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Galaxy Entertainment reports 14% YoY jump in adjusted EBITDA to $881M for 1H25

Viviana Chan
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Galaxy Entertainment reports 14% YoY jump in adjusted EBITDA to $881M for 1H25

Galaxy Entertainment Group (GEG) saw robust financial performance for the first half of 2025, with adjusted EBITDA reaching HK$6.9 billion ($881 million), a 14 percent year-on-year increase.

The Macau-based gaming operator also declared an interim dividend of HK$0.70 ($0.09) per share, payable in October 2025.

Net revenue for the six-month period rose 8 percent year-on-year to HK$23.2 billion ($2.96 billion). Net profit attributable to shareholders surged 19 percent to HK$5.2 billion ($664 million), reflecting strong operational performance despite challenging market conditions.

For the first half of 2025, net gaming revenues increased by 10.7 percent year-on-year to nearly HK$18.58 billion ($2.36 billion). Non-gaming revenues for the same period were almost HK$3.17 billion ($404.2 million), representing a gain of 2.5 percent from the previous year.

Second-quarter results showed sustained momentum, with net revenue of HK$12 billion ($1.53 billion), up 10 percent year-on-year and 8 percent quarter-on-quarter. Adjusted EBITDA for the quarter reached HK$3.6 billion ($460 million), marking a 12 percent year-on-year increase and 8 percent quarter-on-quarter growth.

Galaxy Entertainment, Raffles Hotel, Macau

Cotai’s Galaxy Macau drives group earnings

Galaxy Macau, the company’s flagship integrated resort in Cotai, was the primary contributor to group earnings, generating net revenue of HK$19.1 billion ($2.44 billion) for the first half of 2025, up 13 percent year-on-year. The resort’s adjusted EBITDA reached HK$6.3 billion ($805 million), an 18 percent increase from the previous year.

The property showcased strong operational efficiency, with hotel occupancy across its nine hotels reaching 98 percent in the second quarter. The ultra-luxury Capella at Galaxy Macau, the group’s latest hotel addition, offered exclusive previews in May 2025 and bolstered performance during the Golden Week period.

In June 2025, Galaxy Macau achieved record single-day visitation of over 123,000 visitors, driven by major entertainment events, including performances by K-pop star G-Dragon and Hong Kong singer Jacky Cheung at the Galaxy Arena.

Galaxy entertainment

Chairman highlights entertainment strategy success

Francis Lui Yiu Tung, chairman of Galaxy Entertainment Group, underscored the company’s successful execution across all business segments in his statement to shareholders.

“GEG delivered solid results and increased market share despite competitive conditions,” Lui said. “We drove growth in every segment, particularly the premium mass market.”

Lui emphasized the impact of entertainment programming on customer attraction and retention. “Over the past two years, entertainment shows and events have proven critical in driving new and repeat visitors to Macau. In the first half of 2025, we hosted approximately 190 entertainment, sports, and MICE events, resulting in a 65 percent year-on-year increase in foot traffic at Galaxy Macau.”

The entertainment strategy included high-profile events such as the ITTF World Cup Macao 2025 in April, performances by K-pop stars like BTS’s j-hope and BIGBANG’s G-Dragon, and concerts by artists including Wakin Chau and Jacky Cheung.

Galaxy Entertainment Group, Phase 4, hotel capacity

Development pipeline progresses

Galaxy Entertainment Group continues to advance its expansion plans, with significant progress on Phase 4 construction. The company has completed the superstructure and external facade and has awarded new contracts for internal fit-out works.

“We are making strong progress on Phase 4,” Lui noted. “This approximately 600,000-square-meter development includes multiple high-end hotel brands new to Macau, a 5,000-seat theater, extensive food and beverage options, retail, non-gaming amenities, landscaping, a water resort deck, and a casino.”

Phase 4 is slated for completion in 2027. Beyond Macau, the company is exploring expansion opportunities in the Greater Bay Area and overseas markets, with a particular focus on Thailand.

The group maintains a robust balance sheet, with cash and liquid investments of HK$30.7 billion ($3.92 billion) as of June 30th, 2025, and minimal debt. This financial strength supports ongoing development projects while enabling capital returns to shareholders through dividends.

