Macau casino operator Galaxy Entertainment Group Ltd would consider revisiting the idea of a casino-resort investment overseas, should a “suitable project” emerge, says its chairman Francis Lui Yiu Tung (pictured, centre left). He was speaking during a Thursday press briefing, following the company’s release of its fourth-quarter and full-year 2025 financial results.
In responding to media questions, Mr Lui was non-committal about where such an overseas opportunity might come. Though he did say that Japan – due to launch a fresh application round for local governments in 2027 – would be a “really good market” to be in.
Mr Lui stated: “In Macau we believe…that we are doing quite well, the question being whether we can step onto the global stage.”
He added: “We always have that ambition, and in terms of capital [deployment], if there are good projects, we can work with the respective local governments and present to them our healthy balance sheet, giving them the confidence about our capacity for developing [a project].”
As of year-end, Galaxy Entertainment had cash and liquid investments totalling HKD36.3 billion (US$4.6 billion). That would help the group in pursuing “international expansion opportunities”, as well as in returning capital to shareholders, and funding the group’s development pipeline in Macau, noted the group’s results filing.
Mr Lui said during the Thursday media briefing: “Thailand for many years has been a good tourism country…but with the Bhumjaithai Party now in… [a] leading position of the coalition government, I believe it will take a few years for [casino resort development] talks to return to the table.”
The conservative-leaning party formed a coalition after a general election in early February. Its leadership has voiced opposition to pursuing a casino liberalisation path.
Aichi and Tokyo as potential locations
Galaxy Entertainment’s Mr Lui said his group was aware of the gaming sector’s interest in Japan and the United Arab Emirates as markets.
GGRAsia asked Mr Lui if Galaxy Entertainment would participate in a request-for-opinion process announced this week by Japan’s Aichi prefecture – regarding the local government finding commercial partners for an integrated resort (IR) with casino – or whether the casino group might prefer bigger conurbations.
Mr Lui responded: “I think it is too early for us at the moment to decide whether Aichi is the one we have to go for, or we have to wait for Tokyo to come in.”
Nonetheless, Mr Lui noted: “We are very interested [about Japan], but we have to know a little bit more about what’s going on first, before we make a decision. But in general, I think Japan in itself is a very attractive proposition.”
Galaxy Entertainment’s management was also asked for colour on the group’s control of operating expenses and maintenance of profit margin, amid market competition for players and Macau-concession related investment commitments.
“For many years our focus has always been on cost control,” said Mr Lui.
He added that “before we started” Galaxy Macau Phase 3, an extension to the group’s Cotai flagship resort, daily operating expenditure “was US$3.3 million; now, it is US$3.6 million – the increase is not that much”.
Mr Lui further noted: “We have a lot of non-gaming projects in Phase 3, and yet our EBITDA [earnings before interest, taxation, depreciation and amortisation] growth did not slow down.”
The company had on Thursday also reported that its 2025 adjusted-EBITDA margin for its flagship property Galaxy Macau was 33 percent, two percentage points higher than in 2024.
‘Super premium mass’
The focus for Galaxy Entertainment would be to continue to capture the premium mass and “super-premium mass” player segments via quality service, said Kevin Kelley (pictured, centre right), chief operating officer – Macau, in comments at the briefing.
“Super premium mass” referred to the company’s term for a top tier of premium mass gaming clients.
Mr Kelley added: “For the premium mass segment, when you compare that in the total mass [market] pie nowadays, it is generating probably between 35 percent and 50 percent of the overall revenue.
“So when you look at those customers, they’re becoming more and more demanding… and more and more discriminating in terms of the types of products and services that they need and want, to fulfil their overall gaming and entertainment experience.”
The company had been “working very, very hard” to address that demand, said Mr Kelley.
The Galaxy Entertainment executive also stated, referring to high-stakes gaming areas at Galaxy Macau; and to the Raffles at Galaxy Macau facilities and the Capella at Galaxy Macau facilities that form part of Phase 3: “When you look at Raffles and Horizon, and Capella and Horizon Plus, and then when you think about the amazing service products with our elite resort services team… it’s working quite well.”
He added that their success “informs” the company about how to present Phase 4. “We think that as long as you… service…and execute” the offer “well, that the market is going to continue to grow in this segment”.
Mr Kelley said that although “the first couple days” of Chinese New Year holiday business this month “was a bit soft,” typically “it takes the third and fourth day to start the ramp for the next six to seven days”.
“We have been very pleased by the fact that we see good growth across every business segment,” i.e., every gaming segment, plus food and drink, and luxury shopping.
The executive was also asked about demand from overseas – i.e., non-Chinese clients.
Mr Kelley said the company had been tracking their play utilising the chip attribution technology of its ‘smart’ gaming tables. The group had been able to attract players from South Korea, Thailand, Japan, and other Southeast Asian markets.
