Gaming operator Melco Resorts & Entertainment announced that its operating revenue for 4Q24 reached $1.19 billion, marking a 9 percent increase from the $1.09 billion reported in the same period in 2023.
This growth was primarily driven by improved performance across all gaming and non-gaming operations.
In 4Q24, the company reported operating income of $97 million, compared to an operating loss of $94.4 million in the same quarter of 2023. According to its unaudited financial results, Melco generated adjusted property EBITDA of $295.4 million, down slightly from $303.4 million in the fourth quarter of 2023.
The net loss attributable to Melco Resorts & Entertainment for 4Q24 was $20.3 million, significantly reduced from the $205.9 million net loss in 4Q23. The net loss attributable to non-controlling interests was $19.6 million in the fourth quarter of 2024, compared to $20.8 million in 4Q23, mainly related to the operations of Studio City and City of Dreams Mediterranean.
For FY24, the company reported total operating revenues of $4.64 billion, up from $3.78 billion in 2023. This increase was largely due to the continued recovery in inbound tourism to Macau and the ramp-up of operations following the opening of Studio City Phase 2 and City of Dreams Mediterranean in mid-2023. Operating income for 2024 was $484.6 million, compared to $65 million in 2023.
City of Dreams Macau
For 4Q24, City of Dreams Macau reported total operating revenues of $591.1 million, up from $559.8 million in 4Q23.
Adjusted EBITDA was $140.1 million, down from $166.2 million in the same period last year. The decline was mainly due to higher operating costs, primarily from increased staffing to enhance service quality.
In another release, the property has also announced that the ‘House of Dancing Water’ show will officially return in May with a spectacular revamp, set to enchant audiences and elevate aquatic entertainment to unprecedented heights.
Studio City
Studio City‘s total operating revenues rose to $342 million in 4Q24 from $302.5 million in 4Q23. Adjusted EBITDA increased to $81.2 million from $77.3 million in the same period last year, driven by stronger performance in the mass market segment.
Studio City has refocused on the premium mass and mass segments, transferring VIP rolling chip operations to City of Dreams in late October 2024. As a result, rolling chip volume declined to $165 million in 4Q24 from $566.0 million in 4Q23.
The rolling chip win rate improved to 3.48 percent in 4Q24 from 1.86 percent in 4Q23, with the expected range at 2.85 percent- 3.15 percent.
Potential strategic alternatives for Manila property
Melco said on Thursday, prior to its financial results, that it is evaluating potential strategic alternatives regarding its involvement in the operations of the City of Dreams Manila casino resort.
According to the financial results, in 4Q24, total operating revenues at City of Dreams Manila reached $133.8 million, up from $120.5 million in the same period in 2023.
Adjusted EBITDA for the quarter also grew to $56.8 million, compared to $48.8 million in the fourth quarter of 2023. The yearly increase in adjusted EBITDA was primarily driven by improved performance in the rolling chip and mass market table games segments.
City of Dreams Mediterranean
The Company operates three satellite casinos in Cyprus in conjunction with City of Dreams Mediterranean.
For 4Q24, total operating revenues at City of Dreams Mediterranean and Other reached $59.2 million, up from $47.3 million in 4Q23. Adjusted EBITDA for City of Dreams Mediterranean and Other also increased to $11.8 million in the fourth quarter of 2024, compared to $4.7 million in the same period in 2023. The yearly growth in adjusted EBITDA was primarily driven by the continued ramp-up of operations following the opening of City of Dreams Mediterranean in mid-2023. This expansion led to improved performance in the mass market segment and non-gaming operations.
Year of transition in Macau
Lawrence Ho, Chairman and Chief Executive Officer commented: “2024 was a year of transition for us in Macau. We invested in our business to enhance the customer experience and build a stronger foundation for growth. The contributions from these initiatives are now evident, with market share in the fourth quarter of 2024 growing month-to-month and property visitation exceeding pre-pandemic levels. We are committed to continuing to deliver on our strategic objectives and expect to continue to unveil new and exciting projects to support the ongoing growth in Macau.
“City of Dreams Manila had a strong quarter, with a sequential increase in property EBITDA as well as market share. City of Dreams Mediterranean and our satellite casinos in Cyprus exhibited solid results despite the challenges posed by regional conflicts. Lastly, the development of the casino at City of Dreams Sri Lanka is progressing well, and we expect to commence casino operations in the third quarter of 2025.”