R. Franco Digital crosses swords and spins in Zorro Final Duel

Kelsey Wilhelm
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R. Franco Digital crosses swords and spins in Zorro Final Duel

R. Franco Digital, the Spanish iGaming provider, has launched Zorro Final Duel, combining classic gameplay with a narrative twist and immersing players in a tense showdown between lawmen and outlaws.

Set across a 5×5 layout with 15 paylines, the game’s centerpiece is the Final Duel Bonus, triggered by landing three Scatter symbols on reels one, three and five. Players are taken through five consecutive battles between the sheriff and a group of outlaws, each set in a different location.

Settings such as the Saloon and Stagecoach award individual multiplier boosts, while Train and Bank scenes apply global boosts. After the fifth duel, all accumulated multipliers are totaled and applied to the player’s bet.

In the base game, wilds appear on reels two and four. If both land on the same spin, one will randomly expand and apply a multiplier, up to x20 on reel two or x50 on reel four, unlocking significant win potential.

Where permitted, players can also enter the Final Duel Bonus directly via the Bonus Buy feature, with pricing linked to the selected RTP configuration.

Javier Sacristán Franco, International Business Director of R. Franco Digital, said: “Zorro Final Duel combines engaging visuals with a dynamic bonus feature that offers players something distinctly different.

“With its cinematic design and strong payout potential, the game adds variety and depth to our growing portfolio, while supporting operators with flexible RTPs and seamless integration via the IRIS platform.”

Entain 1H25 results ‘ahead of expectations’, despite softness in Australian market

Kelsey Wilhelm
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Entain 1H25 results ‘ahead of expectations’, despite softness in Australian market

Global sports betting and gaming group Entain saw first-half results ‘ahead of expectations’, with net gaming revenue up by 3 percent yearly to £2.62 billion ($3.53 billion).

Revenue saw similarly up, by 3 percent, to £2.59 billion ($3.49 billion).

However, the group saw its loss for the period inflate significantly, from £5.6 million ($7.54 million) in 1H24, to £116.9 million ($157.3 million) in 1H25.

The group has also further made a provision of AU$100 million ($65 million) in regards to a possible fine by the Australian Transaction Reports and Analysis Center (AUSTRAC). Australia’s financial watchdog commenced civil penalty proceedings in December of last year due to ‘serious and systematic non-compliance with Australia’s anti-money laundering and counter-terrorism financing (AML/CTF) laws’. The move was the first time AUSTRAC has brought civil penalty proceedings against a business operating in the online betting sector.

Outside of the UK and Ireland, Entain’s international business saw a slight contraction, with sports wagers down by 5 percent yearly, to £5.85 billion ($3.8 billion). Net gaming revenue was down by 2 percent yearly, to £1.29 billion ($1.74 billion), with contractions of 2 percent seen in both its Sports and Gaming segments, bringing in £738.6 million ($993.88 million) and £488.4 million ($657.2 million), respectively. The group notes that during the period it ‘reported strong underlying performance across its largest markets except for Australia’. The Australia segment saw a 7 percent drop ‘due to ongoing softness in the underlying market as well as customer friendly racing results in Q1 weighing on H1 margin’.

Looking to New Zealand, the group’s NGR was up 12 percent yearly, with online up 18 percent. The group highlighted that the 2H24 launch of its second local brand Betcha was ‘now gaining traction’. The group also spotlighted the nation’s new ‘legislative “net” which restricts offshore unlicensed operators from offering racing and sports betting to New Zealand customers’.

The group’s Brazil operations performed strongly, with NGR up by 21 percent yearly.

Gross profit from the international segment was down by 3 percent yearly.

Speaking of the results overall, the group’s CEO Stella David noted that “Entain’s transformation journey is well underway, gathering pace and is supported by our high-quality portfolio of iconic brands with podium positions in attractive markets. Our business is getting stronger, fitter and faster, with these results reinforcing our confidence in driving sustainable underlying growth”.

Entain officially appoints non-executive Chair

On Monday, Entain also announced that it had appointed Pierre Bouchut as permanent non-executive Chair of the company, effective immediately.

