Company reported total revenue of 14.6 billion HKD for 1H25, a year-on-year increase of 6% [1] - EBITDA decreased by 5% year-on-year to 1.65 billion HKD, with EBITDA margin declining by 1.3 percentage points to 11.2% [1] - Net loss widened from 160 million HKD in 1H24 to 180 million HKD in 1H25, primarily due to underperformance of the Lisboa project [1] Group 2: Earnings Forecast - Earnings per share forecast for 2025 revised down from 0.30 HKD to 0.01 HKD, with new forecasts introduced for 2026 at 0.12 HKD and 2027 at 0.17 HKD [1] - Target price adjusted down from 3.7 HKD to 3.3 HKD, indicating a potential upside of 13% [1] Group 3: Second Quarter Performance - In 2Q25, gross gaming revenue increased by 5% year-on-year, with mass gaming revenue up by 6% and VIP gaming revenue down by 14% [1] - EBITDA for 2Q25 fell by 21% year-on-year to 688 million HKD, with the Lisboa project's EBITDA turning from a profit of 104 million HKD in 2Q24 to a loss of 6.6 million HKD [1] Group 4: Acquisition Plans - Company announced plans to acquire part of the Lisboa Hotel for a total consideration of 529 million HKD, aiming to expand the operational area of the Lisboa Casino by an additional 7,504 square meters [2] - The acquisition is expected to enhance the overall operations of the integrated resort, making it the largest on the Macau Peninsula [2] - The company plans to redistribute gaming tables and slot machines from satellite casinos that will cease operations by the end of 2025 [2] Group 5: Industry Outlook - Company maintains an "overweight" rating, citing resilience in the gaming industry [2]

Core Viewpoint - UBS reports that the gaming revenue growth for Kingdom Holdings (03918) is accelerating, driven by an increase in business travelers in Phnom Penh, Cambodia, and local demand [1] Group 1: Revenue Forecasts - UBS has raised its total gaming revenue (GGR) forecasts for Kingdom Holdings for 2025-2026 by 21% to 29% due to better-than-expected performance in the first half of the year [1] - The overall gaming revenue is expected to grow by 32% this year and 10% next year [1] Group 2: Financial Projections - The EBITDA forecast for Kingdom Holdings has been increased by 46% for next year [1] - The valuation basis has been adjusted, with the target multiple raised from 5x to 7x, leading to an increase in the target price from HKD 3.8 to HKD 7.5 [1] Group 3: Rating Changes - The rating for Kingdom Holdings has been upgraded from "Neutral" to "Buy" due to the revised forecasts and valuation [1]

Core Viewpoint - UBS reports that the gaming revenue growth momentum for Galaxy Entertainment Group (03918) is accelerating, driven by the increase in business travelers in Phnom Penh, Cambodia, and local demand [1] Group 1: Financial Performance - UBS has raised its forecast for total gaming revenue (GGR) for 2025-2026 by 21% to 29% due to better-than-expected performance in the first half of the year [1] - The overall gaming revenue is expected to grow by 32% year-on-year this year and by 10% next year [1] Group 2: EBITDA and Valuation - The EBITDA forecast for Galaxy Entertainment for next year has been increased by 46% [1] - The valuation multiple has been raised from 5x to 7x, leading to an increase in the target price from HKD 3.8 to HKD 7.5 [1] - The stock rating has been upgraded from "Neutral" to "Buy" due to the attractive valuation [1]

Core Insights - Morgan Stanley reported that Macau's gaming revenue in August increased by 12% year-on-year, aligning with the bank's and market expectations [1] - After three consecutive months of double-digit growth, the bank anticipates that operating leverage will begin to take effect in the second half of the year, driving margin expansion and profit adjustments [1] - The bank projects a 16% year-on-year increase in gaming revenue for September, indicating a 16% rise in the third quarter [1] - Morgan Stanley has assigned "overweight" ratings to Sands China (01928), MGM China (02282), and Wynn Macau (01128) [1]

Group 1 - Morgan Stanley reports that Macau's gaming revenue in August increased by 12% year-on-year, aligning with the bank's and market expectations [1] - After three consecutive months of double-digit growth, the operating leverage is expected to start playing a role in the second half of the year, driving margin expansion and profit correction [1] - The bank anticipates a 16% year-on-year increase in gaming revenue for September, indicating a 16% rise in the third quarter [1] Group 2 - Morgan Stanley maintains "overweight" ratings for Sands China (01928), MGM China (02282), and Wynn Macau (01128) [1]