Bouchut had served as the interim non-executive Chair since February of this year.

“The Board is delighted that Pierre has agreed to continue in the role of Chair. He is an accomplished business leader with a wealth of experience across multiple industries. Having been a member of the Board for several years, Pierre knows the sector well and also has a deep understanding of the Group’s underlying business dynamics and strategic priorities,” noted Entain’s Senior Independent Director David Satz.

The Star inks deal for sale of Queen’s Wharf Brisbane stake to joint venture partners

Kelsey Wilhelm
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The Star inks deal for sale of Queen’s Wharf Brisbane stake to joint venture partners

Australian gaming operator The Star has finally released some good news, indicating that it has entered into an agreement with its joint venture partners to sell its stake in Queen’s Wharf Brisbane.

According to a filing on Tuesday, The Star has ‘entered into binding long-form documentation’ with its JV partners Chow Tai Fook Enterprises (CTFE) and Far East Consortium (FEC) to dispose of is interest in Destination Brisbane Consortium (DBC).

The filing also indicates that The Star will also be transitioning out of its management of The Star Brisbane Integrated Resort, which will then be run by a ‘replacement operator’.

Previous reports indicated that the CTFE and FEC were in talks with both Crown Resorts and SkyCity as possible future operators.

The deal comes after previous negotiations over the sale collapsed, leaving The Star with millions to pay to the JV partners as well as saddling the company with its portion of debt related to the multi-billion-dollar project.

The current timeline of the sale is split into two parts, with The Star’s exit from the DBC to be finalized by November 30th. The second part of the transition involves the transfer of the remaining interest held by the JV partners in The Star Gold Coast to The Star, which is expected to be finalized some time in the second half of 2026.

The group notes that the completion of both stages depends on approvals, including that by the Queensland State Government. Far East Consortium halted trading early on Monday ahead of the announcement, but resumed trading at 1pm the same day.

In a separate filing by FEC, the company indicated that, while The Star will assume 100 percent ownership of DGCC (Destination Gold Coast Consortium), the JV partners will retain their rights to participate in the development of the next hotel tower in the precinct. The Star can terminate this write if it pays AU$20 million to the JV partners. The hotel tower is expected to house the Andaz hotel brand.

The new deal for between The Star and its JV partners encompasses an AU$18 million ($11.7 million) payment to The Star as well as an ‘Earn Out Payment’ equal to 50 percent of the equity value of DBC or the Maximum Earn Out amount – AU$225 million ($146.28 million).

Looking at payments relating to Tower 2, The Star must pay out AU$8 million ($5.2 million) to the JV partners, which it can set off against its final payment from the partners.

The deal also involves the transfer of The Star’s interest in a car park located nearby Queen’s Wharf Brisbane, as well as its stake in the Treasury Brisbane hotel.

SkyCity Adelaide retains casino license despite ‘significant failings’

Viviana Chan
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SkyCity Adelaide retains casino license despite ‘significant failings’

A comprehensive independent review has concluded that the SkyCity Adelaide Casino is suitable to hold South Australia’s only casino license, though the finding comes with a caveat following a history of significant failures.

The final report, released in August 2025 by Liquor and Gambling Commissioner Brett Humphrey, was conducted by retired Supreme Court Judge, the Hon Brian Martin AO KC, who was first appointed in July 2022.

The investigation highlighted that while SkyCity is currently deemed suitable, it had a documented history of failing to comply with obligations related to anti-money laundering and counter-terrorism financing (AML/CTF) and gambling harm minimization. ‘If I had been asked to determine the suitability of the licensee and SCEG (Sky City Entertainment Group) at the end of October 2021, the inevitable answer would have been that neither were suitable,’ Martin wrote.

The report detailed a ‘poor and inadequate culture’ that existed in the past, where the licensee’s board failed to exercise its powers until November 2021. A key turning point was the institution of Federal Court proceedings by the Australian Transaction Reports and Analysis Center (AUSTRAC) in December 2022, which alleged serious deficiencies in the casino’s compliance program between 2015 and 2022. The investigation was suspended until June 2024 pending the outcome of the AUSTRAC case, in which SkyCity Adelaide later admitted to ‘numerous breaches’ of the AML/CTF Act and was fined AU$67 million ($44 million).

Following the proceedings, a new approach emerged, with a positive resolution to implement appropriate remediation measures. The report noted that the licensee ‘now understand[s] far better and acknowledge[s] that our historical shortcomings have arisen from… insufficient prioritization of compliance at all levels of the business’. SkyCity also admitted it had ‘not met all of its gambling harm obligations and that inappropriate corporate governance arrangements have been a significant contributor to those inadequacies’.

In response to the preliminary findings, the Commissioner issued a Direction in May 2023 requiring SkyCity to prepare a Program of Work for remediation in the areas of AML/CTF compliance and harm minimization. An independent monitor, Kroll Australia Pty Ltd, was appointed to review and oversee the implementation of this program. The report also mentioned that the company has committed substantial resources, anticipating an investment of AU$56 million ($36.8 million) over three years for the remediation efforts.

‘I am satisfied that, today, the licensee is a suitable person to hold the license and operate the casino,’ Martin concluded. However, this suitability is contingent on the continuation of the new culture and ongoing remediation work. Commissioner Brett Humphrey is now reviewing the findings to determine if any further enforcement action is necessary.

Jason Walbridge, SkyCity CEO
Jason Walbridge, CEO, SkyCity Entertainment

In response, SkyCity Chief Executive Officer Jason Walbridge said: “We fully accept and acknowledge the findings of the report that we did not measure up to the standards required, and we apologize for those failings. We further acknowledge Mr Martin’s findings and the Commissioner’s comments that we still have work to do. We remain committed to our B3 program (Better Business Program) and constructive engagement with all our regulators.

“We have made significant enhancements in terms of leadership, resourcing and systems, including a commitment to invest AU$60 million ($39.4 million) over three years to transform our culture, and to uplift our financial crime and host responsibility practices. Our team has worked hard to raise our standards, better meet our obligations and improve how we look after our customers.”

Daily Asia Gaming eBrief: City of Dreams Sri Lanka to focus on big spenders

AGBrief Editorial
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Daily Asia Gaming eBrief: City of Dreams Sri Lanka to focus on big spenders

Good Morning. Dream a little dream of me. Melco’s foray into Sri Lanka, via its latest City of Dreams property, bodes well for the nation’s tourism push. A focus on high-spending punters who have refined taste buds bodes well, given the possibilities to pair gaming offerings with a luxurious tourism experience. Meanwhile, in Macau, the new Big/Small 7 baccarat side bets are exploding, as operators refine gaming floors to keep up. And in sports betting, Macau’s monopoly operator sees little threat from Hong Kong’s proposed venture into basketball betting, as its customers tend to be local.

What you need to know

On the radar

AGB Intelligence

SRI LANKA

Colombo, Sri Lanka

City of Dreams to focus on high-spending tourists

Sri Lanka has stepped into the big leagues by opening its first large-scale integrated resort. City of Dreams Sri Lanka has a strong promise to build up the nation’s reputation in the gaming arena, as long as the country establishes a clear and consistent regulatory framework, notes a hospitality expert. Coupling the gaming experience with unique tourism offerings can make the destination highly attractive, particularly for those seeking the finer things in life.

Corporate Spotlight

Why Asia’s iGaming operators must rethink risk strategy | SEON

SEON,Winning Trust, Stopping Fraud: Why Asia’s iGaming Operators Must Rethink Risk Strategy

Winning Trust, Stopping Fraud. Asia Pacific’s iGaming market is expanding extremely fast, and a new wave of digital-savvy players is pushing demand through the roof. But the rise in adoption has outpaced regulation in many markets, and fraudsters have taken notice.

Industry Updates

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Reef Casino receives updated takeover bid from Morris Group

Kelsey Wilhelm
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Reef Casino receives updated takeover bid from Morris Group

Australia’s Reef Casino operator has received an updated takeover bid from an entity associated with the Morris Group.

According to a Monday filing, with the Australian Securities Exchange, Reef Corporate Services Limited (RCSL), the responsible entity for Reef Casino Trust, received an offer for AU$184.3 million ($120.07 million) – at AU$3.70 ($2.41) per unit in regards to its shares. The proposal also ‘contemplates the acquisition of Casinos Austria International (Cairns) and RCSL’ by another entity associated with the Morris Group.

The group notes that the revised proposal ‘now includes a conditional offer to enter into share purchase agreements in respect of CAIC and RCSL.

In late July, an entity associated with the Morris Group had offered some AU$184 million ($119.88 million) to take over RCSL. This follows a bid by Iris on July 11th, valued at AU$17 million ($116.34 million). The first bid encompassed an ‘off-market cash takeover bid to acquire all of the ordinary units in Reef Casino Trust’.

Despite the new, updated bid from the Morris Group entity, the directors of CRSL ‘main their recommendation of Iris’ offer’.

LET Group loss narrows to $5.45M in 1H25

Kelsey Wilhelm
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LET Group loss narrows to $5.45M in 1H25

Hong Kong-listed LET Group is expecting to significantly lower its loss in the first half of this year, as it liberated itself from the loss associated with a former joint venture.

According to a profit warning issued on Monday, the group is expecting to decrease its loss from HK$75.3 million ($9.6 million) in 1H24 to HK$42.8 million ($5.45 million) in 1H25.

The group notes that this was boosted by having cut ties in a joint venture that in 1H24 cost it HK$234.3 million ($29.85 million) in losses.

The group also benefited from a HK$13.4 million ($1.71 million) gain in interest income during the period, as well as net exchange gains of HK$184.7 million ($23.53 million).

The loss reversal stems from the company’s divestment of its interest in Vietnamese integrated resort Hoiana Resort & Golf, now operated by the VMS Group.

Currently LET Group is attempting to also divest its interests in the Tigre de Cristal hotel casino in Vladivostok – a project which has been plagued by the ongoing conflict in the Ukraine.

The group previously indicated that it was now focusing its efforts solely on its Westside City integrated resort project in the Philippines, via its majority stake in Suntrust Resort Holdings.

However, in mid-July the group warned that its current assets and liabilities ‘indicate the existence of a material uncertainty which may cast significant doubt on the Group’s ability to continue as a going concern’.

AGEM Index down by 0.7% m-o-m in August

Kelsey Wilhelm
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AGEM Index down by 0.7% m-o-m in August

The AGEM Index retracted slightly in July, falling by 0.7 percent from the prior month. Compared to one year ago, the index was up by 32.8 percent.

During the month, seven of the 10 AGEM Index companies reported stock price increases, which resulted in seven positive contributions and three negative contributions to the AGEM Index.

The largest positive contribution to the monthly index was Aristocrat Leisure Limited, whose 7.5 percent increase in stock price led to a 48.4-point gain for the index.

The largest negative contribution to the index was Konami Corp, whose 10.1 percent decrease in stock price resulted in a 67.58 point loss to the AGEM Index.

In August, two of the three major US stock indices increased. The NASDAQ rose by 2 percent month-on-month, while the S&P 500 increased 0.6 percent. Meanwhile, the Dow Jones Industrial Average fell by 2 percent from the prior month.

The Star inks binding deal to sell its stake in Queen’s Wharf Brisbane: report

Kelsey Wilhelm
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0
The Star inks binding deal to sell its stake in Queen’s Wharf Brisbane: report

Embattled Australian gaming operator The Star has reportedly revived plans to sell its stake in Queen’s Wharf Brisbane.

According to the Australian Financial Review, the deal is being made with its joint venture partners Chow Tai Fook and Far East Consortium.

This comes after a previous sale agreement was terminated as the parties were unable to agree on key components of the sale. Following the negotiation breakdown, Star was liable to pay some AU$10 million ($6.52 million) to the JV partners, as well as AU$31 million ($20.2 million) before September 5th. The negotiation breakdown also saddled The Star with its portion of debt relating to the project – totaling over AU$700 million in liabilities and AU$350 million ($228.1 million) in development costs.

According to sources cited by the publication, a binding deal regarding the sale has already been reached.

The Star on Tuesday halted trading of its shares on the ASX, pending a ‘further announcement’.

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